If only all costings and profit workling out was so simpleAwesome i might try them.
I just got asked for a quote for 20 t-shirts.
Front & Back i think....
If i can get them for £1.80 a tshirt?
vinyl. 5 t-shirts per metre....
cost of tee about £2.80. £1.00 for vinyl per shirt... (Will deliver them myself, only up the road)
Sell them for about £9.00 each as they are for a charity - £6.00 profit per tee. times it by 20 t-shirts that's £120.00 profit... Not bad!
quote for 20 t-shirts. Front & Back i think....
If i can get them for £1.80 a tshirt?vinyl. 5 t-shirts per metre....
cost of tee about £2.80. £1.00 for vinyl per shirt... (Will deliver them myself, only up the road)
Sell them for about £9.00 each as they are for a charity - £6.00 profit per tee. times it by 20 t-shirts that's £120.00 profit... Not baThis
This is a very typical looking job, and on the face of it, the maths look acceptable, ..... but
1 the communication with the client probably began a month or 2 ago, lots of emails, requests for better artwork, clarification over garment types, fonts, and the whole cabudle.......
2 you should only aim to get about 66% of the jobs you quote for, if you get more, your prices are too low, - and if your service is superb, - your prices are definitely too low!
3 There is all the extra time associated with ordering, being in for deliveries, collecting boxes/card/packaging and more and more.....
4 Just when you think you have got a business going, you cross £73,000 and have to register for vat..... then what do you do? - keep prices the same and give away 1/6 of your revenue, or put up your prices by 20% - either case, model broken .......
5 think of any business you personally know, - any business that has been about a decent amount of time, - I BET it isn't a low price operator.
One issue with our personalisation business is the low cost of entry, - many hundred/a few thousand quid and you are in the game, - it is about staying in the game. otherwise you run out of a/ working capital, or b/ enthusiasm - and then you die.
Profit is sanity, turnover, - is just being busy for no reason whatsoever!
Customer loyalty does have some value, but do not over value it.
If a lower cost operator opens up next door to you ........ you loose, UNTIL they go tits up, when all your customers will return and pretend they never went anywhere else anyhow!
You cannot offer a great service at a shit price. Don't try!
IMHO
1 Hour T-shirt printing shop in Newcastle upon Tyne.
To view links or images in signatures your post count must be 10 or greater. You currently have 0 posts.
Logobear t-shirt print and embroidery. 74 Clayton Street. Newcastle. NE1 5PG. UK
What a great post! Love reading every word of it :-)
To view links or images in signatures your post count must be 10 or greater. You currently have 0 posts.
<-- How To Print Stuff BLOG
True, i get where you are coming from with that.quote for 20 t-shirts. Front & Back i think....
If i can get them for £1.80 a tshirt?vinyl. 5 t-shirts per metre....
cost of tee about £2.80. £1.00 for vinyl per shirt... (Will deliver them myself, only up the road)
Sell them for about £9.00 each as they are for a charity - £6.00 profit per tee. times it by 20 t-shirts that's £120.00 profit... Not baThis
This is a very typical looking job, and on the face of it, the maths look acceptable, ..... but
1 the communication with the client probably began a month or 2 ago, lots of emails, requests for better artwork, clarification over garment types, fonts, and the whole cabudle.......
2 you should only aim to get about 66% of the jobs you quote for, if you get more, your prices are too low, - and if your service is superb, - your prices are definitely too low!
3 There is all the extra time associated with ordering, being in for deliveries, collecting boxes/card/packaging and more and more.....
4 Just when you think you have got a business going, you cross £73,000 and have to register for vat..... then what do you do? - keep prices the same and give away 1/6 of your revenue, or put up your prices by 20% - either case, model broken .......
5 think of any business you personally know, - any business that has been about a decent amount of time, - I BET it isn't a low price operator.
One issue with our personalisation business is the low cost of entry, - many hundred/a few thousand quid and you are in the game, - it is about staying in the game. otherwise you run out of a/ working capital, or b/ enthusiasm - and then you die.
Profit is sanity, turnover, - is just being busy for no reason whatsoever!
Customer loyalty does have some value, but do not over value it.
If a lower cost operator opens up next door to you ........ you loose, UNTIL they go tits up, when all your customers will return and pretend they never went anywhere else anyhow!
You cannot offer a great service at a shit price. Don't try!
IMHO
So in other words your saying.
you can either run a good service at a real price.
or offer a bad service at a very low price.
True!
How much do you sell your t-shirts for? Your in Newcastle? Pretty Busy place?
Bare in mind. My local town is infact a ghost town. There is another printing business in the next village. offering the following.
T-shirts
£10.00 - front
£12.00 - Front & Back
Mugs, £8.00 (one side)
£10.00 (two sides, full wrap around)
He is paying £20,000 a year rent. In a very busy town!
His turn over is £40,000 a year.
I have to keep up with him. He offers a standard service so im told.
I feel i offer an excellent service. like yourself Logo Bear. Order came in tonight, its been printed and its going out in the morning.
I do feel i should up my prices. But do i take the risk of over riding the mark and charging more than the other printers?
Im 18 years old. I own pretty much good machines, vinyl cutter, software, stock, computers.
Others are doing them cheaper than me. As you have seen above in this forum. Without a doubt it depends on the area you live within, What others printing businesses are close to you? How much rent you pay? and also your Outgoings?? Whats your thoughts?
Last edited by edwardsmedia; 08-02-2012 at 12:37 AM.
I can see all points on this post but we work on how much we can get an hour from the job as a minimum. I agree that turnover is vanity and profit is sanity but jobs do vary. If someone comes in and wants "mytown rovers" about 100mm across on the left breast, should that be the same price as someone who wants the front breast logo and a name and number on the back - no. We ask the customer what they are thinking off and quote accordingly. We also ask if the t shirts are for a one off stag sickfest - therefore they want cheap and cheerful or if its going to be one they use again and again. You can tell them the difference in the price - they make their minds up.
At the end of the day we are all offering a PERSONALISED service. If you gain their trust they should return or recommend to others. If you just bluntly say £15 they will compare with competition and if they are price driven go for the cheapest.
Business is all about getting as much as you can not what its worth. If you have loads of work on you can afford to be balshy and charge high. If you have no work on sometimes you have to build up. Don't work for nothing though - thats easy too )I know as my first year of business I ddi exactly that.
Im going to chip in my 2 pence worth as well.
Im in Germany and my prices are nearly the same as your competitions. But they are the absolute minimum prices. Small logo on the front and one line on the back. For more, then they have to pay more. If its only for one or two shirts then I will charge up to 20 pounds. I try to be as friendly and as helpful/flexible for the customer as possible. I explain to the customer why the price is more than my standard minimum, most will understand and be happy that you see them as a valued customer and take time to explain things.
A helpful, flexible and friendly customer service goes a long, long way to building a good business. There are limits, obviously, to the prices you can charge, but dont be cheap just because your competition is cheap. And dont forget, you run an internet business, dont just compare your prices to his.
As for your competitions turnover....Sorry, if he is paying a rent of 20K then his turnover just to cover his rent has to be at least 60K. Then comes his heat, light, staff, accountant etc etc costs on top of that. He should have a minimum turnover of around 100K ( more, because he is now VAT registered) just to pay his way and take home a very minimum wage for himself.
My thoughts, but whatever you do, remember its a business and you have to make a living.
Earl
Just echo what earl said - if he's paying 20K rent, and turnover is 40K, then I would have thought he'd be very close to bankruptcy I'd watch with interest and when he's gone, poach his customers.
If you're not registered for vat and you buy something that is £10+vat = £12, then sell it for £20 your margin is £8.
If you are vat registered then you're buying the same thing at £10 you need to sell at £21.60 to retain your £8 margin £18 +vat.
On my basis you wouldn't need to raise your prices by 20% or am I miles out ??
Spot on by my calculationsIf you're not registered for vat and you buy something that is £10+vat = £12, then sell it for £20 your margin is £8.
If you are vat registered then you're buying the same thing at £10 you need to sell at £21.60 to retain your £8 margin £18 +vat.
On my basis you wouldn't need to raise your prices by 20% or am I miles out ??
accdave - yes - your math is right, and i was wrong, but the principle behind my message was right.
Echo points about variable pricing, there is no single price, but it is best to aim high, you can always downtweak, but impossible to uptweak!
How do you price jobs?
1 Hour T-shirt printing shop in Newcastle upon Tyne.
To view links or images in signatures your post count must be 10 or greater. You currently have 0 posts.
Logobear t-shirt print and embroidery. 74 Clayton Street. Newcastle. NE1 5PG. UK