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Discount Pricing for Quantities

Postby ladybugink » Wed Sep 06, 2006 11:43 am

I am new and trying to set up discout pricing for different quantities of shirts ordered. Is there a standard? At what quantities do I give discounts, and what type of discount should I give at each break? I know what my competitors are charging for small quantities, but have no idea what their discouts for quantities are.

Any help or advice you can give would be greatly appreciated. Are there any websites out there that would help me?
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Postby ROADSIDE » Tue Sep 19, 2006 9:00 pm

umm.... I rarely discount the garment itself. Even with huge quanties the cost of the shirt is just that the COST of the shirt.

I do however give discounts on printing and setup costs for bulk orders.

There are a few formulas on how to figure out your pricing. I however dont know them. I price my work higher then most of the shops in my area but my artwork is far superior so customers dont seem to mind.

Price breaks every 2 dozen works for alot of people
24 (small order)
48
96
120
144

Good Luck
The best advice I can give..... figure out what it takes you to produce your standard order. Then price accordingly!
.... I can give you my opinion but I can't tell you if it's right or not.
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Postby RamboGraphix » Sun Mar 23, 2008 5:45 pm

what percentages do you use or what do you think is a good setup?
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Postby Fresh Mode » Fri Apr 04, 2008 9:22 am

Mark up the garment anywhere between 1.6 and 1.9 x and then factor in your per shirt print costs. Our price breaks at:

24
48
72
144
250
500
850
1200
etc
etc
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Postby ROADSIDE » Fri Apr 04, 2008 10:05 am

If a shirt cost me $2.... I charge $4 + plus print cost.

Pricing is tough because we all have different overhead.
My payout is somewhere in the range of $8800 a month.

You have to know what it cost to run your shop to figure out pricing
Gas Bill?
Electric Bill?
Water Bill?
Insurance?
Credit Cards?
Inks and consumables Cost per month?
Shirts or Substrate costs?
LABOR!!!!!?

Once you figure out all your expenses you need to divided that up by either # of days per month or even down to the hour.


Example:
Total expenses = $8800 per month / 20 work days per month = $440 a day (to break even)
Thats about $55 and hour.

I can do about 100 shirts an hour by myself.... so you should be able to figure out the rest.
.... I can give you my opinion but I can't tell you if it's right or not.
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Re: Discount Pricing for Quantities

Postby spankthafunk » Wed Jun 18, 2008 9:28 pm

when you say 100 shirts an hour, are you not figuring in the time for screen setup and cleaning? I'm just curious because I'm trying to figure a good way to price my garments, but right now it takes me roughly 6-8 to go through the whole process (from a tension, emulsion, exposing, etc to cleaning and putting everything away) in my little apartment. But I know if I charged 8 hours at $55, not many people are going to buy anything from me.

I'm just guessing but if I counted all of my bills (not even ones relating to the business, but gas, electric, rent, etc) i owe about $1200, and I'm only doing 2 or 3 jobs a month right now, around 50 shirts each. so $1200 / 24 hours = is still $50 an hour.
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Re: Discount Pricing for Quantities

Postby RamboGraphix » Thu Jun 19, 2008 10:46 am

I would make your printing like a business and charge it rent, If you are doing it in your appartment you have living expenses that the business shouldn't pay for and maybe have the business pay $600-$700 of the rent and you pay the rest. so then $600/ 24 hrs = $25/ hr.
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Re: Discount Pricing for Quantities

Postby spankthafunk » Sun Jun 22, 2008 10:45 am

like a percentage of the utilities? that makes sense. I have just been adding in the full amount of my utilities to have room to grow, and kind of see what my goal is. I do need to still figure out exact numbers, and my last print went quicker because I'm getting better each time. Not having a heater and using a flash dryer has taught me that I am losing an hour of work every 100 shirts or so.
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Re: Discount Pricing for Quantities

Postby ROADSIDE » Thu Jun 26, 2008 5:02 pm

When I say I can do 100 sph (shirts per hour)
Thats ON press time.
We have hundreds of screens ready to go at all times, to I dont need to figure in time tensioning.
When I need to tighten up a screen I either have our screen cleaner (employee) do it or send it out and have it re-screened.
We have a figure built into our budget for screen maintenance and payroll so its figured into the price that way.

Start to finish we can do 100 shirts (both sides) in under 3 hours.
Since we have a few employees we are able to have multiple jobs going at the same time.
At the end of the day we setup the first 2 jobs for the next day.

I wish there was standardized pricing but people would rather cut prices then raise them.

You cant get a custom T-shirt at walmart.... Affliction T-shirts sell in stores for $40 or more

RAISE YOUR PRICES! if your work is good people will pay it
.... I can give you my opinion but I can't tell you if it's right or not.
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Re: Discount Pricing for Quantities

Postby spankthafunk » Thu Jun 26, 2008 8:56 pm

when you say you prep the next two jobs the night before, does that mean you are burning the screens and registering them? does this cause any kind of tension problems or relaxing/warping of the screens as they sit on the press overnight?
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Re: Discount Pricing for Quantities

Postby ROADSIDE » Thu Jun 26, 2008 9:16 pm

Yes.... burn the screens and set up the press. Register the first job and have the next one ready to go in the rack.
We use aluminum screens and have an automatic press. The screens don't lose tension or warp on press.
your conditions may vary....

Time Management is going to play a big role in production.
If it takes you HOURS to stretch a screen... save up $300 and call Mel-Ray to get a dozen screens.
If it takes you HOURS to burn (expose) a screen... Make sure you have other work to do while you are waiting.

Dont take small orders with large setup times.

12 items per color per side is a good rule of thumb.
If a customer wants:
1 color front, 1 color back on t-shirts ... Minimum order 24 shirts
5 color front, 1 color back... 6 dz. Minimum (It might take you 3-4 days to do 60 shirts (120 prints) but the job will be an okay pay)
This will help to weed out the customers that are not going to respect the craft and more then likely cost you money.

Your situation kinda sucks because you are working harder then you need to because of your equipment and work space.
.... I can give you my opinion but I can't tell you if it's right or not.
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