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sunnydayz · September 20th, 2009

So Friday I have this customer that I have printed shirts for before ask for a bid on shirts. He wanted Ladies ribbed tanks and full front print in full color. He wanted 100 shirts and needed them by Wed. Which is short notice to begin with.

Anyways I gave him a bid of $7.00 per shirt. The price of the tanks he wanted to use were $4 a piece my price. So I would basically make $3 for my time, picking up the shirts, printing the shirts and delivering them to him. I gave him the price and he said that is way to much in this economy. Its like people think because times are hard, they can bully you into a lower price. Last time I printed this same order for him I had charged him $8.50 per tank, so this was already lower then his last order.

He waited till today to even respond to my pricing, which puts him needing the shirts in 3 days lol. I cannot believe how people are doing things right now. Lets wait till the last minute, get a rush order, and then also want it cheaper then a cheaper price you are already giving them.

I ended up telling him sorry that is my price and did not budge, I then wished him luck in finding someone who will get that job done for him with a dtg in three days on higher priced tanks, for lower then I quoted him

I have a feeling he is going to call me back tomorrow, and if he does I will politely decline the job. For me its a matter of principle.

Are others dealing with this as well? People who want to try and pressure lower prices just because they think you will take the job because of the economy?

zoom_monster · September 20th, 2009

Good for you! I think we all see people like that. I've got a guy that will not pay over a certain amount per shirt, but I can charge a set up, jacked up art fees etc. to get my hourly fee. If you start caving to these people they'll come back wanting more for less.

Ian

Pwear · September 20th, 2009

I just had a woman email me last Thursday about doing some vinyl work on her company car.

I quoted her a price, told her that currently there is a 2-day turnaround time to get the graphics and vinyl finalized and a 30 minute turnaround to apply on her vehicle if she had an appointment.

I get a call from her on Friday afternoon while I'm out of the shop saying that she is at my location, and because I'm not available to do her vehicle at that moment, she will not be using my services.

Nevermind the request to make an appointment or the 2-day turnaround for art prep before we even have vinyl to apply in the first place

sunnydayz · September 20th, 2009

It really is amazing how this economy has changed the quality of my customers

Even long time customers are turning to this tactic, even though they have gotten several years of my quality service. Its hard to figure out what goes through their minds

sunnydayz · September 20th, 2009

Quote:

Originally Posted by zoom_monster


	Good for you! I think we all see people like that. I've got a guy that will not pay over a certain amount per shirt, but I can charge a set up, jacked up art fees etc. to get my hourly fee. If you start caving to these people they'll come back wanting more for less. Ian

Agreed Ian. You know this was not even including any setup or artwork fees. That was the total price.

synchtec · September 20th, 2009

Profitability in this type of business will definitely suffer and eventually would not be a good business to consider if we cater to these types of customers!!!

Catbox · September 21st, 2009

You have a product that you are proud of... and the price is the price...
There are plenty of second rate people they can deal with if they choose...
and when they do they will figure out quickly that quality has a price.

equipmentzone · September 21st, 2009

The one thing I always stress when we sell a printer to a customer is that you have to learn that sometimes you have to say "No". None of you are in the business of printing t-shirts. You're in the business of making a profit. Unless you fully understand that you will eventually go out of business. Charge what you need to to make a profit. Never charge less then that.

There is an old joke that unfortunately I have seen too many people actually fall into:
"I lose a dollar on every order I sell. But I make it up in volume"

Harry
Equipment Zone

Mistewoods · September 21st, 2009

Maybe if he calls back you could say- oh I am so terribly sorry- you missed the preferred customer discount I was giving you because it does not apply to rush orders. The price went back up to the regular price, $8.50.

In this economy I can't squeeze you in at the last minute very easily, I am way too busy because I guarantee high quality for the dollar :P

I don't blame the customer for trying to get a deal in a way...but isn't it good that you know your limits and stick to them with a huge smile!?!

SickPuppy · September 21st, 2009

I am new to DTG printing but I have been in the embroidery business for 5 years now. I have seen long time loyal customers come in and ask for lower prices.

You are correct it is the economy driving this issue but I disagree that it is just greedy customers trying to take advantage of a weak economy. These people have businesses to run and need to cut their cost whenever possible. Even in my embroidery business I have found myself searching for cheaper suppliers.

The slow economy is hitting everyone and we are all looking for ways to cut cost. Don’t take it personal if a long time customer starts shopping around for a lower price. I agree that you need to have a no lower than price but just like 99% of all other industries the economy will have an impact on your price.

gemais · September 21st, 2009

I have found that embroidery has been hit the hardest. Everyone got on the bandwagon, started cutting prices to the point that it is really not worth doing the work. We have decided to sell off our 6 Head that is virtually brand new, but it has not worked for 6 weeks. There is far more profit in out small pad printing, screenprinting, sublimation and our new Roland Digital printer. It does hurt to let it go but I dont think Embroidery will ever be like it was 20 years ago.

SickPuppy · September 21st, 2009

Quote:

Originally Posted by gemais


	I have found that embroidery has been hit the hardest. I dont think Embroidery will ever be like it was 20 years ago.

I agree, 10 years ago everyone outsourced their digitizing. I was making more money digitizing for other embroidery shops than I was selling my own designs. I purchased a single head Toyota machine just to test sew my designs and custom digitizing work. It seems now that most shops do their own digitizing. I had to start offering embroidery service as well as digitizing to make ends meet. Now I make the majority of my income from the embroidery.
I was looking at adding another embroidery machine but decided it was time to diversify so I branched out into the DTG industry. I hope to add a rhinestone machine and vinyl cutter by the end of the year.

tfalk · September 21st, 2009

I've also had people asking for the same prices that they see advertised for off-shore companies... go ahead, order from them and wait 4 weeks for it to be delivered....

I have a summer vacation rental and it's always been booked every summer. This year, it was empty for 3 out of 14 weeks. For every one of those empty weeks, I had at least 10 people call and offer me half or considerable less rather than leave it empty. "in this economy, we're looking for a bargain"... My answer... keep looking. My neighbors unit across the street is half the price. It's also half the size.. give them a call and see if they're interested.

sunnydayz · September 21st, 2009

Yep what is funny is that I have printed shirts for these customers over 10 times in two years, so they are aware of my pricing. Its not like I am someone new to them. That is what blew me away with this. Its that it was a long standing customer that was fully aware. Even the normal pricing I gave to them in the past was lower then normal, and it was because it was for the local Alano club, and I know that they work within a budget like any other non profit. This is the full price I was charging, even the design of the wording integrated with their logo, for the specific event they are printing these for. Its just really disturbing to me that a long term customer is jumping on the economy train, when I was already throwing in freebies such as design work.

dmfelder · September 21st, 2009

We're seeing this a lot too with both of our businesses. Our custom and corporate shirt printing has us scrambling to maintain our "preferred vendor" status. Our internet shirt fulfillment services customers keep asking for lower and lower prices. (The latter seem to think a contract is null and void in a down economy.)

It's not like our suppliers are dropping the prices for blank shirts!

...and let's not forget that we'd all like to think we provide the best customer service...clearly this economy is making people forget that as well.

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Amazed at how people are trying take advantage of the economy