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TulsaCane · May 3rd, 2009

I'm very new to this and trying to understand pricing better, as I want to be competitive without shooting my self in the foot. Here is the thing. I was looking at a printing price list that was posted on-line got confused on the price breaks. Are price breaks like tax brackets?

Lets say you have a customer that wants to by 100 shirts 1 color, and for simplicity sake you have a few price breaks, the one is $2.50 1-25 shirst, the second is 26-75 shirts is $2.00 then 76 shirts and up is $1.75. Okay now that that has been established would you quote $1.75 for all 100 shirts, or would the first 25 be @ $2.50, 26-75 @ $2.00, and the last 25 at $1.75.

The printing price list I was looking at on line was 999 shirts for .58 cents and then 1000+ for .40 cents, so it seemed to me that they would be printing the printer would loose almost $180 if someone ordered 1000 shirts instead of 999.

Am I off on this?

moksha · May 3rd, 2009

The pricing displays volume discount. The more you order, the less expensive they are per shirt. As a printer you have your time in set-up, so you are trying to get more pieces to print and make your money there. When you get the that 76 level, then all the shirts should be at that price, not the first 25 this price, then the next 25-48 this price, etc... When your order gets to a certain level then you should get the lower pricing on all the pieces, not just those above the piece point.

With the 999 shirts for $.58, then 1,000+ for $.40, that is just an incentive for a client to increase the order for a lower price per shirt. Maybe the printer made less money per print by offering lower prices at a higher volume, but possibly the printer would print more pieces and would make more money from the order in the end.