We found that our customers were really ticked at being charged for setup, color change, and other things. They really hated being charged a fee if they had several color garments and needed a color change on one or more elements for the different color garments. They felt that they were taken advantage of. Our last account that we picked up called our pricing 'just or fair'. I guess she felt she got ripped off before.
We charge a flat rate for lettering up to 4 inches (what fits in the hoop) and a higher rate for logos up to 4 inches. We have a flat rate for lettering up to 8 inches square and a starting flat rate for full back or front designs.
We also have a flat rate for caps including the cap no matter what we put on it.
We do all our own digitizing having only to send out 3 items in the last 6 years.
We do not charge a separate fee for digitizing, color changes, or things like that. We have picked up one national account and 5 schools with our pricing structure just in the last few months.
Our hourly rate range is wide though with this structure, anywhere from $10/hr up to $300/hr depending on what we are doing.
I shopped a local franchise embroidery place and got a price on 6 polos that I supplied with just my name on it. $18 for 'set up' and $8 each for the embroidery. What setup is there? Type in 5 letters. That is how our customers feel.
We also guarantee everything we do. If they don't like it we will fix it or buy it back.