[gapipkin]

I'm starting to feel like people aren't appreciating my all inclusive pricing model. I think when i quote a price of lets say 50 shirts for $400, $8 per shirt. They just see the $$$ and say wow! "I didn't know it would be that much!" I'm a designer, so I include my cost for the design, the screen charges, and everything in the price.

The next printer might say $6 per shirt $300, so they get the job. But then the customer gets charged $125 for artwork, and then another $75 in screen charges. This would then be a $500 order! $10 per shirt! But I loose the job because I priced first, all inclusive.

Just thinking out loud. Your thoughts?

 

[simpletees]

I am brand new to the t-shirt biz, but deal in graphic, web and digital marketing. One simple thing to do is to be up front with the customer and let them know your pricing includes x and your competitor is not giving a true price and will charge them more on the back end.

At the end of the day it's all about relationship and if they know you, like you and trust you. In the end you should win more deals.

 

[sben763]

I do the samething have a all inclusive price but mine don't include artwork design. It does include artwork manipulation. I always make sure the customer has a understanding of this and point out if they are pricing out a job to ask about setup fees and such so they compare properly. I get a lot of customers thanking me for pointing out setup fees. I tell them ask for a price per shirt and then ask does that include setup fess and such. If a company gives a price and doest mention setup fees that shows deception.

Make sure to educate your potential customers.

 

[20vK]

I like a breakdown - it gives some education behind the quote.

I've been working on the following price quote structure

~I start off at $x for standard shirt with 1 colour print. Minimum order of 12 required, for eg

~Then add fixed costs:
art, screen prep, setup etc

~then add variable costs, per shirt:
extra colours, positions, more expensive shirt etc

~Then give a discount section. Maybe 1st screen charge free, or discount off the shirt+1colour price if they order over a certain number, 50, 200, etc

That way they can see the breakdown, understand some of the work that goes in and the last thing they read on the quote is a discount if they qualify for one. It's hard to say something is expensive when you can clearly see you've been given a discount, before you've even asked for one!

Richie

 

[ScreenFoo]

This is some great info--I'd add that a lot of the people who will look at $8 a shirt and decide that's too much without putting any thought into what they're getting for that $8, are the people that stink to deal with.

IMHO, education is a huge part of sales in this business, and lots of people deal with, or have dealt with less than reputable suppliers, unfortunately.

 

[beanie357]

We roll it all up into one price, but always price cheap shirts as the included. In NJ if it is a separate line item, you need collect sales tax. I prefer to send them nothing.

Works for us in most cases.

 

[LMPromotionals]

I use a gross profit method for the t-shirts and then a labor method for the printing of the shirts.

i calculated at 40% GP
100-40=60%
your cost for shirt/.60 = customers cost for shirt X quantity

labor/printing

i have been using $1 first color, $.75 second, $.50 third, $.25 fourth

1 screen $25 each additional $15

i used this method to quote a customer on a 200 shirt 4 color order. the customer was then going to sell them in his shop and could easily double his money selling them for $15 a piece. i may have to do some re-figuring on smaller orders to make them worth my while. something to work on as i wait for the final pieces to complete my printshop! hope this helps out some.

 

[VTG]

IMHO, education is a huge part of sales in this business, and lots of people deal with, or have dealt with less than reputable suppliers, unfortunately.

I have to agree ... if you decide to use an "all-inclusive" pricing strategy, you need to take time to educate your customers.

Make sure they're aware that ALL of your costs are rolled into the price to make it easier for them. More importantly, make sure they understand that competitive quotes may NOT include the additional costs, but that they MUST be factored-in in order to do a fair price comparison.

Some folks like to see the price broken down, so be prepared to provide this if needed.

 

[Printmark]

I would have to vote on the side of the Cost Breakdown..instead of all-inclusive. I've had a much easier time explaining people there quotes (that they have in-hand, and can take with them - or receive via email). When things are neatly organized and each cost shown (per garment). But be careful not to break it down too much, you can go overkill in this area as well. They really don't care how much the ink is costing them. Or blank shirt cost and printing cost for that matter.

What they want to know is How much for the printed shirt! (by color, style and size). Screens and Art should always be a line item charge. Mostly because these are Service Charges and in a lot of places, there is no sales tax on a service, only on the product. So in this case because the customer does not leave your shop with the Screens or the Art.. these items would not be taxed. They do leave with a printed tee, so your service of "printing" leaves the shop and is therefore taxable. In Addition, a lot shops have just 1-time screen charges per design. This is very difficult to keep track of when you do all-inclusive.

Cost breakdowns make the prices easier to communicate and understand, just to go overboard. No need to expose your shop labor rates or any other information that is irrelevant to making a purchasing decision.

Printmark

 

[binki]

We often lose screen printed jobs because we are too high and we have an all inclusive model as well. But, we do pick up jobs because of it. Listening to the customer is key. If they say they don't like screen and artwork charges then your model will work for them. Before you give a price quote, talk to them a little and see if they have prices from other vendors. At some point they will give you a lot of info that you can use down the road. People skills are important on the sales side. I can go on all night about this subject.... but I am going to bed

You have to figure if you are using a manual press and competing with places that have an auto press you are at a disadvantage. But once you pick up a customer, unless you piss him off, he probably will not shop your price around.

 

[TshirtStan]

I have to agree to several lines in the above post. When people ask me how much - the first words out of my mouth is that we have no hidden fees for artwork, screens, and all the crazy little charges everyone else charges..... Then I give them the price.

Also - just like the person above said - once you get a customer with great service and product - they usually won't leave you for a cheaper price. If it ain't broke - you know the saying.

 

[wormil]

I can't say I have lost jobs because of inclusive pricing but I have lost jobs to deceptive pricing from competitors who quote or advertise just a print price and leave all other costs like screen or art prep in the fine print. If I'm quoting to someone I don't know or haven't done business with I tend to break out the pricing and mention there are no additional charges.