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From what I've heard, all of the on-demand t-shirt printing services are comparable to iron-on quality. I'm told that a new process being rolled out at cafe press over the coming weeks is nearly as good as silk screen, and that will put them far ahead of the pack.

I'm planning on doing a couple of designs in onesy-twosy quantities, so I'm interested to hear what you guys think about these services. I would appreciate hearing from those who have tried all or some of them, as to how they compare.
 

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Digital Heat transfer is NOT as bad as an iron on if you use quality ink, paper, and a real heat press. It still isn't as good as dye sublimation or screen printing, but its definately superior to iron-on... they last for dozens of washing without fading or peeling and work great for many-colored images on light shirts.
 

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I agree, the larger companies providing print on demand services (like CafePress) have quality that is much higher quality than just an "iron on" that you buy at walmart.

They use professional, industrial quality presses and have spent thousands of hours and dollars perfecting the process. I wouldn't use them for my merchandise if the quality wasn't there (I also use other services as well, but that's another story :) )

I've seen CafePress's new print process and it is pretty darn good. I still wouldn't call it comparable to screen printing because it still has its limitations (like what garment colors you can print on), but the main improvement is that you don't see any transfer outline around the print.
 
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