[amayausers] Re: Outbid

  • From: webmaster@xxxxxxxxxxxxxx
  • To: amayausers@xxxxxxxxxxxxx
  • Date: Thu, 15 Mar 2007 12:17:21 UT

This message was posted by signman on AmayaUsers.com. PLEASE DO NOT REPLY VIA 
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I get a minimum of $5 just to add a name on goods I supply, $10 minimum for 
'customer supplied' goods no matter what. You didn't make a profit on the item, 
and $4.50 each isn't really going to cover your overhead for the time. If you 
are hooping them, I'd figure 10-15 minutes per item-that's 5-6 per hour on one 
head machine. $22.50-$27 for an hours work, less thread, backing, etc.
That's not going to cover what the true cost of running the machine is! 
(previous posts, several of us have gone over how to figure an 'hourly' 
rate-average is around $40 per 'active' hour of use).
If you have a couple machines, okay-your overhead is less per machine hour-and 
you could crank them out-by Steve's figures I'd say he plans on 8-9 per hour, 
two heads I bet!
Slimline clamp would speed you up-but 3,000 stitches is still 3 minutes average 
sew time no matter what.
ANY time a customer comes in and says 'I can get this done at XYZ shop for 
$4.50' I tell them straight out-then WHY didn't you have them do it? And 
usually it is a 'price shopper'-looking for the best cheapest bargain-and you 
will never see them again...OR they won't tell you-the 'other' guy has a $25 or 
$50 'logo fee' or something that jacks the cost up-OR his price really was 
$4.50 ONLY IF HE SUPPLIED THE SHIRTS.  I have a competitor that used to do 
this-he would advertise ball caps (screened or embroidered) for $4 a hat...and 
then get so bogged down the race car drivers had to wait 2-3 months to get 
them-long after their season was over. Don't fall for it! Why should YOU give 
away YOUR time and profit just because someone ELSE does? I prefer to LET THEM 
take the lowball accounts-and every year-I see another 'competitor' go out of 
business. I'm in tax trouble now-because last year I refused to do ANY price 
games-and my gross sales DOUBLED!!!! And we never had a break-busy a
 ll the time-and at least 2 competitors went out of business. Even another sign 
shop is now farming out HIS digital printing to me-because my machine is better 
and faster than his. 
If you have the multiple heads, and can hoop fast and accurately-well, if the 
customer is worth it- its a judgement call. We've all done something the 
same-for a good customer. I am doing Kiwanis polo shirts now-and I add the name 
for $3 I think, their logo (10,000 stitches) for $5.00- BUT I am making another 
$15 just for profit on the shirt! So I am still making my money and they are 
perfectly happy.
Your $8.00 with discount for quantity sounds perfect-I'd say you figured it at 
$5.00 hooping per shirt, $3.00 for embroidery-and the discount helps a big 
order. For that price, I'd do it-but for $4.50? Not worth wasting my time with 
only one machine.
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