[amayausers.com] Re: pricing caps
- From: theboards@xxxxxxxxxxxxxx
- To: amayausers@xxxxxxxxxxxxx
- Date: Thu, 13 Nov 2008 14:57:10 UT
This message was posted by signman on AmayaUsers.com. PLEASE DO NOT REPLY VIA
EMAIL. Instead, respond to the thread on the WEBSITE by clicking here:
http://www.amayausers.com/boards/ultimatebb.php?/topic/10/65.html#000001
Years ago (and I think about 12-15) when I setup my FileMaker Pro pricing
pages, I sat down with a half dozen commercial ad specialty suppliers that did
shirts. Went over their pricing schedules, did some basic math, and figured out
what the average 'mark up' was for any given quantity for all of them. Took
those 'percentage markup' figure and built it into my own pricing page. It's
held up for that long-and usually, I am right in the ballpark for someone
'shopping around' to compare prices.
Without going into a long drawn out thing-this is what we 'basically' do.
Working with the SINGLE price of an item from Sanmar (NOT the case
price-explain that later) I multiply this 'cost' with the following
percentage...under 12- 200%, up to 36, 185 %, up to 72, 165%, 144, 150%, 288
and over, 125%.
This is my 'retail' price that the customer sees BEFORE we add screening,
decal, or embroidery.
My 'print' charge or thread count charge also follows this percentage...so as
they buy more, it costs less to embellish the item.
Case price versus 'single' price...why? Although we get case price no matter
what quantity I order-I have to 'cover my butt' if I need a substitute item
from a different supplier than Sanmar...so if I base all my pricing on the
'single' price-my cost is covered without trying to add in a higher price
somewhere. Also, this gives me some bargaining room-I always know that my
prices I show the customer have 17.5% 'wiggle' room on actual cost. So if I
have to discount 10% or so to 'meet' someone else's price-I'm not losing any
money!
Now, remember=ALWAYS CHARGE FOR FREIGHT! Unless YOU get free freight, the
CUSTOMER should pay for incoming freight! If someone orders 3 doz hats for
you-that won't qualify for free freight from Sanmar-so YOU get stuck paying
maybe $20 for freight. Why should you? THEY ordered them and everyone else is
going to charge them!
I've had people order 3 or 4 special shirts-just had to order 7 kids shirt for
one client-shirts cost me $14.70, the shipping was $12!!! Doubled the cost of
the shirts-and she paid the freight!
No way I was going to eat it...
Roland
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