February '13

For the Business of Apparel Decorating

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Order A: One T-shirt with a name on it Here, ask the customer what the specific purpose for the order is. Is it a gift, something for work or for some other purpose? This opens the door to offering a stock design to go with the name. You can charge more for the name and design, increasing the profitability on the order. If the item is for work, ask if there are others in the organization that might also have need for similar items. Offer to make up an order form for them to share at work so that others could place orders. If they bring in X-number of additional orders (you determine the quantity), you could even offer your original customer a coupon or discount on their order or on a future order. Order B: 12 caps with a less-than 5,000 stitch-count design It's easily possible to provide a low cost cap where the wholesale price is less than $3. Such an order probably will not sell for more than $9-11 per cap. Not including the cost to produce the embroidery, the maximum income on the order would be no higher than $96. By simply changing the cap you show the customer a higher quality version, and you can easily increase the income of the order. The higher quality cap sells for $20: $20 – $6.75 (cost of the cap) = $13.25 x 12 = $159… for you! Take this further and suggest they consider a shirt that displays the design as well, increasing income by as much as three to five times on the order. Order C: 24 T-shirts with a left chest design of less than 5,000 stitches Selling this order with low cost shirts at $3 per shirt creates an order with $192 remaining after the cost of the shirts. Suggest a higherquality shirt to your customer, and your balance on hand after the shirts is $264. Further, offer sweatshirts to go with the T-shirts, and now the numbers are getting sexy—$192 remaining on the T-shirts plus $340 on the sweatshirts after the cost of the goods. Go for the brass ring and suggest a jacket for the owner, if not for everyone that is getting shirts in the order, and you will do a happy dance (on the inside only, please) when they agree. French fries and T-shirts There is a hidden beauty to this strategy. Once the machine is set up to run a design, adding other products to the order is highly efficient and therefore highly profitable. The right design and the correct thread colors are already loaded. Selling more items to the same customer is one of the most profitable ways to grow your business. You have no cost to acquire the customer and you have no significant increases to production costs when you add more items with the same design. McDonald's figured this out very early. "Do you want fries with that?" is in no small 2013 February Printwear PW_FEB13.indd 69 | 69 1/18/13 10:15 AM

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