Awards & Engraving

November '19

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A&E NOVEMBER 2019 • 11 a result. Thus, you are producing five items per cycle instead of one. And, with a typical production cycle of about two minutes, you can deliver a large number of pieces per hour. But of course these are just numbers on paper. You really have to analyze the production process when working on generating baseline costs and then trans- late that into volume discounts. How- ever, if you take the time to play with numbers and variables, you can start to generate some pretty decent base figures for pricing. MARKUPS AND PERCEIVED VALUE What about markups? Marketplace per- ception has a huge impact on selling price. An item is only worth what someone is willing to pay for it. In fact, with subli- mation, what goes on the product usually has a greater impact on margin than what the product itself is. That's because of the emotional connection, what we can call the "emotional margin." When a customer gets a positive inner feeling from the item (usu- ally the visual aspect), they feel like it has a higher value. Thus, you must make every effort to produce images that feed this need. Personalized products are a great example, especially when they include a photograph of a family member or pet. Personalization is a powerful marketing word, as it implies the item was made spe- cifically for the recipient. On the other hand, in the case of pro- motional products, the emotional connec- tion is low, thus the perceived value is also quite low, making it harder to generate large markups. It can be done if you understand how to "spin" the product the right way but can be challenging. The most important aspect of generating decent margins is simply knowing the market. Understand the needs of your customers, then look for unique products that can fulfill those needs. A good marketing plan will go a long way in increasing the perceived value of a product within a given marketplace and translate into higher margins. Don't make the mistake of using 100% markups — shoot higher! With the right products and pitches, you can make it happen. A&E Why purchase complicated, uncertain equipment when you can invest in aordable, reliable, and versatile Roland technology that oers superior results? Whether you're printing and cutting labels and decals with the BN-20, printing direct-to-garment with the new BT-12, printing directly onto products with the new LEF2-200 or cutting vinyl for heat-transfer apparel with the GS-24, Roland technology is built to build your business. Find out more about building a business with Roland technology at VersaUV LEF2-200 VersaSTUDIO BT-12 VersaSTUDIO BN-20 CAMM-1 GS-24 BUILD A BUSINESS FROM YOUR DESKTOP WITH ROLAND CUSTOMIZATION

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