How Much Should I Charge for Heat Pressed Bag - my cost $1.50

[gwestcorp 32]

Customer requests a quote for 100 bags with single color imprint. If my costs for the bag is $1.50 what do you think I should charge? 4"x6" design one one side, 5-8 minutes to weed & press using ezweed vinyl. Just curious what others are selling bags for. Thanks in advance for your response.

[xpaperman 719]

What is included in "your cost"?  Just the bag?  Bag and vinyl?  Time per bag?  A little more info would help.  I am assuming that is just for the bag.

[skarekrow 1,842]

How much EZ weed per bag?

[gwestcorp 32]

4"x6" one side only

[skarekrow 1,842]

You figure you have close to 50 cents each in easy weed, Buck and a half in bags plus markup, shipping, handling.

Add to this the your labor (shop) rate and just a fraction for pure profit and you have a price.

No doubt your client is planning on reselling the bags so, if your markup is too high, they may go elsewhere.

 

1.50 + shipping (broken down per unit) + .50 cents (ez weed & press electricity) + 10 minutes x shop rate = cost per unit.

 

Are you shipping the items to them? Don't forget to clue them on that rate as well.

 

I also generally add 5 to 15 % 'pure profit'. for wear and tear on equipment, etc... depends on the size of the project.

[TT57 135]

what do you guys charge for shop rate ? Just curious cuz i don't have a clue. 

[jfought 120]

mine is 65.00 per hour just to maintain this place. roland versacamm, Graphtec cutter, screen press, lights, electric, etc. it all costs. weather you are at home or in a store front. make sure that you are charging enough. and if you are at home you are NOT doing yourself a better deal charging less than the store front guy down the street you are actually killing the industry with the lower price. if the guy down the street can get it so can you, you just make way more PROFIT (not a dirty word) than him.

[gwestcorp 32]

If my shop rate is $55 does that mean 10 minutes is worth 5.50 and I should add that to cost of each bag before adding profit. I just don't get it sorry. 

 

jfought: what would your cost per bag be with your shop rate?

[skarekrow 1,842]

I'm gonna have to respectfully disagree with jfought's "price-fixing" scheme.

IMO, It's a good example of the greed oriented mentality that is so pervassive in our society.

 

Shop rate is based on each individual shops overhead and differs, depending on your equipment, expences, & situation.

 

If your shop rate is $55 per hour and something takes 10 minutes, that's one-sixth of an hour or 55 divided by 6 = $ 9. 16

 

Or $55 divided by 60 minutes = .(just under) 92 cents per minute x 10 minutes = $ 9.20

[gwestcorp 32]

I still don't know what to charge for the bags. Can someone just tell me what they would charge? My cost in bag and weeding is $2.00. Is $4.00 too much or does that sound reasonable? I have no idea what someone is willing to pay.

[express2100 154]

$18 each individually

$13 each at 100 pieces

I'm probably high but you can't work for free.

I do not press but I don't think I would do it for any less.

What size is the bag? What quality, pouches, zippers, draw strings etc. Got a link?

[jfought 120]

what do you mean skarekrow price fixing scheme? if you have over head that you have to meet you better meet it on average or your out of business!!

[Frank Buckley 20]

jfought nailed it, you better be in business to make as much money as you possibly can. If not then you're just doing it as a hobby and shouldn't be taking paying jobs because you're just ruining the industry.

[jfought 120]

you did not mention what type of bag you are using.

[gwestcorp 32]

Doesn't matter what type of bag, my costs are $2.00. I have that figured out. 

[Frank Buckley 20]

Doesn't matter what you have in it it's what you can get out of it.

[jfought 120]

well then just add the price of the bag and you have your price. now if you want to make more add on top of that. but for me to give you a quote I have to know what I am quoting to give you an accurate price. it would be like me asking you for a price on a sign and not telling you anything about it then telling you your price is way to high compared to the other quotes I have. I am not trying to be a butthead like some others that have commented just trying to do it right

[express2100 154]

<blockquote class='ipsBlockquote'data-author="gwestcorp" data-cid="359315" data-time="1400689714"><p>

Doesn't matter what type of bag, my costs are $2.00. I have that figured out.</p></blockquote>

Qwest, I've seen you around, checked out your site and you do some pretty nice work. Certainly you know enough to understand how difficult it is for us to tell you what something is worth without seeing it. Seems your questions have been answered. If not than we are missing something.

[gwestcorp 32]

These are the bags. The most expensive is $1.50.

Not having done bags before - I have no idea what someone is willing to pay for it.

I think I will quote them at $4.00 for 100.

Thanks for all your responses. 

[xpaperman 719]

How about this?  Take your cost's.... you say 2 bucks.... double that.  Now your at 4.  Figure about 4-5 bucks for your time per bag..... now you have a price of 8-9 bucks.  Does that help you?  Of course that is just a suggestion.  A starting point.  There is also a thing called perceived value.... I read a good article on it some time back.  For example.... the item you are doing, have you seen it stores or for sale elsewhere?  If so, what are those prices like?  If they are in the 15 dollar range why would you want to be in the 8 dollar range?

 

I think the reason they are asking so many questions is it is not always about how much something cost and how much to mark it up.  If that was the case there would be an easy formula and answer.  You always want to try and maximize your profits on every job!

[Frank Buckley 20]

If it helps I'm doing the same bag (B150) embroidered 25 bags, one side at $20.00 each.

[xpaperman 719]

I think 4 bucks is to low.  First, don't forget you can mark up your costs.  For example, if something cost's you a dollar.... I don't figure a dollar into my quote.  First I mark it up to allow for growth and mistakes.  For example, depending on the item, I mark up anywhere from 35 to 100 percent.  So, if the bag is 1.50 (with say a 50% markup....75 cents) Now start with a cost of 2.25 per bag plus the cost of vinyl (50 cents at 50% is 25 for a total of 75 cents) now your at 3 bucks per bag.  Now toss in your labor (say about 5 bucks a bag) and we are back at about 8 bucks. 

 

Just something to think about.  Don't for get to "markup" you cost's!  This over time will allow you to buy things in higher quantity's to get cheaper pricing.  For example buying that large roll of HTV to print your cost down instead of buying that 10 yard roll.

 

Hope this helps

[jfought 120]

ok you better sample press on of them bags first. the first 2 on the left and the last one on the right will melt and buckle. I screen print these and have melted a few at lower temptures

[skarekrow 1,842]

QUOTE> "what do you mean skarekrow price fixing scheme?"

AND

"  .... and if you are at home you are NOT doing yourself a better deal charging less than

the store front guy down the street you are actually killing the industry with the lower price."

 

It's called competition... In this case, based on price with lower overhead playing a part in winning the sale.

So, if I have and old car to sell, I should sell it for near as much as a new one cause they both just get you from A to B?

Of course not... and I understand perceived value, too. But the 2 cars are practically 'apples & oranges'.

Same with a store front with lots of expensive equipment campared to a home based biz.

 

 

QUOTE> "jfought nailed it, you better be in business to make as much money as you possibly can.

If not then you're just doing it as a hobby and shouldn't be taking paying jobs because you're just ruining the industry."

AND

"Doesn't matter what you have in it it's what you can get out of it."

 

Really? Re-read what you wrote, Buckley. 

I have been in business 28 years and learned thet more often, business survival has more to do with

the customer being pleased and telling others than you taking them for as much as you can.

Your business model is what consumers want to avoid.

That mentality is what's ruining this, and other industries.

[Frank Buckley 20]

QUOTE> "what do you mean skarekrow price fixing scheme?"

AND

"  .... and if you are at home you are NOT doing yourself a better deal charging less than

the store front guy down the street you are actually killing the industry with the lower price."

 

It's called competition... In this case, based on price with lower overhead playing a part in winning the sale.

So, if I have and old car to sell, I should sell it for near as much as a new one cause they both just get you from A to B?

Of course not... and I understand perceived value, too. But the 2 cars are practically 'apples & oranges'.

Same with a store front with lots of expensive equipment campared to a home based biz.

 

 

QUOTE> "jfought nailed it, you better be in business to make as much money as you possibly can.

If not then you're just doing it as a hobby and shouldn't be taking paying jobs because you're just ruining the industry."

AND

"Doesn't matter what you have in it it's what you can get out of it."

 

Really? Re-read what you wrote, Buckley. 

I have been in business 28 years and learned thet more often, business survival has more to do with

the customer being pleased and telling others than you taking them for as much as you can.

Your business model is what consumers want to avoid.

That mentality is what's ruining this, and other industries.

I'm glad you have been in business for 28 years, yet you are constantly on a manufacturer message board with over 1100 posts?  I'd say your business probably isn't thriving like it should be