What Most Businesses Won't Educate You About .

Have you ever gone to buy something then looked at the price & said to yourself NO WAY! how is that even possible? Yeah me too.

 Part of being a business owner is being 100% transparent. Within this article I’d like to explain what most businesses are afraid of letting you or their competitors know and that’s how we price our products. Also where the money gets distributed when you purchase one of our items.

If you look on our website you will see a range of products priced from around $30 - $115. Now an item that costs $30 is obviously going to be much cheaper to manufacture than an item that costs over $100 but why is that?

 It comes down to the process of printing the design and how many prints/labels are added to the garment. It can also be determined by the type of fabric or if accessories like zips are added to the garment and so forth.

 I will use the most simplest of items, our Premium blank tees as an example on how we price pretty much every product we have ever made.

We start with...

The cost to make the product $15.00 that includes making/purchasing the garment and any labelling costs. 100% manufacturing cost to us.

We then mark that product up 100% to give a sale price of $30.00

That leaves us with a 50% margin and $15.00 profit. 

That sale price covers the $15.00 it cost to make and the remaining $15.00 profit covers but not subject to the following business expenses.

• Business tax
• GST
• marketing of the product
• Website running costs
• Any subscription based software
• Future drops & growth of the business

 So as you can see the expenses start adding up and doesn’t really leave much within the business. This type of method requires being aware and diligent in what areas you are putting your money as cashflow is king in tough times.

Why we don’t mark up much more than 100% and try make the biggest profit possible is because we'll out price ourselves out of the market. Our cost prices are a lot higher than other brands that produce in bulk therefore they are able to markup to around 300% which turn bigger profits.

 Our prices stay pretty consistent across the site. If you see a $40 T-shirt it will usually have a print on 1 side. A $50 T-shirt will have graphics front and back with a Supacolour print process. Any T-shirt over $50 will be a high quality garment that has gone through a multiple colour screen print where the manufacturing costs start adding up. Same goes for any other garment.

Needless to say we have stuck by this process for the last 6 years and it has worked for us and allowed us to grow in a way were we can sustain our business.

So next time you buy from us you will now have all the information needed to make that educated purchase.