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et tu local screenprinter?

signgal

New Member
So, i just found out my really good local wholesale screenprinter closed their business and reopened as a website based one price sign shop *sighs deeply* "Yeah, we lowered our prices to be competitive in the internet market and they are even lower than when we were wholesale." :frustrated:
 

Gino

Premium Subscriber
So, i just found out my really good local wholesale screenprinter closed their business and reopened as a website based one price sign shop *sighs deeply* "Yeah, we lowered our prices to be competitive in the internet market and they are even lower than when we were wholesale." :frustrated:


Does that mean no matter what you buy.... everything is the same price ??

Sounds like a Dollar Store. I'll take four shocards and two 4' 9' double sided sandblasted redwood signs. That should come out to $37.56 plus tax. :cool1:
 

FatCat

New Member
Yup, just had a similar scenario happen here. Now they're selling yard signs to ANYONE for the same or less than what they were charging wholesale last year. Not going to quote pricing but I could barely buy the coro and stakes for what they're charging to print them.

*I understand times are tough, and for the moment they've found a way to continue to exist. In reality all they've done is temporarily gain a larger customer base while permanently lowering the perceived value of their product and making less profit overall.
 

supersignmart

New Member
wholesale?

Just curious, where they wholesale only before they started the internet business. We are wholesale only and I can't tell you how many customers we've gotten because our customer couldn't trust their vendor anymore. Vendors who sell retail and wholesale should never be trusted.
 

Circleville Signs

New Member
Just curious, where they wholesale only before they started the internet business. We are wholesale only and I can't tell you how many customers we've gotten because our customer couldn't trust their vendor anymore. Vendors who sell retail and wholesale should never be trusted.


I'm gonna have to respectfully disagree with you on this one. Vendors who sell retail and wholesale AT THE SAME PRICE should never be trusted.

We are a retail sign shop. We also do a decent amount of business (probably 20-30% of our overall revenue) in wholesale work to local (for the most part in a 5 county radius) sign shops who have no in-house printing capacity.

I pretty much resent the implication that I am a dirtbag because I offer other sign shops a needed service. I NEVER go after their customers. I ALWAYS make sure they know what we charge retail for the products they buy from us, and have NEVER had a problem.

Are there less than scrupulous people out there? Sure. Are we all that way? Nope. And saying we are in order to make yourself look better is a pretty underhanded way of promoting yourself.
 

Malkin

New Member
+1

Same as Circleville here, although a lower percentage of overall sales. We also always make sure that the wholesale customers know our suggested retail price as well.

The very idea that we would go after someone else's customers is appalling, although I have no doubt that somebody (not us), somewhere (not here), would.
 

Mosh

New Member
We sell stuff to other area shops. They get the same price as a walk-in customer. The way they can make money is in the design work. Why should I give a person a discount for being my competition? Never could figure that out.
Our shop does not sell, embroidery, so if I go to the shop down the street that does I do think they will going to sell me stuff at a discount, NO! The way I see it, if you can't produce it yourself, you are going to be at the mercy of those who can. Nothing wrong with that.

Example: Local t-shirt shop using only transfers bids job. We also bid job. Well I know she has to buy the transfers. So since we print in-house, we price the shirts for what she would pay for the transfers wholesale plus price she has to pay for the shirts. Our selling price is her production cost. No way she can do it for her cost so she loses out again. That, my friends, is how business works!
 

Circleville Signs

New Member
Mosh,

Not all of us are cut-throat bastards like you :) LOL

Wholesale has been very good for us. Like it or not, there are many wholesale only companies out there (Merritt, Typestries, Indy-Imaging, DPS, etc.) and if my competition doesn't have in-house printing capabilities, then they are going to get wholesale pricing from someone - I figure if they are close enough to come pick stuff up from me, or for me to deliver to them, then why shouldn't I try to not only help my competition out, but to also get that piece of the pie. There is no way that I have knowledge of every single job that has potential to happen in a 6 county area. Basically, our wholesale clients are an extended sales force for us - with the added advantage that all we have to do is take a file and load it into the rip. No design work, etc.

Making the decision to offer wholesale to other shops gives us a piece of MUCH MORE of the overall business that is taking place in our area while offering our fellow sign-shop owners a needed service. It's a win-win.
 

Gino

Premium Subscriber
Don't know how to exactly answer the OP's original question, but this stuff happens all the time….. and you need to get right back up and look at your business model again and re-group.


As this thread takes a side step, I have to agree with others here about wholesaling.......

We wholesale to a great many local and national accounts that are sign shops. The local guys know they are going to get a good price from us, but more than that… we’re in their backyard and they can control quality far better with someone close and they know. When we bid a job against someone that we quoted for wholesaling [which happens quite often]… we work even closer with them.

Our retail prices are what they are and our wholesale prices are much better based on volume. Our 101 prices are even better yet for you guys.

I have an old rule…. I’d rather have 90% of something, then 100% of nothing. We are fully capable of meeting anyone’s needs for just about any circumstances and we can also help some shops expand their capabilities. We have no problems helping our neighbors…. if they don’t screw with us.

I stopped in a local shop last week one day to offer our ‘new’ flatbed capabilities to a somewhat new guy in the area. He has nothing I need, but he was extremely interested in how we can help him. After discussing our capabilities and a pricing structure…. He asked my….. why are you offering me this ?? I'm your competition.

I merely said…. to help you and myself. The more you sell and use me… the bigger my customer base becomes.


It all boils down to simple mathematics. 100% - - - - 90%.

What do you want ?? Will you work fairly ?? Can you do it ?? With whom do you align yourself to get the job done…. effectively both cost~wise and quality~wise ??
 
I really am not a fan in most instances of PRICE being the focus of your marketing plan...it makes it very difficult to make a profit. In addition you have no customer loyalty versus a company that wins their clients based on design skills, the ability to create advertising that generates results for your clients, top notch service, etc etc whatever makes you stand out from your competition. In addition when they find someone cheaper you've lost them.
 

signgal

New Member
You're right FatCat! I just can't understand the reasoning and I told her I wouldn't be doing business with her anymore, no matter how low her prices are. They've just mapped out their ultimate demise. If they couldn't market and gain enough wholesale business (there's plenty here and yes, they were wholesale only), I doubt very seriously they will be able to compete in the web realm. Not to mention dealing with retail customers. Good luck to them!
 

supersignmart

New Member
I apologize

I'm very sorry if I offended anyone (circleville signs). Although I guess it sounded like a self promo and I guess I did say all couldn't be trusted, what I was trying to say was that as a wholesale only, we never sell retail, I've gotten several customers from the exact situation that signgal is facing. As times get harder there appears to be more of this happening. Not only does this affect the shops buying from these wholesale/retail shops it also affects us the wholesale only shops. One of the biggest hurdles we face is having our customers believe we will never go after their customers. I'm always saddened when I hear of a shop doing this.
 

Gino

Premium Subscriber
supersign......

I can tell you for a fact, I've had a least a dozen or more wholesalers/subs go behind my back and contact my customers directly over they years... and some recently.

If it was competition, that's a different story, but I had one customer contact me one time to get off his back and I had no idea what he was talking about. After calming him down, he told me how I was calling him and using a different trade name to be urging him every few weeks to do more work... and for less money.

You see, many wholesalers have all the contact information needed to go to your customer... act as if they are acting on your behalf by offering discounts if they buy this or that in a certain time frame. Sure, they make a little more money and you're cut out of the picture.

Recently, [like two months ago], I had a a wholesaler tell me if I didn't cooperate with him on a particular matter, he was going to go to my customer and offer him prices I couldn't touch. He threatened to go after my customer on his own. He did a job for me and he did it wrong. He demanded payment or he would go to my customer. He actually told me that. I had to pay for the bad project and then for him to do it over. It was clearly his mistake, but he held the upper hand.

Some years ago, I had a wholesaler drop some work off at a customer for me. He said it was not out of his way and he'd do me a favor. I agreed. Called this customer back to find out where there next order was and they told me that they went with the nice guy I sent who gave them even better pricing.

Had another guy handing out business cards and brochures after doing jobs for me. Seems this guy thought his niche was finding out your customers and then stopping in on them and offering them competitive pricing since they knew what was already going on.


Wholesalers have a pretty good chance of stealing clients away from everyone and acting on your behalf.... my butt. Their chances are excellent for doing this and they do it.

As a wholesaler, I never go after my customer's [sign shops]work and wholesaling falls into that area. I've had a sign shop's quoted customer call me for a quote already.... and I call them [the sign shop involved] immediately, discuss this and make a deal as to whomever gets the job, we will negotiate discounts then. I've witnesses and have been given too many lines of BS to fully trust a wholesaler, but there are some out there that go by the good book.

Some of these examples.... and others are why we brought more and more services in-house.... so we could control 'Quality Control' and stop our wholesalers from stealing from us.
 

signgal

New Member
Thanks for feelin' my pain! Now the other reliable wholesale screen printer in town is gonna be higher than them... WHOLESALE! What's to become of them? It's just absurd! I guess it will just be a waiting game until they go out of business and things will have to level out again but in the meantime... I think I'll go have a drink!
 
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