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All you ever wanted to know about Print Pricing

The printing world has come a very long way. With the advent of the digital press, and on demand printing, there is plenty of confusion. The standard in the print world is always up for argument. The standard says as a manufacturer, “We are allowed to produce up to 10% overs for any order, and bill you for the overs”. If we produce less than the ordered amount, we will bill you appropriately a reduced rate. At On Demand Press, we understand that if you order 500 envelopes, We will do our absolute best to deliver 500 envelopes. If we produce more, they are yours. If we produce less, we will let you know, and either figure out a way to get you the quantity specified, or decrease the cost of your project. We will not bill you for overs unless we discuss it first. As for overall pricing structures, when you are talking about “Commercial” printing, using a production press, there is a cost associated with that. There is usually a set up cost (pre-press work, plate production, print set up). For demonstration purposes, lets say that that cost to start your order is $500.00. That consists of the pre-press time, plate cost, hourly rate (lets say 1 hour) and make ready. (Make Ready is putting your project on the press, and getting all the colors to the appropriate density) and making sure everything lines up.  Now lets say you are ordering 500 Presentation folders. The paper for the presentation folders also has a cost associated with it. Lets add $100 to the cost of your folders for the printing. Our 500 presentation folders now cost us $600.00 for the printing aspect. When printing presentation folders, they have another step in the process: We must convert them from flat sheets of paper to the finished folded piece. That finishing for the 500 pocket folders adds an additional $250 to the cost of your project. Our total now for 500 pocket folders is $850.00 Well, we already have the press time for the 1 hour, up above, so we have no additional press cost. Our additional paper cost to increase the total to 1000 would add another $100.00.  The cost to convert them ($250) also has set-up fees so the cost per piece would decrease. The new cost to produce 1000 instead of 500 would be$375 for 100 instead of the 250.00. Our new cost for the 1000 presentation foldes  is: ($600 +200 (paper) + $350 for the converting. Our toal cost would be: $1150. ($1.15 per folder) the difference is: 500 pocket folders cost $1.70 each, whereas the cost of 1000 is only $1.15 per folder. Presses usually run at arond 7000 impressions per hour (thats a lot of pocket folders) The final cost difference is : Quantity: Total Price Total cost per unit 500 $850 $ 1.70 each 1000 $1150 $1.15 each. As you can see, for only $300 more, you double the quantity. With Commercial print, there is the standard pricing structure: Low quantity: Higher cost per piece: Higher the quantity, lower the cost per piece. When you bring the Digital world into the equation, the best part is the speed of delivery! The only issue is that there is no decrease in cost as the quantity increases. The benefit to the On Demand Printing is time to market. It is much quicker to print 500 brochures “On Demand” than printing them “commercially” When you start to address direct mail, then On Demand Printing could very well be the best choice. If you are hunting for customers, and trying to catch anyone you can, then “One to Many” is a great solution. If you have prospects already, then the best approach to get customers is the “One to One” marketing approach. They are personalized, and repetitive. If you get your name infront of a prospect 6-8 times in a 3-5 month period, you are more likely to build some “Brand Awareness” which will help when you start calling them. You can learn more about direct mail on the “Direct Mail” page
On Demand Press, LLC