Make your profit question

Discussion in 'General Discussion' started by aleksandar, Mar 18, 2013.

  1. aleksandar
    aleksandar Well-Known Member
    Hi,

    I'm writing to hear your opinion on that:

    Printing costs for my product is 7 EUROS, I put it in my shop with mark up of 20% (8,40 EUROS)- the one suggested by shapeways. The client has to pay 8,40 EUROS + shipping, which is 7,24 EUROS for France thanks to ups.

    So, UPS caches +100% and me: 20% and product arrives to my client on 15,64 EUROS

    If I break down:

    ME: cconcept+design+modeling+photography - 1,4 Euros (brutt)
    SHAPEWAYS: producin+logistic - 7 Euros
    UPS: shipping - 7,24 Euros

    Isn't it the solution in that case to order some amount on myself, to store them at home and ship at reasonable prices? At least for Europe I can beat up UPS on price, furthermore 10 days of wait for production will be saved on the client's side... There are many CMS store templates worldwide...

    I will be thankful to know how would you deal in such case
    Cheers!
     
  2. bartv
    bartv New Member
    Hi addk2,

    you're mistaking revenue for profit though. Both UPS and Shapeways incur significant cost to ship or produce your model. I obviously can't share our margins, but I wouldn't be surprised if you're still the one that's making the most money on the project ;)

    Of course, you can buy in bulk and do the shipping yourself - there are plenty of shop owners who do that. The question you have to ask yourself though is how much you're willing to invest in your stock and what your risks are if you can't sell it. The beauty of 'on demand' production with Shapeways is that you have zero stock and zero risk!

    Bart
     
  3. aleksandar
    aleksandar Well-Known Member
    Thanks Bart,

    I'm happy with shapeways, and the comparison I made was simply to show that in my scenario and every other case where product is rather cheap- the truck is the absolute winner (x10)

    But anyway I understand you. Thanks again