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This week's survey
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(These survey questions are sent in by our readers. Please spend a minute to give your answer to this week's survey as one or possibly more of your industry peers thinks this question is important and wishes to see your point of view as well as others in the industry.)
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Last week's survey results...
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- Downward price pressure is a fact of life in the business. As more people get into the game, they need to keep their machines & staff busy. In order to be competitive, they are looking for the lowest price on their inputs. Price, not quality becomes the primary driver of purchasing decisions. The result is sometimes products used that aren't fit for purpose, or used the wrong way & before you know it, graphics & signs are failing. The damage is done. If you are in this vicious price war you are in trouble. I have seen first hand these low cost operators not being able to pay their bills - there's simply no profit.
Better to concentrate on quality, not volume - stay close to your customers & focus on delivering a quality product at high-levels of customer satisfaction.
- Yes, you kinda get to know when a caller is just phoning around for the best price. It is mostly not worth the while doing a quote in those instances.
- Yes. They are probably trying to "buy" market share for excess capacity.
- A client of mine the other day came to me & said "I saw One Way Vision graphics for my cars rear window for $55... is that a good deal?". ARE YOU SERIOUS?!!!
I don't think these "cowboys" are doing any of us a favour. There is simply no need for charging such a low price. Even double that is still a deal.
- Thats a pretty stupid question as anyone who's been in business for 10 years or more would know that its not even worth quoting some jobs as others will do it way too cheaply. I don't know how they do it - big operators go bankrupt. The small ones who knows.
- Of course, arn't we all!!
- A few times lately we have been told by customers that they had a cheaper price elsewhere. Each time we have pointed out that they should compare details on the quote to ensure that the same stock etc was being quoted on and if it was then go for it it as you are getting a great price - we have never offered to match the price. Each time we have had an order from them within a few days. Each of these customers had come to us through word of mouth so that may be the reason they have gone with us in the end too. I'm not interested in opening my doors to work for nothing so I am never going to compete with the ones who are happy to work below cost - I think they must do it to try and get the first order and maybe then up the prices once they have the customer or drive others out of business then up the prices - just like the big supermarkets.
- Yes I am. It certainly kills the industry and makes everyone's life difficult.
What is worse is people who get into the industry without having any knowledge or experience in the business.
- Yes. Bulk imported inks. Cheap imported substrates. "Borrowed" designs. If you are affected, in your quote point out how your product is superior. The expression is apples with apples. Clients don't know the difference unless you tell them!
(As a publishing practice to protect ourselves from any potential liability, company and individual names that are referred to negatively in any of these comments are removed.
In addition we reserve the right to remove comments that are blatant advertising for one product or company)
Please spend a minute to give your answer to this week's survey as one or possibly more of your industry peers thinks this question is important and wishes to see your point of view as well as others in the industry.
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Give yourself some mental exercise and keep your brain fit
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This newsletter will take a break over December and January.
The last newsletter for 2016 will be on the 14th December and we will recommence on the January 11th.
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2nd Hand Machinery/Auctions. -----------------------------
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(WA, Perth) Densitometer wanted (Posted 2nd December 2016 (WA, Bibra Lake) Seal 62 Plus Laminator - $1600 (Posted 30th November 2016) (WA, Perth) L25500 HP Latex 1520mm wide (Posted 28th November 2016) (WA, Perth) Ezy Taper laminating/sign mounting good condition. (Posted 21st November 2016) (WA, Perth) Millenium Sublimation badge & ID card printer. (Posted 21st November 2016) (WA, Perth) Printing/brokerage wanted (Posted 9th November 2016) (WA, Welshpool) Summa dc3 thermal print cut (Posted 2nd November 2016) WA, Perth) Canon iPF 6400S Ex demo unit (Posted 5th October 2016) (WA, Rockingham) Cold laminator Easymount S1600C - Model no EM-S1600C (Posted 27th September 2016) (WA, Osborne Park) HP L2550 Latex printer (Posted 21st September 2016)
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Businesses for sale/wanted
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Smile: It's only Monday!
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Without a parachute - all the way!!! |
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