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Pricing for Added Value

Today’s print market is as competitive as ever and so it is essential that you understand how to use pricing to maximize your profits.

Tuesday, May 21, 2013

Today’s print market is as competitive as ever and so it is essential that you understand how to use pricing to maximize your profits. While the price you charge may never be as high as you would like it to be, you still want to be in control of your pricing process and ensure that it is being followed. In this article we’ll provide a methodology for reviewing your current book of business and provide some ideas for pricing print going forward.

The main idea is to look at your business in terms of the value you add. The key definitions are:

•       Sales = Cost of Materials + Added Value


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About Dave Erlandson

Dave Erlandson is General Manager of Caslon & Co. (www.caslon.net ) a firm that specializes in helping companies take advantage of the new business opportunities enabled by digital printing. One of Caslon's primary activities is to serve as the North American Affiliate for PODi, the Digital Print Initiative (www.podi.org ). PODi is a leading industry association focused on developing the market for digital printing through market education and standards activities.

Recent Articles from Dave Erlandson

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Recently I had the chance to attend HP’s Print Your Future event, held near the HP inkjet labs in San Diego. The event was hosted by HP’s IHPS division which makes the high speed continuous feed inkjet presses (T2xx, T3xx, T4xx series). I was able to tour the labs and see each of the three press models in operation. Read More

Pricing for Added Value

Today’s print market is as competitive as ever and so it is essential that you understand how to use pricing to maximize your profits. Read More

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Recently I was in Las Vegas for PODi’s AppForum. Our team arrived on the weekend prior to the conference, which was at the Planet Hollywood. It was Sunday and time for lunch so five of us headed down to casino area where the restaurants are scattered about. Looking for a casual, inexpensive and quick lunch we settled on Burgr, a new restaurant owned by Gordon Ramsay, the chef from the TV show Hell’s Kitchen. Read More