Want to lower the unit cost of your custom plant tags?

Let’s say, hypothetically, that the operating cost for an airline to fly a plane from LA to NY is $100,000. Let’s also assume there are 300 seats on the plane.

Now, if this is a sold out flight, each ticket will be $333.33. BUT, if only 100 of the seats are sold, the tickets now become $1,000 each. Regardless of how many tickets are sold, the bottom line is still $100,000 to operate this flight.

Plant tag press layouts work similarly.

Let’s say you have a custom branded hang tag that’s size will allow it to fit 20 different positions on a press sheet. If you have 20 different varieties, and you need 1,000 of each, the math works out perfectly. You have utilized each position and created an even, 20,000 tag run with no overs.

Now, suppose you have only 16 varieties but still have the same 20-up press sheet. At 1,000 per variety that only gives you 16,000 tags. But, your tag run is still 20,000 tags.

In other words, if this 20-up press run has a bottom dollar amount of $3,200, below is where you’ll see simple examples of the savings:

16,000 TAG PRESS RUN

Total print run cost $3,200 ÷ 16,000 tags = $0.20/per tag

20,000 TAG PRESS RUN

Total print run cost $3,200 ÷ 20,000 tags = $0.16/per tag

So, as you can see, you just saved 20% on the unit cost of your tags by slightly increasing your quantity without increasing the bottom dollar amount. Take advantage of the overs. It may be necessary to increase the quantities of a few of your more popular varieties, but in the long run, it will be worth it.

About the author: Bryan Bravenec is a Senior Account Executive at Horticultural Marketing & Printing. He services both horticultural accounts as well as commercial clients. Prior to his sales position, Bryan served as Director of Production for a lenticular printing company and has been in the graphic arts industry for over 19 years. Bryan currently services the Eastern US. You can reach Bryan at hortprinters@integracolor.com.

 

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2/26/2018 10:59 PM
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