Pricing by Competition

Sun, 26 Jul 2009 05:20:04 -0400

Pricing by Competition. Using the prices charged by competing printers as a basis for estimating is fairly common in the printing industry. Such information is available from many sources-from published price lists, from customers who are checking around for the best price on their job, from supply salespeople, from former emplyees of that business, or perhaps from table talk at a local association meeting. Once the information is obatined, it may be used to adjust or establish a price for a job under consideration. Two major problems exist when pricing by competition. First, it is exceptionally difficult to verify if the obtained prices are accurate for the described product and quantity. How can the accuracy be checked? Second, there may be little, if any, resemblance between the companies comparing prices. Each company may have entirely different types of equipment, different production techniques, and different types of personnel with verying levels of experiece. There may also the tremendously different accounting, costing, and estimating procedures. if the competitors have very little in common, then costs and prices will tend to fluctuate signficantly. **End Summary** Topics: printing price]]> booklet printing]]>]]> About the Author: ]]> Booklet Printing

Additional Methods used to Estimate Printing

Sun, 28 Jun 2009 00:00:00 -0400

The following eight procedures are used to estimate printing in addition to or in place of the described cost-estimating procedure. The most significant difference between these techniques and cost estimating is that each is based on the selling price of the job. We define selling price as the total dollar amount the customer will pay when the job is completed. It is represented by the sum of all manufacturing, material, and overhead costs, plus profit. Price lists. Estimaing from price lists is very common when the product line of the printing company is standardized. For example, many fast print businesses, offering standard sizes of prices for the array of products they offer. Because the work is standardized, it is much faster to utilize price lists than to cost estimate each job individually. Customers also may use the price list to determine the price of the work they are contemplating prior to contact with the business. Large printing companies that offer standardized products, such as labels or business forms, normally develop a price list book that covers literally all products they produce. This book is carried by each sales representative, who has been trained in its use. **End Summary** Topics: printing cost]]>]]> About the Author: ]]> Booklet Printing - low cost Color Printing Service Company

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Pricing by Competition

Additional Methods used to Estimate Printing