Sublimation Business Success Stories
The following collection is a few of our ad specialty
and SOHO customer success stories. While each company and individual
is different, most had two main reasons to start offering their
own laser printed sublimation products.
First was the low cost, high profit method of
increasing sales and profit, which didn't require a big investment.
Second, was a desire for more control and faster service.
Offering sublimated products was the method they
chose to get brand new customers, and to profitably sell more
to their existing customers.
While certain specifics and identities are confidential,
all have agreed to us telling their success story and we thank
them. The world is an awfully big planet and there is plenty
of room for everyone to enjoy "Success."
Georgia
Working in her spare time, a small office/home
office entrepreneur, has made many thousands of dollars selling
just one item - magnetic note holders! Her biggest seller is
a 1.25" x 3.25" gold-tone aluminum plate attractively bagged
in a clear 2x4 poly-bag. It is magnetic because she sticks a
.75 x 1 magnetic strip on the back of the plate. Her minimum
order is 25 and she brings her price down to $1.25 each, if
you buy a 100. She gives customers up to 5 lines of lettering
and 1 logo, with one line change allowed.
She sells them to companies for trade shows, schools for special
events, non-profits as memento's and to individuals for family
reunions. She also sells to dozens of churches that use them
as "Homecoming" mementos and for special ministries in their
church.
She has so many people calling her now that she has been able
to stop making sales calls herself. Every one of those thousands
of note holders has her little sticker on the back. Marketing
under the name "MagnaNotes," her slogan is, "A message always
seen, is never forgotten."
Just for the fun of it, when we heard her story, we calculated
her material costs. We calculated the cost of the magnetic strip,
the plastic bag, the metal, the toner to print the metal, and
even threw in a penny for the cost of the paper. Her material
costs per note holder - less than a dime. Wow!
Michigan
Last year, an ad specialty distributor decide
that he was missing profit and sales by only offering the expensive
plaques offered by most asi suppliers. He didn't want to become
a trophy company. He just wanted the ability to provide faster
service and still make a good profit from selling less expensive
awards to his customers.
After listening to him explain his needs, we
made specific suggestions on how to get started, and then helped
him get set up.
He reported that in 1999 while he still sold
about $18,000 in high-end lasered and etched plate plaques he
actually made a lot more money off the $14,000 in sublimated
plaques that he produced himself.
He also said that he was getting an unexpected
bonus in his regular ASI sales. Many of his "annual sales" order
customers had started ordering sublimated desk name blocks and
pin back badges. Not only was he making a profit from that,
but also the increased contact from delivering the small sublimated
orders, gave him more opportunities to sell other things.
The story sounds very believable to us. Any good
professional salesperson knows that while people do like to
"buy," they usually hate to be "sold." Anything that increases
contact and conversation gives the true pro an opportunity to
sell, without looking like it.
Texas
We helped set up a part-time SOHO entrepreneur
who has a full-time job with a phone service company. He had
reached an agreement with them to supply all of their plaque
awards, badges, desk nameplates and many other items. Later
this year, he plans on approaching other divisions of the company,
with the same offer. His eventual goal is to go into business
for himself, fulltime.
This is not the first time we have heard a similar story. While
a person would have to be careful there was no appearance of
a conflict of interest, many of you reading this story might
have similar opportunities.
Minnesota
A new cartridge customer of ours has been selling
sublimated products on the web for quite some time. She told
us that she originally started off just selling ad specialties
that other companies produced. She added her own sublimated
products after a friend convinced her to give it a try.
She says that now, although her "traditional" ad specialty sales
dollars are still higher than her sublimation sales, the high
margins on sublimation make the profits equal. We know she is
not exaggerating, because there are not many things that you
can sell, with the typical sublimation margins of 400% to 1,000%.
Indiana
A "traditional" ad specialty company, with four
sales reps, started doing their own full color inkjet sublimation
on short-run T-shirt orders. They called us when they found
out they couldn't print full color on metal and get a nice,
cost effective look. We told them that the strong point of our
cartridges was the beautiful, inexpensive job it did on sublimation
metal, but our laser printer sublimation cartridges print single
color, not full color.
They weren't happy with the idea of only single
colors because they thought that the market was in full color
but said they would do some research.
Before they hung up, we suggested they consider
these facts in their research:
Several months later they called us and said
they want to get started. We helped them get the equipment they
needed, sent them a cartridge and helped them get set up, after
they got everything.
About four months after that, the owner called
to thank us and said that the profit of single color sublimated
products (using metal plates), the month before, had passed
the full color sales of mouse pads and T-shirts, and his sales
staff loved the competitive edge.
California
A printing and rubber stamp company, offering
ad specialties and high-end lasered products, added sublimation
to their product mix, after consulting with us. After seven
months, they told us they not only were enjoying very good sales
from sublimated products but had also seen an increase in sales
of their other services and products.
The owner said he was looking forward to the new
phone book coming out because he would have listings in five
new categories, that he thought would boost sales even more.
Just before he hung up, he exclaimed, "Boy, were you ever right
about increasing sales through cross selling!"
We thanked him for the compliment, but of course
that concept is not our idea. Related cross selling is already
a national trend because customers are demanding maximum convenience
and fast service. Smart retailers are cashing in on the demand.
Ad specialty companies are doing awards, banks
have branches in grocery stores, award companies are offering
vinyl banners, K-Marts are enlarging their grocery selections,
sign shops are jumping into sublimation and engraving, office
supply chains are selling everything from badges to signs and
desk name plates, and on and on.
Large or small, companies are doing this for
only one reason: it's profitable!
Florida
A Florida entrepreneur seems to have developed
a profitable "route" of kiosks, book, gift, and souvenir and
novelty shops that he wholesales thousands of plaques to, in
his area. He was already in the business when he started buying
sublimation cartridges from us, because of our price and quality.
The 5x7 plaques are done with black print on a
gold plate and are not personalized. Instead, he offers the
retail outlets any one of hundreds of quotes, messages and themes
that he already has laid out, in his computer.
Souvenir shops might want a few dozen plaques
with state theme messages, while a kiosk might prefer seasonal
messages for Mother's Day, Grandparent's Day, etc. Religious
bookstores buy plaques with bible verses and regular bookstores
usually buy motivational quote plaques.
He said he even does a brisk business with several
dozen convenience markets, located around area schools. Each
time a school has a game with a big rival he puts "booster message"
type plaques in markets around BOTH schools. The markets (and
he) love it, because they usually sell out.
Working out of his home, the arithmetic of his
situation is very profitable. His overhead is a few bucks for
gas. The plaques take about 90 seconds each to produce, cost
him about 60 cents each to produce and wholesale for $2.95.
Since he can get tape, metal and plaque boards in one day he
usually does not even carry more than $200 in basic inventory.
While we do not know the specifics, we do know
he supplies other sublimated products to local businesses and
organizations. To us, he epitomizes the entrepreneurial spirit
of the successful independent businessperson: work hard; put
the profits from your hard work in your own pocket.
We have heard many other success stories but
these should be enough to illustrate our two main points. First,
the return on investment is quite high in the laser sublimation
business. Second, the extraordinary diversification of opportunity
made possible by the process is very broad and profitable indeed.
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