Xpres Price Increase 2022 by 10% to 15%

[pw66]

Getting very worrying, with the pound worth only about $1.13. There are going to be some massive price rises over the next few months. I am getting sick of repricing everything in the showroom and on the website.

[bubbleimages]

Yes, that along with rent increases and energy, really sad to see that we will lose a few over the next year or so.

[pw66]

Yes, that along with rent increases and energy, really sad to see that we will lose a few over the next year or so.

I think it will hurt the small businesses the most - those of us who have to buy through the distributor network. If you are big enough to import your own container of mugs or open direct accounts with the big garment brands then you will have a big price advantage to play with.

[Justin]

Xpres aren't currently allowing XP5013 to be purchased through website, you have to call up! I've asked why this is and they don't seem to know!

[socialgiraffe]

Cost hikes are happening everywhere. This time it cannot be blamed on Brexit, in Germany and the rest of Europe we have our price rises too. Cost of containers , transport etc.
I pass these price rises onto my customers. If I dont I will die.

Actually part of it can The £ is significantly weaker now than it was pre 2016. Obviously not the only reason, but if my memory serves me right then the pound has dropped around 25% on global markets since you know what

I have put my prices up three times this year already, if customers don't like it then I tell them not to place an order. For the most part they are very understanding but as I think I will most likely put them up at least another two times within the next 6-8 months I am not sure the understandning will last. Its actually now getting very close to me moving the whole production facility off shore and importing.

Ironically, each time I put the prices up I end up with more orders for higher volumes. Makes me think I was probably too cheap...

[socialgiraffe]

I think it will hurt the small businesses the most - those of us who have to buy through the distributor network. If you are big enough to import your own container of mugs or open direct accounts with the big garment brands then you will have a big price advantage to play with.

I am on the opposite of that opinion as I think small businesses will thrive. One of my favourite sayings from the world of science is "adapt or die". As a small business I can make decisions, drop/increase prices, add/remove products immediately, the bigger companies can not do that. I think to weather the impending storm you are going to need to be creative and be able to change as and when the market demands, a small business can. The customers and orders are all still there and they will most lilely be more focussed on price which a small business can beat the larger firms on.

No idea about the garment business though as all my garment printing is personalised which the "big boys" don't like.

[pw66]

I am on the opposite of that opinion as I think small businesses will thrive. One of my favourite sayings from the world of science is "adapt or die". As a small business I can make decisions, drop/increase prices, add/remove products immediately, the bigger companies can not do that. I think to weather the impending storm you are going to need to be creative and be able to change as and when the market demands, a small business can. The customers and orders are all still there and they will most lilely be more focussed on price which a small business can beat the larger firms on.

No idea about the garment business though as all my garment printing is personalised which the "big boys" don't like.

The problem I am finding is that companies that are large enough to open direct accounts with the major brands - Fruit of the Loom, Result, Gildan etc - can afford to sell the blank garment for less than I am paying from the usual Pencarrie/Ralawise/BTC cartel. Even trying to get close to their prices eats into the printing profit.

Discounts given by the brands must be substantial. Some items are retailed on Amazon with free delivery for the same price I am paying.

Small garment decorators are going to be priced out. Last time I spoke to Fruit of the Loom about a direct account they wanted me to spend £100k a year with a £10k opening order.

[socialgiraffe]

The problem I am finding is that companies that are large enough to open direct accounts with the major brands - Fruit of the Loom, Result, Gildan etc - can afford to sell the blank garment for less than I am paying from the usual Pencarrie/Ralawise/BTC cartel. Even trying to get close to their prices eats into the printing profit.

Discounts given by the brands must be substantial. Some items are retailed on Amazon with free delivery for the same price I am paying.

Small garment decorators are going to be priced out. Last time I spoke to Fruit of the Loom about a direct account they wanted me to spend £100k a year with a £10k opening order.

I have seen some of the companies you talk about (for me it was ebay) and I really do not know how they make a profit, it literally must be pennies per transaction. When I next speak to one of my customers who purchase in excess of 5 million plus garments per year I will ask them how much they are paying for blank and printed garments.

Can I presume you get carton rate on everything? If not I would definately put the question in to your rep

[pw66]

Can I presume you get carton rate on everything? If not I would definately put the question in to your rep

I am getting carton rates.
Any fool can give it away, but presumably if a company is mainly trading on Ebay or Amazon they are just 'shifting boxes' and are happy to work for 10%. I have a friend who sells branded fishing tackle on Amazon - he works on a 25% margin and after fees earns 11% - before tax. ( 'Big time Charlie' syndrome. He doesn't appear to be conspicuously wealthy but likes the feeling he gets when showing off).

I don't have any problem competing with t-shirts and tech fabric because I buy direct from the brands - often from Europe. Even with 12% import duty and customs fees on goods from the EU a performance fabric t-shirt cost £1 less than the equivalent garment from the UK cartel.

The biggest problem is workwear, hi-vis and hoodies. Most of my local tradesmen have already googled the prices (sometimes in the showroom!) and they are quoting £20 for a jacket that costs me £18. I am happy enough to earn 10% on high volume blank t-shirts because I earn well on the printing, but on to earn £20 on 10 blank jackets doesn't cover my time, wasteage or the cost of putting my money up front.

Back to the point of the thread - are things going to get much worse? The £ is down to $1.06 as I right this. By the time you account for interbank exchange fees that is virtually parity!

[froggy]

I think things will get tougher, a few will close, they would have closed anyway the current situation just speeds up the process. I still maintain that if you put the right image/quote on the right blank and sell at a price your target customer is willing to pay you will eventually thrive. Adapting to trends faster than your competitors should give you an edge. If you have good cash flow then the right stock at the right price is better than money in the bank.