Volume Frame Jobs

DaveK

True Grumbler
Joined
Feb 24, 2005
Posts
61
From
Southern Maryland
I have searched other threads to try to answer some questions before posting, but no success. I was just approached today by an embroidery shop in the area that sells prints in their shop, I was asked if I would be interested in framing them (12-24 at a time). I know, it doesn't seem like alot to most, but this will be my first volume job. I AM A ONE MAN SHOW right now. As far as pricing, do I figure materials, labor , profit for one then X by pieces? Also, what is the customary discount, IF any. I provide all of my current customers with 50% off on their fifth complete frame job. All comments appreciated. Thanks
 

Skippy the Bush Kangaroo

CGF II, Certified Grumble Framer Level 2
Joined
May 10, 2005
Posts
298
From
Australian Bush
When they talk in volume make sure that it will be volume. Many times you be approached by people who have an idea, talk about volume, but never get past the first two or three frames.

Make sure your prices include this and maybe even to the extent of giving a price for the first time , second time and then have your lowest price for every job after that.
 

DaveK

True Grumbler
Thread starter
Joined
Feb 24, 2005
Posts
61
From
Southern Maryland
Thanks for the tips OZ, I will definitely keep that in mind. What is a recommended starting percentage for discounts?
 

Puppyraiser

PFG, Picture Framing God
Joined
Jul 10, 1999
Posts
6,569
From
Maryland
Business
Howards retired
We have found over the years that we can deduct about 40% off regular retail if the customer does 10 or more of the same mat and moulding size at a time. You figure this by calculating 'from the bottom up'. Take your cost of chops (or length and time to chop), how many you can get out of each light of glass, each mat, each backing board. For instance, say the pieces are 11x14. We know that you can get 6 out of a piece of matboard, so divide your matboard wholesale price by 6 to get what each will cost. When you know what each package will cost you, then you can add on a labor and perhaps an overhead calculation (I remove overhead from the occasional quantity job looking at it as 'gravy') Then submit a WRITTEN proposal listing one-at-a-time price, small quantity -at-a-time price and large quantity-at-a-time price. That way there is no misunderstanding, and you won't be suckered as I was once with the old 'gonna give you lots, just do these 3 first' song and dance.
 

wpfay

Comfort Badger
Forum Support Team
Forum Donor
Joined
Sep 1, 2000
Posts
14,843
From
Jacksonville Beach, FL USA
Business
Sunshine Frames
Don't forget to negotiate a better price on your supplies for the project. You might be able to get box pricing (30-50% off) on the moulding, and vendors will usually give you a break on mat/mount boards if you buy them by the box.

Look where your price breaks are in purchasing to help determine where you can safely offer discounting.

You might want to do a prototype to figure time spent and make sure the design is acceptable. Also make sure you leave a solid paper trail to CYA. Proposal/Estimate, Purchase Order, Invoicing, etc.

Get a down payment, at least on the initial order, and know when to say "no".

One thing I'm not clear on. Do they want these all framed alike, or are you going to be framing each to a different design. The former has potential for discounting, the latter doesn't offer much in the way of time or $ savings to you and shouldn't be discounted much, if any.
 

Jerry Ervin

PFG, Picture Framing God
Joined
Jul 13, 2001
Posts
8,117
From
North Carolina ... The Picture Frame Capital of th
The first question I have for volume customers is who picks the frame and mat combinations. If they are looking for "as cheap as possible" I will give them a completed price based on size and volume. Then it is up to me to make money or not on the deal.

Buy 3 or 4 boxes of moulding so that you can vary the frames. You have a rainbow of mat colors. Smaller pieces can be cut out of mat scraps.

Before proceeding ask yourself why you are doing this. If the answer is to make money, don't forget that fact.
 

ERIC

SGF, Supreme Grumble Framer
Joined
Dec 31, 2001
Posts
1,852
From
New York's Hudson River Valley
Business
Newburgh Mercantile
BUY BETTER!

You don't always have to buy volume in order to get some breaks.

I buy 3-of-a-kind joins from Decor in NY. They take 50% off the join price per ft. That means I can 2-2.5 times the cost and have a retail price that is pretty cheap.

The nice thing about this is it allows you to offer 3,4,5 different designs and still get deals from the vendors.

Ask your reps!!
thumbsup.gif
 

HB

SGF, Supreme Grumble Framer
Joined
Mar 26, 2003
Posts
1,774
From
Alberta CANADA
Business
The Framing Nook
Better be sure of the numbers - do the math. 40% off seems like an awful lot - better be sure you are still making money. You have to somehow determine how much they are willing to pay and if you can still make a reasonable profit - go with it. I wouldn't charge the lowest price unless you think you have to. This might be an oppurtunity to make up for some of the jobs you lost some money one.
 

Ron Eggers

SPFG, Supreme Picture Framing God
Joined
Jul 6, 2001
Posts
16,932
From
Wisconsin
My rule-of-thumb for quantity discounts was a discount equal to the quantity of IDENTICAL items ordered at the same time, up to 25%.

10 identical items got a 10% discount. 25 or more got a 25% discount.

Rules-of-thumb are very dangerous.
 

DaveK

True Grumbler
Thread starter
Joined
Feb 24, 2005
Posts
61
From
Southern Maryland
Ellen, thanks for all the info on the shows. I guess I better start walking now for the one up your way. I hope the weather is nice for the walk.
 

Ron Eggers

SPFG, Supreme Picture Framing God
Joined
Jul 6, 2001
Posts
16,932
From
Wisconsin
In my mind, the terms "volume" and "variety" are contradictory.

A bunch of non-identical work is just a bunch of work. No volume advantage to you. No volume discount to the customer.
 
Top