Intro: The Shop Struggle
- DTF is booming and more businesses are jumping in.
- DTF is much easier than older methods like screen printing.
- Barrier to entry is lower with 'production friendly' equipment under $15k.
- Full-Digital Apparel that looks, feels and washes great is 'easy' to make.
Why It Feels Crowded
- Custom t-shirt businesses are more common than even just a decade ago.
- People have a 'friend' or 'cousin' with a cricut.
- Customer expectations are all over the place a "Why is this shirt $30 when the guy down the street sells it for $15?".
- Social media makes everyone look busy, even if they aren't making money.
The Good News
- Just because everyone's cousin makes shirts, doesnt mean they are good at it.
- Most 'side-hustlers' give up or cannot deliver.
- The business isnt 'easy' so YOU putting in the work will be around when others won't.
- The barrier to entry to be profitable is still high enough that its not for everyone.
- You can still produce a high-quality custom logo apparel for the same price or cheaper than stores sell blank apparel.
Avoid Common Traps
- Racing to the bottom on price.
- You will NEVER be the cheapest. "There is hardly anything in this world that some man cannot make a little worse and sell a little cheaper."
- Undercharging because they don't know how to break down costs and margins.
- Know your numbers!
- Consider other costs – website, accounting software, credit card fees.
- No Systems in place to make sure your business runs well
- No workflows
- No pricing structure
- No Schedules
- No delegation
- No CRM
- Trying to do it all: artwork, printing, packaging, selling – without delegation or efficiency.
Competing the Smart Way
- Find Your Differentiator: Custom designs? Rush jobs? Better garments? Customer service? Find 1-3 core differentiators and talk about them all the time.
- Find Your Niche What is your ideal customer or product? Push towards that and spend less time trying to compete beyond.
- Charge What You're Worth: Because of the above, you can (and should) charge more than others.
- Tighten Production: Tips to streamline (pre-press setups, batching jobs, designated work zones).
- Less mistakes
- Faster delivery
- Less waste
- Customer Experience
- Personal delivery
- Handwritten thank yous
- Reorder reminders
- Birthday / Anniversary
Growing in a Crowded Space
- Don't be Amazon / Walmart You can't beat the lowest price, but you can offer the best experience / quality.
- People will want to buy from YOU / Your Business… because you are not the big business.
- Get Referrals Working
- Script for asking for referrals
- Remind people again
- Give/Get program
- Leverage What You Already Have
- Upsells / bundled product
- Be the best on the block
- You would be surprised on how many people havent truly mastered their craft, be a master. Experiment, practice, play, learn.
- Invest in an Efficiency (repeat): Set goals for single efficiencies you can invest in (even if it's small.)
- Additional heat presses
- Accounting software
- CRM
- Ecom Store
Final Thoughts: There's Still Room!
- You don't need to be the best at everything, just the most dialed-in for your customers.
- Think efficient and excellent, not big and chaotic.
- You don't need to be the master of an entire catalog of products, just be fantastic at a handful.
- If you are struggling to compete with lower priced competitors, consider changing how to are getting your business or what you sell.
- Only offer premium quality apparel
- Look for a niche or type of customer that is going to be less price concerned.
- Purchase apparel from the 'cheap' competition to see how you can offer a better product (and sell against that.)
Challenge: What's one thing you can fix in your pricing or workflow this week?