Why Price Breaks Are A Gift
I’ve spent a lot of time in the office over the last few days. It strikes me that we do a pretty good job in providing information to clients but sometimes some of it is so obvious that it can fly over anyones head. Price breaks are a great example. Promotional gifts are priced according to volume. The more you buy the lower the unit cost. Our printers work on price volumes and break their prices at set quantities. Taking a pen from our promotional pens range, like the Panther Extra Ballpen, as an example; this pen has a particular price break between a quantity of 250 and 500. The 250 unit price is higher than the 500 and vice-versa. So if you want a price for a quantity of 350 what do we charge? Well the until you get up to 500 or over, the 250 unit price applies. It really is that simple. Another example can confuse this relative simpicity. Suppose you have a 1 colour imprint and want 1000 pens, all of the same type but with different coloured trims. Provided the pen is the same you can order 250 of 4 colours or 500 of 2 colours. The set up and origination charges apply to the imprint itself. Once the ‘jig’ is set up to run, the colour of the trim is irrelevant. The next issue is that we only publish a few price breaks on the Promotional Gifts Store. Our back office systems contain several more levels and outside these our project planners get involved to provide the most economic solution possible. Simples. Meerkats.
