Nowadays, Print-on-demand has gained wide popularity among the online store owners that is why you may have seen it popping up everywhere on the digital landscape. Print-on-demand offers a great opportunity to easily earn money online however, the profitability aspect of POD largely depends on your marketing tactics, brand positioning, etc.
Most drop shippers tend to deal either in general products or in print on demand products. The world of print-on-demand is blooming at a rapid pace and incorporating it in your online business, you can surely boost up your sales & revenue. In print-on-demand business, instead of relying on the third party, you can create a custom design on various products and sell your customers all around the world according to your customer’s preference.
To understand whether POD is still profitable and how it works, first, we’re required to understand,
What is Print-on-demand?
POD or Print-on-demand is a type of retail fulfilment method where you are required to print your customer’s custom designs on merchandise. The custom designing is a pretty new concept and it also has less competition so you can make most out of it. It also eliminates the need to hold inventory as you create a product when your customers request for it & pay for it. The most common print-on-demand products are T-shirt, Coffee mugs, Hoodie, stationery items, etc.
The whole concept of print-on-demand business is amazing as you don’t have to research about the profitable niche, no need to hold inventory, and no minimum orders, etc. so it presents a win-win situation for both business owner and customers.
How does print-on-demand business work?
To get started with print-on-demand business, first, you are required to set up an online store on which you will offer your print-on-demand service. The website should be aesthetically pleasing & should have clear call-to-action so that your target audience can take the desired action.
This is how POD works: First, your target audience will upload the design that they want to print on items such as t-shirts, mugs, etc. Then, the POD website fulfils the order of the customers and collect the profits. The potential profit can be high if you incorporate accurate marketing so that you can connect better with your audience.
We’ve rounded up a few pros and cons of print-on-demand to better understand whether it is still a profitable business idea or not.
The first benefit of print-on-demand is that it allows you to sell custom designs. You can also offer a wide range of customization option to the customers so that it can boost up their shopping experience.
No need to hold inventory
Holding inventory requires high capital and to run a print-on-demand business, you don’t have to keep inventories. With POD, you just have to fulfil orders and ship them to your customers.
No need to bulk print
In various business, the business owners are required print in bulk, however, in print-on-demand, you don’t need to bulk print. You just have to print products when your customers place their order with you.
Easy to set up a brand
Running a POD business is quite easy as you don’t need a plethora of resources for it. Just with a great online store and good marketing strategy, you can easily establish your brand.
Easy to experiment with different products
The next benefit of print-on-demand is that you don’t have to just stick with one product. There are many different products on which you can offer your print-on-demand service. Print on demand is no longer just about selling custom tees, you can also experiment with different products.
Profit margin may vary
One of the major disadvantages of running a POD business is the fact that some designs are simple whereas some are highly complex so if you have hired any third party to handle the orders then they might take a royalty on each sale which can result in lowering down your profit margin.
Difficult to stand out
The next challenge that may arise is the fact that print on demand business can be quite difficult to stand out in this digital landscape. To bring your business to the upfront, you need to work on your marketing strategies so that it can excite sales opportunities.
No control over product quality & order fulfilment
When it comes to running a POD business, you have no control over the time it will take to process the order or over the quality of the product. You won’t be able to check each product yourself you need to ensure that your printer is working efficiently otherwise it will degrade the print quality.
So, these are the common pros and cons of print-on-demand business, you need to acknowledge all these factors so that you can decide whether it will be profitable for you or not.
Print-on-demand is surely a great business idea that you can work on. Due to its low set-up cost and minimal risk involved, it has gained such popularity among business owners. However, to make your business successful, it is essential to ensure that you have incorporated all the essential factors that can help you stand out your business in the digital landscape. The whole concept of print-on-demand may seem simple but it can be quite complicated if you are want to run a full-fledged business.
Wrapping it up, we can say that print-on-demand is surely a profitable business but you need to get creative with your marketing & promotion so that more and more people become aware of your business.