July 9, 2024
4
mins read
A print-on-demand business model is one where a seller markets the business and takes orders for custom products and a supplier fulfills the order.
Customers can choose from a variety of products and designs to create customized and unique products. Print-on-demand businesses offer customers a chance to create their own unique product designs and have suppliers who manufacture products only after an order is placed.
What does this offer?
It offers customers a chance to get unique products and it reduces business costs and risks for first-time entrepreneurs who want to start an ecommerce business.
But how can you start a POD business and how does it work?
Read on to find out.
Simply stated, a print-on-demand business is one where the products are produced after an order has been placed. It also involves customers choosing customized designs to tailor a product to their preferences.
Customers can choose a design, add it to a product, and place an order. The seller will take the order and the supplier will produce and ship it to the customer.
The product can be anything from apparel to mugs. Here’s an example of a print-on-demand shop selling custom t-shirts.
Image via Gelato
Want to learn how to start a pOD business and how it works?
Read on to find a comprehensive step-by-step guide.
Before you start a POD business, you must first understand the market, its key players, and the market dynamics.
Find out the various niches that exist within the print-on-demand industry and the key players. Collect data on:
You’ll need to collect this data for various industry segments or niches. Once you have all the data, move to the next step.
Based on the research data you collected at the prior step, choose a niche that:
By studying industry trends, you will be able to gain insights into which niches are more in demand and have high margins.
Use Google Trends or SEO tools like Semrush or Ahrefs to find trending topics and identify the POD niches and products that people are searching for.
Even within a niche, there will be multiple product offerings that you can choose from. For example, let’s say you want to start an apparel POD business. You can offer anything from customized t-shirts and hoodies to one-of-a-kind scarves or hats.
You need to choose a good product mix for your business to be profitable. Strike a balance between unique and popular products. Don’t choose too many products, but don’t limit yourself to just one either.
Keep your target audience in mind when selecting products for your POD business. You should not try to target too many different audience segments. Instead, curate a product selection that caters to a specific audience.
Podbase, for example, offers a whole range of tech accessories, which customers can customize to their taste. It caters to a specific audience—tech enthusiasts who like custom covers and tech accessories.
Image via Podbase
For each product, there are numerous variants to meet each customer’s specific needs. Instead of offering a broad range of products, it adds more depth to the products that it does offer.
Lastly, consider how easy or difficult it is to print custom designs on a product, before you decide to offer it to your customers. Consider which type of printing method will be required—such as direct-to-garment (DTG) printing, sublimation printing, and screen printing—and how much it will cost.
Keeping your products and target audience in mind, create unique designs that align well with them.
This is where you have the opportunity to differentiate yourself from competitors. Even if there are many competitors offering the same products, your designs can help you stand out.
You can look for design inspiration on Pinterest, but make sure you don’t copy any designs.
Hire graphic designers to create designs for your products, if you don’t have the capability in-house. Sites like Upwork and 99designs can help you find freelancers willing to work at competitive prices.
At this step, you must choose a platform to host your online store. Do you want to sell via your website or host an online store via your print-on-demand service provider?
Creating your own website and online store is a costly and tedious process, but gives you more flexibility and control over your store.
Selling on a third-party platform is quick and convenient, but will have recurring costs. However, many POD platforms offer additional marketing and SEO services to make it worth your while.
Consider the pros and cons of both and choose a platform to sell your products.
Choosing the right print-on-demand service provider is one of the most crucial decisions you will have to make.
Most POD platforms offer a range of products that customers can choose from. Go for a POD service that operates within your chosen niche and provides the products you want to sell.
Compare various available options on the following parameters:
Podbase, for instance, is a great print-on-demand ecommerce service that you can consider. It offers tech accessories, drinkware, and wall art products, with prices starting from Euro 4.95 per unit.
It easily integrates with your e-shop, so you can start using it and launch your print-on-demand business quickly.
Having a reliable supplier is crucial to the success of your new dropshipping print-on-demand business.
A supplier takes care of everything from manufacturing to order fulfillment, so they’re responsible for keeping your customers happy more than you are. A slow or unreliable supplier can hurt your business even if you do everything else right.
That’s why you must choose a good supplier, after careful consideration and comparison of various available options.
If you’re going for a POD service, then chances are that they will act as your supplier and you won’t need to select a supplier yourself. However, if you want to sell products through your own store and not work with a print-on-demand service, then you’ll need to choose a supplier.
By now, you have everything set up and ready to go. All you need now is customers and to get them, you’ll need to promote and market your new business.
Here are some strategies to promote your POD business:
Image via Instagram
These are just a few of the ways to promote your new business. You can use myriad other tactics, such as influencer marketing and referrals to make your new business a success.
By this stage, you’re ready to start selling products through your store. Irrespective of which platform or service provider you choose, this is the time of reckoning—which will show how well things are working.
If there are any kinks in the process, you will find them and correct them.
At this point, you should continually monitor your site’s performance to find and correct any issues that may arise.
Once you have your business up and running successfully, you can consider expanding into new markets or simply expanding your product range.
Don’t be complacent if your business is running successfully. Experiment and find more income streams or cater to a broader customer base.
If your business idea is a massive success, you may even consider moving from a POD model to a regular ecommerce business model. However, give it enough time and consideration before you make that decision.
We’ve established that running a print-on-demand business is a great idea and discussed the process for doing it.
Now, let’s discuss some best practices and tips that can ensure you are successful in your efforts. Follow these tips to run a successful POD business.
The success or failure of your print-on-demand business will depend on the POD service provider you choose.
After all, the product quality, shipping times, and a lot of things are not in your control, as you will rely on your POD service provider or supplier for that.
Make sure you choose a reliable print-on-demand service like Podbase.
Always order a few products from the supplier or print-on-demand service you are considering. Testing the product quality first-hand will save you a lot of trouble later.
You can’t afford to get in business with a supplier that offers low-quality products. As such, you should test every type of product that you want to sell through your store.
The pricing models for print-on-demand services can be complex. So, calculate the actual shipping cost for each type of product and then calculate your profit margins.
Companies that offer minimal or, at least, transparent shipping charges are preferable. Avoid any companies that have hidden costs and non-transparent shipping costs.
Podbase, for instance, offers flat and transparent shipping prices for all products, so you can easily calculate your margins.
Image via Podbase
A marketplace is one where multiple brands list and sell their products. There may be competing brands selling similar products on a marketplace.
This increases the level of competition and reduces the chances of your brand being discovered.
That’s why, it’s recommended that you start and sell via an online store, even if it requires some initial investment.
Don’t rely solely on SEO to bring traffic to your website. Instead, use multiple promotional channels to market your new business and spread the word.
Join a few social media platforms, where your target audience is most active. Use email marketing to nurture the leads you capture through other channels. Cross-promote on multiple channels to cast a wide net and bring in more leads and customers.
Looking for reasons to convince you that a print-on-demand business is perfect for you to realize your entrepreneurial dreams?
Check out the pros of the POD business model and decide for yourself.
While the print-on-demand business model has various advantages, it also has some limitations. Let’s discuss some of the important ones below.
There you have it - a detailed guide on how to start a print-on-demand business.
Use this as a reference to learn all you need to know before starting your POD business. Make sure you understand the pros and cons of this model before you choose to use it.
So, what are you waiting for?
Get started on making your entrepreneurial dreams come true by starting a print-on-demand business. Use a good POD service like Podabse to make things easier for yourself.
Dive into our blog for expert insights, tips, and resources. Whether you're just starting out or looking to scale your business, our knowledge base is here to support your success.
With Podbase, you can achieve profit margins that are up to 100% higher compared to any other POD providers.
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