🇦🇺Australia

Underpriced or Unbilled Make-Ready Services

2 verified sources

Definition

Make-ready is a legitimate, labor- and material-intensive service. When quoted as a lump sum, complex jobs appear equally priced to simple jobs. This creates: (1) customer expectation misalignment, (2) reduced willingness to pay for rush/complex jobs, (3) margin compression on custom work. Printers unaware of true make-ready cost cannot price competitively or profitably.

Key Findings

  • Financial Impact: Estimated 2-5% revenue leakage on 30-50% of jobs; typical AUD 500k-2M print shop loses AUD 10,000-100,000 annually in underpriced make-ready
  • Frequency: Every job quote; ongoing margin erosion
  • Root Cause: Lack of transparent costing systems; make-ready bundled into production cost rather than itemized as separate service; customer education gap on setup complexity

Why This Matters

The Pitch: Australian print shops lose 2-8% of gross margin on complex jobs by not transparently charging for make-ready. Itemizing setup costs and offering premium 'quick-turnaround' services recovers AUD 10,000-50,000 annually per shop.

Affected Stakeholders

Estimators/quoters, Sales, Finance/accounting, Production managers

Deep Analysis (Premium)

Financial Impact

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Current Workarounds

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Methodology & Sources

Data collected via OSINT from regulatory filings, industry audits, and verified case studies.

Evidence Sources:

Related Business Risks

Production Downtime During Press Make-Ready

AUD 200-400 per make-ready cycle; typical shop with 5 presses and 8-12 job changeovers daily = AUD 8,000-48,000 weekly capacity loss

Material Waste in Make-Ready Sheets and Ink Setup

AUD 50-200 per make-ready cycle in scrap materials; 8-12 changeovers daily across 5-printer shop = AUD 2,000-9,600 weekly material waste

Approval Delay Bottleneck

AUD 40,000–80,000 annually per mid-size print operation (estimated 15-20% capacity loss on AUD 300K-500K monthly production revenue).

Rework and Reprint Costs from Unclear Revision Scope

AUD 15,000–35,000 annually per operation (5-8% of typical AUD 300K–500K monthly revenue; estimated 2–3 reprints per week at AUD 500–1,500 each).

Unbilled Proof and Revision Services

AUD 8,000–15,000 annually (estimated 2–4 unbilled revision rounds per week × AUD 150–300 labor cost per revision).

Customer Dissatisfaction from Manual Proof Workflows

AUD 20,000–45,000 annually in lost customer lifetime value (estimated 2–4% customer churn × AUD 5K–10K average customer lifetime value per print customer).

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