Pricing Questions

 

Pricing Paper

 

Posted: 29 Dec 2005 03:11 am

 

I am in a bungle here. If I add a paper and mark up: When I use it in a quote, the end price for paper is much higher than I would think. Is MF adding waste on press and an additional box or ream of stock? For example, stock which costs 48.50 per 1,000 at a 30% markup is showing 98.20 on the estimate. But I calculate it at 63.05 with no waste ... What is the default or am I just crazy ... Is there a work around? I was trying to set up a house stock we always use and have on hand.
. . . . . jbgrayinc
Joined: 27 Dec 2005  Posts: 9  Location: West Linn, Oregon

 

Morning Flight always adds spoilage and markup to paper. When you loaded your house stock as Buy-as-Needed Paper instead of My in-Stock Paper, MF also took into account that you can't buy a broken ream for a specific job. With in-Stock Paper, you can take what you need and put the rest back.

 

Forum_Markups_3

 

Forum_Markups_4

 

The costs in your example break down as follows: Base price at $48.50 for 1,500 sheets = $72.75, plus Markup (35%) = 25.45, for a total cost of $98.20. The 30% Markup you mentioned applies to a full carton. For 1,000 sheets we're looking at a broken carton. As you've discovered, you can change markup rates in My Store and make them all the same.

Here is that same quote when you add your paper to My in-Stock Paper (with CartonPlus pricing turned OFF in My Store): Base price at $48.50 for 1,100 sheets = $53.35, plus Markup (30%) = $16.05, for a total cost of $69.40.

To see how MF calculates paper costs in a quote, position the cursor over the white Paper window to the left of the F3 button, then click to zoom. Any time you notice the cursor change to a camera, you can click to drill down and get a detailed picture of costs.

Incidentally, if you always use the same price for broken cartons as you do for a full carton, turn CartonPlus pricing OFF. CartonPlus is designed to give your customers a break when they order less than a full carton of any paper you keep in stock, paper for which you have to pay a surcharge whenever you buy a broken carton. That seems to be no longer the case throughout most of the United States.
. . . . .  Hal Heindel