Mark S. Hey everyone. And welcome to episode 28 of the Custom Apparels Startups Podcast and this is Mark Stephenson from ColDesi.
Mark V. And this is Marc Vila from Colman & Company. We are recording this time. Right?
Mark S. Yes we are. This is our third try folks.
Mark V. Okay.
Mark S. So I know on 57th try I’m making sure that I hit the start recording button.
Mark V. Third try 28 podcasts.
Mark S. yeah and you know, I mean episode 28, year and at this point in the podcast young wife it is starting to figure out how the heck you can make some more money. I mean that’s really what being 28 is all about. Is you know, I’m sick of the crappy apartment, I’d like to move into something nice or whatever I need to do. So the title of this podcast is actually, what is the title of this podcast?
Mark V. “The fund raising market how to make other people’s fund raising work for you.”
Mark S. yeah! I like that. And by work for you I mean make you more money. And to kind of explain all this we have the eminent, the famous, the plenipotentiary of online sales. No one knows what that means!
Mark V. Not at all. I’m really excited at this.
Mark S. Yeah okay! So, this is a…
Mark V. I didn’t know this was happening.
Mark S. This is Marco Peña from Decor Network. Hey Marko!
Marco P. Hey guys! How are you? By the way can still there from my business cot. I love that.
Mark S. Don’t worry. If you can spell up on a plenipotentiary.
Marco P. I was gonna ask you for that please.
Mark V. Marco will you do that? I was stick on my phone. My typing close enough Google will get her.
Mark S. I don’t think so. Ohh No! I don’t think they will. So for those of you who don’t know Decor Network, ColDesi and Colman & Company and Decor Network, we’re working together for a long time. And they are basically the online sales experts, and website experts specifically for the customer apparel business.
Marco P. Yup that’s exactly right Marc and I appreciate that introduction. Hey! that’s exactly what we do. We empower you, we give you great tools to help you run your business more efficiently and talk of base and I think so most all we’re gonna talk about in just a few minutes, we’ve read some incredible tools on how I’ll empower you and really compete in the market, they can be competitive but we’re going to give you the tools that you need to branch out, to be much more diverse and you know what your competition’s just gonna hate the fact that you’re..
Mark S. You’re doing that. I like that. Right. So, I mean, I’m just gonna set it up a little bit and I’m sure that Marc Vila has some stories too, but, went into the brake room, about two days ago and somebody had a you know a catalog where you could buy kitchen gadgets.
Mark V. Yeah! It’s the kitchen stuff.
Mark S. Kitchen stuff and the traditional signup sheet and you know the one lady that brought that in to try to make some money for the school or you know whatever it was, you know would go around eventually and take everybody’s order and pick up a cheque. So is it just this time of the year, or is that happening constantly?
You get kids in school.
Mark V. It’s constantly happening.
Mark S. Yeah!!!
Mark V. So, there’s a sport going on, there’s fundraising happening for that sport.
Mark S. Yeah!
Mark V. Litter leagues and all these things. The girl’s scouts and boy’s scouts.
Mark S. Yeah!
Mark V. The boy’s scouts with there like 40 yard boys of popcorn.
Mark S. Oh My God!!
Mark V. And, then there’s this school stuff. There’s private schools, there’s public schools, churches that purchased that stuff.
Mark S. Anybody. Yeah. I mean, and they don’t do good stuff either. they do like yes we wanna go to a mission to Africa so we’ll wash your car. You know, or yes, you know we need to do this, you know camping trip for boys’ scouts and it’s the same kind of thing. It’s always wrapping paper or candles or…
Mark V. or the world’s best chocolate that’s not.
Mark S. It’s really not. I mean, girls count cookies
Mark V. that they are
Mark S. Yeah! They are. Yes, that’s a good thing. But Marco I know you’ve got some numbers for us because honestly it would be a pleasure to buy a custom t-shirt in support of the group rather than something I’m gonna eat or wrap or present it.
Mark V. Yeah! and especially when we can change it intrude of the electronic to the digital world, where it makes it easier to share it, and it makes it easier to just text somebody a link, or email somebody a link, so you know to be able to electronically rather than these old school forms and cheques. Somebody asked me for a cheque its work.
Mark S. Yeah! Agreed. Marco can you hear us okay?
Marco P. Yup Absolutely! I’m here.
Mark S. So, so break it down for us.
Marco P. Well, you know here’s a thing that the thing to remember is that fundraising is huge. It is the big business. I don’t wanna overwhelm you with numbers but just check this out, so, schools in the US earn about 3.2 billion a year on fundraising.
Mark V. Wow.
Marco P. Check this also. 76% of the schools will be one in five fundraisers a year. You know there are 19 points that’s going to be five and fundraisers a year. So it’s not something’s kind of one and done. Most schools, 76% of them do between one and five, that’s around the year. So, what’s really nice about this is fundraising of course can be huge, it can be really big as you heard as far as the numbers are. But it’s consistent business, doesn’t have to be, “hey, I’m just gonna do one time throughout the year and then I’m done, no more a year, what I do for the 11 more months.
Mark V. Yeah!
Marco P. The reality is that there’s quite a bit of fundraising is done, now that’s just from a school level; you start looking at sports- it’s so much more. Let’s talk really quickly schools in the US, there’s over 98,817 schools, that’s US the regular schools, private schools account an additional 30,861 and the great grading schools is 4,706. So that’s a lot of schools. Marc, do you mind if I share little bit more numbers with you.
Mark V. No, go ahead. Because you know say it at least twice because I think to impress on people the size of the market that we’re going after is a big deal.
Marco P. It’s huge. Well again, US schools it’s 98,817 schools on top of that you get over 30,861 private schools and then the great granting schools would be 4,706 schools. Students have stopped studage. In US there’s over 50 million students. There’s lots of it. On top of that, if over 4.9 million in the private sector, so you got, roughly about 55 million students out there.
Mark V. Okay. So there are about a hundred and twenty two thousand schools.
Marco P. Yup
Mark S. And all of them do fundraising basically.
Marco P. They all do fundraising.
Mark V. Okay.
Marco P. Now, let’s talk sports. Because we talk a lot of school, what about sports? Sports the number one opportunity in my opinion for fundraising and the reason why is because parents will buy to support their kids, and I’ve got some numbers on this. But, most schools require their sports to do fundraising because there’s just not enough money.
Mark S. Yeah!
Marko P. Therefore, they have to do some level of fundraising. Check this out- in the US there’s over 7.6 million students who play sports. Although, those are kind of older number, I wasn’t able to find anything, you know in the last couple of years. You know there’s this for 2011, so roughly that’s going up, there’s an expectation, there’s probably closer to little over 8 million now into today’s date
Marc S. Right
Marco P. Millions of students that play sports. 56% of the students play some level sports in high school, and so it is a big deal. Locally here, we actually went to one of the high schools locally here in Hulia with the high school. They have 19 sports to do, matter that 19 sports and it’s not an overly big school, it’s an average size school to have 19 sports.
Mark V. At the high school level.
Marco P. Every season. At the high school level, that’s right! And, they have 3 seasons- Fall, Winter and Spring. So again it’s consistent flow. I actually have also if you guys are interested little later I can share with you, you what sports are played at what season, because that’s important. As you plan for this, as you plan for fundraising you need to know when do I prepare for football, when do I prepare for track, when do I prepare for …
Mark V. Yeah! You know Marco, if you could write that down and send that to me, I’ll love to post that in the body of the podcast.
Marco P. Yup!
Mark V. I think that’s really valuable, because you’re going to tell us why it’s a better idea for you to do custom apparel work than sell chocolate. And how that relates to our customer’s business.
Marco P. Absolutely Marc! And the reality is you know there is not these numbers, and it’s kind of harder to wrap your arms around it, it’s kind of hard to really it, what does that mean for me, and obviously what that means for you is it’s about opportunity. Mostly schools, most of fundraising is under serviced and the reason for that is because most of these schools they go out, they contact with a professional, fund raising organization or a company and so they get stuck selling the cookies and the gift wrapping paper and the popcorn and all this.
Mark V. Right. That’s why every school sells basically the same stuff.
Marco P. They sell the same. Any organization, a company that sells to these people and they try to make it smile, but the reality is that, the fact is that most parents, by the way a very high percentage of parents actually support their kids; They love buying, in fact, 9 out of 10 parents purchase a product to support the child or score coin to the AF or DS. 9 out of 10, 71% of the parents after sell to the co-workers family and friends.
Mark V. Yeah!
Marco P. So, you know, if you’ve ever had your son or daughter in a sport you know you’re gonna go out and buy stuff. And you’re gonna buy stuff because you wanna support them. Because…
Mark V. Well, I didn’t’ because I was a terrible parent.
Marco P. (Laughs)
Mark V. Hi babe, come to me then; let me just write you a chapter 20 bucks. Can I just do that stuff? Just give me the money, I don’t want the candle. That’s really what I wouldn’t say.
Marco P. You know, but you want to write a cheque. Right?
Mark V. Right. It’s true. I did enough of writing cheque. Aah, you were just talking about schools so far, because I know that my daughter was in dance for 7 years and you know even the investment in costumes and in fundraising was huge as well.
Marco P. Yup! Yup!
Mark V. Go ahead! I was gonna say think that there is one more talking about all of this, you know all these things keep lighting up because when people purchase thing, and these items for fundraising, you know and everything Marco that you’ve named you know the fact of the matter is that people do it out of the fact that they wanna support their kids, not necessarily because of the product that they’re gonna get.
Marco P. Yeah! Of course not!
Mark V. You know it’s frozen cookie dough, it’s these things that you can get, you can get something better somewhere else for a better price, so you can go to the supermarket and get a better quality cookie dough mix, then you’ll get for you know $20, but you do it because you wanna support them and I think that what the apparel industry brings as far the pitch that coxes apparel decorators is made to the folks who’re doing the fundraising is they’re gonna get 2 fold support of the kid here. They get to support them financially by buying say a shirt for 10 dollars.
Mark S. That’s right, then they get to wear the support.
Mark V. They get to wear the support the next time they go to the event. So if you think you’re first, you know you mentioned dance and if there’s advance in dance and she’s got maybe 6, 8 or 10 people come to the advanced west title, they can all be wearing a shirt supporting it. You know people love that.
Mark S. And they will love supporting. I used to post when I used to walk around the neighborhood holding up a candle, to support my daughter.
Mark V. Yeah! And,
Marco P. So. I’m so sorry about it, I was about to say you’re absolute. Something as simple as just ‘dance mom’. You’d be surprised. If on the day of practice or whatever you put a little table, and you put dance mom on a shirt
Mark V. Yeah!
Marco P. …you’ll be surprised how much you would sell.
Mark V. So, I’m actually just kind of blown away by the numbers because if you know there are a hundred and twenty two thousand schools and the average, let’s say the average school doesn’t have 19 different sports, it’s just got 10. Just as an example, that’s 1.2 million supporting team that are out there, you could potentially help their program be successful and make some money.
Marco P. Ohh, it’s huge. So, if you know my, let me share really quickly with you why I think apparel is perfect; why you know let’s forget about the chocolates, just forget about all of that stuff, the reason why I think if you may I’ll like to share just a couple of thoughts. Tell me if you guys agree with this; the reason that ideas I came up with and talking to people that do fundraising and some of our clients and some of their clients. Right!! And here’s the thing, parents are much more likely to purchase and it’s exactly what you said first Marc, is it now I can purchase something that I’m actually gonna have value. It’s not like one and done, it’s you know once I eat cookie dough- it’s done, it’s gone. Plus I shouldn’t be eating cookie dough. Right! It’s not the popcorn that’s you know 10 bucks for a little 3 ounce pack. They’re much more likely to purchase because there’s a higher perceived value in that. I can wear that shirt, I can wear this hat, I can wear these sweater multiple times. They have reason why apparels are great and when you make your pitch to the athletic director, to the coach, to the principal, whoever it is you’re making your pitch to, you wanna write these down, and you wanna share, you wanna have time, “hey listen, you’re gonna be much successful with me doing the fundraising versus the guy that sells the chocolates and this is the reason why, because parents are much more likely to purchase, therefore more money. Higher perceived value and we can charge more because there’s a, when you spend $2 on chocolate or $15 on a t-shirt; well if the t-shirt has a much higher perceived value, I’ll spend more on that, there’s a higher return on that. The other thing is, it promotes school spirit. One school administrator or its coach isn’t gonna want parents that understand for the track B, for that football game, the parents wearing shirts that support the school, that support the players. You know, versus a chocolate, chocolates you know you eat it’s done. There’s no school spirit, there’s no value in the school, but when all these parents are wearing hats or you know coaches and team moms and all these people are wearing these apparel, it brings a level of school spirit that school administrator really love and so it’s a great thing for that.”
Mark V. I mean that’s what colleges do, right? I mean you see, we hear the USF game, USF won, by the way. You know like, everybody in the stands, including us was supporting the college gear…
Marco P. Absolutely!
Mark V. …and that’s why high school should be doing the same thing.
Marco P. That’s exactly right. here’s a thing also is it bringing some higher revenue for schools. Again, if you’re selling the $2 chocolate, well you know you’ll probably make a better buck and do little less, but it’s not is $15 a claim on t-shirt, you’re gonna make 3 or 4 or 5 dollars after that.
Mark V. Right!
Marco P. Here’s a much higher revenue, there’s less that you’ve to sell, you make more, higher revenue for the schools, it’s fantastic. Schools prefer apparel by the way also. It’s less messy; I’ve got an interesting story if you guys wanna hear about it from a coach, then retell me but one of the things that he did was that he was doing the chocolates which everybody there’s a chocolate, in one year he left the chocolate ion his car, right before he was going to deliver them to the kids. So they got milk chocolate basically.
Marc S. (Laughs) Ya, Know that.
Mark V. It happens in Florida
Marc S. I know that.
Mark V. That’s an answer to a rebuttal that you’re gonna get because a rebuttal that you might get when you’re talking to somebody about trying to introduce patrons instead of something else…
Mark S. yeah!
Mark V. …is this they’re gonna say, “yeah but, they can take these chocolates in the work and they could sell a box of these things; you know twenty a bun.
Mark S. yeah!
Mark V. One to each, each person.
Mark S. Right!
Mark V. And but you know, one rebuttal with that is say will you know there’s risk involved but also that for every you know one shirt you probably have to sell three or four pieces of chocolate.
Mark S. Yeah! So they have..
Mark V. … there’s more of work.
Mark S. …yeah!
Mark V. …yeah! You know there’s more of work and there’s more to it; but I in thinking about rebuttal I thought of an alternate rebuttal where it doesn’t, the fundraising things are just selling us for its apparel or hats. Go. Don’t necessarily have to be very specific to the school or to the aven or to the child.
Mark S. Right.
Mark V. They can offer alternate apparel. So you can have designs where there are city supporting type of things, like out-grade talebearers, St. Peigge peat.
Mark S. Oh that’s great.
Mark V. You can offer other things where you can say, listen I know that you don’t have the kid, and you don’t go to this school and you don’t live in this area town or Karabel, the female basketball team. None of those things…
Mark S. Why did you tell us that example?
Mark V. Because I, because you made me think of that one. I went to UCF USF women’s basketball game.
Mark S. Ohh I thought you were going to say, you used to be one in the basketball game.
Mark V. No. And I was going to wear my UCF shirt and I said there’s going to be 0 UCF people here.
Mark S. Right. I don’t wanna get.
Mark V. Yeah! So I said, I went in just a blue shirt.
Mark S. Okay.
Mark V. But anyway
Mark S. But, that’s a good idea.
Mark V. Yeah! But you can’t offer these alternate things where you say look, you live in Tampa Bay, they’ve got guess Brela is an event here, so they’ve got some guest Brela hats they sell, they’ve got St. Peigge peat hats, they’ve got maybe these funny slogans, so you can offer some alternate things I think.
Mark S. Yeah.
Mark V. As a possibility…
Mark S. I like that idea.
Mark V. …for getting into that. So you can still tap into the folks who are gonna buy because you’ve convinced them to support your kid.
Mark S. Yeah!
Mark V. So there’s both, there’s a big potential there.
Mark S. I like that.
Mark V. So, Marco tell me the chocolate coach, were you able to talk him into going in going opera?
Marco P. Well, actually I didn’t. Because obviously we didn’t. We’re not selling apparel into that, but somebody did. Interesting story with that. So you mind if I share?
Mark V. Go ahead.
Marco P. But, you know before I do that, I’ve got one other reason why, two, if you don’t mind, let me just share that really quickly. Interesting, when you’re going and you’re doing this presentation with the athletic director, the coach who ever you are, another reason why, they should do apparel is because believe it or not, there’s a bigger market base. With chocolates, you’ve got people that are diabetic; you have people that are health conscious…
Mark V. Ohh that’s a good reason.
Marco P.…people who don’t want to spend money in some of what because they just can’t have it, they shouldn’t have it.
Mark V. Yeah
Marco P. Apparel who cannot wear? Right, they have to wear apparel, people wear apparel.
Mark V. I mean people really don’t want to buy chocolate or cookies, a lot of people really don’t.
Marco P. They really don’t.
Mark S. Some for my neighbor kid, just of, not obligation but,
Mark V. no, but it was.
Mark S.…you know that was just like, you know like I meet a good guy, you know I want him to sell, I want to support it so I bought them and then I kind of gave him away, you know I wasn’t what I wanted but I did it.
Mark V. Yeah!
Mark S. So ya, it’s really gone of that.
Marco P. Yeah. And you’ll be surprised it actually was pretty, you know, it’s pretty impressive because again, your market base is actually much larger, people will do that. Not only that, but you know, even school administrators will buy, even other coaches, parents of course will buy, but then you’ve also got you know teachers from that school that will buy; also because it’s fair way. You know, and then on Friday’s is casual Friday right through they’re able to wear that. And so often times they’ll wear that to their way through the game, so that only to the parents, to the coworkers that kind of thing. But also, to other school administrators.
Mark V. Ya. I like that. So, are you ready to talk about like how you can make all that stuff happen?
Marco P. I can! Let me share a quick story though because what really kind of got my interest pick my interest in this was my son plays for he runs or cross country here at high school and you know for ever we’ve been buying these big boxes chips and car washes and gift cards, you know punch cards and things like that.
Mark V. Yeah!
Marco P. I’m done with it right, it’s like you stay cross, and then you know, but I understand that they have to do this.
Mark V. Right
Marco P. And so what really kind of caught my interest was about some about couple of months, few months ago, well he came home with a like a flyer and he said hey dad, guess what, we’ve started to sell cross country shirts and hoodies and shirts and you know cardinal shirts. And I said that’s kind of cool, something little bit different. And so I ended up leaning with the couch just kind of interested in that of course being apparel industry. You know it really caught my interest and so, I had a quick with him and I said, what caused you to change, you know you’ve always sold these car washes, all these other things, you know, first of all why do you do fundraising? And what he basically tell me was this he said, we asked me what does fundraising mean for the cross country team. he says, listen if we don’t do fundraising, we basically can’t go to any of the big invitationals, we will just do the local meets with the other schools but you know we wouldn’t have any warm-ups, we wouldn’t have, you know, for it’ll be like for the ones that they’ve used, you know all four years we’ve used exactly the same ones, we wouldn’t b able to change. You know the big invitational, all these things they purchase with fundraising makes it a requirement basically for that New Year. Another thing that interest me is that the reality is that those clients, you know if you’re thinking about doing fundraising you’re gone shift so good about it, because believe it or not, well you’re making some money. You’re selling something, Yeah that’s true. But the reality is you’re actually helping these kids do better at the old, but they love, you’re actually doing a really good thing. Some of these kids were spotted by skelt colleges at these invitations, having mapping for the fundraising. They couldn’t go to the invitations, so guess what by you supporting this cause, by you doing this you’re actually helping some of these kinds go to these invitational, you’re helping these kids to go to these twitter meds, these things where they get spotted by coaches from colleges and what have you, so you’re actually doing a really good thing. I just wanna encourage people it’s a great thing to do.
Mark V. Yeah!
Marco P. So, ya sorry guys, please go ahead!
Mark V. Okay, Yeah. what I was gonna say was what’s also, what’s great about the apparel which is and what’s great about dealing with you say as whether you’re a local business owner, or you’re a small business owner dealing directly with these sports programs and schools and things like that. That nature, what’s great about that is you can setup custom things for them that are ongoing, unlike dealing with the chocolate or candles. You know it’s a bit of hassle dealing with that because somebody has to manage that, manage all the orders, manage all these hand written notes…
Mark S. Yeah.
Mark V. …count cheques, there’s a lot of work to do it. And if you’ve got something that’s fairly automated setup for them, you can have the fundraising with the apparel essentially never stop and so you can have say for each sporting event you can offer t-shirts, where it’s literally know the panthers versus a lions.
Mark S. yeah!!!! Ohh, I like that.
Mark V. And, you know so you can have specific event say like you can have just consistently ready to buys, so people mess up their shirt, or someone says ohh where’d you get that shirt? Yeah we ordered those in May.
Mark S. Right
Mark V. You know, sorry, when next time I’ll let you know but no if you’ve got something set up for them and it’s consistent, then anytime somebody wants that shirt more people can buy them. There’s consistent revenue coming in.
Mark S. yeah!!
Mark V. And if you’ve good ideas and you’ve got a good promotional build-up within that community…
Mark S. yeah!!!
Mark V...then you can offer the event shirts, and swim-meet shirts, specifically for big meets and then, in addition to possibly specifically putting kids name on them and phone numbers….
Mark S. So, more or less customize.
Mark V. yeah!
Mark S. It’s like getting the world best chocolate and then wanting to buy another bar of it and forget it; you have to wait for next trip.
Mark V. yeah!
Mark S. And that’s what happens. And that often happens with apparel as well because there’s not always tied in to the fundraising, it’s often tied into, “hey it’s time to order swim shirts.”
Mark V. Right.
Mark S. “Go get the sizes and deal with all of that” where if you’ve got an ability and our thing Marco’s talked about it yet…
Mark V. yeah…
Mark S. But, you know there is something you can do within Decor Network or you know and just with the inner neck in general.
Mark V. Sure.
Mark S. But, where you actually create and make it very easy for people to buy this stuff so you reduce that work load of counting cheques and somebody wrote the wrong information on it.
Mark V. It actually give the money, I mean I can’t tell you how many times when my kids were in school, we would write a cheque to the school for something. It would literally not be deposited for 9 year hundred and forty days.
Mark S. Yeah! Ohh yeah
Mark V. If one cheque that’s been open in our Bank of America account for like literally eleven years. You know we might back fierce like a $100 cheque that nobody ever cashed.
Marco P. That’s funny. That’s so wow. Well you know and that was actually was like that was interesting. So, the reason why for the changing direction obviously there’s coaching done, you know everything’s under the sun as far as fundraising. And the thing that really kind of inspired him to do apparel was this company out of Texas set him the flyer and this flyer basically has it’s you know traded they give away but it’s got sweatpants and t-shirts and hoodies and socks and the foot pegs, all with the you know cardinal logo on there, some of them said cross country, some of them didn’t and it makes sense that you don’t wanna put cross country on everything because then you could sell to wider audience and that kind of thing. And so it really caught his interest and he did it. Let’s check this out, so he has 70 athletes in cross country and he had requested, and encouraged them and motivated but he can’t force somebody. He encouraged them to sell a minimum of five per athlete. So apparently he did pretty well, apparently he made, I have the numbers here with me but I think of all of them, all of this athlete, all 70 of them had sold at least 5 and more so over 10. So, is that you really successful? Now, here’s a problem though, as you said, was it was kind of one and done habit thing, you know they loved it because they made a lot of money of it, kids loved it and parents loved it. You know, the teachers were wearing, would wear that kind of stuff and it was good apparel and the fundraising was a good option but here’s a thing- one and done. Because once it was closed he had to go in there and manually upload the order, he said it took about 5 hours to place your order, wasn’t that a very, not a very easy system that this company used.
Mark V. Alright!
Marco P. So I asked him, so what would you do to your firm, maybe you could really do this, you now honestly there was a web store or there was a way for parents to go on to a store and order online instead of having the you know the order form. I think it’d be better, and the reason why is because it’s he had a lot of requests from people saying, well you know what, I wanna buy more shirts but do you take a credit card, they don’t have the cask. Or if they rarely use a Credit Card, then you can take a credit card when you do the paper order. Right? You need a cheque or you need is cash. Some of the kids lost the cash unfortunately you’re outer last to cheque so let her go because to do that.
Mark V. I do hear- Lost the Cash!
Marco P. Yes. Apparently you’ve had you runny shoes too; I don’t know how that happened.
Mark V. Yeah!
Marco P. But the reality is he says listen if there was a way to do it online I think it would be so much easier. I don’t have to deal with it. You know, parents go on and they order, you know parents could maybe we had little business cards or something written out, where it had the URL versus hey you know support it users online, here’s they can do around their cell phone, or they can do it on their ipad or whatever and so it’s kind of interesting because that’s I wasn’t trying to sound Decor Network because you know obviously he’s not a decorator in fact. When I started telling about what we can do with our platform it just blew his mind, he said what, these companies using you guys.
Mark V. Yeah!
Marco P. In reality with Decor Network, not only are we the business tools for the business, we’ve talked about that in the past for forward to you ordering process and the management and all that kind of stuff, but we also have that really great feature called campaigns. With campaigns you can set up an individual product like that you could say we’ll look I wanna make color sliding bar and say how much wouldn’t you wanna make. You know your cost is 10 dollars, or you slide it and say well I wanna make $10 but it’ll sell for $20 in it, it tell tells you okay if you sell a 1000 shirts, this is how much you’re gonna make and that kind of thing. It’s got a timer so why kind of I’ve with those really simple to setup, you can do in Decor Network. Share that you are out with all the students, all the parents, send that email blessed out to all the faculty and support the cross country using this; it’ll be hugely successful.
Mark S. Wait. I wanna back up for a minute, because you went through a really cool stuff very quickly. So what you’re saying is that an apparel decorator could set up a page on schools perhaps for example. And yet the principal and the coach can go and use the slider and say, you know I wanna make $15 a shirt so my cost is 10, I’ll sell it for 25.
Marco P. Yup!
Mark S. And then can set okay here if I wanna make, I wanna make 5000 dollars on this fundraising effort, and if can that amount be displayed like you know 10 shirts to go or 5 yes more to go. .
Marco P. Yup! It is a fundraising campaign and has a little carved out clock on there, so when the parents go on there, when the faculty goes on there, they could see, hey there’s then more days left. They’re just close to the goal, to reaching the goal. Which is really nice about them.
Mark S. So you as an apparel decorator and your customer can sit down and go okay how much money do you wanna make? Now the conversation isn’t about how many shirts do you wanna buy.
Marco P. Yes!
Mark S. How much money do you wanna make? Okay, if you wanna make this, let’s say how many shirts can we sell.
Marco P. Yup.
Mark S. Okay, here’s the profit, you can see like how you price it and then there they send our link and their customers just log in and order.
Marco P. Yup! That’s exactly!
Mark V. Happening in real time. which is very cool because often time with everything else that you’re doing, everyone’s going around and then they all spend hours and hours doing out things, and finding the lost cheques and the missing money and all of this were then all the kids meet in some school assembly or somebody does the math and they say we are into this. Team do you still have, if you do the web thing do you still have to keep lose cash and 3 dimes in a ripped envelope?
Marco P. So you know it kind of goes back to your earlier comment that Marc was, you have a cheque that’s outstanding for you know tons of years here. What’s really need about this is one of the problems of working with schools is payment. Any decorator that’s listening to this, any company is listening to this, every time the school knows exactly what I’m talking about. There could be 60, 90 120 days before you see payment. The problem with that is that you put that money upfront in capital to buy all those shirts, to buy that ink, you know to buy that pre-treatment right; whatever process you use, the thread, you spend thousands of dollars to fulfill that order and you may not see that for three of four months, that doesn’t work for lot of companies. So the way we do it here at Decor Network is actually really cool. We’ve essentially trying to change the table a, in that when the parents go on, they put their credit card, that money is not going to school, it’s going to you. You’re getting that money upfront and now you’re paying that school commission. So you kind of spot the tables here which is really important.
Mark V. Ya. Nice!
Marco P. You can’t keep that money upfront; you seen that money to buy the shirts, to buy the products that you need to pay to your staff, obviously all for you to make your profit and then you train over and give in that money to school now. So you really spot that road, it’s really important that you get the money upfront.
Mark V. And that is so much easier for the school too because you don’t to lie ability, you know it’s hanging around up all that cash.
Marco P. That’s it!
Mark V. That were to have a student or a teacher decide to keep some, you know or lose some or whatever the scoop is and you’re getting it a credit card, or PayPal or whatever it is in advance for your shirts before you deliver them.
Marco P. That’s exactly.
Mark V. You can offer more product now, because if you’re waiting on , if you have to order a lot of things, you know boxes of garments ahead of time, all for one particular thing you know you have to wait months to get paid.
Mark S. Yeah.
Mark V. You probably not going to wanna say well I’m gonna do sweatshirts, and sweatpants, and hoodies and hats and t-shirts. There’s a lot of risk in there and putting all of that together and there’s a lot of work in that compared to when you know that the fund’s gonna come to you directly you can reduce your risk.
Mark S. Listen, I’m gonna do a hard pitch for DTG right now, because in this situation if you get an order for 5 shirts overnight you can pick those 5 shirts and ship that out to the customer.
Mark V. Yup.
Mark S. If you get an order for two hats next night you can print or embroider these hats. You don’t have to be a screen printer and pre plan, ohh I think I’m gonna get and order for 150 at least and have left 10 left over in triple XL.
Mark V. You know what it means, you’re basically printing to order
Mark S. …and you can it.
Mark V. …exactly to the customer if they want to. So you can also give delivery out their hands if you want to as well. If you give that option within the product.
Mark S. But honestly, this wants me to wanna become a school principal just so that I can review this.
Mark V. Really!
Marco P. Let me give you another benefit…
Mark V. It’s heck to kids all day.
Mark S. Well that’s a bell.
Mark V. Okay!!
Marco P. Let me give you another benefit, so, anybody listening to this is always worrying how do I grow in the marketplace, how do I get more clients? Right? And it gave a client to be very expensive, so but just check this out. So let’s just say 70 athletes, right and each one of those 70 athletes sell let’s say you know 5 pieces. So maybe let’s say that somewhere around 300 people that are purchasing. Well, one of things that you could do when you make that agreement with that school, say, “listen, I’ll give you a higher percentage but i get to market to these people and maybe you still marketing more shirts from you know your high school from Tampa high school, whatever it is. Right? And but now also you also got to keep that client and you get to market to that client so put a marketing plan together so that you can say, hey you know last month you bought these shirts, did you know that now we have these hoodies? For example….
Mark V. Yeah…
Marco P. And you start doing that with 3 or 4 or 5, then that’s just one sport. You do that with the football team, you do with the cheer, you with the water polo, you do with all these different school and different sports, and we’re just talking about schools and sports and now you know you talk about the churches and all these other things. Right? But, all of a sudden now you’ve got another 2, 3 4, 5000 additional clients that you’ve earned, not necessarily just through all your efforts but the school’s effort, through the coach’s effort.
Mark S. I love that idea for a couple of reasons. And first of all I’ve a very serious question. Are there really school based water-polo teams? I didn’t realize that things.
Marco P. There are. Absolutely, it’s a big thing here in LA.
Mark V. Very well, in LA.
Mark S. That explains that there are a lot of things that people do LA that they don’t really do anywhere else. So you said something great there, so let’s say you’re the coach of a team and you do, a fundraiser on you know or talking about like coaching and help him out of the fundraiser on tracking field shirts and a couple of things can bottom. On the bottom you could market that your own company, say cut it into you know say well I’ll sell you the shirt a little bit cheaper if on the bottom of that page that I do for you I can put you know a quick hear for more custom apparel options. You know, or you can reach in a agreement with that school and say, ” look I’m going to offer other apparel for your school, I’ll put it on your store and I’ll like you commission on everything.”
Marco P. Yup.
Mark V. And when I’m kind of written down here while you guys were chatting, it kind of know, something kind of can’t get into my head, so you can also build this plan, this marketing plan and pitch this to the organizers, so you say so what we’re going to do for you to help you reach a specific goal but then also keep them funds flowing in…
Mark S. Yeah.
Mark V. …as when you start with the campaign. Okay. And in that campaign you’re going to say you wanna earn 5000 dollars, this is what we’re sell out for, this is what you’re going to make perk, these are all our goals, we’re going to setup a campaign. Within that campaign we’re going to ask folks as they’re checking out if it’s okay if we communicate them with email about further apparel, specific to your school.
Mark S. Ya.!
Mark V. And within that we’re also gonna advice them that the, I’m sorry, within that we will re-market it to those people who already purchased apparel from your store.
Mark S. Ya.
Mark V. So as the weather seasons changes, we’ll offer apparels that’s appropriate for that.
Mark S. Ya…
Mark V. …as the sports seasons change, we’ll offer apparels that’s appropriate for that in addition to general spirit wear and each advice these people that the percentage of all of these sales are going to go back to the school. So, we do a single campaign but you earn $5000 but maybe every month you’re getting in a trickle of 500 dollars or whatever goals you’re setting and you’re taking care of all of that post marketing work for them. So you’re not involved any more unless you want to change something or stop it.
Mark S. Yeah..
Mark V. …and I’ll give you the freedom for me to stop it at any point of time. But as the season changes we’re gonna come out and say hoodies are now available, now that it is the fall time.
Mark S. Yeah.
Mark V. …and so on and so forth.
Mark S. …and that’s regular revenue for the apparel decorator.
Mark V. It’s regular money.
Mark S. Ohh yeah, but you two the school, and the students and the teachers and the parents they’re just gonna know where’d it go.
Marco P. Yes.
Mark S. Everybody’s going to go to the same place to buy this stuff.
Marco P. No, you know those parents well they might be the president of the local chapter of Commerce and also when they meet something there, hey, you know what that baker, that printer.
Mark S. Yeah! that would say
Marco P. When we get the work from them, or maybe that one parent is part of the soft ball team, and they play if on the weekends or when they need shirts who’re they gonna go to? That guy that they remember, that company they work with before, so you know your cost for lead, your cost for client is dramatically lower. If uses this functionality, or you use this nafid in acquiring these contacts versus trying to advertise on Google or trying to advertise in a local newspaper or whatever. That’s just expensive, this is cheap.
Mark S. This is what I love about that is everyone is listening to this podcast, should’ve already listened to the know your numbers podcast that we did. I can’t stress that enough.
Mark V. Yeah!
Mark S. Is imagine go back, and pick a high school that you cut this kind of a deal with and pod that into your know your numbers spreadsheet and figure out what that could mean for the lifetime of your business.
Mark V. And we spoke about in the know your numbers episode I believe did we quote what the R factor or the real factor.
Mark S. Yeah! Real factor.
Mark V. Yeah! I kind of this magic number that you almost have to, it’s an arbitrary number, you have to kind of guess at it.
Mark S. Yeah
Mark V. But, and the example that we used was, one example I can recall what we used was a band from out of town is coming in and they’re looking to get some shirts made to sell at their event…
Mark S. Right
Mark V. …the chances of them sending you referral business is probably low
Mark S. Yeah…because they probably suck anyway.
Mark V. Yeah!!
Mark S. we’re not going a brand.
Mark V. Yeah.. but hey came into town, they ran out of shirts they said hey we need shirts for our fans, figured out you, they say can you make me shirts for our concert on Friday? Sure I can do; you’ll quite never hear from them again so you wanna make sure that that’s a profitable deal for you.
Mark S. Right
Mark V. With this, you’ve got that R factor is high
Mark S. Yet, not only are they gonna keep coming back so the repetition of that process is high
Mark V. Right.
Mark S. Everybody that wears one of those shirts and goes through that process is going to be a potential referral.
Mark V. Yeah absolutely. And there’s a lot too, and then in addition to the concept of you branding your own shirts with your own information; so we have talked about some vinyl like Greek thing that people can do, with vinyl transfer system is to basically make themselves a little mini tag…
Mark S. Yeah.
Mark V. …they can put in the shirt but vinyl, whether there’s a phone number or a web address or your company name and that’s in the shirt where people can look and see, so but that will actually use that. On that concert shirt the chances of somebody looking at that and needing it doesn’t matter, but when it’s for school fundraisers and it sets specific title; when I’m thinking about the band and not thinking about the customer apparel industry.
Mark S. Yeah.
Mark V. I’m thinking about shirts. When I think of a school shirt I feel that they went somewhere locally and got that shirt made, where did they go? The answer can be right there, so if the R factor is high, then.
Mark S. Yeah. I like that a lot. And if you don’t know what Marc’s talking about, it’s because you didn’t listen to this podcast and go back into.
Mark V. and then know your numbers.
Mark S. Yeah!
Mark V. Alright Marco, this is it. It’s back to you. Because we’ve talked about a couple of things here. Can you kind of describe maybe specifically as a custom t-shirt printer embroiderer for example? How does that work for me? Like what am I physically doing?
Marco P. Yeah absolutely! So, we talked about the opportunity, we talked about the amount of potential work out there for you. The question is really is in bags to answer is how will I manage this, you know let’s just say we do get 300 orders. Can I manage this traditionally or yeah of course, you can but it’s costly, it’s very time consuming. So what I’m here to say is we’ve got some incredible tools that Decor Network built around the ability to not only manage that but manage that efficiently. So at Decor Network we know when you sign up if you go to the website, I’ll give you that in just second, but when we go to Decor Network and you sign up, one of the things that you’ll find is on our stored level, you’re gonna get the ability to create not only your one store which will be your store but also you can align an additional stores. So you can go to the schools and you can to the teams and you can build that. What’s really great about that is you can build these and fill these up stores or campaigns first to different things but you can build these parents go on there and they order. Let’s just say you’ve 300 orders, okay great. Well traditionally getting that means that the coach is gotta give you all this money, he’s gonna give you all these order forms and you have to try to make sense of all that. Forget about that, because you’re going on to these affiliate stores or campaign stores, that order is actually going into your back and it’s going into your business hub which is included in R levels. That business hub that we’ve talked about, let it be, thus consolidate all your orders, let’s say, hey listen, you’ve got 300 orders, you need to order these ideal from San Mar, rest of the answer whoever it is. It’s actually like all these orders guys it’s gonna automatically say hey listen, order these 500 shirts from this company, these sweatshirts from this company, and through our system not only does it consolidate all these orders, which is right there almost save you hours and hours of work.
Mark V. Yeah!
Marco P. But, yeah, if you do use like company exam or San Morris, we actually have live ordering through them. So what that basically means with a click of a button it will digitally send them that order. So, it consolidates it, it orders it. When those orders come in, when you receive those, hey and now it goes into production mode. And so whoever is in your production, they gain and they could see their orders and they could process those orders, you can download the artwork and if they need to download the artwork.
Mark V. So, what you just said was you don’t have to do anything. So because once the school store or the campaign is setup, the customer’s going to place their own order.
Marco P. Yup!
Mark V. The system is going to order the blanks by itself. And somebody doing to actual printing or embroidery or whatever it is for you then they can go in there and see what the orders are for today and just take care of them.
Marco P. That’s it.
Mark V. And in addition to that, you can also it can even be like GHS, keep your high school, GHS peerwhere.com could be the url that used to…
Mark S. … that’s what people do.
Marco P. Absolutely!
Mark S. …which is, that’s very cool.
Mark V. Yeah, it’s huge.
Mark S. Okay!
Marco P. So you, the thing is with the opportunity if you get one sport and also in that sport series, the coach series, they did well and talk to another coach and then you get another sport, and then you get another sport, and then you get another sport , and then you get another school. You know, other opportunities for fundraising, it becomes or it can become quite overwhelming and so you if you don’t have the right tools, well the opportunity is absolutely 100% there, the opportunity can also create a vacuum in that you can’t even imagine and then you create that bad experiences for that coach, in then they don’t kind of wanna do this. So it’s really important that you get tools barely on than you prepare for this, because you don’t wanna try preparing for this as you’re getting these orders because it’s too late at that point.
Mark S. Right.
Marco P. You wanna prepare for it; so, what I encourage their way do is to go to ColDesi.DecorNetwork.com to begin that ColDesi.decornetwork.com and there’s a video on there, you can see the video, there are more videos that goes through Decor Network and what it could do for you. Obviously, in this conversation we’ve already talked about fundraising but there’s so much more that you can use…
Mark S. Yeah!
Marco P. …Decor Network for and you know you could sign up online, we don’t have any contracts that says month to month, we have a setup fee, it has stores level does in fact give you those 100 tools stores that you can have. So, all the tools that you need are brought into it and invest a little time to know it, to get to you know your product setup, your pricing setup and then you know what guys it’s at that point the doors are open for you to you know start building on this business model.
Mark S. And, it’s a big deal and I appreciate everything you said there Marco because we’re talking about 2 different things. We’re talking about the size of the market and the amount of money that an apparel decorator can make period in the fundraising style of business. Right! Which is working mostly with public organizations to instead of selling stuff that people don’t really want, to stop that people will want and will actually you know wear out on regular basis.
Marco P. Yup!
Mark S. And, then we’re talking about how you can do that more easily and more efficiently for both the customer which is the school, or the coach, or the principal or the church or whatever it is and for the apparel decorator.
Marco P. That’s it.
Mark S. Okay! And I think that 28 is going to be a pretty big year.
Mark V. Yeah!
Mark S. And, you know, for this year’s podcast, you know being 28 I think our goal here was to kind of introduce the fundraising market to our audience and describe how big an opportunity, a large win opportunity, for them the make money is. I think we wrapped it up really nicely into how it’s great for the introduce your customer to.
Mark V. Yeah! I think this is encouraging.
Mark S. Yeah.
Mark V. This is really encouraging because there’s a we confidently talk about this in video, this is my Custom Apparels Startups Facebook Group and with our customers at Colman and Company we may call online people are asking you know how can I grow my business differently; how can I do more, I’m having a hard time with XYZ,
Mark S. they hid a slow spot.
Mark V. Yeah!! And they hit, or they hit these walls where there, there’s not enough automation built into their business so they’re kind of getting into, you know that thing that happens with businesses, you’re working. The amount of time you can actually do the work and sell and handle…
Mark S. they physically can’t grow anymore.
Mark V. Yeah! They feasibly can’t grow anymore and when you’re setting up things and you’re in the fundraising market you get a lot. So this is why it is encouraging to me. You know, for one you’re actually helping people which is cool.
Mark S. Yeah!
Mark V. You know that’ just great as the fact that you know that you can actually make a physical difference in the school or sport or youth group or you know, even if it is a dull soft ball doesn’t matter who it is that you’re feasibly helping some people raise some money or charities. You are getting this revenue string that you can make consist.
Mark S. Yes!
Mark V. If we talk of remarketing and these campaigns or having a high R factor customers.
Mark S. Yeah!
Mark V. And then if you’re using something like Decor Network or if you already have something already setup in your business you’ve got automation built in, which means it’s less work. Then just say if we use the same idea of talking orders by hand, whether it’s chocolate or t-shirts.
Mark S. Right
Mark V. You’ve got automation. So all of those things together is does extremely encouraging to me when I think about a small bushiness trying to take things to the next level.
Mark S. Yeah! You could actually make more money more easily and that work is hard. You know maybe cut a few hours off a every day.
Mark V. How about that?
Mark S. How about that, that’ll be weird…
Mark V. yeah! Coz you do all of this so you can go to your kids softball game.
Mark S. Right! Instead of being busy printing shirts or…
Mark V. Yeah!
Mark S. …spending all of your profits buying candles and chocolates.
Mark V. That’s where you go.
Marco P. And you know guys, it’s really all about efficiencies and I appreciate what you just said because that’s exactly right, that all about efficiencies and you know you can grow but you probably can’t grow at the rate you’re growing if you using all end acquainted ways of doing business. You know there’s better tools out there and you know I think Decor Network is certainly is lead premier tool for that. So give us a short little tip, look at us and see you know give us a call, let’s talk a little bit more about how we can help with those efficiencies and just process in an order. Really quick guys, if you don’t mind I’m gonna give you this quick tip..
Mark V. Yeah!
Marco P. You know people they use businesses hub to process orders . On average we did a pole and we did all, I think Marc and I had spoken about this. And our finding were that on average clients saved about 70% of their time when they did or ordered through business hub versus the traditional way of doing it in the industry. So 70% of their time saved in just processing an order.
Mark S. Yeah!
Mark V. So, again you can do all this. There’s so much you can do but you gotta look at your efficiencies before you even get started.
Mark S. yes. So I’ve got some homework for all of you guys out there that are listening and the first one is to go check out ColDesi.DecorNetwork.com and the second one is to kind of write down the potential markets that you see , if your kids at baseball if your neighbor does football, if you church has fundraising events. Just look for the obvious opportunities and start thinking how you might take advantage of those.
Marco P. Probably.
Mark S. Make sure that you go back and listen to know your numbers podcast so you can really appreciate the size of the opportunity on the ongoing basis. If you ran somebody’s school or organizations as a customer. and then I want you to find out say if podcast is 28 years old. I don’t know why that 28th episode’s all, I don’t know why it’s appearing to be much today.
Mark V. What went down?
Mark S. That it is. Okay. So you’re going to spend some time trying to figure out how you can inject a little bit more profit for you in the conversation.
Marco P. Well guys congratulations on episode 28, you guys are doing great job and the education that people are getting of these efforts that you guys are doing is incredible, so congratulations.
Mark S. Thanks for being a part of it and if you know anyone else named Marc or Marco, or with the base of their name as Marc, we’d love to have them on our podcast.
Mark V. Yeah! If could all 4 of us do it.
Mark S. Just Mark, Marc, Marco and Marcel.
Mark V. I mean my name is Marcelino some of you did not know that but I go by Marc.
Mark S. That’s probably best.
Mark V. We can try Marc S. I didn’t know Marc S might be interested.
Marc S. I don’t care just bring in.
Mark V. Okay… Then here we go!
Mark S. Thanks guys!
Mark V. Thanks Marco from Decor Network, I appreciate it.
Marco P. My pleasure it is.
Mark S. Thanks for all of you listening to the customer CAS podcast episode number 28. Feel free to share, come see us on the CAS Facebook page.
Mark V. Yeah! This is Marc Vile here from Colman & Company…
Mark S. …and Marc Stevenson from ColDesi. You guys have a good business.