So, it's a new year - time for resolutions and fresh starts. Will 2015 be the year you finally get control over your print and fulfillment costs?
According to the American Marketing Association, as much as 90% of all marketing collateral is never used.
An estimated 10% to 30% of this waste is due to obsolescence.
Another 30% can be attributed to lack of customization.
As for the rest? Chalk that up to redundant, ineffective and unused marketing materials, as well as simply printing too much.
There's no better time than the beginning of a new year to fix the disconnect between the materials you produce and what you actually need. You have your entire budget in front of you. Wouldn't you like to wring the waste out of what you spend on print?
Out With the Old
Tackling inventory problems is like cleaning out the attic. You know what I'm talking about. You're not really sure what you're going to find there, let alone what to do with it.
In the spirit of the New Year, start by disposing of your obsolete materials.
I know - it's hard to throw away inventory that represents a sizeable chunk of your previous year's budget.
But the cost of storing materials you're not using can mount up quickly, while the cost of using materials that are inaccurate, outdated and/or out of compliance can be huge. Consequences can range from loss of credibility and brand reputation to regulatory fines and penalties. Can your company afford that?
Take Stock of Current Practices
Next, take some time to get a good understanding of your current print and fulfillment practices. What are you spending, where and - critically - why? To answer those questions, you need to review usage patterns for your remaining materials. Take a look at data like:
Real-time inventory levels
Orders by stock number
Average daily use
Usage by month
Order frequency
Seasonal or other order frequency fluctuations
Days on hand
Orders by user, department, division and/or region
Reasons/intended use for materials ordered
Reorder rates
Review/expiration/destroy dates
Backorder rates
Rush reprint and shipping charges
If possible, look at several years of historical data. This analysis will help you pinpoint problem areas and gain insight into which materials you'll need in the future, as well as those that are candidates for revision or elimination. Usage, order and shipping patterns can also help you decide whether materials are best produced using offset or digital print technology.
Remember, the journey of a thousand miles begins with a single step. By taking this first step to better inventory management, you're starting on a path that, ultimately, can save you 30% to 40% of your current print spend.
For more tips on reducing the cost of your marketing collateral, download 7 Steps to Optimizing Your Print and Fulfillment Program.
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So, it's a new year - time for resolutions and fresh starts. Will 2015 be the year you finally get control over your print and fulfillment costs?
