What is Print-on-demand & How Does It Work in a Nutshell
Print-on-demand is one of the most popular e-commerce business models. It is reshaping the e-commerce landscape with rapid growth. In this comprehensive article, let’s find answers to “What is print-on-demand exactly? How does it work? And is it the perfect fit for your entrepreneurial journey?”
Key Takeaways
- Print-on-demand is an industry where merchants can sell custom print products online without inventory, factory, and delivery.
- The POD works in 3 steps: design creation, order placement, and order fulfillment.
- Artists and entrepreneurs can benefit most from print-on-demand.
What is Print-on-demand?
The print-on-demand market is expected to grow fast at a CAGR of 27.8% from 2024 to 2033., The market value was $5.1 billion in 2023, potentially reaching $59.3 billion by 2033 (Market.us). Are you curious about this trending business model? Let's discover now!
Print-on-demand Definition
Print-on-demand is an industry where online merchants and fulfillment providers work together to provide custom products to customers. It allows merchants to offer a wide range of personalized items without managing inventory or handling shipping logistics.
Most people now explain a print-on-demand business that it’s an online store where merchants showcase custom designs for white-label products. Print-on-demand business types are more diverse. It includes fulfillment companies and vendors that provide e-commerce applications, printing technology, and related services.
What Are Print-on-demand Products?
A print-on-demand product is a custom-made item that results from a merchant’s design applied to a provider’s white-label product. These products are incredibly varied. Here are some of the most popular categories:
- Publishing & paper printing: books, gift cards, calendars, notebooks, and posters.
- Apparel & accessories: t-shirts, hoodies, socks, leggings, tote bags, and more.
- Jewelry: necklaces, bracelets, rings, etc.
- Homeware and decor: mugs, wall art, acrylic plaques, throw pillows, candles, and more.
- Pet products: tags, bandanas, beds, bowls, and pet clothing.
Take this product as one of the print-on-demand examples:
A custom print-on-demand wall art with Scrabble personalization
Industry insights: The best print-on-demand niches revolve around products with a high level of personalization, particularly for t-shirts, necklaces, mugs, wall art, acrylic plaques, door mats, and pet products.
The Evolution of Print-on-demand in E-commerce
Print-on-demand has come a long way since its inception in the publishing industry during the 1990s. From printing books on demand, the concept has expanded to encompass a wide range of customizable products. Customer needs, advancements in digital printing technology, and e-commerce platforms drive this development.
Print-on-demand is indeed a legitimate business model that has gained significant traction in recent years. It has been embraced by major e-commerce platforms and marketplaces like Shopify, Etsy, Amazon, WooCommerce, etc.
Print-on-demand is most popular in countries with well-established e-commerce infrastructures and high internet penetration rates. The United States leads the pack, followed closely by the United Kingdom, Germany, Australia, Canada, and other European countries. These markets offer a combination of tech-savvy consumers, efficient logistics networks, and an online shopping culture.
How Does Print-on-demand Work?
Let's break down the steps involved and explore the key players in the POD ecosystem.
The Print-on-demand Process Step-by-Step
In a print-on-demand business model, there are three main parties: merchants, customers, and fulfillment providers. Here's how print-on-demand works:
- Design creation: Merchants create designs for various products using design software or templates provided by POD platforms. Then merchants upload these designs to their online store.
- Order placement: When customers visit a POD online store and love a product and design, they place an order.
- Order fulfillment: Merchants send that order to their fulfillment providers. Providers print designs on the corresponding product, package it, and ship it to customers.
A merchant needs to publish designs to his/her store
💡 You may also like: An Overview of Print-on-demand Design Copyright
Popular Print-on-demand Sites and Services
In the print-on-demand industry, there are a variety of services, including
- E-commerce sites for listing POD products: Shopify, Etsy, Merch by Amazon, WooCommerce, etc.
- POD companies with fulfillment services: Printful, Printify, merchOne, Gelato, ShineOn, MarketPrint, Dreamship, CustomCat, etc.
- POD apps and software: Teeinblue Product Personalizer for customizable products, Order Desk – a fulfillment solution, etc.
Industry insight: Print-on-demand works in the same process on most e-commerce sites like Shopify, Etsy, and Amazon.
Popular Customization Printing Techniques
There are various printing techniques in the print-on-demand industry, each suited to different products and design requirements:
- Screen printing: ideal for t-shirts and other fabric items. It offers vibrant colors, durability, and quick production, making it perfect for bulk orders of the same design.
- Direct-to-garment (DTG): excellent for complex, multi-colored designs on apparel. It makes detailed and photorealistic prints. It is cost-effective for small-batch orders.
- Sublimation: best for all-over prints on polyester fabrics and hard surfaces like mugs and phone cases. It provides vivid and long-lasting colors that won't fade or peel.
- Embroidery: for hats, polo shirts, and bags. The final product has a premium look and durable textured finish.
- Engraving: for personalizing metal or leather items like jewelry, keychains, and wallets. It creates a permanent, elegant customization.
- More cutting-edge technologies: direct-to-film (DTF), UV printing, dye sublimation, eco-solvent printing, and more.
Print-on-demand vs Other Online Business Models
To better understand the advantages and challenges of print-on-demand, let's compare it with other popular online business models:
| Model | Benefits | Challenges |
| Print-on-demand | Low upfront costs ✓ No inventory management ✓ Customization options | Lower profit margins ▪️ Limited control over product quality ▪️ Shipping times can be longer |
| Fulfill yourself | Higher profit margins ✓ Full control over quality ✓ Faster shipping times | High upfront costs ▪️ Inventory management required ▪️ Storage space needed |
| Inventory | Bulk discounts on products ✓ Faster shipping times ✓ Control over quality | High upfront costs ▪️ Risk of unsold inventory ▪️ Storage and management costs |
| Dropshipping | Low startup costs ✓ Wide product range ✓ Location independence | Low profit margins ▪️ Limited control over fulfillment ▪️ High competition |
| Digital products | High profit margins ✓ Instant delivery ✓ Scalable | Piracy concerns ▪️ Constant updates required ▪️ Limited perceived value |
| Affiliate marketing | No product creation needed ✓ Low startup costs ✓ Passive income potential | Dependence on others' products ▪️ Commission-based income ▪️ Highly competitive |
💡 You may also like: Discover 12 Pros and Cons of Print-on-demand (for Merchants)
Frequently Asked Questions: Print-on-demand Business
Is print-on-demand easy for e-commerce entrepreneurs?
Print-on-demand offers a relatively easy entry point for e-commerce entrepreneurs. The model eliminates many traditional business challenges like inventory management and upfront production costs. However, success still requires effort in design creation, marketing, and customer service.
How much money can you make with print-on-demand?
According to Printful, the average profit margin for print-on-demand products ranges from 30% to 40%. Earnings from print-on-demand can vary widely. Some sellers make a few hundred dollars a month, while others build six-figure businesses. Your income potential depends on factors like your niche, marketing efforts, and most importantly – the quality of your designs.
Is print-on-demand free to start?
While print-on-demand has low startup costs compared to traditional retail, it's not entirely free. The initial costs of print-on-demand typically include expenses for design tools, website hosting, possibly marketing, etc. However, you don't need to invest in inventory or production equipment. The cost to start can be as low as $500, making it accessible for many aspiring entrepreneurs.
How to start a print-on-demand online shop?
Starting a print-on-demand online shop involves 7 key steps:
- Choose your niche
- Research target audience
- Select a POD platform to sell on
- Create your designs
- Set up your online store
- Price your products
- Market your store
💡 Inspiration station: Top 10 Print-on-demand Store Examples Worth Learning
Which niche should you choose to sell print-on-demand?
Personalized print-on-demand products are now in high demand and high profit. Best-selling products offer live personalization options for text, photo upload, illustrations, and maps.
To streamline the personalization process and boost your sales, consider using tools like Teeinblue Product Personalizer. This app allows customers to customize products directly on the storefront. You can enhance their shopping experience and potentially increase conversion rates.
Whether you're an artist looking to monetize your creativity or an entrepreneur seeking a flexible business model, print-on-demand could be your gateway to e-commerce success. Hope this article provides you with comprehensive basics of “What is print-on-demand”. Wishing you great success on your journey!
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