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Thread: How are you monetizing your laser?

  1. #31
    [QUOTE=Martin Boekers;2316952][QUOTE=Kevin Gregerson;2316887]

    I've only got about 5 clients who are successful with the machine by itself.

    The customers I have making that kind of money from the machine are Machine shops, Converters, retail sign shops, large volume marking, cutting, and ablating/marking operations.


    Kevin, I'm a bit confused.... Do you own your own a laser engraving business, or do you sell lasers? From your quote it sounds like you sell lasers... I think if you're are a salesman or manufactures rep you
    have to post it in your signature block. It really sounds more like your selling than engraving.... Anyone here making a $1000.00 + Plus an hour please rise.....

    My sign says I do technical application and service for one of their channel partners which is more or less the technical portion of a sales process setting up a production line or finding the solution that gets a customer up and running. I'm pretty familiar with the details and I'm still learning about other solutions. Because at the end of the day there really are no bad lasers per se but bad application analysis that leads to getting the wrong solution. My education online is purely about helping people figure out what they want to do and how to figure out which machine they want because there is nothing I hate more than coming across a customer with ten bandaids ontop of the existing piece of equipment just to make it work and one of them failed which requires sorting out the ten bandaids and the system to figure out what happened.

  2. #32
    My Grandfather taught me another adage...

    "Jack of all trades is a master of none"

    cheers

    Dave
    You did what !

  3. #33
    Quote Originally Posted by Lee DeRaud View Post
    Originally Posted by Kevin Gregerson

    ...the only exception being the dude who bought it as a toy.


    Wait, there's another one?!?

    I bought the laser as a pre-retirement gift to myself nine years ago. Still a toy...a very cool toy, but a toy nonetheless.
    I occasionally sell stuff that was made using it, but that was not the point of the exercise.
    My dad became a machinists mate in the Navy in WWII. After the war he was a machinist at Hill Field. One day the boss needed a few people to learn to run a few Gorton pantographs. My dad thoroughly enjoyed engraving. In the late 50's he got on at Litton as the machinist's floor supervisor. Litton just happened to have a small Scripta pantograph up in a loft, and dad used it to make desk, wall and cubicle signs and name badges for everybody. He took me in one day when I was about 6 years old, he showed me where he worked, all the machines, introduced me to his co-workers, then took me upstairs where I watched as he engraved a couple of wall signs. That day is still etched in my memory.

    In 1966 he bought himself a Scripta pantograph, "for fun". He didn't do a whole lot with it for the first few months, but one day one of his old co-workers who'd changed jobs needed some aluminum ID labels engraved. That's when it started. Those ID labels came in regularly for years. Only a few at time, and only a few times a month, but it was steady. But other jobs came in because of those plates. And other co-workers who'd moved on. One job from Litton netted my dad twice the money of his monthly paycheck in half the time. That was the day my mom forgave him for buying 'that stupid machine'. The engraving business was part-time until the early '70;s, when yet another old co-worker called, he was working for a medical computer mfr, and he needed someone to fabricate plex CRT covers for the monitor bezels, and engrave and paint their logo on them. About that time he bought a used Gorton 3U deep throat pantomill, as he started getting calls about engraving injection molds. Around 1974, another old co-worker now working for Univac wondered if we could engrave computer keycaps. That's when all hell broke loose. Within a few months every computer builder in the valley found out about us, dad had to buy a bunch of NH IRX-IV pantographs, and everyone in the family had to learn to run the things to keep up with the demand. Cousins and sisters were hired to help with painting the keycaps. Me, and 2 brothers-in law had pantographs at home. Dad's job was making us masters on his old Gorton in between engraving injection molds for every machine shop in the valley. Here's a framed press release pic System Concepts gave us, circa 1976, of their flagship 'Character Generator". Love the cassette drive!

    Attachment 297699

    In 1981 we bought our first Concept 2000 computerized engraver. Wow, talk about an easy way to engrave keycaps! We bought a second Concept a year later, and I taught my BIL to use it. He's using it to this day... The keycap business abruptly stopped when IBM and Microsoft ended the need for proprietary keyboards. This happened at the same time mortgage interest was 14%. Times got rough. I soon learned to engrave metals and whatever else would fit on the Concept. In 1989 we got our first Vanguard 5000XT, then the 5000, the V3400 orbiter, another 5000XT, and another V3400.. etc, etc...

    In 2001 I got tired of phone calls asking if we did laser engraving, so my NH rep sold me his old Optima (ULS) demo unit for $5 large, and suddenly I was awash in black anodized aluminum and stainless steel jobs. Soon to follow was switching over most of the laminate work from tool engraving to laser. Wasn't long before the poor ULS couldn't keep up with the work, so I got the LS900. And it's been right busy its own self the past 10+ years. The laser work has been good enough I decided to buy my Triumph 'Dumpster' (my name for it, its crate was exactly 4 cubic yards, the same as a small dumpster!)...And I'm considering buying a 4th laser. Right now I'm setting up a bunch of duck calls to be lasered in the LS900, the ULS is currently engraving a ton of SS cover plates, the Triumph will soon be lasering a load of cowbells, and each machine has jobs to follow those... my other machines are doing tool engraved cowbells, injection molds, AR lower receivers, ski-lift platform warning plates, laminate labels, and a motorola 2-way radio...

    Sorry for the life's story, but this is how I 'monetize' my laser, and everything else. For as long as I can remember I've had work up to my eyeballs. As you can tell, I'm not a "trophy shop". Most of my customers are businesses, and many of my customers are other engraving shops, I get what they can't or won't do. And-- with the exception of our name (not an ad) being in the yellow pages several years ago, and my lame web page which exists mostly as a photos-of-what-I-do webpage, we have never advertised. Thanks to search engines, my page does show up occasionally- And every so often I take down my webpage because of it-- too much work!

    --- and this all started because my dad bought an engraving machine "for fun". You only live once....
    Last edited by Kev Williams; 10-01-2014 at 6:29 PM.
    ========================================
    ELEVEN - rotary cutter tool machines
    FOUR - CO2 lasers
    THREE- make that FOUR now - fiber lasers
    ONE - vinyl cutter
    CASmate, Corel, Gravostyle


  4. #34
    Quote Originally Posted by Kev Williams View Post
    My dad became a machinists mate in the Navy in WWII. After the war he was a machinist at Hill Field. One day the boss needed a few people to learn to run a few Gorton pantographs. My dad thoroughly enjoyed engraving. In the late 50's he got on at Litton as the machinist's floor supervisor. Litton just happened to have a small Scripta pantograph up in a loft, and dad used it to make desk, wall and cubicle signs and name badges for everybody. He took me in one day when I was about 6 years old, he showed me where he worked, all the machines, introduced me to his co-workers, then took me upstairs where I watched as he engraved a couple of wall signs. That day is still etched in my memory.

    In 1966 he bought himself a Scripta pantograph, "for fun". He didn't do a whole lot with it for the first few months, but one day one of his old co-workers who'd changed jobs needed some aluminum ID labels engraved. That's when it started. Those ID labels came in regularly for years. Only a few at time, and only a few times a month, but it was steady. But other jobs came in because of those plates. And other co-workers who'd moved on. One job from Litton netted my dad twice the money of his monthly paycheck in half the time. That was the day my mom forgave him for buying 'that stupid machine'. The engraving business was part-time until the early '70;s, when yet another old co-worker called, he was working for a medical computer mfr, and he needed someone to fabricate plex CRT covers for the monitor bezels, and engrave and paint their logo on them. About that time he bought a used Gorton 3U deep throat pantomill, as he started getting calls about engraving injection molds. Around 1974, another old co-worker now working for Univac wondered if we could engrave computer keycaps. That's when all hell broke loose. Within a few months every computer builder in the valley found out about us, dad had to buy a bunch of NH IRX-IV pantographs, and everyone in the family had to learn to run the things to keep up with the demand. Cousins and sisters were hired to help with painting the keycaps. Me, and 2 brothers-in law had pantographs at home. Dad's job was making us masters on his old Gorton in between engraving injection molds for every machine shop in the valley. Here's a framed press release pic System Concepts gave us, circa 1976, of their flagship 'Character Generator". Love the cassette drive!

    Attachment 297699

    In 1981 we bought our first Concept 2000 computerized engraver. Wow, talk about an easy way to engrave keycaps! We bought a second Concept a year later, and I taught my BIL to use it. He's using it to this day... The keycap business abruptly stopped when IBM and Microsoft ended the need for proprietary keyboards. This happened at the same time mortgage interest was 14%. Times got rough. I soon learned to engrave metals and whatever else would fit on the Concept. In 1989 we got our first Vanguard 5000XT, then the 5000, the V3400 orbiter, another 5000XT, and another V3400.. etc, etc...

    In 2001 I got tired of phone calls asking if we did laser engraving, so my NH rep sold me his old Optima (ULS) demo unit for $5 large, and suddenly I was awash in black anodized aluminum and stainless steel jobs. Soon to follow was switching over most of the laminate work from tool engraving to laser. Wasn't long before the poor ULS couldn't keep up with the work, so I got the LS900. And it's been right busy its own self the past 10+ years. The laser work has been good enough I decided to buy my Triumph 'Dumpster' (my name for it, its crate was exactly 4 cubic yards, the same as a small dumpster!)...And I'm considering buying a 4th laser. Right now I'm setting up a bunch of duck calls to be lasered in the LS900, the ULS is currently engraving a ton of SS cover plates, the Triumph will soon be lasering a load of cowbells, and each machine has jobs to follow those... my other machines are doing tool engraved cowbells, injection molds, AR lower receivers, ski-lift platform warning plates, laminate labels, and a motorola 2-way radio...

    Sorry for the life's story, but this is how I 'monetize' my laser, and everything else. For as long as I can remember I've had work up to my eyeballs. As you can tell, I'm not a "trophy shop". Most of my customers are businesses, and many of my customers are other engraving shops, I get what they can't or won't do. And-- with the exception of our name (not an ad) being in the yellow pages several years ago, and my lame web page which exists mostly as a photos-of-what-I-do webpage, we have never advertised. Thanks to search engines, my page does show up occasionally- And every so often I take down my webpage because of it-- too much work!

    --- and this all started because my dad bought an engraving machine "for fun". You only live once....

    Awesome life story, I'm curious though, how much did you pay for that LS900? The team has a customer looking to trade theirs in and no one knows what they are pricing for.

  5. #35
    Join Date
    Nov 2011
    Location
    Los Angeles
    Posts
    178
    I bought my laser in July of 2012. A Trotec Rayjet 300 with 80 watts of power. I have been in business for 36 years, in the rubber stamp and engraving business. I had wanted a laser for the last 8 years but the price was beyond what I could afford. Prices came down and I had the money to make the investment.

    For the first two months all I did was melt and set things on fire. After about four months people found out that I owned a laser and that I manufacture a particular product.

    My laser runs 8 hours a day, every day except Sunday when it runs about 4 hours.

    I have not analyzed my profit ratio per hour. I do know that my laser has brought in well over $90,000 in revenue in two years and has allowed me to compete in a new market that I was not able to be in before. I manufacture rubber stamps also and that has been exceptionally profitable.

    Thrilled to have my laser and happy that it brings in revenue in an area that I could not compete in before. I should be at the factory now with it running but I do have to sleep a few hours a day.

    Robert
    Robert Tepper
    Trotec Rayjet 300/80 Watt
    Dahlgren 500 Engraving Machine, CNC Engraving Machine
    Pad printer with 5 3/4 x 5 3/4" print area
    Jackson Vulcanizers, 15 x 24", three total
    Hegner Scroll Saws, 14", three total

  6. #36
    Join Date
    Aug 2006
    Location
    Suwanee, GA
    Posts
    3,686
    Quote Originally Posted by Robert Tepper View Post
    My laser runs 8 hours a day, every day except Sunday when it runs about 4 hours... well over $90,000 in revenue in two years
    Robert - you might want to run the numbers yourself - $90,000 / 5424 = $16.59/hour - 5424 hours is 2 years of 6 days at 8 hours and 1 day at 4 hours. It may be bringing in revenue but that's not very profitable.

  7. #37
    He said well over, I'd expect that means it's paid for itself. Plus with the way lasers run, operators typically run more than just the laser

  8. #38
    Join Date
    Mar 2014
    Location
    Iowa USA
    Posts
    4,484
    Quote Originally Posted by Gary Hair View Post
    Robert - you might want to run the numbers yourself - $90,000 / 5424 = $16.59/hour - 5424 hours is 2 years of 6 days at 8 hours and 1 day at 4 hours. It may be bringing in revenue but that's not very profitable.
    40 hour work week usually 2,000 hours a year comes out to $22.50 Hr, not that shabby. I think he said that was in added income.
    Retired Guy- Central Iowa.HVAC/R , Cloudray Galvo Fiber , -Windows 10

  9. #39
    Join Date
    Aug 2006
    Location
    Suwanee, GA
    Posts
    3,686
    Quote Originally Posted by Kevin Gregerson View Post
    He said well over, I'd expect that means it's paid for itself. Plus with the way lasers run, operators typically run more than just the laser
    OK, let's double it to $180,000 - that would be just over $33/hour. How does that seem profitable? Especially compared to your $2,600/hour people...

  10. #40
    Join Date
    Aug 2006
    Location
    Suwanee, GA
    Posts
    3,686
    Quote Originally Posted by Bill George View Post
    40 hour work week usually 2,000 hours a year comes out to $22.50 Hr, not that shabby. I think he said that was in added income.
    He said 8 hours a day plus 4 on sunday - that's 5425 for two years...

  11. #41
    Bill
    40 hour work week usually 2,000 hours a year comes out to $22.50 Hr, not that shabby
    .
    You confirm the point I made earlier.
    Mike Null

    St. Louis Laser, Inc.

    Trotec Speedy 300, 80 watt
    Gravograph IS400
    Woodworking shop CLTT and Laser Sublimation
    Dye Sublimation
    CorelDraw X5, X7

  12. #42
    Just spoke to an old Uni buddy who now works at ESS0343 as a grade 6 manufacturing tech, he's off to buy a ULS as the figures mentioned are far higher than his salary

    cheers

    Dave
    You did what !

  13. #43
    Quote Originally Posted by Kevin Gregerson View Post
    Awesome life story, I'm curious though, how much did you pay for that LS900? The team has a customer looking to trade theirs in and no one knows what they are pricing for.
    I just dug up the pictures, it arrived 12-7-04. (I thought we got it in '03, like it, I'm gettin' old!)

    It was a year-end deal, and the last model without USB connections, and I got a few grand off. I don't remember exactly what I paid, around $18k I think. I believe it MSRP'd at $22k with the 40w tube.
    ========================================
    ELEVEN - rotary cutter tool machines
    FOUR - CO2 lasers
    THREE- make that FOUR now - fiber lasers
    ONE - vinyl cutter
    CASmate, Corel, Gravostyle


  14. #44
    Quote Originally Posted by Gary Hair View Post
    OK, let's double it to $180,000 - that would be just over $33/hour. How does that seem profitable? Especially compared to your $2,600/hour people...
    It's really not in comparison, but my 2600 an hour people will make that 4 hours of a day and that includes the cost of the materials. I'm betting the profit margins are somewhere in the range of 800 per hour. Still much higher, but in regards to lasers if you can keep a machine running 8 hours a day you can lower the margins. I'm betting that for him that 33/hr was profit after costs of running it. In which case you are looking at a likely 60-80 an hour which is about the bottom line of machine time cost.

  15. #45
    Many years ago I had a cousin who worked at a battery place. Small place, just an old filling station. He and one other guy were the only employees, together they worked about 60 hours total. One day I asked him how many batteries he sold. He told me from 2 to 8 a day was average. After doing a little math in my head, I said "how does the owner make any money? He's only netting 3 or 400 on batteries, BEFORE paying you guys and overhead! I figure he's only making a couple hundred a day, if that!"

    My cousin said "yeah, sometimes less. But the guy owns over 1200 of these places..."

    Profit is what you make of it, I guess!
    ========================================
    ELEVEN - rotary cutter tool machines
    FOUR - CO2 lasers
    THREE- make that FOUR now - fiber lasers
    ONE - vinyl cutter
    CASmate, Corel, Gravostyle


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