How are you monetizing your laser?

[Martin Boekers]

[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. [Quote]


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.....

[Scott Shepherd]

Marty, I think he's said it before, I think he said he retired from selling Universal Lasers.

[Dan Kozakewycz]

Mine is predominantly used as a tool to produce my blueprint artwork. Earlier this year via crowdfunding, that artwork raised enough in 6 weeks to buy a Trotec Speedy 100 outright, so I'd say that product alone is enough of a money spinner.

As a sideline, I will be offering the usual 'for hire' services in the local vicinity (on an island, no other competition to my knowledge), as well as making odds and sods as a hobby.

Maybe in future the 'for hire' side will overtake the blueprints... who knows.

All I know at the moment is, it feels like I'm working my arse off for no money because all that money is in the machine sitting next to my desk. Hopefully next year I'll start earning from it.

[Keith Colson]

I am enjoying reading this thread. Right now my laser only runs about 6 hours a week but it always runs at a minimum of 65 per hour. What I would like is to get that up to 15 hours a week. Primarily it is a tool that goes with the rest of my services. e.g. I can laser cut an enclosure, gears or printed circuit boards quickly. I also do a bit of optic work which is good too.

What I would like is to find some more high end work or make some products that I can turn over. I have some ideas and have tried a few things but have not made much progress yet. Any ideas?

I like working with the laser cutter so the more laser work I do the less "other work" I will have to do which would be nice. I have only had my machine for about 9 months and I got it for a song, so there is no rush on the payback. The most important thing to me is variety and joy in my work.

Cheers
Keith

[Dave Sheldrake]

Make something people don't need but want Keith,
People will always try to save money on what they need but will often exceed budgets to get what they want,
Don't fight your way to the bottom of the price bracket,

The one thing you have is enjoyment of what you do and that is worth more than money can buy trust me getting bigger and having the monster machines isn't always what it's made out to be or I wouldn't be sitting here at gone 4am doing paperwork for the office that I'm due back into in 4 hours and I haven't been home yet.

cheers

Dave

[Jay Selway]

I don't think the question should be "how do you monetize your laser?" but "do you think I can make money doing X, Y, Z?"

The laser is a tool. You're the business.

Yes, I understand that. I know how I'm going to use this tool as part of my arsenal, I merely was curious what other people were doing.

Sheesh.

[Jay Selway]

Thanks for all the great replies. Great to see everyone's different uses.

Personally, I'm going to be developing a line of products to sell, with a chunk of profits going to help kids with brain cancer and their families. I'm betting that people will pay a little more for high-design if it's for a good cause

I've also been looking at partnering with high end creative production studios. I regularly contract them through my job (I'm a creative director at an agency) and it seems to be an underserved market.

Mostly though, I'll be making art that hopefully people will buy.

[Mitchell Tutty]

I think the biggest mistake for anybody running a business is limiting themselves to "a line of products" or just one particular industry in general.
Diversify, diversify, diversify, you'd be stupid in being content with sticking to one industry.

Even if you manage to get one of these so called golden contract deals where you can charge yourself out at $2600 an hour, nothing is secure. What if the business you're supplying shuts down completely, goes bankrupt? What's to say they wont find a better supplier? Or punch in some simple numbers into a calculator and realise they're wasting a lot of money and they could of bought their own top of the line laser and paid for it twice already.

[Chris J Anderson]

Or punch in some simple numbers into a calculator and realise they're wasting a lot of money and they could of bought their own top of the line laser and paid for it twice already.

Thats exactly how I think.
If I overcharge, I just encourage clients to go elsewhere.

We can easily think that providing laser services is a specialty business, but anyone with reasonable pc knowledge, and ability to learn software quickly can compete with us.
Yes, theres a learning curve, but it really isn't super specialised.

I sort of compare my rates to somebody with a business with a similar machinery outlay, e.g.: a person with a Bobcat and small truck. Say 50 grand worth of gear second hand, and they charge around $70 - $80 per hour.

When I do some jobs my machine makes $200 per hour, at other times $40.

As long as it averages out, all good...

[Dave Sheldrake]

Personally, I'm going to be developing a line of products to sell, with a chunk of profits going to help kids with brain cancer and their families. I'm betting that people will pay a little more for high-design if it's for a good cause

As soon as you have a product let me know Jay, I'll be your first customer. There aren't too many left like you

We can easily think that providing laser services is a specialty business

That's all down to machines Chris, the market is diluted dependant on the number of machines in the price bracket.

K40 owners have a LOT of competition
Chinese Box machines have a large & growing amount of competition
Western made machines have less but still a fair size chuck of others doing the same
Small industrials have a few of the slightly larger companies competing
Big industrial machines only have a few competitors

I live in a country of around 75 million population and yet not one sole trader as a competitor as the machines simply cost too much to buy for individual businesses. A job comes in for tender cutting large sheets of 10mm aluminium I don't have to worry about somebody with a laser in their garage quoting lower than me.

The specialised sector of the market seems to be controlled by machine cost, the more they cost the less you have to compete with and the more specialised your services become.

cheers

Dave

[Martin Boekers]

Thats exactly how I think.
If I overcharge, I just encourage clients to go elsewhere.

We can easily think that providing laser services is a specialty business, but anyone with reasonable pc knowledge, and ability to learn software quickly can compete with us.
Yes, theres a learning curve, but it really isn't super specialised.

.

An interesting thought about business, some want to control all aspects of it, others realize that they don't have to. They would rather job out portions and make their money
doing what they do best.

As far as being able to learn the software quickly and it's not so specialized I do beg to differ on that.... I been working with lasers, engravers and printers, cutters, sublimation
(9years engravers, 30+ in graphic arts, trade shows etc) Yes, to make a plate or a nametag it doesn't take much experience. To maximize quality, efficiency & profit that's another story..
I learn something new everyday. Maybe a quicker way to convert a graphic, adjust it to make it engrave a bit nicer and quicker. As far as completion goes we buy from similar vendors
at similar cost so not much room for competing on pricing. I make up the difference by efficiency which comes with learning the software better than most, making that curve a bit
steeper. If it takes the 10minutes to design a job and I can do it in 5minutes.... then I'm already a head of the game... The laser is easy to learn the software takes a lifetime.

If you just want the learn the basics, lots of competition, Excell in understanding the software you narrow that field greatly...

"many can strum a guitar, few can play it"

[Lee DeRaud]

...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.

[Tim Bateson]

"many can strum a guitar, few can play it"

Man! You burst my bubble! I was all set to go on tour too.

[Dave Sheldrake]

You really want your ears to bleed you wanna hear my rendition of Star Spangled Banner on a BC Rich Warlock

Sounds great when I have ear defenders on (Although the National Anthem sounds great to me no matter how it is played,by who on what)

cheers

Dave

[Lee DeRaud]

I think the biggest mistake for anybody running a business is limiting themselves to "a line of products" or just one particular industry in general.
Diversify, diversify, diversify, you'd be stupid in being content with sticking to one industry.

Yes, but designing your business model around your tools instead of the other way around is a sure loser too.
And we average a person a week asking, "I'm thinking about buying a laser...what sort of business should I use it for?"