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21st August 12, 04:34 AM
#1
 Originally Posted by unixken
Any tartan, in any color scheme, will require setup to thread the loom. That takes time, labor, and perhaps even some consumables (such as cleaning and maintenance materials that are used between runs.) Those are the incurred costs of setup, and they happen regardless. Amortize a 100 yard run of one tartan, versus a 10 yard "special order" of another tartan. Obviously the setup cost will be spread thinner over the former, than the latter.
In the case of something common and popular, you have retailers all over who will buy fabric in that tartan/color scheme, because it sells readily. Scarfs, blankets, upholstery, kilts, and fabric-by-the-yard. It might be something the mill produces every month, to satisfy orders for their customers. A commonly produced tartan may sit on a shelf at the mill, but not for long. And the setup costs, amortized over several hundred yards at a go, are low.
But a MacSchnozzle Family tartan, in Petrified Colors, if produced in advance of any demand, is gonna sit there unmoved, for a very long time. And when it does sell, it'll probably only sell enough to make a kilt or two. The same effort is needed to set up the mill for a 12 yard run of MacSchnozzle Petrified, as for the bigger runs.
If it costs $200 to set up a loom (regardless of the tartan or colors), and I run 100 yards, that setup cost is $2 per yard, in the cost of the fabric. That same $200 cost becomes $20 per yard, if I only sell 10 yards of the fabric. Those are the economies of scale.
Just for your reference and in case you don't know, figheadair( Peter MacDonald) is very well versed in weaving techniques and doubtless the legistics of such as well, his website is a wonderful resource for all things tartan
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21st August 12, 04:46 AM
#2
 Originally Posted by paulhenry
Just for your reference and in case you don't know, figheadair( Peter MacDonald) is very well versed in weaving techniques and doubtless the legistics of such as well, his website is a wonderful resource for all things tartan
I'm certain he is. But statements like this...
 Originally Posted by figheadair
If I order a full piece in 'stock' colours (i.e. no special dyeing required) then the whole length is purchased immediately meaning an immediate full profit. So why should that be subject to a set-up cost?
...ignore that it takes time and labor to thread the loom, perform any maintenance, etc. These, very much, are part of set up costs. To infer that whether the dies are custom blended or not is the only factor determining what is "set up", is misleading. In a case such as he cites, the set up costs have simply been amortized over so many yards as to effectively be pennies per yard... not worth segregating and listing as a setup charge.
KEN CORMACK
Clan Buchanan
U.S. Coast Guard, Retired
Cuyahoga Falls, Ohio, USA
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21st August 12, 06:59 AM
#3
 Originally Posted by unixken
I'm certain he is. But statements like this...
...ignore that it takes time and labor to thread the loom, perform any maintenance, etc. These, very much, are part of set up costs. To infer that whether the dies are custom blended or not is the only factor determining what is "set up", is misleading. In a case such as he cites, the set up costs have simply been amortized over so many yards as to effectively be pennies per yard... not worth segregating and listing as a setup charge.
But the point is, if I'm prepared to buy the whole bolt as a one off, and therefore there's nothing to hold in stock, why should there be a set up cost when there isn't if I buy a bolt of 'stock' material that will have involved exactly the same set up process?
Last edited by figheadair; 21st August 12 at 07:02 AM.
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21st August 12, 08:38 AM
#4
To further clarify what I am sure Peter is getting at, currently the situation is this:
1. Let's say Royal Stewart is going to be stocked by the mill. So they weave a full piece of it (60 yards), just to have on hand, and they sell it by the yard to their customers, with no 'set up fee' required because it is a stock tartan.
2. But Peter wants to order a full piece (60 yards) of the MacWhoosit tartan, in standard colors that don't have to be custom dyed. He pays the same price per yard as the "stock" Royal Stewart, but also has to pay a loom set up fee.
In situation No. 1, the mill is out the cost of manufacturing the cloth until such time as all of the yardage is sold. But in situation No. 2, the mill immediately recoups all costs, plus their profit, because the cloth is not sitting in the warehouse waiting to be bought. They know the whole length is purchased before they put anything on the loom.
So in this case, it is actually better for the mill to do a custom run they know is already sold, because they don't have to wait at all to recoup their expenses. So why is the customer in No. 2 charged a special extra set up fee, when in fact such an order is actually preferable to the mill? That's Peter's question, and it's really only valid when we are talking about large runs of cloth, as a mill would do when reweaving a stock tartan. It doesn't really apply to the much smaller individual kilt lengths which are Dalgliesh's speciality.
And let me also say here that as much as I don't like having to pay the loom set up fee, I would hate even more to not be able to order these custom short lengths at all. Quite a bit of my kilt making business is in these custom short lengths. I'm glad that there is a mill in Scotland that can still provide them.
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21st August 12, 09:19 AM
#5
 Originally Posted by M. A. C. Newsome
...in situation No. 2, the mill immediately recoups all costs, plus their profit, because the cloth is not sitting in the warehouse waiting to be bought. They know the whole length is purchased before they put anything on the loom.
So in this case, it is actually better for the mill to do a custom run they know is already sold, because they don't have to wait at all to recoup their expenses. So why is the customer in No. 2 charged a special extra set up fee, when in fact such an order is actually preferable to the mill? That's Peter's question, and it's really only valid when we are talking about large runs of cloth, as a mill would do when reweaving a stock tartan. It doesn't really apply to the much smaller individual kilt lengths which are Dalgliesh's speciality.
I think if you're ordering larger runs (like the 60 yards mentioned above), you could probably call the mill and they would work something out with you. At that volume, they'd be competing with other mills for your business - mills that don't normally bother with the small runs Dalgliesh is known for.
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21st August 12, 09:26 AM
#6
 Originally Posted by figheadair
But the point is, if I'm prepared to buy the whole bolt as a one off, and therefore there's nothing to hold in stock, why should there be a set up cost when there isn't if I buy a bolt of 'stock' material that will have involved exactly the same set up process?
If I understand you correctly, you're saying that the setup cost for stock runs, is, or should be, already contained in the price of stock.
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21st August 12, 09:39 AM
#7
 Originally Posted by Dale-of-Cedars
If I understand you correctly, you're saying that the setup cost for stock runs, is, or should be, already contained in the price of stock.
It is. Matt's clarifcation is spot on.
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