The Payout Study
The Payout Study
@ThePayoutStudy

A creator who compared print-on-demand to holding inventory

A creator who compared print-on-demand to holding inventory

Context: a creator with a roughly 90,000-strong audience ran the same merch design through two fulfillment models and published the margins.

What was done:
— Phase 1: print-on-demand, zero upfront cost, per-unit cost ~$18 on a $32 shirt
— Phase 2: bulk-ordered 500 units at ~$7/shirt, fulfilled via a third-party warehouse

Reported outcome over comparable selling periods:
— Print-on-demand: ~210 shirts sold, gross margin about $2,940 (roughly $14/shirt)
— Bulk: ~240 shirts sold, gross margin about $4,800 (roughly $20/shirt) after $3,500 upfront
— Bulk won on margin but tied up capital and left ~260 units unsold

Caveats: single creator, single design; the unsold inventory is a real, unrecovered cost the margin figure ignores until the stock clears or is written off. Sales velocity differed between phases for reasons (timing, novelty) the creator couldn't fully isolate. Self-reported.

Implications: the case quantifies the classic inventory trade — higher unit margin against capital risk and dead stock — and shows bulk only wins if sell-through is high enough, which is hard to predict.

What we still don't know: the eventual fate of the 260 unsold units, which determines whether bulk actually beat print-on-demand at all.
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