Why Your DTG Shop Isn’t Making Money (And How to Fix It)
Running a Direct-to-Garment (DTG) printing business sounds like a dream: personalized apparel, on-demand printing, no need for large inventories. But if your shop isn’t turning a profit, it’s time for some tough love: it’s probably not your printer, or your ink, or even your customers. It’s your business model—and more specifically, your mindset and process.
Here’s the hard truth: if you’re not treating your DTG shop like a real business, you’re holding yourself back. Let’s break down where most print shop owners go wrong—and how to fix it for good.
The Real Problem Isn’t the Printer
Many DTG entrepreneurs get frustrated and blame external tools: slow printers, expensive ink, or customers who don’t “get it.” But the truth is, even the best equipment won’t save a broken business model.
Ask yourself:
Do you have a pricing strategy that accounts for every expense?
Do you know your profit margins on every shirt?
Is your brand clearly positioned in the market?
Are you consistently bringing in new customers through smart sales and marketing?
If you’re unsure on any of those, then the issue is internal—not technical. You can’t win the race with a Ferrari if you’re still driving with the parking brake on.
Calculating Costs: Your Profit Lives (or Dies) Here
DTG printing can be profitable—but only if you know your numbers. A shocking number of print shops operate without any clear sense of what it costs to produce a shirt.
Costs You Must Track:
Blank garment cost (e.g., $3.50–$5.00 per shirt)
Pretreatment solution and spraying time
Ink consumption (DTG ink is expensive!)
Labor – yes, even if it’s just you. Your time is valuable.
Utilities and maintenance on your printer
Packaging and shipping materials
Software/tools you use to process and fulfill orders
Example:
Let’s say it costs you $10.50 total to produce a shirt, and you sell it for $24. That gives you a $13.50 margin. But if you’re not accounting for labor or operational costs, you may be overestimating profitability—and bleeding money without realizing it.
Solution: Use spreadsheets or small business software to track costs and margins for every product. It’s not glamorous, but it’s the bedrock of a scalable business.
Pricing Strategy: Stop Guessing, Start Profiting
One of the biggest mistakes DTG shop owners make is pricing based on what competitors charge, or what "feels fair." That’s a fast track to going broke.
Your pricing should reflect:
Your production costs
Your desired profit margin
Your brand positioning (premium vs. budget)
Market demand and customer expectations
There’s nothing wrong with charging more if you’re offering better quality, faster turnaround, or personalized service. Just make sure your pricing aligns with your costs and your brand promise.
From Hobbyist to Entrepreneur: The Mindset Shift
If you’re still treating your print shop like a side hustle, you’re not giving it the space to grow. Transitioning to entrepreneur means thinking like a business owner.
Here’s what that looks like:
1. Build a Brand That Resonates
It’s not enough to sell “cool shirts.” You need a story. A mission. A voice. Think about:
Who are your customers?
What do they care about?
Why should they choose your shop?
Branding is more than a logo. It’s your social media presence, your packaging, your tone of voice. Professional design and messaging build trust and make people want to support your shop—even at higher prices.
2. Learn to Sell (Yes, You Need Sales Skills)
You don’t have to be a sleazy salesperson, but you do need to learn how to:
Communicate the value of your product
Build trust with leads and customers
Market yourself effectively online (email, social media, SEO)
Selling is education. If you believe in your product, you’re doing people a favor by helping them discover it.
3. Treat Time Like Currency
Your time is your most valuable asset. Streamline your processes, invest in automation when possible, and always ask: “Is this task moving the business forward?”
The DTG Entrepreneur Playbook
Ready to take action? Here’s how to start transforming your shop today:
| Business Area | Common Mistakes | Recommended Fix |
|---|---|---|
| Mindset | Treating the business like a hobby | Adopt an entrepreneurial approach focused on growth and strategy |
| Pricing | Guessing or underpricing without understanding costs | Calculate true costs including time, labor, materials, and profit margin |
| Branding | No clear identity or customer reason to buy | Develop consistent messaging, visuals, and value propositions |
| Sales | Not marketing or afraid of selling | Shift to consultative selling and educate customers about your product's value |
| Operations | Ignoring inefficiencies or production gaps | Track every step, plug time leaks, and improve output quality |
Task Action Item Impact Cost Review Audit every step of your production for hidden costs Boost margins instantly Pricing Rework Set prices based on profit goals, not emotion More money in your pocket Brand Identity Develop consistent visuals and messaging Builds customer trust Sales Strategy Start capturing leads and marketing regularly Increases revenue Mindset Shift Schedule work time like a real business Enables scaling
TL;DR – Run Your Shop, Don’t Let It Run You
If your DTG shop isn’t growing, the problem probably isn’t technical. It’s structural. Profitability starts with:
Knowing your numbers
Positioning your brand clearly
Building a repeatable sales engine
Shifting from hobbyist to strategic entrepreneur
You’ve got the tools. You’ve got the creativity. Now it’s time to get serious about your process.
Need help scaling your custom apparel business?
Let Contract DTG handle the fulfillment while you focus on growing your brand. Fast turnaround, low minimums, and quality your customers will rave about.