Profit From Distribution

How do you make your profit from distribution?

Solus distribution service is our premium service where the client has requested that his leaflet is delivered with no other advertising material. However the most popular option is our Shareplan service where the client’s leaflet is delivered with other material of a non competitive nature. Solus is a good income generator for us when the client selects this option. However, it is the Shareplan service, where on average 4 leaflets are distributed together, that make the most profit.

Making Your Profit Grow

With one client’s leaflet you can deliver the material and make a small profit. But as soon as you start adding additional material to the same round the profit rises exponentially.

Number of Leaflets per House Average Sales Value per 1000 Cost of Delivery per 1000 Houses Profit per 1000 Houses
1 £45 £40 £5
2 £85 £45 £40
3 £125 £45 £80
4 £150 £50 £100
5 £175 £50 £125
6 £210 £55 £155

With 2 leaflets in a distribution you are making approximately 100% mark up on cost – include 4 leaflets in a distribution (the most popular combination) the profit increases to 300%. As your business becomes more established 5 and 6 leaflets in the round further increases your gross margin.

How do these numbers add up?

1 average walker (Post-People™) will deliver to approximately 1,000 households per week. 10 part time, home based Post-People™, will deliver to 10,000 households per week. With an average of 4 leaflets each they will generate you a profit (after costs) of over £800 per week (circa £40,000pa). As the business develops further the figures will double.

Profit From Print…