Sell custom products without inventory
Wondering whether Print on Demand vs inventory management is the better choice? You’re not alone – choosing the right business model can be a game-changer for your profits and long-term success.
From costs and scalability to quality control, we’ve got you covered. Learn the key differences, pros and cons, and profit potential of both models so you can confidently choose the best strategy for your online business.
Key takeaways
- The biggest advantage of Print on Demand is no inventory management, upfront costs, or risk of unsold stock – just pure creative freedom.
- With POD, you only pay when you sell, making it a low-effort business model for startups and entrepreneurs.
- Traditional inventory businesses must carefully manage their supply chain, from storage and stock levels to fulfillment.
- The inventory model may offer higher profit margins, but POD minimizes financial risk and offers flexibility to test new markets and trends easily.
- POD sellers skip all logistics for effortless scaling. Focus on creating unique products and growing an audience and let your POD supplier handle the rest.
What is Print on Demand?
Print on Demand (POD) is a low-risk, high-reward business model that eliminates the need for inventory management.
Instead of investing in bulk stock and storage, sellers partner with print-on-demand suppliers who will print, package, and ship products after a customer orders.
On-demand fulfillment means no initial expenses and complete flexibility to sell custom products. It’s perfect for entrepreneurs who want to focus on design, marketing, and brand-building – without the financial burden of handling logistics.
How does Print on Demand work?
The print-on-demand model makes it super simple to sell custom products. Here’s how it works:
- Find a POD platform – Use trusted print-on-demand services like Printify to connect with reliable suppliers.
- Select products – Choose from customizable apparel, home decor, accessories, and more without needing to store a single item.
- Create or upload designs – Apply unique visuals to the product with easy-to-use design tools.
- List online – Sync your store with a sales channel like Shopify, Etsy, Amazon, or your own website.
- Start selling – Once a customer orders, the POD supplier automatically handles production and shipping.
- Scale like a boss – Easily add new designs, expand your product range, and tap into a new target market without financial risk.
The bottom line? POD lets you sell products with minimum effort. No space to store products and no seed budget? No problem – get started for free.
Pros and cons of Print on Demand
Print on Demand lets you keep more profits in your pocket.
Since you’ll rely on third-party suppliers, that means less hands-on control over production. But if you prioritize freedom over logistics? It’s worth it.
| Print on Demand pros | Print on Demand cons |
|---|---|
| No upfront investment | Limited quality control |
| No need to store your own inventory | Potential production delays |
| Vast product scope | Less customization flexibility on core product features |
| Easy to scale | Reliant on a third-party supplier |
| High profit margin | Higher per-item cost than bulk inventory |
Expand your knowledge of industry terms by exploring our POD glossary.
Traditional inventory business model explained
The traditional inventory model requires buying, storing, and managing stock upfront.
It works best for merchants who want more control over the core product features, quality, and fulfillment process.
Unlike POD, this means paying a significant initial investment to purchase products in bulk, organize storage space, and manage the supply chain. While it allows for slightly higher profit margins, it also comes with the financial risk of unsold inventory.
How does the traditional inventory model work?
You’ll need to handle everything yourself, from storing inventory to shipping. Here’s how the process works:
- Forecast market demand to determine the required stock volume.
- Purchase products in bulk or manufacture them upfront to keep supply ready.
- Store inventory in a warehouse, stockroom, or dedicated storage space.
- Manage stock levels to track what’s available and restock when needed.
- Fulfill customer orders by packing, shipping, and handling logistics directly.
Pros and cons of a traditional inventory model
The inventory model offers complete control over product handling and quality.
But unlike Print on Demand, it requires a large initial investment to begin the manufacturing process, making it less flexible for testing new products or rapid scaling.
| Traditional inventory pros | Traditional inventory cons |
|---|---|
| Decent margins with low per-unit costs | Significant upfront investment |
| More control over product quality | Risk of unsold inventory |
| Relatively fast order fulfillment | Requires storage space |
| Stronger branding opportunities | Time-consuming inventory management |
| Produce items on your terms | Higher financial risk |
| Potential wholesale discounts | Lower margins if you don’t buy in bulk |
Use an inventory management system like Zoho or QuickBooks to track stock and automate reordering.
Print on Demand vs inventory: Detailed comparison
Deciding between Print on Demand vs inventory can shape your business’s success. Your choice impacts costs, setup, scalability, and flexibility, so knowing the key differences is crucial.
Costs
Print on Demand
POD keeps initial costs low with on-demand production. There’s no need to buy in bulk, rent storage, or handle shipping – making it a low-risk, high-reward model. And since you’re not sinking money into unsold stock, profits stay solid.
Inventory-based model
Traditional inventory models require money for purchasing, storing, and managing stock. Some sellers bulk-buy to lower per-unit costs, but this comes with the risk of excess supply, storage fees, and the added workload of handling packaging and shipping.
Set up difficulty
Print on Demand
Launching a print-on-demand business is fast and simple – pick products, upload your designs, connect an online store, and start selling. Your provider handles printing, packing, and shipping, so you can focus on growing your store instead of dealing with time-consuming tasks.
Inventory-based model
Running an inventory-based business takes more time and effort. You’ll need to find reliable suppliers, order stock, manage storage, and oversee fulfillment. This means more expenses and more ongoing responsibilities to keep products moving.
Quality control
Print on Demand
POD merchants trust third-party suppliers for production and fulfillment. Printify vets Print Providers for you and helps resolve issues if something’s not up to par. Plus, you can always order samples to check product quality before adding them to your store.
Inventory-based model
Even with a reliable supplier, sellers who manage inventory must physically inspect every item before it ships. This lets you maintain a consistent customer experience, but it also means more work to make sure the quality measures up.
Product range flexibility
Print on Demand
Partnering with a provider like Printify means unlocking a wide variety of customizable products without ever straining your wallet. Test new designs, target niche markets, and adapt to seasonal trends – all without worrying about wasted inventory.
Inventory-based model
With inventory-based selling, adding new products means spending money before knowing whether there’s any business there. Expanding a product line requires careful forecasting to avoid unnecessary stock.
Scalability
Print on Demand
POD makes scaling easy. Expand into new markets without dealing with warehousing or logistics. This low-risk business model makes it perfect for growing without sacrificing your savings.
Inventory-based model
Scaling an inventory-based business means having the financial capacity for more storage, larger stock orders, and a bigger team. As a result, growth is often slower and more expensive due to fulfillment challenges.
How to choose the right business model for you
Choosing between Print on Demand vs inventory comes down to how much time, money, and control you want over your products.
Who should use Print on Demand?
The print-on-demand model is all about speed, flexibility, and creativity. If you don’t want stocking constraints, this is the best choice. It’s low commitment but high potential, letting you launch and scale easily.
- Entrepreneurs, online businesses, and artists looking to sell customized products without the hassle of stock management.
- Brands testing new markets or launching fresh designs fast to keep up with trends.
- Small businesses that want to focus on marketing and branding instead of logistics.
- Seasonal or niche sellers who want to avoid excess inventory between sales cycles.
- Companies offering personalized products or needing merchandising for events.
Who should use an inventory-based model?
If you want total control over every aspect – from product quality to fulfillment – the traditional inventory model might be the way to go.
- Businesses with the financial capability to manage production and warehousing.
- Sellers with consistent, high-demand products that justify the cost of bulk ordering.
- Brands that want hands-on control over every detail, from sourcing to packaging.
- Companies manufacturing their own goods that need full oversight on quality control.
Both business models have their pros. If you want low risk, high flexibility, and easy scaling, Print on Demand is the clear winner. But if you prefer to run a tight ship with total control, then the inventory model is worth considering.
Printify offers custom branding solutions like inserts, neck labels, and gift messages, meaning you don’t need an inventory-based business to establish a strong brand.
Create an online store and start a business with Printify
More than 10 million merchants trust Printify. With Print on Demand, you’re free to focus on the creative and strategic aspects instead of stock management and logistics.
Whether you’re launching or scaling, we’ve got you covered. Choose high-quality products, expand your offerings, and watch the profits roll in.
Start selling custom products without inventory in 5 easy steps
1. Sign up
Register for a free Printify account.
2. Select your products
Browse over 1,300 products in our Catalog. Pick items that align with your brand, niche, and audience – from custom apparel to home decor.
3. Apply your designs
Upload your artwork or branding elements to our Product Creator. Perfect your design placement and use the auto-generated high-quality mockups for stunning product listings.
4. Decide where to sell
Printify’s integrations make it easy to sync your store with top eCommerce platforms like Shopify, Amazon, Etsy, or TikTok Shop.
5. Let Printify do the work
Our Print Providers handle production and shipping automatically so you can spend more time growing your business.
FAQ
Yes! Print-on-demand businesses can maintain a high profit margin without needing to spend money upfront. Many entrepreneurs have built successful brands using Printify thanks to our diverse selection of quality products and reliable fulfillment.
Success depends on product selection, marketing, and audience targeting. Since there’s no need to invest upfront, sellers can test and refine their approach until they find what works for them. Many Printify merchants have scaled their businesses into full-time income streams.
No – Etsy is an online marketplace. However, many Etsy sellers use print-on-demand services like Printify to design, produce, and ship their products to customers worldwide.
It varies. Some sellers get their first sales within days, while others take longer to build traffic and optimize listings. The right product niche, marketing strategies, and pricing can speed up the process.
POD vs inventory models: Conclusion
Choosing between Print on Demand vs inventory comes down to your goals and business strategy.
Want lower upfront costs, easy scalability, and a hassle-free production process? Print on Demand is the smarter choice.
Meanwhile, traditional inventory business models offer more control but come with higher risks, making them less suitable for entrepreneurs with limited capital.
Explore how to start a POD business and turn your ideas into profits.
