Clean It Up
UK Window Cleaning Forum => Window Cleaning Forum => Topic started by: dave0123 on November 23, 2010, 05:16:49 pm
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Just wondering does anyone provide there customers certainly in this climate a incentive for payments?
Eample: when giving a quote say its a standard 3 bed semi and lets say it comes to £10.00 monhtly price say to customers price is £12.00 but if you pay (havent thought how long yet) but lets say within 3 days as in incentive we will nock £2 off £10.00 ?
I really think this would get the money in that bit faster because they think they are saving money!! and well if they dont then i supose your £2.00 better off.
you could do it with a little more with the big houses of around £40 50 quid
Just a thought if any one does it and how well does it work?
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??? There must be a better way than giving away 20% of your income!
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Cheaper to just leave them a sae with a second class stamp and a note saying send a chq!!! thats all i do and dont have any problems getting it in, theres always the odd ones that get through the net but i dont think anyones ever missed more than 2 cleans payment for me using this methhod??
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??? There must be a better way than giving away 20% of your income!
what he is saying is the price would have been £10 if quoting normally but he is adding 20% and then discounting
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Cheaper to just leave them a sae with a second class stamp and a note saying send a chq!!! thats all i do and dont have any problems getting it in, theres always the odd ones that get through the net but i dont think anyones ever missed more than 2 cleans payment for me using this methhod??
Yes i know all that.. i currently do all of the above but when you have hundreds of customers and are owed thosends of pounds from customers constantly if anything works to get it down then its good!!
There must be a better way than giving away 20% of your income!
what he is saying is the price would have been £10 if quoting normally but he is adding 20% and then discounting
as stu mac said am not giving 20% off if you read it properly its adding more onto the price it should be than nocking it off back to what it should be if they pay within 3 days!! SO YOUR NOT LOSING ANYTHING! but they think they are getting a good deal
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I read a very good article in a management magazine recently. Basically, they said that the mistake most companies make is in offering 2% (or whatever) for prompt payment.
Offering, say, 40% for prompt payment resulted in customers taking it seriously and trying to pay on time, as it looks worthwhile. Also a 40% premium makes it worth the time to chase the premium. Many companies offered, say, 2% just pay late and ignore the surcharge knowing no-one will go to court over that much. 40% makes them take notice.
Now that last bit might not apply to domestic customers, but it certainly would for a large commercial debt.
I'm sure 20% would have a similar effect.
Vin
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I read a very good article in a management magazine recently. Basically, they said that the mistake most companies make is in offering 2% (or whatever) for prompt payment.
Offering, say, 40% for prompt payment resulted in customers taking it seriously and trying to pay on time, as it looks worthwhile. Also a 40% premium makes it worth the time to chase the premium. Many companies offered, say, 2% just pay late and ignore the surcharge knowing no-one will go to court over that much. 40% makes them take notice.
Now that last bit might not apply to domestic customers, but it certainly would for a large commercial debt.
I'm sure 20% would have a similar effect.
Vin
thats the way i see it...saving the odd couple of quid here and there i dont think thats really much of an insetive for the customer ..on paper the idea could be good but in reallity i think there would be few problems and hassles you would have to deal on a regular basis..
paul
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Cheaper to just leave them a sae with a second class stamp and a note saying send a chq!!! thats all i do and dont have any problems getting it in, theres always the odd ones that get through the net but i dont think anyones ever missed more than 2 cleans payment for me using this methhod??
Yes i know all that.. i currently do all of the above but when you have hundreds of customers and are owed thosends of pounds from customers constantly if anything works to get it down then its good!!
There must be a better way than giving away 20% of your income!
what he is saying is the price would have been £10 if quoting normally but he is adding 20% and then discounting
as stu mac said am not giving 20% off if you read it properly its adding more onto the price it should be than nocking it off back to what it should be if they pay within 3 days!! SO YOUR NOT LOSING ANYTHING! but they think they are getting a good deal
I got that. I presume your talking about current customers who havn't had the inflated price.
Personally i think it will mess your books up and look very odd that you dont collect the full amount on your books.
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No am talking about new customers thant come on board.
Why would it look weird? it would be down as £10.00 job wouldnt it? just if they dont pay then there wouuld be extra 2.00 due simple
obviously it would not apply to people who are in cus they pay there and then with either cash/cheque
just would come into play when they are at work..
maybe its not a good idea just a thought to get the money in!!! just fed up of people taking ages to pay wen you post a envlope through i even pay the postage and provide address STILL takes ages.
At the end of the day its our wages why should we wait 2/3 even 4 weeks before payment? would they wait for there wages like that? WOULD THEY HELL
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To clarify, I like it.
Whether your customers like it is a different thing. At the very least it will make them think before signing up with you whether they plan to pay you within your time limit, which is no bad thing.
The question I cannot answer is whether it will put off people who would have been good payers anyway>
Vin
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No am talking about new customers thant come on board.
Why would it look weird? it would be down as £10.00 job wouldnt it? just if they dont pay then there wouuld be extra 2.00 due simple
obviously it would not apply to people who are in cus they pay there and then with either cash/cheque
just would come into play when they are at work..
maybe its not a good idea just a thought to get the money in!!! just fed up of people taking ages to pay wen you post a envlope through i even pay the postage and provide address STILL takes ages.
At the end of the day its our wages why should we wait 2/3 even 4 weeks before payment? would they wait for there wages like that? WOULD THEY HELL
mate i get like that sometimes and it does pee you off how they think its no big deal when there late on a couple of cleans as to them its only say £20 but they dont realise there is another 50+ people the same who owe you, its just part and parcel of window cleaning you can do all you like but there will always be the late payers, the only easy thing that you can really do IMO is dump them, charge them a late payment or live with it. I used to leave envelopes with stamps on still had late payers, then stopped putting stamp on and just leave envelope there was no difference except i was now saving on stamps, now i dont even leave an envelope ( and have the same results as when i used to leave one with a stamp on it) as i try and push the online payment which is slowly working and i'm getting more people pay this way now .
paul
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I find one of the benefits of a phone call before clean is you can tell them you'll be doing them tomorrow, you're having cashflow problems and can they leave the money (or cheque) under a flower pot or whatever. Most people understand when you explain/tell them and it definateley improves my cash flow.