Clean It Up

UK Floor Cleaning Forum => Carpet Cleaning Forum => Topic started by: Ian Rochester on January 23, 2014, 07:49:31 am

Title: Competition Prices
Post by: Ian Rochester on January 23, 2014, 07:49:31 am
Price list of New carpet cleaner in our area  ;)

2 Bedroom Property £ 52 All Carpets Cleaned
3 Bedroom Property £ 74 All Carpets Cleaned
4 Bedroom Property £ 100 All Carpets Cleaned
5 Bedroom Property £ 125 All Carpets Cleaned
Hall, Stairs And Landing £ 25
Lounge £ 22
Dining Room £ 18
Bedrooms £ 18

 
Title: Re: Competition Prices
Post by: neil 47 on January 23, 2014, 08:02:15 am
Ian

so what


http://www.stumbleupon.com/su/2SNbKG/:U.uA-I3S:6oMSyBL1/conversionxl.com/pricing-experiments-you-might-not-know-but-can-learn-from/

Title: Re: Competition Prices
Post by: jim mca on January 23, 2014, 09:26:01 am
SPECIAL OFFER
LIMITED PERIOD ONLY
LEATHER SUITES £35
MATERIAL SUITES £35
ANY TWO CARPETS £40
RUGS  £20

and been going at least 10 years advert must cost minimum of £70 per week offer started in November 2003  ;D
Title: Re: Competition Prices
Post by: Ian Gourlay on January 23, 2014, 10:59:45 am
Thats what amazes me about these companies the price never goes up

Unfortunately it does not help with price shoppers. Although yesterday I had a report on Window Cleaners who is also doing Carpet Cleaning who ruined a silk like suite and was only charging £25 for the job  She found him on Facebook
Title: Re: Competition Prices
Post by: rich123 on January 26, 2014, 09:20:37 pm
Yep,
Got a guy started up 6 months ago where I live.
He was advertising '3 carpets cleaned for £60'.
I don't mind the competition, but throwing those
mad cheap prices around is damaging for everyone.
He's gunna have to work bloody hard to make a living.
I believe you should never put prices on your website.
If these guys wanna work for sod all, I guess it's upto them.

Rich
Title: Re: Competition Prices
Post by: jim mca on January 26, 2014, 09:58:42 pm
3 for £60 is becoming the going rate around here
Title: Re: Competition Prices
Post by: neil 47 on January 27, 2014, 07:49:39 am
3 for £60 is becoming the going rate around here


Only you know that and people that only have £60 to spend
Title: Re: Competition Prices
Post by: rich123 on January 27, 2014, 09:31:52 pm
Don't care if the'v only got £60 to spend.
The point is doing 3 carpets for £60 is ridiculous.
And smacks of desperation I reckon.
If you're any good and market yourself properly,
you can get a proper rate for the work.

Rich
Title: Re: Competition Prices
Post by: jim mca on January 27, 2014, 11:47:36 pm
Have a look on google search for carpet cleaners in any town you like and see the prices being quoted some of the 3 for £60 in Glasgow are truckmounted set ups and its not that long ago they put there prices up from £50 I have a cleaner in my town doing rugs for £20
and another doing 5 carpets and a oven plus hob for £90 and that's there rates all year round personally I think they are nuts but as some of them are going 10 years plus then they wont see it that way 2 man team 4 jobs a day £240
Title: Re: Competition Prices
Post by: sandrew on January 28, 2014, 06:08:23 am
These clowns are making this game hard work.
Title: Re: Competition Prices
Post by: *Hector* on January 28, 2014, 06:43:39 am
These clowns are making this game hard work.

Why is that??

They only make it hard work for you, if you are aiming at the same market as them.

At their prices they are aiming at the scuzz end and price shopper/whinger end of the market.... Is this where you are aiming for?

If not then these "customers" would not be customers of yours anyway, so what is the problem?

Good customers who will be loyal to a good cleaner, would not entertain these low price cleaners.

So in fact...... They are doing you a favour by taking the crud and leaving the cream for you...

 ;D
Title: Re: Competition Prices
Post by: Mike Halliday on January 28, 2014, 07:23:43 am
I totally agree with hector the only companies these companies harm are the ones who cater for the same market.

The problem is as carpet cleaners we notice these low prices when we see them, so are constantly aware they exist. Joe Public is 99.9999% of the time totally not interested in carpet cleaning, so these prices are not even  registered In their brains .

Often when it comes to getting their carpets cleaned they have no idea these 3 rooms for £60 prices even exist so will accept any price that is presented to them.

Some homes in my area have received over 80 of my leaflets over the years, but until they need my services they never even notice them or if the do they don't remember them. I go to homes who say they got me out of the phone book, when ask if they have seen my leaflet they say no.


Title: Re: Competition Prices
Post by: Doug Holloway on January 28, 2014, 07:56:24 am
Hi Guys

You don't go into a quality restaurant and think 'oh I could get a cheaper meal in MacDonalds'

It's important to sell your business not worry about cheap offer cleaners, there always has and always will be plenty of them and as have been said they mop up the jobs most wouldn't want.

Cheers

Doug
Title: Re: Competition Prices
Post by: bennymon on January 28, 2014, 08:21:11 am
As one of the posts said some are running truck mounts and 2 man teams and have been going for years . In that case why does charging  more make any of you better than them . And yes I do charge more  ;)
Title: Re: Competition Prices
Post by: Steve9 on January 28, 2014, 09:05:28 am
I totally agree with hector the only companies these companies harm are the ones who cater for the same market.

The problem is as carpet cleaners we notice these low prices when we see them, so are constantly aware they exist. Joe Public is 99.9999% of the time totally not interested in carpet cleaning, so these prices are not even  registered In their brains .

Often when it comes to getting their carpets cleaned they have no idea these 3 rooms for £60 prices even exist so will accept any price that is presented to them.

Some homes in my area have received over 80 of my leaflets over the years, but until they need my services they never even notice them or if the do they don't remember them. I go to homes who say they got me out of the phone book, when ask if they have seen my leaflet they say no.





You could say in this case where customers are totally unaware of carpet cleaning costs (I agree), that when they do look, the customer wanting to pay more for a quality job chooses the 3 rooms for £60 over the 3 rooms for £50 thinking that's top end.

Title: Re: Competition Prices
Post by: JandS on January 28, 2014, 09:18:14 am
It's only 2 hours work.....
Title: Re: Competition Prices
Post by: John Kelly on January 28, 2014, 10:14:01 am
£30 an hour gross isn't enough to run a succesful business. It will give you a wage but if you are putting the graft into running your own business wouldn't you rather reap the rewards greater profitability can bring you.
Title: Re: Competition Prices
Post by: Mike Halliday on January 28, 2014, 11:28:21 am
Have a look on google search for carpet cleaners in any town you like and see the prices being quoted some of the 3 for £60 in Glasgow are truckmounted set ups and its not that long ago they put there prices up from £50 I have a cleaner in my town doing rugs for £20
and another doing 5 carpets and a oven plus hob for £90 and that's there rates all year round personally I think they are nuts but as some of them are going 10 years plus then they wont see it that way 2 man team 4 jobs a day £240

So 2 men are grossing £240. how much are they spending in marketing to get those 4 jobs every day, how much are they sending on fuel for the truck-mount

Every job is a 3room job, what about when they get a single room, this knock that £240 even lower

Title: Re: Competition Prices
Post by: Mike Halliday on January 28, 2014, 11:37:22 am
I actually believe the... long established, truck-mounted 2 man team doing 4 jobs every day for cheap prices is an urban myth :o

A bit like the bogey-man children think lives under their beds, but this team are used to scare weary carpet cleaners

..I hear about them every time someone wants to justify why the can't charge a better price
Title: Re: Competition Prices
Post by: M.Acorn on January 28, 2014, 12:25:32 pm
(http://www.cleanitup.co.uk/smf/1390911875_Silly money.PNG)

Bloke near here doing this, also doing sofas for £25 a pop, did start baiting him , but walked away, not competing with him
Title: Re: Competition Prices
Post by: M.Acorn on January 28, 2014, 12:27:59 pm
(http://www.cleanitup.co.uk/smf/1390912042_Silly money (2).jpg)
Title: Re: Competition Prices
Post by: rich123 on January 28, 2014, 09:08:58 pm
Yep,
I reckon Doug, Mike, and Hector have a very valid point.
We'r aiming for a different cross section of the market to
the cheap and cheerful crew.
Let them have those jobs.
The'r right, I wouldn't want those kind of customers anyway.
Cheers guys
Good point, well made.  :)

Rich
Title: Re: Competition Prices
Post by: andrew66 on January 29, 2014, 01:06:52 pm
its hard for sure when people do give crazy prices, i got a flyer for a company advertising 15 euro per room i cant compete with that so i dont .simple
Title: Re: Competition Prices
Post by: Craigp on January 30, 2014, 09:02:12 am
I agree many of the customers are not our customers anyway, BUT some of them could and would be if it wasn't for the cheapos.

As a whole they dumb down the industry.
Title: Re: Competition Prices
Post by: derek west on January 30, 2014, 10:40:58 am
(http://www.cleanitup.co.uk/smf/1390912042_Silly money (2).jpg)

£1.50  ;D
Title: Re: Competition Prices
Post by: JandS on January 30, 2014, 11:05:59 am
Some people obviously are making money at these "cheap" prices.
What's the fuel costs??
Title: Re: Competition Prices
Post by: Craigp on January 30, 2014, 11:21:51 am
Hmm, don't agree.

I recently met a carpet cleaner been going since 1985, has cheap prices, he said he can go 2 weeks with no work, said he does building work too as he couldn't survive on carpet cleaning alone.

I thought jeez wheres his repeat clients after going that long ??? He should be busier than that on repeats alone.

Just because they are advertising cheap prices does not mean it's working for them.
Title: Re: Competition Prices
Post by: M.Acorn on January 30, 2014, 11:30:17 am
Quote
£1.50  Grin

Had to step away Derek, could have baited that one for a long time
Title: Re: Competition Prices
Post by: M.Acorn on January 30, 2014, 11:31:46 am
(http://www.cleanitup.co.uk/smf/1391081432_carpet clean offer.JPG)

This is his latest one..
Also a bloke near me doing carpets and upholstery using an Aquarius pro valet machine, must have a 6ltr tank, must take him hours
Title: Re: Competition Prices
Post by: clinton on January 30, 2014, 03:42:13 pm
looks like its free advertising mark too a bit like facebook and the quality of clients aint good..
Title: Re: Competition Prices
Post by: Ian Gourlay on January 31, 2014, 08:42:05 am
Interesting prices are plus fuel costs
They are probley operating in my area, so you could add anything from £16 to £32 to those prices
Title: Re: Competition Prices
Post by: qginsburg on January 31, 2014, 11:55:50 am
Perhaps
these guys are getting in the door with these prices then skilfully up selling
different services and treatments ?
Title: Re: Competition Prices
Post by: Shaun_Ashmore on January 31, 2014, 06:54:31 pm
Not always, there are cleaners near me that charge considerably less than I charge the idea is to pack it high sell it cheaper aka hard work, hard work can come as physical hard work or you can put hard work into positioning your 'brand' either one is acceptable if your customer pays for the clean they wanted and are happy ....

Shaun
Title: Re: Competition Prices
Post by: ian harper on February 01, 2014, 07:53:50 am
with respect

far to many assumptions

Title: Re: Competition Prices
Post by: *Hector* on February 01, 2014, 08:20:23 am
with all due respect.....

please elaborate on that statement Ian..
Title: Re: Competition Prices
Post by: JandS on February 01, 2014, 08:02:36 pm
"£30 an hour gross isn't enough to run a succesful business."

Disagree with you there John.
If you have the work coming in £30 an hour is well enough to run a successful business.
Title: Re: Competition Prices
Post by: Shaun_Ashmore on February 02, 2014, 10:26:26 am
Are we looking at £30 an hour based on 8 hours or £30 an hour based on cleaning hours?

On an 8 hour day you may only be cleaning for 5.

Shaun
Title: Re: Competition Prices
Post by: derek west on February 02, 2014, 11:46:15 am
if your aim is to pay your bills and have a holiday once maybe twice a year then i would think £30 an hour would accomplish this.

being successful is all about your aims in life. (look up the meaning of the word successful) you can come third in a race and be successful if that was what you were aiming for.

if you want a large house, swimming pool, a growing business that employs and expands then you need to be aiming higher than £30 an hour.

thats my penneth halfpenny.  ;D
Title: Re: Competition Prices
Post by: Mike Halliday on February 02, 2014, 11:50:22 am
Shaun and thats 5 hours every day, every week, every month. with no slow period or cancelations and even then you are not making good money.

how much will the marketing cost to create the situation that you are working fully booked constantly?

and the most important point.....what can you clean in that £30/hour? i can do a through lounge or living room & hall, stairs landing.  Is £30 all I want for this amount?
Title: Re: Competition Prices
Post by: JandS on February 02, 2014, 11:53:35 am
I just want to earn enough money at my age to enjoy life and be able to slow down when I get to 60.
From then on 3 days a week will suit me and at the moment with the work I have £30 an hour would easily do.
I'm working on about £27.50 an hour on average.
Depends on what you have to pay out at the end of the month at the end of the day...I have a relatively small mortgage compared to some and 5 years to go.
Title: Re: Competition Prices
Post by: Mike Halliday on February 02, 2014, 12:06:37 pm
How are you working out your average at £27.50? An hour

 8hr day divided  by your daily takings?

40hr week divided by your weekly taking minus you  expenditure ?

How?
Title: Re: Competition Prices
Post by: Simon Gerrard on February 02, 2014, 12:21:33 pm
A business earning £30 an hour on sales based on a relatively high proportion of repeat and recommendations is an entirely different animal to another business that has to spend huge sums on advertising every month to achieve the same figure.

Simon
Title: Re: Competition Prices
Post by: Doug Holloway on February 02, 2014, 01:23:10 pm
Hi Guys

Personally I find it difficult to understand why someone would want to work for £30 an hour when they can easily get £60 or more.

Cheers

Doug
Title: Re: Competition Prices
Post by: Mike Halliday on February 02, 2014, 01:53:39 pm
It's hard to comment of the £30 an hour business model without it looking like I'm having a dig at JandS as he has put it forward as workable, I don't know his business so cannot comment, if he is happy then so be it.


But to look at the maths I can't see how it works.

On a perfect senario of being in constant full time work all week every week you are limited to £750 gross that is for a full 40hr working week with an average of 5hrs in the house cleaning. That is no cancellation, no holidays, no slow time in winter, etc etc this senario is impossible.

I think to achieve a true £750 a week (if you are happy with that) calculated over a year you would need at least £45-50 an hour
Title: Re: Competition Prices
Post by: JandS on February 02, 2014, 04:48:46 pm
No Mike what I am getting at is.

£30 per hour for an 8 hour day 5 days a week is enough to run a successful business...or £240 per day.
Now you might have just one commercial job on one day that you get £240 for which takes you 4 hours to do, the rest of the day you have nothing on. You've earned £60 per hour but the rest of the day is idle so for that 8 hour day you have actually earned £30 per hour.
Think what I'm saying is £240 per day is enough to run a successful business regardless of the hours it takes to earn that.
Title: Re: Competition Prices
Post by: Craigp on February 02, 2014, 05:19:25 pm
But just remember to average £240 a day, you'll need £450 days to make up for the £30 days.

Title: Re: Competition Prices
Post by: *Hector* on February 02, 2014, 06:29:04 pm
£30 days?????????

what is one of them??

I charge £2.00 per job, and I cannot fit 15 jobs a day...

good grief man, do you want me to work myself to death?? DO NOT ANSWER THAT

 ;D ;D ;D
Title: Re: Competition Prices
Post by: Gordonnis on February 04, 2014, 12:33:59 pm
try this guys prices carpet & suite cleaner - carpettech.moonfruit.com
carpettech.moonfruit.com/
Title: Re: Competition Prices
Post by: Neil Jones on February 04, 2014, 01:10:12 pm
So out of interest what would people say is the amount a carpet cleaning business should turn over weekly? What would you expect gross and net profit to be from this?

Based on a business that has been trading three to four years with a good customer database but still replies on an average marketing spend.
No debt, except maybe van finance.

I'd be interested to see peoples opinions.

I'm not asking you to post what you earn, I'm looking for a figure you think is acceptable.
Title: Re: Competition Prices
Post by: Neil Jones on February 04, 2014, 01:51:22 pm
Probably one of the funniest things I've read on that carpet tech website, he promotes massively the fact that he cleans living room carpets for just £20!!!!
Then in the next paragraph basically says that people who charge £15 are risks to your carpets and upholstery. I guess £5 makes the difference.
Title: Re: Competition Prices
Post by: Carpet Dawg on February 04, 2014, 06:47:09 pm
which carpet tech website Neil?

Can I call you tomorrow night? I was meant to call you last Thursday but been hectic.

cheers
Tony
Title: Re: Competition Prices
Post by: Mike Halliday on February 04, 2014, 07:08:08 pm
So out of interest what would people say is the amount a carpet cleaning business should turn over weekly? What would you expect gross and net profit to be from this?

Based on a business that has been trading three to four years with a good customer database but still replies on an average marketing spend.
No debt, except maybe van finance.

I'd be interested to see peoples opinions.

I'm not asking you to post what you earn, I'm looking for a figure you think is acceptable.

Neil, hard to specifically answer your question but.....

My best mate is looking at taking redundancy from the council,  he is going to invest some of his redundancy money in setting up a carpet cleaning business.

He earns £24k gross for a 4 day, 36 hr week.

He has been working a day a week with me. I have promised him if he commits 36hrs a week to creating a carpet cleaning business (based on my business model) he will earn what he got at the council within a year. Then it will grow yearly.

He will start with no company debt and all his first years expenses paid  his earning will be his wages.

if he is not earning net what he earned gross, and working less hours within 3 years I will be disappointed
Title: Re: Competition Prices
Post by: Hilton on February 04, 2014, 07:57:11 pm
A business earning £30 an hour on sales based on a relatively high proportion of repeat and recommendations is an entirely different animal to another business that has to spend huge sums on advertising every month to achieve the same figure.

Simon
Its very rare for a carpet cleaning business to reach critical mass, I know of a few all in London but that's it...marketing is always going to be a fair proportion of your expenses and so it should be..
Title: Re: Competition Prices
Post by: Neil Jones on February 04, 2014, 08:26:17 pm
No worries Tony.

Carpet tech, the post before mine someone posted a link.
Title: Re: Competition Prices
Post by: SteveAllan on February 04, 2014, 08:35:00 pm
(http://www.cleanitup.co.uk/smf/1391081432_carpet clean offer.JPG)

This is his latest one..
Also a bloke near me doing carpets and upholstery using an Aquarius pro valet machine, must have a 6ltr tank, must take him hours

This clown lives in my town, he gets right on my onions. I rang him once explained I had a massive house and would the 5 carpets still apply he said yes. I asked what machine he uses and it's a Puzzi 100, he also reckons he is insured lol.
I tried Facebook for work but stopped as just a load of cheapos wanting something for nothing.
Title: Re: Competition Prices
Post by: Kinver_Clean on February 05, 2014, 01:20:12 pm
The thing to do is to sit down and work out your expenses, machine costs, 3rd party work insurance, van insurance, fuel, tyres, servicing and licence, chemical costs, clothing, office, ADVERTISING, ETC.
This will be quite a shock if you have not done it before.
Work all that up to annual costs for the business and then add what you need to live on plus 30% for tax and NI.
This will give an approximate figure for what you need to earn just to stand still.

I started in 1990 seriously to earn a living at it, having cleaned my own carpets for 10 years in a business we had.
I have now been running the business down, working 2-3 days a week. Having now finalised my accounts for the year I find my overheads are 85% of my turnover- I am paying other people for the pleasure of me working. Hence I will be packing in at the end of March, it is not worth going out 3 days a week for the pittance I am left with.
My overheads have not reduced as I cut the work down.
I would rather be in the shed playing with wood.

Title: Re: Competition Prices
Post by: garry22 on February 05, 2014, 01:27:01 pm
Mike, I do not know your friend but I did start my working life in local government.

I would imagine his biggest problem will be breaking out of the public sector mindset and getting into the private sector one.

I had eight years in the public sector, starting in the fast track management scheme for a huge local authority. I can honestly say that probably 70% of public sector workers would be unemployable in the private sector.

The public sector ethos seems to be "well, I've done my job (but the problem still persists)" whereas in the private (particularly self employed) it has to be "I will keep going until I solve this problem".