[wayne zabel]

Doing quotes now with a view to going full time CC by mid August.Obviously I need to start getting better at selling ect as this will soon be my only income.

When doing these quotes I quite often get asked to come down on price even though I think my prices are good value for money.I tend to give in the odd £10/20.

Do you think I should do this or stick to my original prices.Do any of you build prices in on quotes with a view to coming down a bit?

Any help and suggestions appreciated

[Steve Barnett (Carpet Care Plus)]

It's all relative Wayne.

I would give a £20 discount on a £220 job, but not on an £80 job.

Only you can tell based on each job's merits - but to begin with you're going to want every job to keep the money rolling in while you get established.

Start as you mean to go on with your pricing, it can be hard to raise your prices later. Sell the benefits and exceed the clients expectations on every job and you won't go far wrong.

Equally you should value your own service and ability, so don't sell yourself too cheap.

[wynne jones]

It's simple. Add 10% to the figure in your head then when they ask for a discount you can just say yes.

You can also say well if you can't afford it I could cut a few corners if you want, then offer them less at the same price. Always have th attitude you are not too fussed weather you get the job.

[Paul Simpson]

Everyone likes a bargain and if you can get something for less than the actual price you feel satisfied.
Your customers are no different so be prepared for some of them to haggle, but obviously not to the point where you are left with a bad taste in your mouth, so to speak. 

As Wynne says add a little extra or if estimating (phone) go with the higher end of your estimate. Alot easier to come down in price then go up.

[clinton]

Wayne are you geting a lot of the quotes from the paper as you will find they are the really cheap ones,we have one in stockport who does carpet at 17 and suites at 35 and that is in the local paper.?

[Len Gribble]

Can’t believe I knocked a grand of a job today staff wont be too happy, there bonus gone and will have to pay for there own food and drinks

[Neil Williams]

I try not to go down the route of "Because it's you I'll knock £x off" as I don't think anyone is fooled by that line anymore.
I try and aim at getting £45/hour which can only be calculated with experience. Of course if people want to barter then I have 2 options.
If it's a big job which means it will be the only job of the day then I can reduce the amount because it's one journey, one set up etc.
Alternatively I can still get the same amount per hour by just working a bit faster with no chit chat....just turn up at the door wand in hand, straight in, straight out, take the money and run.   

[wayne zabel]

Wayne are you geting a lot of the quotes from the paper as you will find they are the really cheap ones,we have one in stockport who does carpet at 17 and suites at 35 and that is in the local paper.?
[/quote


Some queries are from the local paper,and yes they are usually the ones who want the job doing for nowt.

Theres a guy in the Bury Times advertises a 12 x 14 room at £15 and another who offers "Half Price Cleaning" AND free stain guard.

The main problem is that I'm getting in the houses to do a quote and when I give a figure its a cade of can you do it a bit cheaper?

[wynne jones]

Yeah there are some real clowns around when it comes to prices. Some to high, some to low. Of course mine happen to be just right.

[Ian Rochester]

People will always want to think they have got the better of you and that they have got you doing the job for next to nothing, as long as you know what your costs and margins are then by all means give them a discount if it means you get the work.

I've just knocked £175 off a job yesterday in order to get it, we'll still make a good profit from it though without compromising on service.

[Joe H]

You need to remember that you are selling a service and not a fixed product.

By that I mean its not as if we are selling televisions where a customer WANTS a Panasonic model xyz. Hes seen it in Currys at £699 and you selling for £740. Of course he will ask for a discount and it may be more difficult to say no.
You sell a service which is completely different proposition. Of course, they dont know how good your service is but its up to you to tell them inc full insurance, member of NCCA, quick drying techniques..... whatever.
I mentioned it a couple weeks ago but my favourite line is when they ask for discounts is, after drawing attention to the fact there will be many cheaper then me.....
"I cant match there low prices, neither can they match my high quality" - you could ask a question then "which would you prefer".
If they say "high quality! then you cracked it. If they say "low price" then you have the choice to either barter a bit or say cheerio.
On a £100 job I would only barter say a fiver.

A quality service costs money - its not just being polite and respectful of their home etc, its the time and effort thats reflected in costs of training, qualirty cleaning products, good quality cleaning equipment etc.

[wynne jones]

That's a nice line Joe. 

[Mike Halliday]

the line...... "I cant match there low prices, neither can they match my high quality" looks good when it written on here but in a real situation it doesn't always work,

what happens when the customers says.... "yes they can" or even worse....." they did my sisters and did a great job!"

and if you ask the question which would you prefer? they are not stupid they won't just answer "High quality" they will say something like "I want a good job but don't want to pay the earth"

to negotiate properly ( its not 'bartering', that's were you exchange goods or services in lieu of payment) you both have to give something, If the want a lower price then they have to give a concession in return.

if someone asks me for a discount then I will say"I can give a small discount if you....

......are flexible on when the work is done"

......if you move the furniture"

......if you vacuum before I arrive"

......have the main room protected"  etc..etc...etc

I never just  knock money off

[Simon Gerrard]

It's never a good idea just to knock money off your quote as it makes you look desperate. If the price of the job is £100 but the customers wants something knocked off then you take of say £10 but tie that reduction to them giving you something in return.
'The job is worth £100 but if I can clean around the furniture instead of moving it and cleaning behind it then I'll do it for £...'
'If I can do the job at X time on X day when I'm in your area then I could do it for £...'

The job always remains £100, the only way it gets any less if is the customer gives you something to justify the reduction, but they still know the jobs £100 and that is important for next time.

Simon

[Mike Halliday]

Simon you must have been typing same times as me, great minds think alike

[wynne jones]

Of course you are both right but it's a lot easier to do if you are well established and your diary is pretty full anyway. I'd much prefer to reduce the price by a packet of tabs and seal the deal rather than lose out on a good job, but that's just me.

[Simon Gerrard]

Wynne,

You don't understand the technique.
You're giving away ' a packet of tabs' as you put it but have got nothing in return, expect the certainty that you will always have to give that customer a 'packet of tabs' for nothing every time you go because you have now taught them that they can get something for nothing from you. And if you just meekly say, 'Oh, ok, I'll do it for £x,'  then they immediately think you were over-charging them in the first place. You can then end up with them saying, 'Ok, leave it with me, I'll call you.' They then call back and say , XYZ cleaners said they'll do it for £x's, will you match it?'
Far simpler to tie any reduction in price to something the customer has to give you in return in order to get the discounted price.

Simon


Simon

[Doug Holloway]

Hi Guys

If I barter or as I would prefer to put it negotiate, I always ask for something in return, e.g payment method, extra work, fit in with my timings so I have efficency savings etc.

This way I keep control while allowing custy to retain their dignity.

However there are many cases where my price is non negotiable, usually when I don't really want the job!

Cheers

Doug

[jasonl]

I am in the middle of writing an article for a local business mag about dealing with Muslims/asians , I will start a thread and post it when it is complete.

[Steve Barnett (Carpet Care Plus)]

The art of negotiation:

What I give you should equal what you give me.

It's a bad deal if only one side wins.