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Mike Halliday

  • Posts: 11581
charging by the hour
« on: November 01, 2008, 07:55:12 pm »
I've made a couple of cock ups this week when it came pricing based on the size of the rooms, one job I ended working 2hrs for £70.

One thing I've always been good at is knowing how long a job will take me, a customer will ask... how long will you be? and I can tell them to within 5mins, and I'm always right.

also why should a bedroom cost the same (or often less) than a livingroom when it takes longer to do

So was thinking of just working out how long it will take and charging by the hour.

this system will be fairer all round, people will get what they pay for, If they want I can rush and do a 2 bed house in 90mins or take my time, (do a better job) still take 90mins but just do the L/R & H/S/L ....they will get what they pay for.

I tend to hit around £80 an hr now so thought I''d charge that figure.

this must be the most honest way to do it.
Mike Halliday.  www.henryhalliday.co.uk

craigp

Re: charging by the hour
« Reply #1 on: November 01, 2008, 09:20:24 pm »
Mike try charging per sq ft, you'll make more money. trust me ;)

Shaun_Ashmore

  • Posts: 11381
Re: charging by the hour
« Reply #2 on: November 01, 2008, 09:24:31 pm »
Must admit Mike when it comes to domestic carpets I usually get the £80 an hour mark but upholstery does go down umless there's a carpet involved. Only trouble is that if you mention £80 an hour to the custy you may have to get a defibrillator!!!

I don't think there's an easy way to get a win win scenario unless you up your first room price and then reduce your 2nd room and give away the 3rd.

Room 12 ft x 12ft = £80
Rm 2  12ft x 12 ft = £40
Rm 3  12 ft x 12ft = £FOC

Total £120.00

It could work like that, the need to sell more rooms on 1 visit is far more in your favour as if they ask for 6 rooms you could then say it is £40 a room thereafter with every 3rd room for free.

rm4 = £40
rm5 = £40
rm6 = £FOC

Total £200

Shaun

Re: charging by the hour
« Reply #3 on: November 01, 2008, 09:47:37 pm »
Why tell the customer you are charging £80 an hour, ???

I have always charged by the hour the price depends on what the customer is looking for. ie quality of finish!

If the customer is looking for a freshen up they pay just that, if they want the full monty again the price reflects the time it takes.

There is no hard and fast rule, People know time costs money and there are those who will pay for your time and there are those who will not.
This is where the art comes in knowing how far a customer will dig into their pockets to pay for good service.

colin thomas

  • Posts: 813
Re: charging by the hour
« Reply #4 on: November 01, 2008, 09:52:20 pm »
personally i would veer away from telling a customer that you're being fair by charging £80 and hour, most like to think that your charging around £10 an hour!!  if the penny drops after you have left so be it, i think we all drop a pricing clanger now and then but best just to grin and bear it and add a few bob onto the next one!

colin
colin thomas

ollie

  • Posts: 378
Re: charging by the hour
« Reply #5 on: November 01, 2008, 09:57:46 pm »
I always try and ask how much the carpet cost them to buy and have laid etc whilst Im on the quote, then when they have that price in mind the price you charge for bringing it back to its former glory seems like peanuts!
ollie

Shaun_Ashmore

  • Posts: 11381
Re: charging by the hour
« Reply #6 on: November 01, 2008, 09:59:34 pm »
Knowing Mike he'll not sell it by the hour, he's a saleman also so the calculation will be in his head.

I think the real art is 'selling to the customer' what you want them to hear! meaning like Dave says if they want to originally spend £50 let them spend it but for a little bit more they can have, this this and this and for a little bit more they can have this this and this extra, what do they want? well they don't really know until you offer it to them!

At first they just want clean at an affordable rate but we make money on bigger jobs with them spending more money but still offering value for money, the bigger the job ticket the more work you are doing at their home.

Shaun

Shaun_Ashmore

  • Posts: 11381
Re: charging by the hour
« Reply #7 on: November 01, 2008, 10:01:55 pm »
Nice one Ollie, customers and us can forget the fundimantals of why the cleaning is happening in the first place.

Shaun

Mike Halliday

  • Posts: 11581
Re: charging by the hour
« Reply #8 on: November 03, 2008, 07:35:43 pm »
just to clarify like shaun said I won't be quoting £80 to the customers.
Mike Halliday.  www.henryhalliday.co.uk

Mike Halliday

  • Posts: 11581
Re: charging by the hour
« Reply #9 on: November 03, 2008, 07:48:51 pm »
Craig  how will charging by the sqft make me more money? it'll do the opposite,  a bedroom 400sqft will take longer to do than a livingroom of 400sqft but I would charge the same for them.

a little attic room on the 4th floor will take longer to do than a massive through lounge so it should cost more, even though its a quarter of the size
Mike Halliday.  www.henryhalliday.co.uk

mark_roberts

  • Posts: 1899
Re: charging by the hour
« Reply #10 on: November 03, 2008, 08:13:07 pm »
Its good in principle but if you book over the phone it could be more difficult to establish if the bedroom is on the fourth floor, covered in hair, has a sledge bed which she wants moving and the skirting on the HSL has just been painted and is still tacky.

Mark

Mike Halliday

  • Posts: 11581
Re: charging by the hour
« Reply #11 on: November 03, 2008, 08:16:36 pm »
Mark

I never book over the phone,  maybe with an exising customer but I would tell them the price when I turned up, not before.

your senario is why you can't charge by the sqft.
Mike Halliday.  www.henryhalliday.co.uk

craigp

Re: charging by the hour
« Reply #12 on: November 03, 2008, 08:17:45 pm »
Mike your rate will go up and down due to condition/logistics/volume ect.

obvouisly a student moving out wont want to pay a premium for top class work like a wealthy home owner would.

PS you dont tell the customer a sqft rate.


 

Mike Halliday

  • Posts: 11581
Re: charging by the hour
« Reply #13 on: November 03, 2008, 08:20:55 pm »
that makes sense, but it starts to work like my 'charge by the hour'

the time ( or rate) alters per each situation, so the price alters in unison.
Mike Halliday.  www.henryhalliday.co.uk

craigp

Re: charging by the hour
« Reply #14 on: November 03, 2008, 08:24:21 pm »
Ok maybe its the same end result with price for you, but I have found an advantage to sqft pricing is the customer much prefers to know the price is calculated

JandS

  • Posts: 4239
Re: charging by the hour
« Reply #15 on: November 03, 2008, 08:35:53 pm »
 :o
You mean people pay you £80 for a 4m x 4m living room that takes less than an hour??

John
Impossible done straight away, miracles can take a little longer.

Mike Halliday

  • Posts: 11581
Re: charging by the hour
« Reply #16 on: November 03, 2008, 08:42:13 pm »
quick maths test ;)

 i charge £80/hr

I do a living room in 45mins

how much do I charge the customer?

John were did you get 4x4 @ £80?
Mike Halliday.  www.henryhalliday.co.uk

ollie

  • Posts: 378
Re: charging by the hour
« Reply #17 on: November 03, 2008, 08:48:46 pm »
£60 dead on
ollie

Mike Halliday

  • Posts: 11581
Re: charging by the hour
« Reply #18 on: November 03, 2008, 08:56:17 pm »
WRONG

I HAVE A MINIMUM CHARGE OF £75 ;D ;D
Mike Halliday.  www.henryhalliday.co.uk

JandS

  • Posts: 4239
Re: charging by the hour
« Reply #19 on: November 03, 2008, 09:00:24 pm »
Sorry wrong end of the stick.
£60 sounds better.
Not to me but obviously to the customer.

John
Impossible done straight away, miracles can take a little longer.