[suffolkclean]

We've lost out on a few EOT cleans recently due to pricing. I priced one yesterday real minger reduced my hourly rate by £7 hr. Came out at £375 including Carpets (stains everywhere)!! She wanted me to go down to £320 which I did and she had a quote for £250. Dosn't seem to be many people now prepared to pay the rates we've been charging up til now. We stand out from the crowd cos we do a high standard clean, have good customer services etc but that dosn't seem to be enough now it does seem like price is the most important thing now.

Is anyone else finding this? I think I'm going to have to lower our prices to get the work in.

[heritagecleaning]

So how many hours work was it for the £375?

[suffolkclean]

How much an hour do you charge for EOT cleans? Oven, Carpet Cleaning & General Cleaning is all charged differently to get to my total figure. I worked eot part out at £18 hr which I think is reasonable.

[DREAM CLEAN]

Hi

What size house did you quote for?
How much do you do on your EOT cleans?
The price seems very steep

[Pristine Clean]

£375, that does sound very steap! Even with carpet cleans and an oven clean.

If you actually have a carpet cleaning machine, I dont mean a rug doctor or a vax. Then the price is roughly about £20 per carpet, £1.50 per step for stairs.

Oven clean tops £60, hob £15

So lets say 5 rooms thats £100 oven and hob £75 total so far £175

Now if you get to do the clean as well then we would give the customer a discount! So tops no more that £300 we would even do the windows in and out and we use WFP Water Fed Poles. not window lean and a clothe! We also have a carpet cleaning mahine.

So I dont think its a case of you having to drop your prices due to the ressesion its a case that you do seem to be expensive no matter how good your service is.

Dave

[suffolkclean]

Pristine clean!! I'm totally insulted by the vax/rug doctor comment also window cleaning with window leane & a cloth - you really do think we're mickey mouse don't you.

It was a 2 bed, hall, stairs, landing, 26m2 lounge & kitchen - The carpets were in a terrible state & yes we would of used a REAL cc machine, bathroom had black mould in all tile grout which had to be removed, grease was dripping from the fronts of kitchen cabinets, grease thick on extractor, tiles, etc. Dust was grey & thick on all doors & skirting boards. Carpets £171 including stairs & working on the stains which takes longer & uses more PROCHEM chemicals, £30 for Oven/Hob & £169 for extractor, deep clean kitchen, bathroom all paintwork including internal windows by my husband whos also a window cleaner - not a bit of kitchen roll & spray!! :

[vacman]

Well i suppose that the EOT cleaning and what-not is simply a case of getting a job done, therefore its all about price, unlike regular domestic work where as long as people are still working they are still wanting the houses cleaned and cleaned (where possible) by the same staff they've had time and again.

We've whittled our staff down to just myself and my sister now, and have stuck to doing just regular light-to-medium domestic work. For the moment it seems to be bringing more profit in than when we had bigger jobs and more staff, although i admit we are both having to do a lot more cleaning than we did before. But with that we've virtually no paperwork to occupy us like before.

The only customers i have lost recently were those who lost their jobs. No one has mentioned the prices we charge, not even the ones we've taken on new recently.

[Griffus]

The market dictates rates, although there must be a cut-off as to how low you can go. There are of course many variables.

We are down around 25% on builders clean rates compared to last year and the added problem is that all trades are down about the same.

We therefore deal with properties in a much worse state which can add as much as 50% on the time; 75% charge for 150% work = half price nightmare!

Estate / Letting Agents will have so many cleaners eager to be called upon that they too can play one against the other until the cost bottoms out. Unless you are desperate to keep in I wouldn't go too low. If you are up against the big boys they will stitch you up and you may win the work but make no money, if not a loss. Know your lowest rate be disciplined.

BTW, £375 does seem a bit pricey for a 2 bed. That said, if you can get that much then good on yer!

Domestic market isn't so bad as there is more mony out there than the media would have us believe.

[Pristine Clean]

Pristine clean!! I'm totally insulted by the vax/rug doctor comment also window cleaning with window leane & a cloth - you really do think we're mickey mouse don't you.

It was a 2 bed, hall, stairs, landing, 26m2 lounge & kitchen - The carpets were in a terrible state & yes we would of used a REAL cc machine, bathroom had black mould in all tile grout which had to be removed, grease was dripping from the fronts of kitchen cabinets, grease thick on extractor, tiles, etc. Dust was grey & thick on all doors & skirting boards. Carpets £171 including stairs & working on the stains which takes longer & uses more PROCHEM chemicals, £30 for Oven/Hob & £169 for extractor, deep clean kitchen, bathroom all paintwork including internal windows by my husband whos also a window cleaner - not a bit of kitchen roll & spray!! :

Suffolkclean,

Firstly please accept my deepest appology. I did not mean to be insutling. After re-reading I can see why you thought that. So I appologise.

However there are many that do use a vax, and window leane,

After you explain the state of ther property, we would still be able to be competitive and a lot lower than what you have priiced. As it was only a 2 bed.

£169 for the deep clean of the kitchen was still expensive to what we would have charged. Deepending on what equipment you use you can be quicker. So yes as said we would probably be able to do it for around £300 and as it was only 2 bed, probably a few quid less than £250 + vat.

However we would have had 3 - 4 staff onsite.

1 cleaning , 1 carpets, 1 windows - 1 Oven and kitchen. Probably still make a profit of £150 +

Them swiftly move onto next job.

[Joe H]

At £320 I would consider that a reasonable price.
The cost of carpet cleaning I agree with ie £171
and if the rest of the job was as bad as you say then I think at £150 then that is a fair price too.

A lot is to do IMO with the perceived recession. The recession is only hitting those that have lost their job or know they are in a danger zone to lose their job.
A lot of people willl have gained ie if they are on a mortgage that is related to interest rate then they will be pounds in the pocket better off.
But with the word recession everyone is looking for a knock down price. How we respond .... well we each have to decide.

Personally, for carpet cleaning I have kept my prices the same. I always negotiate for bigger jobs.

[martin19842]

hi there

the current economic situation, provides as many opportunities as it does problems, pricing is always a personal issue, as you know what you need to cost work at to achieve the revenue levels that your business demands.

so therefore people may find that the relationships they have had with their clients are being tested, in a number of ways, aggresive sales activity from other potential suppliers, the company actively reviewing their supplier costs.

there is however a point at which the client should not drop without jeopardsing the quality of service they will receive.

the important thing is, irrespective of the size of your company or business, make sure that your sales activity levels remain high, so that if you loose a customer or two due to the above, then you can bring on new clients.

tough times, required tough measures and focussed activity to ensure that you remain in your own market. then as things turn you are in a positive and strong position.

regards
  martin

[newbroom]

Hi alll,

Martin is spot with his post especially regarding sales activity. We have actually increased our marketing and sales activity over the last 6 months and we have never been so busy. We have also agreed a price increase with our biggest client. who is very price savvy. Timing is everything particularly has this client site has become a centre of excellemce due mainly to efforts of my staff. Be confident in your service and charge accordingly.

[suffolkclean]

No worries pristine clean - £169 wasn't just for the kitchen it was for all the general cleaning in kitchen, bathroom, h/s/l & 2 bedrooms.

[hotsteam]

I think you have under priced.
I have just done the carpets only on a EOT clean on a 3 bed,bathroom,en-suite,lounge,dining room,hall,cloakroom & 2 flights of stairs for £310  :
Hotsteam

[The Great One]

Hi All

As EOT's is around 98% of my business I thought i would add my tuppence (for what it's worth)
With LA's they have to apply in most cases the TDS scheme, this means they have to go through the TDS to get the money for the work or the landlord pays and gets it back through the TDS.

It also depends on your relationship with the LA, I have known one here for 5 years and they give me a fair bit of work, I price high end for this client and get 99% of the work, just waiting on two paint and cleans, both with the same client.

I have another client who dictates what they will pay and work to be done, with this client I simply work on volume, I sometimes have to ask and extra £30-50 depending how minging it is.

I guess what i am trying to say is that it depends on the circumstances you are working under with the client and if the landlord is dictating what he wants to pay. Also they may be using you as a guide price and then getting 2 other quotes?

Landlords are also legally allowed to charge the tenant for work (quoted) but do not even have to have the work carried out. For instance you can quote say £150 to clean carpets, the landlord can deduct that from the tenant but then not have the work carried out and pocket the money.

Also we are not there on the ground, so any comments left here are done blindly and are personal opinions.

Regards

Martin

[letzclean]

Hi Suffolk Clean,
                         I have been having the exact same problem and have lost a few jobs lately due to pricing. I am based in central London and there is a lot of competition I have been watching Google for the last three months and everyday there are new at least 3 or 4 new  cleaning companies being formed and competing for the same £ note. It may not be as competitive up in Suffolk?
I get a lot of enquiries but not as many conversions and the number one factor is price! One example is a chap who wanted after builders cleaning for 3000 sq ft house in Earls Court must of been worth about £4 million quid he did not want to pay £500 for it to be cleaned 5 bed 5 bath covered in dust. wanted to pay £320 never done the job which I regreted after cause I could of still nicked £150 after wages but it was a big job and if it over ran I would start to loose. The market is very competitive and to compete and survive you have to drop your prices. There are companies that will do the same work as you do for the half the price people will go for it especially as they have to pay after the job is complete.  The price you charged for the job was no way expensive I would of charged £20-£30 quid more

[suffolkclean]

Thanks to the last few people to post on this - when I read the first few I thought I am really going to have to look at my prices.

I am going to reduce prices where I can at the moment to get the work in. Letzclean you sound in a similar position to me - I am not prepared to charge £12 hr for our work as it's not worth the hassle, you do have a lot of competition in London. I've seen some companies in London advertising £7 or £9 hr on their website.

[daysdeepclean]

Don't worry about other peoples prices, carry on concentrating on just being the best!

[Gilbert Sprous]

I think that combined quite a few people have said the same thing in different ways.  Your time is worth what the client is willing to pay.  If you are not willing to do the work for the pay then that job will have to be declined.  As long as you do not advertise prices you are more than allowed to charge different clients different prices.  I have one builder that I do all their cleans now and I do not even put in a quote.  They just tell me where the site is and I invoice them when the job is complete.  They have complete confidence that I will charge them at or less than market rate.  I really am not concerned about what other companies are charging (market rate).  I charge them per hour per employee I put on the job so I am always a few quids in, I dont have to worry about mispricing those jobs.  Other companies that I have been doing builders cleans and EOT cleans want quotes from 3 companies and will wait for the lowest price.  I kind of get a little nervous when I win those, if I am the lowest, have I mispriced? 

But to go back to what I was on about earlier, if you have to lower your price a little for one client you do not have to necessarily do it for the other.  Some times being bold and just asking what it will take to win the business will get an answer, then you decide if the price they are willing to pay is worth you time.

Cheeers

[martin19842]

hi there

knowledge is power.

you need to identify what your client wants,

are they looking to save money, or are they looking for a better service ?

they are the immediate questions !!

better still ask what they are currently paying, or what is in the budget.

dont be scared about asking these basic questions, becuase without at least some of this information you are unable to make an informed decision.

they might be looking to save money on a job, therefore you can look at it in a creative light.
ie at the moment they may be vacuumed every day, and dusted every day, you may suggest that they are vacced and dusted threee times a week, theres a saving there for a start.

so make sure that you have that information, the other thing that this tells youdr client is that you are interested in them, rather than just quoting any price you are taking the time to build that relationship, it all helps.

regards

martin