Customer psychology and a 30% increase in sales

[Onfire_02_01]

So for the last year and a half I have had three cleaning packages for my customers to choose from. Budget package was cleaning open areas only for $30 per room. Silver package included moving furniture and stain guard for $45 per room. Gold package added on prevacumming and agitation after prespray (properly cleaning carpets to iicrc standards) for $55 per room. I have experimented with pitching the budget package first and the gold package first. North of 50% of my customers would pick the budget package. And the rest would split between the silver and gold.
For the last three weeks I have removed the option for customers to choose the budget package and only offered the silver and gold packages at the same prices. North of 80% to almost all of my customers have chosen the gold package even though I don't describe/pitch the packages any differently than I use to.
There is a massive psychological difference between offering three packages with a $25 per room difference and offering two packages with a $10 per room difference. I can only assume that customers are saying "it's only a $10 difference I might as well pick the better package". My close rate has remained unchanged at about 80%.

 

[Mark Saiger]

So for the last year and a half I have had three cleaning packages for my customers to choose from. Budget package was cleaning open areas only for $30 per room. Silver package included moving furniture and stain guard for $45 per room. Gold package added on prevacumming and agitation after prespray (properly cleaning carpets to iicrc standards) for $55 per room. I have experimented with pitching the budget package first and the gold package first. North of 50% of my customers would pick the budget package. And the rest would split between the silver and gold.
For the last three weeks I have removed the option for customers to choose the budget package and only offered the silver and gold packages at the same prices. North of 80% to almost all of my customers have chosen the gold package even though I don't describe/pitch the packages any differently than I use to.
There is a massive psychological difference between offering three packages with a $25 per room difference and offering two packages with a $10 per room difference. I can only assume that customers are saying "it's only a $10 difference I might as well pick the better package". My close rate has remained unchanged at about 80%.

We just needed a couple more drinks in Vegas to figure out an even better plan

 

[hogjowl]

I've heard that alcohol can make some people talk excessively.

 

[Bob Pruitt]

My close rate has remained unchanged at about 80%.

Wonder what the close rate would be if you only did your gold plan for everyone...

 

[Jimmy L]

How can you say anythings clean if you have 3 levels?
Pretty stupid if you ask me.

 

[Onfire_02_01]

How can you say anythings clean if you have 3 levels?
Pretty stupid if you ask me.

I was operating under the assumption that not everyone will pay top dollar for cleaning. So I wanted to appeal to the widest swath of population while not working for the cheap crapholes or those with their nose in the air.

 

[Onfire_02_01]

Saiger" data-source="post: 4462627" class="bbCodeBlock bbCodeBlock--expandable bbCodeBlock--quote js-expandWatch">

We just needed a couple more drinks in Vegas to figure out an even better plan

Anytime you want I am more than willing to continue the conversation with you. I know you are busy so I don't want to bug you too much.

 

[Onfire_02_01]

Wonder what the close rate would be if you only did your gold plan for everyone...

Give me more time and I may be brave enough to do that.

 

[Desk Jockey]

James may be right.

You may be encouraging them to choose the bottom package by offering it. I think I'm try just the premuim and the standard. Ditch the bottom feeders. ???

 

[ruff]

That's an interesting insight Jeremy. I wonder if others have the same experience.

Just curious though, if you're making the same hourly (preferably more) on the gold package? Sounds to me like it is more time consuming and less hourly. Which is fine, if that's a conscientious business decision, as it may be less work on the next visit.

 

[Onfire_02_01]

It's about the same hourly to a little more. But I am giving the customer a better clean and should result in more referrals and future work.

 

[ruff]

It's about the same hourly to a little more. But I am giving the customer a better clean and should result in more referrals and future work.

Hopefully, that is not what's being communicated, as it infers that they are given an inferior service on the silver package. IMHO not a good idea.
"Less features"- That's o.k.
"Not as good"- Not so good.

 

[hogjowl]

Dude ... never share here.
They'll make you doubt your own Mom!

 

[ruff]

Here is a free MB observation for you Jeremy. You may refer to it as the MB golden rule:
If you check below your post above, you'll see that Marty liked it.
That endorsement alone (the dreaded Sutley endorsement) should tell you that something in it must be totally fooked up .

 

[Chris A]

If I were to set it up, and I'm not, I would do it this way

Bronze- pre vac, agitate pretreat as necessary, and clean open areas
Silver- add furniture moving
Gold- add protector

This way your customers are getting the same level of clean no matter which package they choose, they're just adding additional options, the bronze package could apply to empty rooms also. Just my thoughts!

 

[Mark Saiger]

Anytime you want I am more than willing to continue the conversation with you. I know you are busy so I don't want to bug you too much.

Sounds like fun to me

 

[Desk Jockey]

Ohh sheet!

 

[Mikey P]

Will you leave a job with visibly dirty carpet because they didn't choose the right package?

Doubtful cause you're a good human



Ditch the packages.


KISS

 

[Goomer]

If I were to set it up, and I'm not, I would do it this way

Bronze- pre vac, agitate pretreat as necessary, and clean open areas
Silver- add furniture moving
Gold- add protector

This way your customers are getting the same level of clean no matter which package they choose, they're just adding additional options, the bronze package could apply to empty rooms also. Just my thoughts!

This pretty much sums it all up.

Basic steps that are necessary to deliver the best results possible should not be negotiable services.

Don't down-sell your level of service.....UP-SELL it.

 

[BIG WOOD]

If I were to set it up, and I'm not, I would do it this way

Bronze- pre vac, agitate pretreat as necessary, and clean open areas
Silver- add furniture moving
Gold- add protector

This way your customers are getting the same level of clean no matter which package they choose, they're just adding additional options, the bronze package could apply to empty rooms also. Just my thoughts!

I'm almost the same as your setup would be.

I would use the prevac as needed on all three packages, as there are few jobs that don't need to be prevacced.

And on the gold package, I would add baseboard wipedown/or clean and dust behind entertainment center on wall

 

[TomKing]

So for the last year and a half I have had three cleaning packages for my customers to choose from. Budget package was cleaning open areas only for $30 per room. Silver package included moving furniture and stain guard for $45 per room. Gold package added on prevacumming and agitation after prespray (properly cleaning carpets to iicrc standards) for $55 per room. I have experimented with pitching the budget package first and the gold package first. North of 50% of my customers would pick the budget package. And the rest would split between the silver and gold.
For the last three weeks I have removed the option for customers to choose the budget package and only offered the silver and gold packages at the same prices. North of 80% to almost all of my customers have chosen the gold package even though I don't describe/pitch the packages any differently than I use to.
There is a massive psychological difference between offering three packages with a $25 per room difference and offering two packages with a $10 per room difference. I can only assume that customers are saying "it's only a $10 difference I might as well pick the better package". My close rate has remained unchanged at about 80%.

Matt,
Great job.
There is a lot of data out there that confirms what you have discovered on your own.
Package selling does increase your total job ticket. In the psychology of selling people like bundling when they buy. The key is in how you present it.
Package selling is really just a pre determined upsell. The upsell of course is your most profitable service.

If it is working for you and you can track a sales increase keep doing it.

Congrats on your success!

 

[EdCleaning]

Great idea. We have a similar "good better best" pricing method and generally we find people go with the good package. In all three, we provide excellent carpet cleaning and in the better and best packages, we add additional services. We were concerned with customers complaining our carpet cleaning wasn't up to snuff if we offered packages that took away from our premier carpet cleaning service.

 

[NobleCarpetCleaners]

look in a mirror, what would you think of a house cleaner who came in offering "levels" of service? or a car shop offering the same....

 

[BIG WOOD]

look in a mirror, what would you think of a house cleaner who came in offering "levels" of service? or a car shop offering the same....

That's when I stopped offering it. I thought the same thing

 

[Cleanworks]

We had a guy doing the same out here, he's now out of business in a Kingly way.

 

[Jimmy L]

Clean is clean

 

[Connor]

look in a mirror, what would you think of a house cleaner who came in offering "levels" of service? or a car shop offering the same....

Or plumbers.

 

[Onfire_02_01]

Well I guess some people like choice and some people are just crack

 

[steve_64]

I have a base room price. Price goes up from there on condition moving furniture and adding protector

Psychology of the sale can be very fun and interesting. Knowing some human instincs is beneficial to your bank account.