Mikey P
Administrator
Customer wants to negotiate...
How many times has this happened to you?
- Thread starter Mikey P
- Start date
Cleanworks
Moderator
When a customer wants to negotiate, I start heading for the door.
Mikey P
Administrator
I can still recall almost word for word the time I had to explain to two workerbees why I as an owner op, have to charge more than the Stanley coupon they were asking me to match
Nate The Great
Member
Everything is a negotiation.. Don't believe me? After visiting China back in 2010 I understand why they are the way they are.. It's a cultural thing, they don't have much and you could go 5 stores over and get the same thing.. I've pondered on how can they make money..
Their best price to you is the 10x inflated price.. Sure you haggle it down some, but they still got you to pay a lot more than it's worth.. You thinking you got a good deal, while in reality you over paid..
When you give them YOUR best price, meaning you've sharpened your pencil, it's still too high.. They think they can get you down more on price because of their upbringing.. Now if you do the job, your barely making anything.. If Murphy rises, you just loss money/time..
Steve Toburen "Does the way I have this estimate written up, meet your budget?"
Gary Heacock "That price includes protector, don't need the protector? Subtract $20"
Their best price to you is the 10x inflated price.. Sure you haggle it down some, but they still got you to pay a lot more than it's worth.. You thinking you got a good deal, while in reality you over paid..
When you give them YOUR best price, meaning you've sharpened your pencil, it's still too high.. They think they can get you down more on price because of their upbringing.. Now if you do the job, your barely making anything.. If Murphy rises, you just loss money/time..
Steve Toburen "Does the way I have this estimate written up, meet your budget?"
Gary Heacock "That price includes protector, don't need the protector? Subtract $20"
The Great Oz
Member
For every discount, the customer has to do something for you to offset the discount.
Negotiation 101.
Negotiation 101.
Brian H
Member
Exactly!!!
Rob Grady
Member
When that occurs from time to time, I suggest they look for a wand cleaning company. Generally, a splash and dash wander can clean in half the time I would.
We've all heard it, "time is money" ! And if " money is time", Wanders should be charging less.Yet I hear claims of $150-$200 revenue per hour from my local competitors and others on the boards.
I wish I had the gall to gouge the public for more than the $120-$125.00 per hour I normally charge for giving a superior clean with the RotoVac's!
Cleanworks
Moderator
You are not gouging them. This is the problem in our industry. People often don't know their costs and set their prices by what their competitors do. On residential, I am often making $200 per hour on the job. That doesn't include my driving time. When you look at the cost of operating a truck mount, that's not unreasonable. I made $750 per hour almost with my Phoenix. I still don't feel guilty. I am not in business to make just a salary.
its all about marketing to the right type of client. Even then you will run across someone that wants to negotiate.
I remember one time a new customer called and booked an appointment. After I handed her the invoice she referenced getting a discount. I said that was my price along with why I am different than all the rest. She said it was too high. After leaving (without doing the work) I got the distinct impression that she calls owner operators because employees wont negotiate but O/O can. Pretty smart.
I remember one time a new customer called and booked an appointment. After I handed her the invoice she referenced getting a discount. I said that was my price along with why I am different than all the rest. She said it was too high. After leaving (without doing the work) I got the distinct impression that she calls owner operators because employees wont negotiate but O/O can. Pretty smart.
