FG jobs - prices, discounts, etc.

Roach · April 11, 2008

Did an est. today... little under 200 sq/ft. New home... pretty easy windows.

I knew they were going to ask for a better price... but I didn't think about it when I was working up my sheet. So I gave them a little bit of a break, but already my prices are pretty competitive and they were a referral from a neighbor rather then a cold-call.

So on my way home I was thinking that I should just increase my price, and then make a deal price.

Of course, the biggest mistake I made was not saying - What would it take for you to book the job right now? - cause I have no idea what they were looking for the price to be.

I try very hard to stick with my prices since I get a lot of referrals. The last thing I want is to have someone ask me why they are paying more then their neighbor or something. I used to hate getting that when I was working for my x-boss. Ticked me off terribly.

Does everyone pretty much stick with their prices or what?

-R

Cuttingedge · April 11, 2008

I usually stick within a $1 or 2 per sf in variance. Never second guess yourself man. The one voice in your head tells you to state a lower price so you will get the job and the other voice says stick to your guns and price it higher. Its just a matter of confidence in your product and workmanship. Never sell yourself short. Looking back when I started, I gave away some jobs and didnt get paid what I was worth just to get some jobs under my belt. Its hard to walk out of the bid instead of lowering your price. I used to think, hey its better to make a little money than nothing at all, but not anymore. My time is worth more than that. Alot of people forget to just come out and just ask for the customer's business. Dont just measure and give a price. ASK for their business. They then have a choice to either say yes or no.

April 11, 2008

Adjust your price on how bad you need the job and how much they look like they could afford. Have you ever been in a $300,000 house and it's ghetto inside and they never call back? I prefer the $100,000 home with a Lexus in the drive way and a tv bigger then your car, those are the customers that will most likely pay your asking price without question. Closing the sale has been a long time issue with you, what tactics are you using? Maybe your too nice :thumb

Roach · April 11, 2008

Actually my closing rate overall is pretty good... I'd guess I'm at about 75%, which is probably about right. In '08 I've increased my prices for standard films, and I'm also offering ceramics at a pretty good price.

I do my presentation, give them the price at the end... and ask if they would like to setup a date for the install. At that time most people say they gotta talk it over with their spouse and get back to me. Most call within a few days.. and if I don't hear from them I'll give them a call on day 4 or 5 to follow up.

Then there are some bids that I just would rather not do, so I don't pursue them all that much. (Generally individual pane jobs)

But like a bid I did a couple weeks ago... I kid you not - before the woman even looked over my sheet she asked if I could do any better. Like wtf?

Then there are times when I give them the price and they are like - when can you do it?!?! And I think doh!! I could have asked for more.

I just really don't like lowering my prices any if I can help it. I can't call the electric company and get them to lower my bill... or the phone company and ask for a discount.

If this year goes good, as far as my prices go, I'll probably up it more next year. I know I'm below some of my competition... and higher then others. But I haven't really had anyone tell me they had a lower bid or anything like that. But again, most are referrals from past customers.

The home I was in tonight is at least $600k.. if not more. They are still building.. sign says $600k-$750k.

April 11, 2008

I stick with firm #'s on price (except in the winter), however I do offer discounts once per year (home show incentive) and I offer fg discounts for my auto clients. A lot of my auto clients never think to tint their homes until I cross market when I close them out on the auto side. I have recruited good amount of sales that way. If a person doesn't find the value in paying your prices, you really don't want to do business with them anyways.

I have noticed that in the past when I have lowered my price (mostly commercial work) to attract the job that I sold ourselves short and the client would have picked us at a higher price. I hate selling ourselves short but when it's winter and a contractor is just calling anyone in the phone book to head to a construction site to get the windows tinted I don't want anyone else to win that bid. Not to mention, I have a guy on payroll that needs the work!

It's not always about selling the product, it's selling your business. Price is just part of the equation. Figure out a way for you to make your business outshine your competitors. I know in my area, if one of my competitors actually shows up after I have been to a person's home, after that person sees my presentation, my competitors are in deep trouble no matter how much of a discount they would be willing to offer :thumb

April 11, 2008

Maybe it's the economy scare that have people holding on to there money. The price is a shock to some people, they probably have no idea until the estimate comes and the old let me talk it over with the wife/husband, is a nice way of saying I can't afford it. I wish I knew the answer to locking in the bids, but I have no idea. In such a broad market, I can only suggest what works in my area and that is to adjust with the market. When spending slows you have to lower your price or lose any profit you could get, something is always better than nothing. Things should pick up for everyone soon with summer coming and with global warming it may be a good idea to start selling that idea. :poop

April 11, 2008

Actually my closing rate overall is pretty good... I'd guess I'm at about 75%, which is probably about right. In '08 I've increased my prices for standard films, and I'm also offering ceramics at a pretty good price.
I do my presentation, give them the price at the end... and ask if they would like to setup a date for the install. At that time most people say they gotta talk it over with their spouse and get back to me. Most call within a few days.. and if I don't hear from them I'll give them a call on day 4 or 5 to follow up.

Then there are some bids that I just would rather not do, so I don't pursue them all that much. (Generally individual pane jobs)

But like a bid I did a couple weeks ago... I kid you not - before the woman even looked over my sheet she asked if I could do any better. Like wtf?

Then there are times when I give them the price and they are like - when can you do it?!?! And I think doh!! I could have asked for more.

I just really don't like lowering my prices any if I can help it. I can't call the electric company and get them to lower my bill... or the phone company and ask for a discount.

If this year goes good, as far as my prices go, I'll probably up it more next year. I know I'm below some of my competition... and higher then others. But I haven't really had anyone tell me they had a lower bid or anything like that. But again, most are referrals from past customers.

When you get an immediate response like a person thinking your prices were going to be way higher, it's not that you are cheap or your prices should be higher, it's that they didn't understand how inexpensive window films really are. I bid a dental office the other day, dentist is dying from heat and glare. The windows face SW and while he is working on patients he literally needs to wear sun glasses. When I handed him the estimate, he said "wow...a lot less expensive than I thought it would be..." and he mentioned that he has seen prices for window treatments in the ten's of thousands of dollars so he figured that window film would be the same....

Likewise for the other consumers that ask..."can you do better?" that person just wants everything at wal-mart prices.

Don't lower your prices. Ask for what you know you deserve.

Customtinting · April 11, 2008

I will stick to my price. I am very competitive in my market and will not play the discount game. This is a very labor intensive process and I, for one, won;t give it away. It has always been my opinion that the job you have to drop you shorts for will cost you more later on, since this will be the one that calls back with every little issue. Had one of these once, a couple who asked for a better price even without competitive quotes, then proceeded to call us back every few days to claim they did'nt like something. (film was ore reflective at night,35%nr, saw a dust speck in a window 20 feet up, etc) Of course they would'nt %&$# the airconditioning off or put their damn dog in a locked room while we worked, so the windows came out almost perfect for industry standards. Remember, hold your line, use your sales skills and the work comes. What ya don't get, ya probably will be happy ya lost!!!!

April 11, 2008

I tell everyone they're getting a deal.

Whether or not they are.

April 14, 2008

I will stick to my price. I am very competitive in my market and will not play the discount game. This is a very labor intensive process and I, for one, won;t give it away. It has always been my opinion that the job you have to drop you shorts for will cost you more later on, since this will be the one that calls back with every little issue. Had one of these once, a couple who asked for a better price even without competitive quotes, then proceeded to call us back every few days to claim they did'nt like something. (film was ore reflective at night,35%nr, saw a dust speck in a window 20 feet up, etc) Of course they would'nt %&$# the airconditioning off or put their damn dog in a locked room while we worked, so the windows came out almost perfect for industry standards. Remember, hold your line, use your sales skills and the work comes. What ya don't get, ya probably will be happy ya lost!!!!

This is so true! The customers who don't mind paying for custom work are the ones you don't have to fight for and they aren't going to be nit picky. We had an auto customer show up at our storefront last week and about crapped his pants for what we charge for an outback. He told us one of our competitors would charge $120 less than what we will charge. Justin told him "well $x is our price, I charge what I know I'm worth and that company only charges what he is worth." He even gave him the # of one of our competitors that we do refer work out to. The guy hung out and asked a lot more questions and then said..."why don't you just give me a discount?" and Justin said..."I don't need to give you a discount."

This is a customer we can totally live without. He doesn't place value in our price and service, so our competitors can have him and deal with the problems he will bring.