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bid price

July 28 2004 at 12:55 PM
Brian  

for you that both HWE and encap. I have the chance to bid on a very large hotel convention center here. I know prices are dependent on where your located. So pricing wise do you bid same, more or less for encap than HWE. I know I can cover at least 2x as much in same time with encap.
Brian

 
 
AuthorReply
Tom Rowe

Re: bid price

July 28 2004, 2:36 PM 

I usually charge the same either way. I will offer a slight discount sometimes to encourage the custy to go with the Encap. That's usually a 1¢ per foot discount. I only do that when I would rather use Encap over HWE, and need to push the custy that way.
Normally, I try to dictate which method I will use,...but you know how some custy's are. Some of them think they know more than you do about carpet cleaning, and they try to tell you what to use and how to do it.

 
 
Bo Newman

re-bid price

July 28 2004, 4:28 PM 

To encourage the customer to try encapsulation tell them you have a new way to clean carpets that you're quite exited about and you recommend it without reservation. All you really have to say is that for the carpet at hand it will be better and it won't cost them any more. They always go for it, in my experience.
Of course, it helps if the customer trusts you and you have done a good job for them in the past.
It also helps if you have both HWE and encap. That way the customer doesn't feel you're selling out of a short truck.
Then do an extra careful job - don't try to cut any corners.
Show you were right.


    
This message has been edited by B-Newman on Jul 28, 2004 4:31 PM


 
 
Brian

Re: re-bid price

July 28 2004, 5:49 PM 

Just bid 10,000'. He wasn't happy with last HWE guy. Told him how I've went behind a TM guy and fixed his wickbacks that he already tryed to for 6 months. about 10,000' per month if he likes it.

Brian

 
 
steve

Re: re-bid price

July 28 2004, 6:20 PM 

Sounds like you have the perfect way to get in. Unhappy about previous workmanship. Sometimes I will ask them how much they are paying, after I have sold myself and the system to the customer, gained trust and assured customer satisfaction . I will tell them if I can work with that price. I will do a test area. If they like it, we proceed at the agreed price. Give him references of companies that you do work for.

Steve Frasier
Drew and Steve's Floor Care
www.drewandsteve.net


    
This message has been edited by sfrasier on Jul 28, 2004 6:23 PM


 
 

Stephen Dobson

Re: re-bid price

July 28 2004, 6:26 PM 

'Hey brian..
the bid advantage with encapsulation to me, is that you can really play with the pricing to get bids.
you stated that you can be 2x as productive. So therefore, you could bid 1/2 the normal price. that is hugh. Now you dont want to do that, but you can and probably get every bid.
I normally, via HWE< get .20-.30 It varies on the situation. NO two jobs are really ever the same.
I often am at .10-.15 with encapsulation. Then I explain to them the benefits of encapping, i.e. faster drying times, no noisy machines, no wick backs.etc.
It is much faster, I am still making my designated profit margin per hr. and my bid looks much more attractive than others.
The main thing is to be productive and make that magical rate per hr to be profitable. encapsulation affords bigger parameters to do just that.
I always remind myself that money in this biz is made in return visits and references. Not only on quality, but pricing.
I charge a higher, fair price. I am not the highest price, but demand the highest quality.
You can price yourself out of business.
To me, on the ICS board, you read about all of these ridiculous price schemes that people brag about. about half are probably smoke.
the other half get away with it because they arent competing.
I am by no means, iterating lowballing as the Lord knows I am no low price. I control my overhead and try to give the custys the benefit of the doubt. In this manner, "I will see them next year" and their neighbors, their moms, sisters, inlaws,, etc. You get the picture.
On a scale of 1-10, my quality is at 15. I honestly think so.
but my pay is at 9. 10 always puts you on the bubble.
9 keeps me in the safe zone. They appreciate that i give them the benefit of the doubt with a savings of 1. I let them know in a politically correct, respectful way. I will clean for them the rest of their lives at a 9.
10's are replaced as money talks sometimes if money is tight. And too after a job, it is all about establishing a relationship. giving instead of taking gets you off on the right foot. But whatever you do, just "wow" them with quality. That is the bottom line.. if two guys do the same quality, one is a 9 and the other a 10 on the price charging scale, guess who gets the majority of the work?? And on this particluar, fictional scale, the majority of cleaners are at 7. We are still in the elite status of bread winners, just not the top. but that is fine. i get paid alot daily by knowing that I left them the cleanest carpets in town.That I went in a stranger and came out a friend. That I possibly have a new client for life. That is the pay of this job that doesnt show up on my check. But i feel much richer' that way.
Not right or wrong, just the way we here at ProFloor do it.

C ya at the top buddy.

Steve Dobson


    
This message has been edited by sodobson on Jul 28, 2004 6:29 PM


 
 
Derek Beyer

Re: re-bid price

July 29 2004, 12:39 AM 

for any prospects that question the validity of Encap, offer them a free demo of their worst area. they'll be sold after that...assuming your using the right equipment, cleaning agents and pre-vacuuming THOROUGHLY with a quality vacuum cleaner.

thanx --- Derek.

 
 
Gary R. Heacock

Re: re-bid price

August 13 2004, 12:07 AM 

I don't charge for "Encapping", for "Truck Powered Steam", for "Bi-O-Dry" bonnet system, for loose rug plant washing, etc. I charge for "Clean". The method and chemicals are up to me, not to the customer, who MAY have a bias for one system or another, but is NOT knowledgable like I am, doing it every day, year after year, and my decision is going to be better than their decision.

Several years back, a customer insisted on me using Woolite as a shampoo for cleaning her WTW wool carpet. I ain't gonna do that, I tell her. She insists, I tell her why not- it ain't gonna work. I am outta there.

Several weeks later I get a call. The job done by someone else turned out badly- can I fix it? You betcha, but my original price has now increased by 50% because straighteninig up someone else's mess always cost more. She said, no way, do it for the original estimate. Nope, I sez, 50% more. She will call another cleaner then. She did. 2 or 3 months later, she calls again. The second cleaner made it worse, and now the carpet is REALLY in bad shape- can I fix it? Sure, but now the cost has doubled from the original estimate. With a lot of wrangling, I finally agree to do the job, at double the original cost.

It takes me 2 or 3 times as long as it would have if done right in the first place. I figured I actually lost money at twice the original price.

The carpet looked great, a LOT of VERY dirty water in the waste tank, and I did feel the price was justified.

In the long run though, she never called me again.

Gary

 
 
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