Rambo's thread below reminded me of something i was pondering recently.

i called a sign shop a couple years ago to get some info on vinyl lettering for my new van. the 2nd place i called, the fella i spoke with was the owner (Signs Now Franchise). during the course of our conversation, i remarked that i had looked at his competitors signs & prices as well. he kindly went into his spiel on pricing.

i WISH i had the conversation recorded cause i can't remember 95% of what he said. but he basically let me know that if i was looking for the cheapest price, to call his competitor. he was focused on quality work with quality materials. again, his tone was kind.

i know threads like this have been posted numerous times on all the forums. would any of you old-timers in the biz,or anyone with LOTS of high-priced sales experience care to give an example of what you'd kindly say to a prospect who calls that you feel is only looking for price? i'm looking for more than just, "look elsewhere cause i aint cheap". i mean, the fella i spoke with at the Signs Now shop said that but so much more, without being pushy. he was explaining to me why someone should choose him, the benefits of choosing him, in a non-confrontational, non-defensive way that appealed to me.

thanx for any input --- Derek

Three things: First of all I seldom talk price over the phone unless it is someone calling from quite a distance. I explain that in order for my quote to be precise to fit their particular situation I recommend a free inspection and subsequent quote. Once I get to their home I usually close the deal.

Secondly, if the caller states that they are looking for a low price I explain that I am probably the highest priced carpet cleaner in the area (I am) but that I am also the busiest. I am aware that in order to substantially cut price I would have to compromise quality. Something that I will not do. I won't stake a 25 year old reputation for quality work just for the sake of a few dollars.

Thirdly, I have told myself that I have no competition. I am the competition. Once I convinced myself of that I didn't worry about price anymore. I realize I won't get every job out there and live with that.

Dave Bigler
When It Comes to Cleaning - the BIGLER the BETTER!!!

I was taught this line years ago at an upholstery cleaning class. Especially good when you are competing with "coupon" guys.
"Sir or Madam, in order for my competitor to make any money at those prices, he must be in and out of your house in 30 minutes (time varies). For me to do THE BEST JOB POSSIBLE, will require about 1 1/2 hours (time varies). It is your choice."
It really works!
The other thing I was taught is NEVER GIVE PRICES OVER THE PHONE. To properly evaluate you MUST see what you are cleaning. If all a caller wants is price, you really don't want that custy. Thats how you get the higher end business.

You guys are great. Excellent advice. As another 25 year guy here are a few more things for the mix. You must develop your referral network. i know it takes time, but it is worth it. Each person you meet knows at least 200 other folks that won't have the opportunity to connect with except possibly through them. Treat each customer like gold and your network will blossom. Remember to thank each one. When a prospective new client that has been referred by one of their friends, calls you the job is usually yours already.
Most of the time these people have already used, and been burned by the cheapies. It is rare to have price become an issue with these great prospects. There are many clever and logical things to say to answer them when price does come up, but usually by then I've lost 'em anyway. Every step leading up to the actual cleaning should be conducted in a pleasant, confident (not arrogant) and professional way. I have taught my son who is in the business with me that, even though we do "blue-collar" work, we carry ourselves in a "white-collar" manner. People will respect and respond to professionalism in a positive manner almost every time. The longer you stay in this trade, the more confident and comfortable you will become. Price will become almost a non-issue and you will rarely give the bait and switch advertisers a thought. My wife tells me that I sometimes use 100 words when one will do. I hope this wasn't the case here today. I know that I went a little off topic, but I am trying to encourage you to not get discouraged with this pricing thing.

We don't give prices over the phone. For a commercial prospect that's price shopping, here's how I handle it. The conversation goes like this...

"I can stop by tomorrow afternoon to provide you with a free consultation. This will include a free carpet inspection that includes a service evaluation to review your cleaning needs. I have a brief 10 minute presentation that will give you an overview of our services. And while I'm there I'll also provide you with a free demo on your worst area, so you can see how good our cleaning is. I'll then measure your building and write up a proposal for you."

I've provided them with LOTS of valuable information. And price is no longer the big issue. They're now compelled to use our service. In most cases I can easily close the sale.




Rick Gelinas
encapman

I'm in my 9th month in business. I've been a cleaner before but this is my first go at running my own company. My time was very hard pressed at the start as I was working another job and cleaning 3 days a week. I didn't have time to go out and bid every job. What I found is you CAN bid a job over the phone successfully.

I'm not cheap but I'm not outragously expensive. I charge .35ft for carpet and $1.00 to clean and seal tile. I book 90% of my jobs over the phone and will clean $9000 this month. (Too bad none of my commercial jobs booked for Jan, oh well Feb is going to ROCK!!!)

The key is selling quality from the begining. When you write an ad or design a flyer your message needs to be about the QUALITY of your service not your price. When they call ANSWER THE PHONE. Live bodies sell the job, Voicemail callbacks cost you $$$$$$$. And this is the most important part: YOU need to believe your worth it!

I beleive I'm worth it and thats what I tell them. If you want the cheapest...keep looking. If you want the best.... I have Friday at 1pm available. AND ASK FOR THE SALE (Sales 101: ABC Always Be Closing)

The last part is you have to deliver what you promise. I only have satisfied customers. Even the one that I screwed up is happy with my customer service. (I claim to be good not perfect.)

Well I need to get some sleep as I have a full schedule for tomorrow...and the next day...and the next day....

Tom Workman
Floor Cleaning Experts
www.fllorcleaningexperts.com

I have a bit of a different slant on pricing. I should state right up front that my way comes from how we do business. If I were a solo owner/operator, I would probably follow the advice above about not giving the price over the phone, but going in person to give a carpet inspection/audit/extra opportunity to sell my personality and expertise. That is the major advantage an O/O has to offer, not price, so why not flaunt it?

Instead, we find that the best client for us already knows what the price is and has already accepted it ahead of time. It's true that we don't win all jobs, but the advantage of not having to go on small 'estimates' outweighs the lost business, in my opinion.

So we've developed a standardized price that we can quote over the phone and a standard script that we use to explain what it means. Frankly, if someone is looking for the lowest price, they will usually spend some more time on the phone and find someone to do it cheaper, so why chase that business? Instead, a certain percentage of the population actually appreciates a company that can accurately phone quote a price in advance and stick to it with no drama when they arrive. I know I like it when a company knows their stuff enough for them to give me a precise quote in advance. If carpet cleaning is so complex to price, wouldn't you at least have a foggy idea of the price of a two room job by now?? A hint, at least?? If I called someone to get a carpet cleaning price who was vague about pricing a small job, it would lead me to believe one of 2 things, neither of which is real positive:
1. These people are so new and inexperienced, they actually DON'T HAVE ANY IDEA how long it will take them to clean 2 rooms, and they need to see it to 'get a feel of it' - maybe they are 'seat of the pants' operators. Or...
2. The reason they don't wanna tell me is cuz they wanna 'sell me'. They will show up with a lot of theatrics and try to get me to overpay on a small job by offering a bunch of stuff I don't want. They know how much they WANT TO END UP CHARGING ME...but they know I'll be scared off if they told me upfront, so they don't.

I had a tub refinished today (we chipped it, hadda pay for the clients damaged property). The company told me in advance EXACTLY what the repair would cost, sent me a confirmation sheet a week in advance, along with a notice on how to prepare for the service and a separate sheet on how to care for the refinished surface afterwards. The technician showed up on time, did the job beautifully, and charged me EXACTLY what they had said they would. Did knowing the price in advance make the experience worth less to me? No, I'd say the opposite. For busy people who can handle the truth, just tell them. They will appreciate the fact that you aren't giving them baloney, and will trust you more. Over the years, you will develop a customer base of loyal people who don't care about coupons and illogical discounts.

This applies to smaller residential jobs. If a large commercial account calls to look at a big area, I totally go out and look at it first. That is not contradictory, it's just a different size job that calls for different strategy.

I'm done now.


Really.