Can Light Price

Status
Not open for further replies.
A

aline

Senior Member
Location
Utah
Ran accross the following ad today.
Is it just me or does this seem nuts to any of you guys as well?

Description
XXXXX Electric serving the Utah Wasatch Front for the last 17 years. Licensed and insured, commercial, residential, and Industrial. This months special 6 RECESSED FIXTURES INSTALLED FOR $300.,ANY ROOM IN THE HOUSE. In existing ceilings with no sheet rock damage or mess. Work done by master electrician. All work is guaranteed. Includes, 6" white baffle trims, and 65 watt floods. IC rated, meaning insulation can be right up against them. Other recessed fixtures and trims available.
 
growler

growler

Senior Member
Location
Atlanta,GA
aline said:
This months special 6 RECESSED FIXTURES INSTALLED FOR $300.,ANY ROOM IN THE HOUSE.
Click to expand...

It's just a gimmick to get in the door. While he is inside taking to the customer his helper is outside draining the gas out of their car and loading up the patio furnature.

Next month's special "Cheap Patio Furnature".

How do he sell it so cheap????:D
 
Dennis Alwon

Dennis Alwon

Moderator
Staff member
Location
Chapel Hill, NC
Occupation
Retired Electrical Contractor
People are just trying to stay alive. Toyota prices are slashed dramatically so why shouldn't someone who is having a hard time keeping his men employed. Hell even the fast food places have slashed their prices so they can stay open. Times are tough- we may all have to adjust our prices if the economy doesn't change soon. I am still fortunate but I don't know for how long.
 
Rewire

Rewire

Senior Member
Location
Lake of the Ozarks
What great way to advertise look how effective it is he has the folks from MH forum talking about it.I think this wil make his phone ring and if he has any salesmanship about him I bet he upsells

The big blue has 6 cans and trims for $60.00
wire ,switch ,old work box would add $20.00
6 hours at $30/hr would be another $180.00
total $260.00

Profit on job $40.00

A one man shop trying to expand their customer base while putting some profit in the company coffers
 
Dnkldorf

Dnkldorf

Senior Member
aline said:
Is it just me or does this seem nuts to any of you guys as well?
Click to expand...

The only thing nuts about this, is the lack of information that may have been conveniently left out for some reason.

A retired guy, looking for something to do during the day might gladly do something like this.

Yet another guy, loaded with debt, looking to hit a homerun, might call him nuts.
 
growler

growler

Senior Member
Location
Atlanta,GA
480sparky said:
Known in business as a Loss Leader Item.
Click to expand...

It's really a cleaver idea to advertise a sale on one small item instead of advertising prices slashed on everything.

He may be a lot smarter than most of us would think at first. If he offered cheap prices on ceiling fans then in many homes that all he would get is cheap fan installs with no chance to up sale. Can lights could be a good choice of a sale item.

Anyone doing a kitchen remodel will look at this and think they can save enough on the can lights to afford to hire him for the rest of the project.
 
A

aline

Senior Member
Location
Utah
Dennis Alwon said:
why shouldn't someone who is having a hard time keeping his men employed.
Click to expand...
The ad says all work done by a Master Electrician.
Doesn't sound like he's trying to keep his men employed unless his employees are Master Electricians. :)

Six can lights as loss leader?
Whatever happened to installing one surface mount light fixture as a loss leader?
 
A

aline

Senior Member
Location
Utah
Funny thing is I'm going to look at a can installation job this week.

Homeowner says he wants six can lights intalled in his kitchen ceiling to replace the flourescent light currently in place. The ceiling is vaulted and insulated with no attic access.

Maybe I'll have to beat this guys price and do it for $299.99 :)
 
A

aline

Senior Member
Location
Utah
growler said:
It's really a cleaver idea to advertise a sale on one small item instead of advertising prices slashed on everything.

He may be a lot smarter than most of us would think at first. If he offered cheap prices on ceiling fans then in many homes that all he would get is cheap fan installs with no chance to up sale. Can lights could be a good choice of a sale item.
Click to expand...
Most of the time with ceiling fans the box isn't a fan rated box.
You can make money up on the installation of a fan rated box.
Also you sell a nice wall mounted remote speed & lighting controller.

I wouldn't consider six can lights one small item.

Can lights in existing ceilings are something homeowners are afraid to do themselves.
Especially when there is no attic access and wires will need to be fished through joists.

It would make sense to me that this is the kind of work we can make money on and shouldn't be doing it as a loss leader.

The six can light job I'm looking at this week, the homeowner told me he wired his entire basement and knows how to do electrical work but this is fishing wire in a finished ceiling and he doesn't have the tools to do it and doesn't want to attempt it.
 
J

jimmyglen

Senior Member
Location
St. Louis, Missouri
I guess there are no 2 story houses in his area? no plaster ?

how can you promise no damage when you have not seen the house

we have old mansion houses here that have plaster and are like museums. Go try to do anything in that house for $300



this looks like a sure fire way to go out of business
 
A

aline

Senior Member
Location
Utah
jimmyglen said:
I guess there are no 2 story houses in his area? no plaster ?

how can you promise no damage when you have not seen the house

we have old mansion houses here that have plaster and are like museums. Go try to do anything in that house for $300



this looks like a sure fire way to go out of business
Click to expand...
That's why I think this would be a poor loss leader.

A loss leader should be something that you know you can complete in a set amount of time on a conistant bases. Such as installing a basic surface mount light fixture. That way you'll know how much money you'll need to make up each time.

Too many variables to do this type of job as a loss leader in my opinion.

There are a lot of multi level homes and homes with lathe and plaster in this area.
 
Status
Not open for further replies.
Top