Charging for estimates is not working!

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Fulthrotl

~Autocorrect is My Worst Enema.~
It can be more time consuming taking your boots off and putting them back on again every time you make a trip out to the van.

flip flops, dude... flip flops....
carl and i are thinking about setting up a "socal style" workshop on how to
look professional with a board on your ladder rack, and how to make a
customer feel good you are wearing flip flops.

peter has already signed up.....

topics will include:
deducting surf wax as a safety equipment expense.
how to special order rainbow sandals, so you get the one's hand made in
san clemente.
should you use DUB pimpstar 24" rims on the work truck?
properly testing your flip flops for dielectric strength for hot work.
how to explain to the IRS your travel time daily to trestles is a job related
expense.
getting customers to understand why work performed during the huntington
beach world championship of surfing merits "holiday pay"
how to stand on the top step of a ladder "goofyfoot style"
how to maintain that buff, cut, toned beach look, when you spend 2 hours
a day in front of a monitor, posting stuff here.....
keeping salt water from degrading the leather in your tool pouch.
how to find out at a moment's notice if huntington seacliffs is breaking
high enough to merit a reschedule of the day's work.

and many more vital topics........

carl's gonna do the teaching, 'cause he's got more style, and i'm gonna
collect the money..... somebody's gotta do that too, right?

advance registration, (before my next van payment is due) is in force right
now.... if interested, paypal US$395.00 to hangingfivesparky@fulthrotl.com

time of the worshop to be announced.... hang loose, dude, it'll get done...:D


randy
 

bradleyelectric

Senior Member
Location
forest hill, md
Everything you have ever bought you paid for the person that did not buy but just looked.I don't see the problem in that. In retail people walk into a store and look at the price tag free estimates is simply bringing the price tag to the customer if they like the price they buy if not the look at another "store".

I just don't get people on here that keep compairing running a retail location to running a service business.
 

peter d

Senior Member
Location
New England
flip flops, dude... flip flops....
carl and i are thinking about setting up a "socal style" workshop on how to
look professional with a board on your ladder rack, and how to make a
customer feel good you are wearing flip flops.

peter has already signed up.....

topics will include:

One question I do have...do I at least get a t-shirt and a certificate for taking the class?
 

powerslave

Senior Member
Location
Land of Lincoln
And once again, does WalMart throw everything in the store into a tractor trailer and bring it to your house so you can look at it and see if you want to buy it? No, you have to spend you money to pay for your vehicle with the gas you paid for to drive to their store. Same applies to a contracting business.

I would probably charge a nominal fee for estimates just to weed out the serious customers from the price shoppers.

Peter I think a more apt comparison would be a mechanic. Instead of bringing your car to their shop, could you imagine how much you would have to pay to have them throw all of their tools into a truck and come service your car in your driveway? And then have the car owner tell them they want a free estimate and two other mechanics are coming out?
 

bradleyelectric

Senior Member
Location
forest hill, md
Peter I think a more apt comparison would be a mechanic. Instead of bringing your car to their shop, could you imagine how much you would have to pay to have them throw all of their tools into a truck and come service your car in your driveway? And then have the car owner tell them they want a free estimate and two other mechanics are coming out?

I like this comparison better. It is at least a service business.
 

aline

Senior Member
Location
Utah
Everything you have ever bought you paid for the person that did not buy but just looked.I don't see the problem in that. In retail people walk into a store and look at the price tag free estimates is simply bringing the price tag to the customer if they like the price they buy if not the look at another "store".
There isn't a problem in that. I just wouldn't say it's free when your customers are paying for it. If your customers are paying for it it's not really free now is it?

Ok. Lets talk about retail outlets.

Best Buy is a retail outlet.
You can visit their store for free.
If you want them to come out to your home to give you an estimate there's a $100 in home consultation fee.

I'd be willing to bet that if or when wal-mart gets into the service and installation business like Best Buy that they'll charge an in home consultation fee as well.
Although they might be the low price leader and only charge $95
 

Rewire

Senior Member
Anytime you can reduce business expenses you can also offer your customers a lower price.
Charging for estimates is a way to lower your business expenses therefore you can offer lower prices to your customers.

Disconnecting your phone will lower your business expense also but the down side it will also limit your customer contacts.
 

Rewire

Senior Member
There isn't a problem in that. I just wouldn't say it's free when your customers are paying for it. If your customers are paying for it it's not really free now is it?

Ok. Lets talk about retail outlets.

Best Buy is a retail outlet.
You can visit their store for free.
If you want them to come out to your home to give you an estimate there's a $100 in home consultation fee.

I'd be willing to bet that if or when wal-mart gets into the service and installation business like Best Buy that they'll charge an in home consultation fee as well.
Although they might be the low price leader and only charge $95
We have a coffee pot in our waiting area with a sign saying free coffee,as for your visit to best buy being "free" somebody is paying for those doors to be open.Its a word game like buy one get one free.
 

aline

Senior Member
Location
Utah
If I go out and charge $100 each for four estimates and I get one out of the four thats $400 dollars I can knock off the price for customer if he decides to buy from me.

The guy that gave four free estimates didn't collect anything so he doesn't have the $400 he can give to the customer if he decides to buy from him.

Charging for estimates would actually benefit customers with lower prices but people don't realize that. The only ones that really benefit by free estimates are the people who get estimates but never buy anything. The estimates are only free for them.
 

aline

Senior Member
Location
Utah
We have a coffee pot in our waiting area with a sign saying free coffee,as for your visit to best buy being "free" somebody is paying for those doors to be open.Its a word game like buy one get one free.
Exactly. I really don't consider my visiting the Best Buy store as free. I've put miles on my car, I've used my gas and I've spent my time getting there. I would hardly call that free.

If someone wants to load their house on a truck and bring it to me I'll be happy to provide them with a free estimate. Even then if they buy from me it's not really free because they're going to get charged for the time I spent looking and it and writing up the estimate.

If I have to drive to your waiting area to get that free coffee I don't really consider it being free. I've spent money to come to you to get it.

I think the whole contracting industry would benefit by charging for estimates. If everyone charged for them people would pay. They just might only get three estimates instead of ten. They might not have you come out just so they can get an idea of how much they will save if they do it themslevles or have their brother in-law do it.
 

aline

Senior Member
Location
Utah
I've heard of someone giving a house away for free.

There's just one catch. You have to come out and get it. They're not going to deliver it to you. I heard they couldn't get any takers. It would cost more to move the house to their property than the house is worth.

They want to build a new house in it's place and it's either give it away or demo it.
 

powerslave

Senior Member
Location
Land of Lincoln
Im just curious, do auto shops give free estimates? I cant remember right now ?

Good question. I just go with what my mechanic says because I trust him and I don't want to waste my time driving all over to get other quotes. I need my vehicle fixed. I do remember in the past at other shops signing to agree I will pay for an hour to diagnose. But if people could bring their houses to our shops we probably wouldn't be having this discussion.
 

Dnkldorf

Senior Member
I think the whole contracting industry would benefit by charging for estimates. If everyone charged for them people would pay. They just might only get three estimates instead of ten.


The last estimate I just did cost me $7K.

You think I'll have any luck telling them I need to charge them for this, and if they use my services I will credit them for the estimate.

And you think they'll only get three estimates from now on?

Sounds like all you guys complaining have the same thing in common.

You just don't understand the market your in, and why you're in it.
 

powerslave

Senior Member
Location
Land of Lincoln
The last estimate I just did cost me $7K.

You think I'll have any luck telling them I need to charge them for this, and if they use my services I will credit them for the estimate.

And you think they'll only get three estimates from now on?

Sounds like all you guys complaining have the same thing in common.

You just don't understand the market your in, and why you're in it.

Sounds like your talking about a big construction job. I'm sure it's not for some homeowner. But I'm sure you will cover the seven grand some how. I'll bet it's not coming out of your pocket.
 
This is really getting far afield. Bidding and estimating on actual (and substantial) jobs is a whole other issue from the once in 5 years homeowner call about a 2 hour service job for a ceiling fan added or a tripped breaker.

Even a largish resi service call isn't likely to be more than one days work for a well equipped service truck.
 

aline

Senior Member
Location
Utah
The last estimate I just did cost me $7K.

You think I'll have any luck telling them I need to charge them for this, and if they use my services I will credit them for the estimate.
If everyone else told them the same thing then yes I do think you would have some luck with this.

What you're talking about has nothing to do with the types of estimates being discussed in this thread. So what's your point?
 
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