Hourly rates

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emahler said:
a 10 man shop needs 60-80 calls a day to accomplish the same thing...
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Which now gives people an idea to the type of market that you need to operate in to make this work. You need a market where not only do 60-80 people or more per day need electrical work done, but 60-80 will feel compelled to call your number on that day.
 
mdshunk said:
That's sort of the main issue the whole system hinges on. You need a steadily ringing phone (and the requisite advertising), since it is only a percentage of the folks that call will bite on the diagnostic fee and book and appointment. That percentage is higher or lower depending on how well the person that answers the phone is trained.
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That's the problem, we don't get a lot of calls for troubleshooting. I believe there are just way too many electricians in our area, and probably the larger shops who have been around longer get most of the calls. e/m
 
Energy-Miser said:
That's the problem, we don't get a lot of calls for troubleshooting. I believe there are just way too many electricians in our area, and probably the larger shops who have been around longer get most of the calls. e/m
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I guess the textbook answer to that is because the only "advertising" you do is your YP ad, if you can even call that advertising. The flat rate folks tend to flood their operating markets with all manner of advertising. You and I PM'd about a hybrid approach that you might consider.
 
understand something...you can flat rate if you receive 1 call a day...just don't charge a trip charge...and when you get to the site, instead of quoting $70/hr...give them a fixed price...

does that make sense?
 
It is often stated in this forum that we do not charge enough based upon other trades. My question is, is this actually true or just perceived, the group mentality that we are the down trodden, black sheep of the blue collar field.

I know in this area, HVAC and elevator men charge more that commercial service electricians but, residential electrical service electricians also charge more than commercial.

Hourly rates in DC for commercial contractors is in the 70.00-90.00 per hour.
Some have added fees such as parking, tool rental, truck fee, fuel adjustment, ECT.
 
mdshunk said:
I guess the textbook answer to that is because the only "advertising" you do is your YP ad, if you can even call that advertising. The flat rate folks tend to flood their operating markets with all manner of advertising. You and I PM'd about a hybrid approach that you might consider.
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Actually I use google pay per click, which has been the best advertising money I spent. For some reason it does not attract a lot of service call types, but bigger estimate type projects. I am wondering if radio ads are cost effective, or even local tv. I don't see a lot of them, but just last night saw one for a company that specializes in installing generators. e/m
 
Energy-Miser said:
Actually I use google pay per click, which has been the best advertising money I spent. For some reason it does not attract a lot of service call types, but bigger estimate type projects. I am wondering if radio ads are cost effective, or even local tv. I don't see a lot of them, but just last night saw one for a company that specializes in installing generators. e/m
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Here is a link to a YouTube video from a supplier that had TV ads.
 
emahler said:
where do people look when they need quick service? (assuming they don't already have an electrician)
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I pick up the yellow pages.

That is pretty much where I have found every service I have needed for my home.

Asphalt, trees, mason, roof, rental tools, dumpsters, appliance parts, emergency plumbing service, oil burner service, fuel oil......

I will also admit I am drawn to larger ads, not the single line that just has a name and number.
 
iwire said:
I pick up the yellow pages.

That is pretty much where I have found every service I have needed for my home.

Asphalt, trees, mason, roof, rental tools, dumpsters, appliance parts, emergency plumbing service, oil burner service, fuel oil......

I will also admit I am drawn to larger ads, not the single line that just has a name and number.
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Full page YP ads are very nice, definitely draw the crowd. Around here, they are pretty expensive. I have even seen a big wheeler here have two full page ads, one to your left, the other to your right, so you see nothing but their ad when you get to that part of the book. They are nicely designed, different emphasis on each page, but definitely not cheap. e/m
 
I don't need to see a full page ad, just more commitment then the single lines. I want to read about the company at least a bit.

e/m not trying to tell anyone how to run their business, I am just saying how I find services. I personally only go to the Internet for things that can be mailed to me. For me if I need a plumber 'right now' the last place I think of is the internet.....I know that is starting to change but I am sure there are many like me that would go local for immediate response.

JMO, Bob
 
iwire said:
I don't need to see a full page ad, just more commitment then the single lines. I want to read about the company at least a bit.

e/m not trying to tell anyone how to run their business, I am just saying how I find services. I personally only go to the Internet for things that can be mailed to me. For me if I need a plumber 'right now' the last place I think of is the internet.....I know that is starting to change but I am sure there are many like me that would go local for immediate response.

JMO, Bob
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The yellow pages will keep the phone ringing, as you noted, you don't need the full page, but you sure do need a display ad to start it ringing, the better placed ads, has better success, at keeping that phone ringing, internet ad's will have better results for national markets, the buyers seem to prefer the local ad markets, at this time.

Many EC's resist advertising, they look at it as an expense, rather then a long term business investment, with great returns.
 
iwire said:
I don't need to see a full page ad, just more commitment then the single lines. I want to read about the company at least a bit.

e/m not trying to tell anyone how to run their business, I am just saying how I find services. I personally only go to the Internet for things that can be mailed to me. For me if I need a plumber 'right now' the last place I think of is the internet.....I know that is starting to change but I am sure there are many like me that would go local for immediate response.

JMO, Bob
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I actually agree with that. That's why we are in the local community phone book (the skinny red ones, at least in our area, they are the red book). I am also in a couple of local chamber of commerce directories, etc. e/m
 
Advertising is expensive period. I tried ValPak once, and put another ad once in a local free magazine called the Suburban Scene (free to households, not to me), and had near zero results. Also, last weekend, put 250 single sheet leaflets in neighborhood mailboxes (not in the mailbox, but tucked between mailbox and the red flag). Got one call so far, resulting in a free estimate trip, but no business yet. Actually got two calls, but the second one was from an incensed homeowner who reminded me that I could be sued for disregarding no solicitation signs, etc. e/m
 
hardworkingstiff said:
How is our "worth" determined? Is it the same for all of us?

Sometimes in the past I've asked questions like this to start an arguement. I don't want that. I am curious as to what everyone things determines out "worth". Personally, I believe the market makes that determination. (Last I checked, we do still live in a free-market society).
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hardworkingstiff said:
I agree, $37 is way too low. Personally, I value my skills at $70/hour. It seems a lot of posters believe I'm too cheap and insulting our trade. The market in eastern NC seems to think I'm borderline high (which is where I like to be, on the high side).
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This is what I brought up in an another thread. If your time and skills is worth $70 an hour isn't your guys skill worth that too? Let's say he's only half as good as you, that's still $35 an hour. I would bet that there are very few emplyoees out there making more than $25 any hour, other than maybe the ones working union.

So if a guy is making $20 an hour during the week $40 an hour is like heaven.
 
cowboyjwc said:
This is what I brought up in an another thread. If your time and skills is worth $70 an hour isn't your guys skill worth that too? Let's say he's only half as good as you, that's still $35 an hour. I would bet that there are very few emplyoees out there making more than $25 any hour, other than maybe the ones working union.

So if a guy is making $20 an hour during the week $40 an hour is like heaven.
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can you elaborat?
 
Energy-Miser said:
Advertising is expensive period.
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not quite....BAD advertising is expensive....good advertising pays for itself 10x over....do you thing the contractors who have good advertising do it themselves? advertising and marketing is not a hobby...it's amazing how many guys will waste $10,000's of dollars on bad advertising..thinking they are saving money by nothiring a professional.......
 
cowboyjwc said:
. I would bet that there are very few emplyoees out there making more than $25 any hour, other than maybe the ones working union.
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Around here, the non-union pay scale for a journeyman ranges anywhere from low 20's to mid 30's, with foremen in the high 30's to low 40's. Cost of living is pretty high here compared to most of the country.
 
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