Market Research via Fake Estimates?

[kwb]

I had a conversation with a elec contractor buddy of mine last night about a job we were both estimating. There was something fishy about it so I looked into it further and I have what I think is a fake request or perhaps "Market Research" thing going on by another elec contractor shopping our prices.

In other words, a competitor contractor flew a set of job plans through the community asking for estimates on a job that doesn't exist to see where the other electrical contractor estimates come in.

I'm pretty sure I'm not going to submit an estimate on this house (which would be a pretty darn nice job) but what if I'm wrong?

The owners name doesn't match the county records. There's not been a county building permit issued and the so called "owners" live in California.

Are there any legalities besides those of my individual state attached to doing something like this?

 

[K8MHZ]

I doubt there is anything illegal about it.

If you were curious and wanted to find out more about the person you are dealing with and more about the owners of the building, and are willing to pay a bit for the info, try Intelius.

http://www.intelius.com/

I am probably the type that would snoop into this a bit and if I discovered anything out of line I would let my electrician / EC friends know about it.

I would probably post any noteworthy results here as well.

 

[Rewire]

How did you get the plans were they left in a basket at your doorstep with a note saying please estimate my house?

Who is your contact?

 

[cdslotz]

Why would you ever bid a job to someone (builder, GC) you don't have a relationship with?
If you were to bid something to a prospective individual, then you must have been referred by someone.

 

[Rewire]

Why would you ever bid a job to someone (builder, GC) you don't have a relationship with?
If you were to bid something to a prospective individual, then you must have been referred by someone.

I bid jobs all the time with builders and GCs I have no prior relationship with. As long as they check out why not bid with them.

 

[LarryFine]

In other words, a competitor contractor flew a set of job plans through the community asking for estimates on a job that doesn't exist to see where the other electrical contractor estimates come in.

How would a competing EC justify seeking bids from other EC's? Or are you not sure he is one?

 

[j4str]

to make sure his bid is accurate


put it this way, i have a side business powder coating. If im not sure how much to charge for a given piece, i might take it down to the local powder coater and ask for a price to have it pc'd. Then i can give the customer an adjusted price

 

[ultramegabob]

I get alot of calls from contractors that I have never heard of before that want bids submitted for commercial jobs that need bids in 2 days, I figgure they already have an electrician they are going to use, but need some ammo to beat the price down on them, or they are just looking for me make a mistake by being in a mad rush to make the deadline to submit the bid. If I were you I would go with your gut instinct, I wont waste my time with anyone who comes off even a little flaky, and your situation sounds pretty flaky....

 

[benaround]

kwb,

Call him up, ask him whats going on, ask him everything that's bothering you. Sounds

like someone from Calf. wants a house built and this out of town guy is handling it for

them. He's getting prices from the local guys.

 

[Ohmy]

I had a conversation with a elec contractor buddy of mine last night about a job we were both estimating. There was something fishy about it so I looked into it further and I have what I think is a fake request or perhaps "Market Research" thing going on by another elec contractor shopping our prices.

I can believe it. We get calls all the time from local EC's or their wives pretending to be customers. Some don't even have the foresight to call from a private number which makes for a very ackward but entertaining 4 or 5 seconds. Of course, I've done it also....so I am not pointing fingers.

Making someone do a complete takeoff on a house is a bit more extreme than making a bogus service call inquiry though.

 

[Rewire]

I had a conversation with a elec contractor buddy of mine last night about a job we were both estimating. There was something fishy about it so I looked into it further and I have what I think is a fake request or perhaps "Market Research" thing going on by another elec contractor shopping our prices.

I can believe it. We get calls all the time from local EC's or their wives pretending to be customers. Some don't even have the foresight to call from a private number which makes for a very ackward but entertaining 4 or 5 seconds. Of course, I've done it also....so I am not pointing fingers.

Making someone do a complete takeoff on a house is a bit more extreme than making a bogus service call inquiry though.

The fun comes when you flip the script and call them.

 

[kwb]

To clarify, the homeowner is the General Contractor on this house. Though neither exist. It's a fake homeowner and a fake house that an Electrical Contractor made up to shop our prices.

I was contacted by email from the fake homeowner and sent the bidding documents in pdf and printed them out in my office. The architect's name and address are missing as well as the location of the property, in fact the whole first segment of the plans are omitted/missing giving the homeowner and location details.

Anyway, that's the story as brazen and dishonest as I think that it is. I'm half tempted to give them a fake estimate with a ridiculously high amount. Hopefully the guy will think he's bidding too low and raise his rates. Something to make this backfire on him.

And by-the-by, I get legitimate bid requests from general contractors I don't know from out-of-state all the time. I usually never turn them down.

 

[Rewire]

To clarify, the homeowner is the General Contractor on this house. Though neither exist. It's a fake homeowner and a fake house that an Electrical Contractor made up to shop our prices.

I was contacted by email from the fake homeowner and sent the bidding documents in pdf and printed them out in my office. The architect's name and address are missing as well as the location of the property, in fact the whole first segment of the plans are omitted/missing giving the homeowner and location details.

Anyway, that's the story as brazen and dishonest as I think that it is. I'm half tempted to give them a fake estimate with a ridiculously high amount. Hopefully the guy will think he's bidding too low and raise his rates. Something to make this backfire on him.

And by-the-by, I get legitimate bid requests from general contractors I don't know from out-of-state all the time. I usually never turn them down.

I would low ball him so he will spook drop his price and loose his but

 

[brantmacga]

I get calls from other contractors, and I've called them before too. Its part of business.


Sometimes they even say what company they're from and let you know up front they're checking prices. Sometimes I like to toy with them and give a price that's 400% higher than usual.

 

[brantmacga]

. . . . The architect's name and address are missing as well as the location of the property, in fact the whole first segment of the plans are omitted/missing giving the homeowner and location details.

I would write my estimate like this;

) Complete electrical installation according to plans_$xxxxx.xx

and not waste any more time.


We don't give bids without a location, because that can determine the price based on which AHJ we're dealing with.

 

[petersonra]

Could be a lot of things. The lack of a permit, the owner's name, or the owner being located out of state would not seem to be especially relevant. There are perfectly good reasons that those things could be and it still be a legit project.

 

[petersonra]

To clarify, the homeowner is the General Contractor on this house. Though neither exist. It's a fake homeowner and a fake house that an Electrical Contractor made up to shop our prices.

I was contacted by email from the fake homeowner and sent the bidding documents in pdf and printed them out in my office. The architect's name and address are missing as well as the location of the property, in fact the whole first segment of the plans are omitted/missing giving the homeowner and location details.

Anyway, that's the story as brazen and dishonest as I think that it is. I'm half tempted to give them a fake estimate with a ridiculously high amount. Hopefully the guy will think he's bidding too low and raise his rates. Something to make this backfire on him.

And by-the-by, I get legitimate bid requests from general contractors I don't know from out-of-state all the time. I usually never turn them down.

It could be a fake, or it could be someone that wants to get a bid without disclosing just what is up. A lot of people are keeping things pretty close to the vets these days.