Shopping out bids. HELP!!

Status
Not open for further replies.
Z

zeilzabob

Member
I am an electrical contractor in North Central Wisconsin. Over the last few months five of our bids have been shopped out. (That we know of) It is difficult to narrow it down to a single company because there are so many general contractors bidding the projects.
We hear of different bid formats that help to get rid of this problem. Like all subs need to submit to a database the day before and once they are all locked in, then the generals have access to them to choose who they want to use.
Is anyone familiar with a process like this and can you get me information on it. We need to replace our old system with a new in this state. I guess honesty gets you nowhere.
 
Mr. Wizard

Mr. Wizard

Senior Member
Location
Texas
zeilzabob said:
I am an electrical contractor in North Central Wisconsin. Over the last few months five of our bids have been shopped out. (That we know of) It is difficult to narrow it down to a single company because there are so many general contractors bidding the projects.
We hear of different bid formats that help to get rid of this problem. Like all subs need to submit to a database the day before and once they are all locked in, then the generals have access to them to choose who they want to use.
Is anyone familiar with a process like this and can you get me information on it. We need to replace our old system with a new in this state. I guess honesty gets you nowhere.
Click to expand...

There is no way to stop anyone from bid shopping. Consumers know that they can shop around and get the best value by comparing prices. Thats the way it was, is, and will be. I don't necessarily agree with it, but there really isn't much that can be done.
 
R

ron_o

Member
Mr. Wizard said:
There is no way to stop anyone from bid shopping.
Click to expand...

For the past several years, contractors have been raping the public for all that they were worth, and then some. They could pick and choose who they wanted, skipped 'small jobs' and bid so high many could barely afford to have anything done.

I have a feeling the public are going to seek vengeance. You better have made your money when the going was good. Now that the economy has fallen off a cliff, those with money can just about name their price.

As an example I know a homeowner who was charged $800 to have her bathroom finished. All she needed was to complete the drain of her shower. It must have taken a full 30 minutes to finish the job. They had the money, but I couldn't believe they agreed to that price.

With a vengeance I tell you. Cash is king now. :/
 
N

nakulak

Senior Member
gov style sealed bid openings can prevent after the bid shopping if it is required that the subs are listed, but I don't see how there could ever be any way to keep unscrupulous contractors from shopping their prices. Heck, if we have a favorite supplier we sometimes give them a last look if there is a lot of money at stake, and that is essentially what bid shopping is. The only way to prevent it is to have loyal clients, and that is something that requires more to the mix than just a price. If I provide great service for my client, if I treat them fairly, etc. etc., then I should expect some loyalty in return. (ie. they have a reason to want to use me). Now that doesn't mean that they should shop their price to me, but it may mean that if they have a choice over subcontractor A or subcontractor B, , and they know that subcontractor A has nickel and dimed them for every little extra and not been fair about it, and contractor B has been more reasonable with extras and very responsive with warranty callbacks and the customers are very happy with them, then maybe the GC would consider the possibility that hiring contractor B was better for their business, even if the bid price was slightly higher ?
 
Status
Not open for further replies.
Top