Your number is way out of line !!!! (again!)

[sparky 134]

So, I guess I'm a glutten for punishment. The business partner of the person I bid the other hottub too (see other thread) asked me to stop by and quote out his tub.

I've done a few small jobs for this guy, nothing big but he has PLENTY of work coming up with my name on it......

I said, "Your price for the tub is $1,075.00" I hear the big sign and the few moments of silence so I know my price is WAY out of line.

"I've got another guy willing to do it for $500.00. I was hoping you were going to cut me a break because of the work we've done together and because of the work I have coming up. You've really put me in a spot because I have a party at my house this Friday but the other guy cannot do the work until Monday. To be honest, I'm pretty upset. If you can't do the job for $500.00 then I can't use you anymore. Your material cannot cost more than $250.00. How do you justify the other $825.00 ?"

"I figured two guys for half a day. By the time I get the materials, drive to the house, do the work and drive back to the shop I would have lost money if I only charged $500.00"

"You're being penny wise and dollar foolish. If you need help I can have one of my guys help you. You and I are done doing business with each other."

"I understand you're upset and I don't want to lose your business but I would lose money at $500.00. I can only have one of my employees working with me. If your guy got a sliver in his hand I would be in trouble. I know there are guys out there who are only charging $500.00. These same guys are willing to work for $30.00/hr. I don't blame you for using him since his price is half of what mine is."

Did I mention the fact that he has three cats in the basement that are incontinent ? They are using the whole basement as a litter box. It's disgusting.

He keeps talking about money. It's been my experience that people who have money do not talk about money. He's telling me about his business on the east coast that's making him lots of money. Then follows that up with compalints about how his house has lost 80K of equity and he has a 300K mortgage. Blah, blah blah.

I may have shot myself in the foot but I don't follow the dangling carrot anymore. From now on when people call about hottubs I'm saying, "The basic install starts at $1,000.00."

 

[cowboyjwc]

Years ago I had a guy that I did a job for and cut my price from $40 an hour to $30 because he was hurting and I was still gonna make about $600 on the job and it was a side job. Two weeks after I do the job for the guy he needs me to come out on a Saturday and do some service work. I get finished and hand him my bill in front of his dad, who owned the building.

"What's this $40 an hour"
"That's my rate"
"I thought we agreed that your rate was $30"
"Yeah we did for that one job"
"I thought we had an understanding"
"I said well understand this, I make $25 an hour now if I just sit in the office and read the paper all day, what makes you think I'm gonna load up my turck and drive over here on a Saturday for $30 an hour, that's not even overtime for me"
(His dad) "son write the man a check"

Those were the days I chased the carrot, money was money, but only up to a point. I made thousands of dollars off of that building, but when everytime I sent in a bill it became a struggle to collect or I had to account for every penny, I sowed that garden.

 

[mdshunk]

Keep this #1 rule in the front of your mind. Never, ever, give special treatment to any customer on a promise of future work. That work never comes.

 

[480sparky]

If someone promises you a lot of work to get to lower your price, take them up on it.

Tell them that once all the work they promise materializes, you'll give them a break.

In other words, if they say they install 50 hot tubs a year and want a discount, tell them you will wire up 49 hot tubs at your regular price, then give 'em a break on the 50th one.

As for the $500 guy who can't make it until next week, would it make any difference if he would do it for $1.00?

 

[LarryFine]

"Your material cannot cost more than $250.00."

How does he know that? IF he's wrong, tell hin so.

"How do you justify the other $825.00?"

Because you'd do it legally and in compliance.


Be sure the AHJ happens by after the job.

 

[jmsbrush]

The basic install starts at $1,000.00."
I charge $945.00 for the same thing, One of my competitors which is a big outfit charges $980.00. No kidding ,I have an acquaintance that wanted me to install one 80' away and they said in a a serious tone " so what are we looking at $300.00. I said yeah for the material. 3 days later the wife called me (which was nice thing to do) and she said we are able to use you but thanks. We have found some one that can do it for $325.00. I almost threw up in my mouth:grin:

 

[ultramegabob]

I did a quote on running a circuit to a detached poolhouse a while back, it involved boring through brick, calling for locate, rent trencher, trenching and running 70' conduit, install a couple lights and a couple recepts. It was a referral job from a commercial customer, so I added up materials plus 15% mark up, and allowed 6hr labor X me and helper (bargain basement price) the customer called and wanted me to lower my price 75 dollars because her husband said it should cost "X" amount of dollars, I told her that I already gave her my lowest price and had no room to lower it and make any money, she then asked if I could lower it 25 dollars, and I said "I just told you my price was as low as it will go" she said it is just a little out of our budget.... to which I responded "give me a call when you save up 25 more dollars and I will put you on the schedule" she never called back, and I dont regret it a bit....

 

[quogueelectric]

Forget about the bad customers they are a waste of time and rescources. Try not to badmouth them as it will surely get back to them. They thought my price was too high and that is the end of the story. Im sorry I couldnt reach a satisfactory price but there are other electrical contractors out there that are desperate.

 

[Sparky555]

What's really funny about this is that it's the exact BS I hear from GCs and clients I need to pass to the competition. It's not about materials or time. It's about someone feeding you some BS in the hopes you'll drop the price. You don't need to defend BS. Just counter with some BS of your own & leave the price where you figured it.

Dave

 

[c2500]

I looked at a tub a coupla years back (Buddies sisters's house). Figured materials at $300, quoted $650. Got beat by the guy who only charges $400 for the job. Any hot tub no matter how far from the panel. More power to him. Besides, I hate mucking through a swampy crawl space.

 

[emahler]

Your material cannot cost more than $250.00. How do you justify the other $825.00 ?"

"I wanna be able to afford a hot tub for my own backyard someday"

 

[ceb58]

"I've got another guy willing to do it for $500.00. I was hoping you were going to cut me a break because of the work we've done together and because of the work I have coming up. You've really put me in a spot because I have a party at my house this Friday but the other guy cannot do the work until Monday. To be honest, I'm pretty upset. If you can't do the job for $500.00 then I can't use you anymore. Your material cannot cost more than $250.00. How do you justify the other $825.00

Sounds like a guy I deal with on a shopping center from New Jersey. I gave a price for correcting some lighting circ. OH, I dont mean to pick your pockets but $600.00 is to much. Fine, you do not have to correct this problem but when some little old lady falls at night because the lights weren't on it will cost you more than $600.00. Have a nice day.
The next time this happens ask the HO what will it cost when some one gets hurt from a bad install.

 

[Minuteman]

I don't know how you can install a hot tub service and sub-panel at that cost (I'm not questioning you) its just that code requires that you use rigid conduit with an insulated ground 680.21. Assembling any length of 1" conduit with LBs and bends, plus 6awg wiring to the panel, then the new wiring for the sub-panel (disconnect) to the hot-tub, as well as the receptacle with 20 feet 680.22 (A) (3) can easily cost you well over 800 dollars. stick to your guns!

680.21 & 680.22 are in section II. Permamitly Installed Pools. We are talking here about packaged hot tubs, section IV 680.42 . The 2008 makes this so much clearer.

 

[Minuteman]

680.21 & 680.22 are in section II. Permamitly Installed Pools. We are talking here about packaged hot tubs, section IV 680.42 . The 2008 makes this so much clearer.

Oops, please disregard my last post. I didn't notice the "(again)" part of the "Your number is way out of line" on this thread.

 

[360Youth]

As for the $500 guy who can't make it until next week, would it make any difference if he would do it for $1.00?

I read a story years ago, don't remember if it was true or not, about a customer out shopping for hamburger.

"How much for your hamburger?"

"$5 a pound"

"$5? Joe down the street is selling it for $3"

"Why didn't you buy it from Joe?"

"He doesn't have any."

"If I didn't have any I could sell it $3 a pound, too."

 

[growler]

You've really put me in a spot because I have a party at my house this Friday but the other guy cannot do the work until Monday. To be honest, I'm pretty upset. If you can't do the job for $500.00 then I can't use you anymore.

I try to be nice to customers but when they start this kind of crap the gloves come off.

My answer: Sir I'm not putting you in a spot. I gave a price for job completion. I believe it to be a fair price. If you choose not to or can't afford my services then I don't need you business anyway. I don't do this for my health so if I'm not making money here I'm loseing money some other place. By the way if I had known it was an emergency I would have given you my emergency rates. I would have to pull off another job to get this one completed by Friday ( not true but he doesn't know that).

Never let a customer think that you are not busy. Even if you don't have a darn thing lined up always act as if you do. If they think you are not busy they think you are working in your spare time. This gives them the advantage to negotiate. If they think you can just drive down the road to the next job it puts a stop to that crap. Both sides can bluff in the game of poker, act as if you have a hand full of aces.

 

[Minuteman]

Never let a customer think that you are not busy. Even if you don't have a darn thing lined up always act as if you do. If they think you are not busy they think you are working in your spare time. This gives them the advantage to negotiate. If they think you can just drive down the road to the next job it puts a stop to that crap. Both sides can bluff in the game of poker, act as if you have a hand full of aces.

Well said

 

[cowboyjwc]

Yes we're all trying to make a living, but people just don't understand that our work is usually more to us.

I won't go into all the details, but I had a job once where about half way through it the wife started to accuse me of milking a T&M job and taking advantage of them, at the time I was making about $40 an hour.

I said to her ma'am have a seat. "The normal charge to hang a ceiling fan is about $150, I've put up three of them and rewired the can lights in your bathroom and added a switch and I'm not even to the $400 mark yet. If I was going to rip you off I would go through your jewelry and steal your diamonds. If I climbed up in your attic and took a nap for two hours what would I make $80? Big deal. Ma'am I don't advertise, I don't have business cards, I don't even have a listed telephone number and I have more work than I can handle. What I'm doing here is giving you the best job that I can so that when I'm done and your neighbor across the street is looking for a good electrician, my name is the only name that will come to your mind. When I'm done installing the two switches I have out right now I will pick up my things and you will pay me what you owe me and I will be on my way and you can find someone that you think will give you a better deal"

"I'm sorry, you don't need to go"

"No ma'am you'll never be happy with my work if you're not happy with me and I just don't need you as a customer that bad"

Only after her husband called me that night and told me that his wife would not be bothering me again, did I agree to go back.:smile:

 

[Vinniem]

Walk away!!!!

He sounds like a wacko!!!

You are not a charity organization.

 

[Podagrower]

The customer "knows" the material costs about $250, and thinks paying someone $50 to $75 labor for a hot tub is fair? I think it's fair to assume wiring most hot tubs is a 8 man hour job at least. So $10 an hour is a good rate for labor........minus workers comp, minus fuel, minus tool and vehicle maintenance, minus contractor's liability insurance. No thanks, I went to trade school so I wouldn't have to work for Mcminimum wage.