Charging for Quotes/Proposals

With the raising cost of EVERYTHING, I'm now charging for Quotes/Proposals.

Why not? It's a service to the perspective client and I don't know too many people that will come to your home and perform a service for nothing!

I've been thinking about this for some time now, well, I feel now is the time.

Anyone else think this is a good/bad idea? Have you thought about it or have a similar plan for marketing? What do ya think? (Pro's or Con's)

Reply to
<kjpro
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Are you saying you are going to charge for telling a client how much you are going to charge them? I would eliminate you as a contractor as soon as you told me you would charge me for your quote.

Reply to
David Moffitt

Would you drive your vehicle to my home (with gasoline at $3.00+) and work for free for the afternoon?

If not, WHY do you expect me to do it?

Reply to
<kjpro

Pretty sure that&#39;s the general idea...or at least it serves to accomplish the same desired end result...

===

KJ :

In my own racket, what we do here is "politely decline"...this after taking a bit of extra time with the initial phone consult...basically weeding out most of the lookie-loo&#39;s

Reply to
Jeffrey Lebowski

Yep, the price shoppers are growing by the minute. They grab the phone book and call everyone listed asking for a free estimate.

Not to sound cocky, but I&#39;m very thorough with my services and (without a doubt) I&#39;m the best in my area.

The price shoppers are going to use the "lowest bidder". Than after it doesn&#39;t meet their expectations, they come back to me to solve their issues.

While that&#39;s job security, handing out "free advice" only to get "out bid" by another HVAC company just isn&#39;t smart. Just how many hours a week are we supposed to work for free?

Personally, my time isn&#39;t up for auction. It&#39;s so much an hour for consulting, guidance, advice, services, etc... I don&#39;t know anyone that can work for free and continue to cover their obligations. If anyone knows where this works, please post the Planet.

Reply to
<kjpro

Suggest Politely decline...

Respectfully even....perhaps a "sorry but we&#39;re just totally booked right now"...

Otherwise, kinda like you&#39;ll gonna come across as being extremly arrogant..what with your demanding money just for the "opportunity" of their "allowing you" to submit a quote...

One other thing--personally and fwiw, MY time is ALWAYS UP for auction...just that it&#39;s definately not some kinda of a "no reserve" situation and starting out at $.99

Reply to
Jeffrey Lebowski

Im with you 100%. Unfortunately you will be a minority. Charging for a bid when everyone else doesnt will be a huge uphill battle. Fortunately, I dont do a lot of residential bidding. Its repeat customers and word of mouth so I do get a big portion of what I quote. I of course also run through spells where it seems everything I bid I do NOT get. You can always try it and see if it works. I hope for you it does. Bubba

Reply to
Bubba

To give an estimate -------> Yes. I did it all of the time when doing odd jobs as a teenager and while going to college.

Your competitor does trying to get my business and some come bearing gifts.

Reply to
David Moffitt

A GREAT idea!!!! Car dealers could also charge potential customers for a quote for a new car, appliance dealers could charge for inquiries about appliances they sell, and grocery stores could charge customers as they enter the store because they spent time posting the prices of their items on the shelves.

From your suggestion it sounds like you would rather work for someone, rather than run your own business. I am sure that dealing with customers has its disadvantages, but it also has its advantages. Placing yourself in the other person&#39;s shoes can often answer questions such as the one you posed.

Reply to
Ken

Quotes/Proposals.

I see you don&#39;t understand OUR business... as NONE of the above examples are even close to figuring an exact furnace quote/proposal. As each job is completely different. It&#39;s not as simple as furnace A is $2000 and furnace B is $5000

Remember, we are the end manufacture, our product doesn&#39;t get set on a shelf as a "plug and play" device. It requires skills to insure reliability while providing personal comfort. Each job is designed to meet your specifications, goals, etc... When was the last time you received a "free blueprint" from an Architect?

Reply to
<kjpro

Quotes/Proposals.

Right now I&#39;m implementing it for new prospects. Current, long time clients will still benefit from my services, unchanged. As they have experienced top quality service and understand true value.

Reply to
<kjpro

wrote

I have come up with a unique solution to this problem which has saved me thousands of dollars. I am willing to share this with you, but first I&#39;ll need a cheque from you...

:-)

Seriously, I tell people that we don&#39;t go door to door offering quotes because we could spend all day, every day doing that. Then I ask them some pertinent questions regarding their particular case, explain to them some options such as mid or high, builders grade versus high-end 2 stage, the reasons my company is the best one to deal with, and by doing this the customer usually says something like "You sound like you know what you&#39;re talking about, nobody has explained it like you have, I think I want to go with your company. I also tell people right from the get-go that we are NOT the Walmart of HVAC, in other words, if you want the cheapest guy in town, you called the wrong place. If you want the best job done, properly sized, properly installed, properly setup afterwards, polite workmen in your home, someone who&#39;ll respect your home, your flooring, your furniture, etc..., someone who&#39;ll answer the phone in the event of a warranty issue, then you called the right place. I usually finish my speal with this analogy... "Furnaces/ air conditioners, are like cars. Anyone can sell you one. Not everyone who sells them knows how to fix them or set them up to operate properly. The lowest bidder usually isn&#39;t a service tech capable of repairs or a proper installation. He&#39;ll install it, take your money, and promise you a nice long warranty, a warranty he isn&#39;t capable of honoring." Apologies for the long winded response. :-)

Reply to
Bob_Loblaw

Ken wrote

This may very well be the best advice given so far. Pure gold, IMO.

Reply to
Bob_Loblaw

Let me get this right......... It costs over $4,000/mo to keep my doors open, and my truck on the road and you want me to run around 9 counties doing nothing but burning my time, giving free prices to tire kickers that may or may not even want to put in a new system?? I don&#39;t think so.

Reply to
Noon-Air

get back to us in six months with your report on how you&#39;ve increased your closing ratio on sales & net income.

obviously you&#39;ve never competed in the commercial enviroment, and with your current game plan, never will.

Kenny, you talk about &#39;marketing&#39; your company. Why f*ck around asking inane questions on usenet when there are 100% legit companies associated with our industry that do nothing but marketing !!

Of course, if you were a member of SRT, you would already know this and wouldnt have to resort to querying faceless strangers on usenet.

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Reply to
gofish

Thanks for the information Bob.

I have tried a similar scenarios, but there are many people that listen to you talk and know they can &#39;benefit&#39; from your &#39;on-site&#39; visit. So they schedule an appointment &#39;only&#39; to further benefit with absolutely no intensions of hiring you for your services.

If they know it&#39;s going to cost them for a complete analysis (the prices shoppers) will no longer be wasting your time. If they are truly interested in your proposal, they&#39;ll be willing to pay a small fee that will be going towards the overall cost anyway.

Reply to
<kjpro

Quotes/Proposals.

The direction of this post is towards the residential market.

My commercial accounts don&#39;t &#39;price shop&#39;, they want their shit fixed. Correctly, as they don&#39;t want to be bothered with it again.

Reply to
<kjpro

Quote/Proposals (not guesstimates)

This includes a minimum of 2-3 hours of your time... when are you available to work next week?

Reply to
<kjpro

You&#39;re missing one small point Junior Ken. As a potential customer, you hop in your car, truck, bicycle or golf cart and drive off TO the car dealership. In our case, WE bring EVERYTHING to your freakin door AND install it! As soon as a car dealership drives over to my home, fills it with gas and drives me everywhere and anywhere I want to go anytime I want to go............THEN I might just think about paying for his quote. Would you like like to try again now with a little bit better example? Bubba

Reply to
Bubba

My *opinion* I think PJM is correct; it&#39;s the cost of doing business. Do you pay the trades that work for you to give quotes (electricians - plumbers, etc )?

I have not read all the posts in this thread but I am getting the impression that your mind is made up to do it and defend that position vigorously. It&#39;s your business and you could try it for awhile and try to objectively gauge the reactions of the customers and it&#39;s effect on your business.

You are not a newcomer and must have some sense of talking to a customer whether they are tire kickers or genuine.

Reply to
Tekkie®

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