Is Anybody Else Getting Sick Of.....

Brickie

I use slight variations of that:

One month the "special" may be only on paver patio installation

the next month it may be only on chimney repairs

the following month only on retaining wall installation, etc.,

__________________
“Ron Paul is one of the outstanding leaders fighting for a stronger national defense. As a former Air Force officer, he knows well the needs of our armed forces, and he always puts them first. We need to keep him fighting for our country.” – Ronald Reagan

DetailHandyman

Things must be better in Texas.

My property taxes (and local taxes) go up every year.

If oil prices are so low, why am I still paying $2.70 at the pump?

And I guess if these "poor" homeowners refinanced their mortgages, as you said they should, then they ought to have some extra money laying around to pay their contractor without "discounts".




So it's fair for people with no money to expect their contractor to work for free?

If you can't afford to pay the fiddler, don't dance.

__________________
The cat box ain't gonna clean itself.

mahlere

Why are you even arguing with the clueless?

c.c.co.

So then according to some of your logic do you not adjust pricing for inflation? Prices go up and down. Again the supply of labor is way up right now and the demand is low so prices drop. Property taxes are based on market value mainly on the improved portion of your property. If your property is worth less on the market you may want to dispute an increase in property taxes.

FthillGuy

EXACTLY!

Let's not forget...in my instance, the ones asking for the discounts are the poor folks who are struggling to buy a second or third home to be used as a vacation residence!

I did offer to discount my price on one job, but still didn't lower it to meet the competitor. That has since bitten me in the a$$, and has opened the door to everybody asking for a discount (people talk).

After all....it's been said before: "Being able to offer a discount implies that you are overcharging in the first place."

brm1109

I don't like giving a discount after I have stated the price because then the customer thinks that you are already "overcharging" them. When I quote my price I explain that they are dealing with a company that is fully insured and licensed and uses a regular staff, not anybody off the street. They usually see it my way.
The last customer that didn't like that went with someone else. I got a call a couple of weeks later that the other guy didn't show up twice and had his number disconnected. You get what you pay for.lol

c.c.co.

One thing I am saying is you may not have to haggle with the customer, that is up to you but overall prices are lower right now.

carolinahandyma

My response to the last person that asked me for a discount was as follows:

"I provided you with my best price upfront in my estimate and believe it to be a good value. I understand with the economy and such that the price may not be within your budget. So I am happy to reduce the price if we reduce the scope of work"

I then shut up and the customer thought for a second and hired me for the full scope of work and price I quoted!

wyoming 1

Yep no discounts for people buying a third home or a new BMW in the drive. When they tell me money is tight I simply reply well then maybe this isn't the right time for this project, maybe we need to wait til next year. If you look like or act like you need the work then the ball is in their court and I like to keep it in mine. You can stay home and go broke no need to go out and work at it.

DetailHandyman

Prices are lower now, in large part because the contractors that were not in a strong financial position (re: hacks and many who were living paycheck to paycheck because of lack of business knowledge) before the "recession" are now undercutting prices in an attempt to stay alive.

The customers have been brainwashed by the media and the "we'll beat any competitor's price" guys to think that all contractors are hurting and will work for free.

It's all smoke and mirrors.

I have not lowered my prices. Nor will I offer discounts because "the economy is bad". I have no lack of work.
But, maybe that is because I treat my customers professionally and fairly. I return phone calls and show up on time. They respond by gladly writing checks and referring me to their friends and co-workers.

Customers who are only looking for a low price are not ones I need to do business with. There are plenty of other guys out there happy to deal with them.

__________________
The cat box ain't gonna clean itself.

DetailHandyman

Oh yeah...that is one slippery slope there.

Once one gets a whiff that you gave someone else a break...it's all downhill from there...

__________________
The cat box ain't gonna clean itself.

DetailHandyman

I feel well armed!

__________________
The cat box ain't gonna clean itself.

DetailHandyman

This article ran in the local news rag a few weeks ago.

Just reading this made me want to vomit.

He is a painter, though the headline called him a "handyman".


http://www.tricountyrecord.com/artic...0006740465.txt


Seriously!? You've been in business 30 years and you can't get work?

Really, is the economy the problem or something else?

__________________
The cat box ain't gonna clean itself.

c.c.co.

The handyman business is taking this downturn better than some because homes still need to be repaired and people are willing to keep things up but not so much improving. A couple of years ago I had to wait a month to get my favorite granite guy now the manager is calling me offering super prices and doing the work himself like he used to and people still want to hold onto their money. High end remodels and custom homes are down big time and I have plenty of guys that really need work. High supply, low demand.

Kycym

I get a big kick out of the "home improvement companies" that advertise on TV. We had one in Chicago that advertised 60% discount. Now what does that tell you about their standard pricing, the level of tradespeople they hire, the anticipated quality of work. Oh and by the way, if you have a way to check the county court records, you do see the amount of lawsuits filed against the company.

DaVinciRemodel

Here I was - minding my own business - thinking this thread was dead and seeing DetailHandyman handling rebuttal very well. But it looks like it just won't die.

c.c.co. here's my objection to your post:

OP states that he's tired of being asked to discount because of the economy... He further states that he has jobs to quote...

Your initial response is:

Then you support this statement with things like many other items are discounted... You are taking less profit... You ask your subs and materials suppliers to take less... And that anyone not willing to discount can stay home or keep their product.

You basically try to make a case that everyone "should" discount their prices - even though they might not need to. That's absurd and not supply and demand.

While I would like to continue with this thought, the fact is - I need to get to work - at my non-discounted price. Not staying home... Not keeping my product.

Borrowing from Mr. Finley: "Control your own destiny or someone else will". Seems very appropriate here.

__________________
"Being willing is not enough; we must do". Leonardo da Vinci

Da Vinci on the web or Da Vinci On Facebook

c.c.co.

Good point Davinci. I dont want everyone do it just because some other people are. Good luck to all but there are lots of guys here in Texas that are in trouble and need work so they are willing to negotiate for some work at a lower rate. People are just scared right now and want to hold onto the money they have left. The work corners are very full right now. We have a lot of mexicans (a whole different debate and some are good honest family men) down here, more than up north I assume which makes it even more tough on the tax paying tradesman. I talk with a handfull of builders and large scale remodelers and the fact is supply is high and demand is low. I never did believe in the ARM's but man has this snowball turned into something and I dont even think it has hit the commercial properties yet. If you think that it is business as usual right now then ask your realtor what your home would sell for vs what it would have sold for a couple years ago. I know I wont be selling any of my properties for a while and Texas is holding values better than most. Plenty of people wanting to rent properties and rent have gone up. Supply and demand.

Duck042

Smaller operations with less overhead doing cheaper jobs will be fine going forward, but you're right that things have snowballed. I'm watching bigger companies with high overhead and larger margins getting slaughtered, and that will probably continue for the foreseeable future.

Not sure how it is elsewhere, but here in AZ there is so much excess residential construction still sitting on the bank's books (the "shadow inventory") that it's hard to see how a big demand for bigger remodels or new construction is going to suddenly come into being.

Add to that entire strip malls are empty with "for lease" signs in the window, and I think the commercial real estate crash is just starting even before residential has fully bottomed out.

We'll see how it goes, but jobs across the spectrum (at least here) are definitely smaller, cheaper, and fewer. The most steady work, sadly, is reconditioning repos for the banks. I Just make sure to run from the mailbox to (another) bank to cash that check, no telling how long it'll be good!

Markinthegarden

I think that sometimes people just want to hear you say that you are giving them a discount, that they are getting great products and service for the best prices.

I do have senior citizen discounts for services, but other than that I do not use the word discount I say "the best price available for products and services. Of course there is always cheaper".

DaVinciRemodel

While this thread has been argumentative - I did not say "never" give a discount! I objected to the "should" in c.c.co. post. I also objected to the reason being the "economy".

I have offered "discounts" in my long career - but here's the requirements:

1. I offer the discount for very selfish reasons: "If we could work through the holidays - I would be willing to ...." Not an external reason like the economy!

2. It does what I need it to do: "If I were to offer... could we get the deposit today?"

3. It is limited in time: "I'm making this offer now because most people won't let us tear their home up during the holidays. On January 1st we go back to our original offer" (full Price)."

4. We have offered discounts to past customers - no tire kickers (they cost too much) - when we really need work. We use it as a marketing device. If anyone gets a discount - it's folks we know have the means to get a project "shovel ready" now!

__________________
"Being willing is not enough; we must do". Leonardo da Vinci

Da Vinci on the web or Da Vinci On Facebook