Blackhammer

Do you guys charge for your estimates or do you still do free estimates. I know that homedepot and lowes charge something like $35 for the estimate but they are not going out there, that is for the contractor that may get the job. If the estimate is selected then the $35 is a credit applied to the cost of the job. I am going to instate something along these lines, at $5 a gallon for diesel I have to.

KevinA

I've considered this myself just to avoid tire-kickers and the HO that wants 10 estimates to choose from. I usually work all day with my guys, then have to meet with folks after hours. A lot of HO's expect you to meet them around their schedule, nights and/or weekends, and don't seem to appreciate your and my time.

I had an estimate recently with a guy, met him at 6:00pm when he got home from work. He was across town, about 30 minutes away, spent over an hour there. He had another contractor show up while I was there, and later mentioned he was going to get quotes from 8 to 10 different companies before deciding. He was one of those that you get the feeling he would be a PITA to work for. So, I worked my numbers up for him with a PITA factor, but it was a complete waste of time.

AtlanticWBConst

Some can charge because of a specialized field that they are in. Their estimates may involve more designing, or even CAD mock ups of a project. They may need to invest much more time than other contractors may do, on their everage estimate.

It really boils down to the work you do, your region, your clientele base, and your specialized, or non-specialized, skill/business offering.

I charge for inspection evaluations (damages), that include a cost estimate for the course of repairs. Other than that, I do not charge.
Should I?
Yes, on some projects that require much more of my time to put together an estimate for.
Why don't I?
In my region, the average client, won't, or can't, see...the benefit of paying for what we offer, over everyone else that is offering "free estimates". They only look at that point. 99% will not pay for an estimate, when they can get someone else to do it for free. I can't compete with all the goofs advertising "free estimates". They then call back and give a price, or write it on a paper bag. Nothing else....
(BTW - Yes, I had a client actually tell me, that one guy, when asked for the "free estimate" in writing, tore a piece of a paper bag, and wrote it down. The H.O. thought, What the...I can't take this to my bank for a loan approval??...he obviously used us)

Now, on the other hand. I like the way one member put it. They offer "Free Consultations". When I meet with a potential Client. It really is a consultation with an estimate to follow. The original estimate, is usually followed up with a second consultation, to work out details and suggestions.

Somethings...to think about...based on what it is you do, and what it is you have to offer to the public.

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Mike Finley

The worst business person in the world was the guy who first got the bright idea to put the words "estimate" and "free" together.

Whippie, I'm going to not charge anything and pull in a whole bunch of leads, many of which will now be shoppers and a waste of my time, but, now instead of sitting around waiting for legitimate customers to call me, I'll at least be very busy meeting people who will never hire me!!!

Charge if you can, and you most likely can, you just think you can't.

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Blackhammer

There are alot projects we take on. Some are very simple like a standard PVC fence and others like a custom landscape design that take a couple of days and phone call to get right. I received a call form a customer that wanted thin pavers and only knew he wanted 8000 PSI. Had no color or style chosen. He wanted me to bring samples of everything I had or my supplier offered. I gave him my suppliers website and offered to take him to the showroom so he could see what the finished product looked like. He refused and said I would come to him. Not happening! I paid $60 dollars for this lead and I will just chock this up to a loss. I guarantee that if he had seen the price of $6000 for his patio and pool he would have lost it any way.

Halo

In some cultures and countries the tradesperson does bring the showroom with them, literally. I have run across this as well and it is considered part of the service. I know several who are quite organized in this and it does set them a part. Pain, yes...crazy, what is your market?

I have been offering up money to subs for bids outside my normal sphere. Surprised, all have refused and simply comment "it is part of the trade and I am fine with it".

DoorMat

The company I work for provides free estimates all day. We average 10-20 per day......as a homeowner I would NEVER pay for an estimate....

mahlere

I ask this in all seriousness, why not? what are your reasons for
feeling this way?

silvertree

Thats because your probably a tirekicker yourself.

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tinner666

Been charging for over a year. Cut down on number of calls, but of the ones that will pay, I get 80% of those jobs.

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DoorMat

Why would I never pay for an estimate? I cannot think of one reason why I would. I am looking to get some work done, looking to get a price on it, why would I pay for that? If you are shopping for a car, would you pay just to be able to go on the lot and find out the prices? Of course not!

I also don't understand why alot of you talk about not wanting to go see people "who are kicking tires, not doing anything right now". I guess some of you are contractors. I am a businessman.....

DoorMat

May I ask what you charge for an estimate?

tinner666

$25.00 It just helps cover gas.

__________________
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DoorMat

I just ordered a new kitchen thru Lowe's 2 weeks ago. They do not charge for an estiate, they charged $75 for someone to come out and take a measurment once we were ready to order the cabinets, etc. (and then yes the $75 is credited) but pricing is FREE...

wireless

It's free? or you just didn't see it on the bill. When they priced the cabinets for you they included the employee's salary who sat with you and all the other customers. You can't compare going into a store to get pricing and having someone make an appointment and come out to you. Which is why when Lowes sends someone out to "measure" you get charged for it. Do they give you the option of measuring yourself?

AtlanticWBConst

Um, Question: What is it that you do? Are you a contractor?

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Mike Finley

You are paying for estimates everytime somebody comes to see you.

AND

Your company is charging for everyone of those 10-20 "Free" estimates you are doing.

Do you know what's cheaper for a consumer to pay for estimates or not pay for estimates? It's cheaper to pay for estimates.

Company (A)
Goes on 10-20 "free estimates" a day. It costs them let's just pick a number $40 to go on every estimate. They MUST build in $40.00 x 20 "free" estimates each day into their overhead. That's $800.00 a day.

They sign up 1 out of every 4 customers. 20 a day * 25% = 5 customers sold they sold that day.

$800 overhead a day / 5 customers = those 5 customers are all having $160.00 added to the cost of their project.


Company (B)
Goes on 10-20 estimates a day and charges $40.00 each. Company B has no estimating overhead. They collected $800.00 that day.


They sign up 1 out of every 4 customers. 20 a day * 25% = 5 customers sold.

Those 5 customers are all having $0 added to the cost of their project.

Company (B) is could actually chage $160 less on every project, be more competitve without it costing them a dime and actually sell more jobs as a result.

In short :

Company A is charging their sold customers $160 for their estimate.

Company B is charging their sold customers $40.00 for their estimate.

Whoopie for those free estimates!!!! They're really doing wonders.

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mahlere

you, sir, are not a business man, nor are you a contractor....you are an employee...

Finley, if i were you i would ask for the time back that you spent on your last post...some people are simply time burglars...

Blackhammer

This is like comparing apples to oranges. If you came to "MY SHOP" I would not charge for an estimate. Same with a car dealer you are going to them not the other way around. Also Lowes does charge for estimates. The cost is $35 and all that guarantees is that you will get a measurement done and a estimate on materials needed to complete the job. Lowes does all the markup and pricing. A buddy of mine has been doing fences for lowes for over 5 years.

Blackhammer

What do you think the measurement for the cabinets was????????????