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Criteria Of Choosing Contractor, Sales Meeting

 
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Old 07-02-2017, 09:03 AM   #1
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Criteria Of Choosing Contractor, Sales Meeting


HI There,

i have question. When I'm out at sales meeting, talking to homeowner, i always ask what are criteria based on what client choose contractor who will do his job. What is it? References, quality of work, time when he can start, web presentation, real presentation, insurance and of course price. What is on first three position. Usually i get answer quality etc. Very rarely is on first positions price. But when my price is little higher then the other contractor, they will automatically scratch me off the job.
How you guys sells your service? How do you handle this? I need to make profit, which means i cannot be cheapest and also good one!

Thanks for your comments
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Old 07-02-2017, 10:17 AM   #2
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Re: Criteria Of Choosing Contractor, Sales Meeting


Without trying to sound like a jerk, and I certainly can't claim to know the dynamics. Just, I have a feeling that price isn't the reason you aren't getting the jobs.

A lot to getting a job is the vibe one gives. We have to be true to ourselves, and if that's not good enough for the prospect, sobeit.

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Old 07-02-2017, 10:27 AM   #3
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Re: Criteria Of Choosing Contractor, Sales Meeting


I was checking out your website. Great pictures, nice work. But, I think there were some grammatical errors with commas and whatnot.

I am not a grammar authority, and, they aren't looking to hire a writer. But that is something you might want to check in on, as grammatical errors don't look good on a web page.

Also, those are some pretty fancy houses that you seem to be working on. That could be kinda intimidating to customer who isn't all that fancy.
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Old 07-02-2017, 11:26 AM   #4
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Re: Criteria Of Choosing Contractor, Sales Meeting


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Originally Posted by OriginalBldrs View Post
HI There,

i have question. When I'm out at sales meeting, talking to homeowner, i always ask what are criteria based on what client choose contractor who will do his job. What is it? References, quality of work, time when he can start, web presentation, real presentation, insurance and of course price. What is on first three position. Usually i get answer quality etc. Very rarely is on first positions price. But when my price is little higher then the other contractor, they will automatically scratch me off the job.
How you guys sells your service? How do you handle this? I need to make profit, which means i cannot be cheapest and also good one!

Thanks for your comments
Stop asking a question you dint know the answer to.

There are three types of questions;

Questions to understand what the customer wants done.

Questions to build rapport and friendship as well as to evaluate whether you want to do business with this customer.

Questions to build the sales process to closing.

If its not one of those three I wouldnt ask it.

Many customers are scared and suspicious of contractors. You need to prove youre trustworthy. The way youve worded you question sounds like your engaging in some slimy sales closing technique and PEOPLE HATE BEING MANIPULATED.

Its kind of a zen thing. You want to close your sales without your client realizing they re being closed. My favorite is when they seem to be ready to buy I simply ask them when they would like to schedule the project. Never ask for the sale, just assume its sold.

Trustworthy is the most important part. You have to find your own way to prove you have the clients best interest at heart. I often do this by giving a lot of information including some that might help a competitor, or provide a lower price point for the client with a different product. Good better best always builds trust because the client can choose. Ideally your three tiers are set up so you make the same money on your time no matter whatthey pick.

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Old 07-02-2017, 11:41 AM   #5
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Re: Criteria Of Choosing Contractor, Sales Meeting


Thanks for comments.
Well, because I wasn't born here in US, english is my second language, i hired pro writer to write and corrected my thoughts one web, so I'm surprised that it is not grammatically correct. But that is not problem, I'm working on new marketing and new website so everything will be new and different and correct this time.
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Old 07-02-2017, 11:45 AM   #6
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Re: Criteria Of Choosing Contractor, Sales Meeting


sparehair

Thanks

Do you ask for budget? Do they tell you budget or answer always that you are there to tell them how much is going to cost?
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Old 07-02-2017, 11:52 AM   #7
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Re: Criteria Of Choosing Contractor, Sales Meeting


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Originally Posted by flashheatingand View Post
I was checking out your website. Great pictures, nice work. But, I think there were some grammatical errors with commas and whatnot.

I am not a grammar authority, and, they aren't looking to hire a writer. But that is something you might want to check in on, as grammatical errors don't look good on a web page.

Also, those are some pretty fancy houses that you seem to be working on. That could be kinda intimidating to customer who isn't all that fancy.
That is true, thats one of my problems a guess. People do not call for smaller projects, which sometimes few small ones, makes bigger profit that one big job.

I have few rules which i follow overtime when i have meeting.
Be on time, absolutely must. If I'm late even only 3mins because of something unexpected, i call or text. Always dress in company t shirt, clean etc. So presentation i think is not a issue here.
Any tips what help you in meeting?

it always seems to be everything fine and when i ask client to send me email contact, they don't do it. Im not saying all of them, but they just don't. When ball is on their side, they are not moving it.
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Old 07-02-2017, 01:39 PM   #8
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Re: Criteria Of Choosing Contractor, Sales Meeting


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sparehair

Thanks

Do you ask for budget? Do they tell you budget or answer always that you are there to tell them how much is going to cost?
I never ask budget.

Most people wont tell you, and if they do they often lie. I find it puts most people on edge and it lowers my close rate.

I ask them what theyre doing and why; then I tell them what I will do to solve their problem and why its the best most cost effective solution.



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Old 07-02-2017, 01:51 PM   #9
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Re: Criteria Of Choosing Contractor, Sales Meeting


People buy based on Company, Product, Service and Price... in that order (one builds on the next) and if you've done your job on the first three, Price is less of a factor for those who can actually afford your company...

Customers don't generally know how the process works, what needs to be done, etc. and will get different versions from different companies...

You want to make it easy for them to choose you, and lead them from start to finish to the next logical point of signing the deal...

But just realize that no matter how much pre-qualifying you do, there will always be a certain percentage of prospects you meet that are simply not a match for your company and therefor not a customer...

Not everyone is your customer... one of the biggest challenge we all face because we look at it like retail... EVERYONE is our customer...

Last edited by KAP; 07-02-2017 at 01:54 PM.
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Old 07-02-2017, 03:30 PM   #10
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Re: Criteria Of Choosing Contractor, Sales Meeting


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Originally Posted by KAP View Post
People buy based on Company, Product, Service and Price... in that order (one builds on the next) and if you've done your job on the first three, Price is less of a factor for those who can actually afford your company...

Customers don't generally know how the process works, what needs to be done, etc. and will get different versions from different companies...

You want to make it easy for them to choose you, and lead them from start to finish to the next logical point of signing the deal...

But just realize that no matter how much pre-qualifying you do, there will always be a certain percentage of prospects you meet that are simply not a match for your company and therefor not a customer...

Not everyone is your customer... one of the biggest challenge we all face because we look at it like retail... EVERYONE is our customer...

Great Points,

thanks a lot.
Reason why i ask for budget is that for example i was working on whole unique house estimate, i didnt ask for budget and after 2 moths of my work when we had meeting i found out that he cannot afford it. This is only reason . Some people have unrealistic numbers in head how much project should cost. So how do you avoid these situations?
Recently another client wanted divide one large room into two, but he completely forgot that new wiring needs to be done because of new rooms and hallway and when we met again he said that it's way over budget.
Any smooth sentence or phrase how you ask what they thing it should cost? I have so many estimates, where i just giving away my time. I know i cannot fit to all people, but I'm kind of thinking to start charging for estimates, because estimate including design almost every time.

Do you give estimates for free?
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Old 07-02-2017, 07:00 PM   #11
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Re: Criteria Of Choosing Contractor, Sales Meeting


Quote:
Originally Posted by OriginalBldrs View Post
That is true, thats one of my problems a guess. People do not call for smaller projects, which sometimes few small ones, makes bigger profit that one big job.

I have few rules which i follow overtime when i have meeting.
Be on time, absolutely must. If I'm late even only 3mins because of something unexpected, i call or text. Always dress in company t shirt, clean etc. So presentation i think is not a issue here.
Any tips what help you in meeting?

it always seems to be everything fine and when i ask client to send me email contact, they don't do it. Im not saying all of them, but they just don't. When ball is on their side, they are not moving it.
I dress like the way I would while working. They don't ask that you dress up, just be dressed. In the presentation thing, somehow, I want to prove that I know what I am doing, and/or talking about. Then, the goal is to make them feel comfortable with me, on a personal level. Afterall, when dealing with their homes, it's very personal.
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Old 07-03-2017, 10:51 AM   #12
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Re: Criteria Of Choosing Contractor, Sales Meeting


I find a chicken/egg problem comes up if I ask their budget: they don't necessarily know how much they want or need to spend before you tell them the price. Early in the process, they may have wildly inaccurate guesses of what their project may cost. Especially if they have little experience remodeling or building. So if I ask how much they expect to spend, I can get anything from a blank stare to a very dubious number to resentment and resistance, feeling that the question is meant in a manipulative manner.

So I tend to ballpark roughly what they want just so we don't get too far into the project planning if they are vastly underfunded.

"That could run in the range between $12,000 and $26,000 depending on the materials you end up choosing and the specific layouts you want."

After a sentence like that, we either have a more productive discussion about what they want or possibly they show me the door. I'm either case, I'm closer to my goal of finalize a contract or go home. Sometimes going home is more productive than staying with someone who can't afford what you have to offer.....



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Old 07-09-2017, 03:10 PM   #13
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Re: Criteria Of Choosing Contractor, Sales Meeting


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Great Points,

thanks a lot.
Reason why i ask for budget is that for example i was working on whole unique house estimate, i didnt ask for budget and after 2 moths of my work when we had meeting i found out that he cannot afford it. This is only reason . Some people have unrealistic numbers in head how much project should cost. So how do you avoid these situations?
Recently another client wanted divide one large room into two, but he completely forgot that new wiring needs to be done because of new rooms and hallway and when we met again he said that it's way over budget.
Any smooth sentence or phrase how you ask what they thing it should cost? I have so many estimates, where i just giving away my time. I know i cannot fit to all people, but I'm kind of thinking to start charging for estimates, because estimate including design almost every time.

Do you give estimates for free?
Something like this "so what sort of budget do we have in mind for this project and keep in mind Im not asking what you think it will cost, I know you dont know that (and I wont either until we build the quote) but rather what kind of budget you've set aside for the project". Read Michael Stones book on profitable sales. This approach reveals the tire kickers right away and saves you tons of time by not quoting jobs that you wont get. I know some guys even do this on the first phone call so they aren't wasting any time going out to look at jobs they wont get but Ive found in my business that it works better to do this at the first meeting. Good luck
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Old 07-09-2017, 03:40 PM   #14
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Re: Criteria Of Choosing Contractor, Sales Meeting


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Something like this "so what sort of budget do we have in mind for this project and keep in mind Im not asking what you think it will cost, I know you dont know that (and I wont either until we build the quote) but rather what kind of budget you've set aside for the project". Read Michael Stones book on profitable sales. This approach reveals the tire kickers right away and saves you tons of time by not quoting jobs that you wont get. I know some guys even do this on the first phone call so they aren't wasting any time going out to look at jobs they wont get but Ive found in my business that it works better to do this at the first meeting. Good luck
Many Thanks for comments.
I've been at Michael's seminars, have books, read them, and wanted to know other contractors opinion and experiences because some people around me when they ask how i do it, and i tell them, it turns them to be in kind of negative side. So i just wanted to learn if there is also another way how to do it.
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Old 07-09-2017, 04:17 PM   #15
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Re: Criteria Of Choosing Contractor, Sales Meeting


Sometimes we connect our customers (when they buy kitchen cabinets or countertops from us and ask us to recommend a contractor) to contractors. In our experience, word-of-mouth is so important, more than anything else. Also, trustworthiness. These are so much more important than the time you can start or web presentation. Do quality work, always meet deadlines, and people will wait for you. This won't happen overnight, but it will if you're persistent. And btw, your website looks great. Just set up/connect your social media buttons.
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Old 07-09-2017, 04:27 PM   #16
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Re: Criteria Of Choosing Contractor, Sales Meeting


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Sometimes we connect our customers (when they buy kitchen cabinets or countertops from us and ask us to recommend a contractor) to contractors. In our experience, word-of-mouth is so important, more than anything else. Also, trustworthiness. These are so much more important than the time you can start or web presentation. Do quality work, always meet deadlines, and people will wait for you. This won't happen overnight, but it will if you're persistent. And btw, your website looks great. Just set up/connect your social media buttons.
Thanks Thanks Thanks
We were busy last to years just from word of mouth, 11 years in business, never had problem, complain etc. Always finished on time and within budget. This year is kind of slow, we advertised a lot, working on new website and have marketing campaign going on, social media and search engines connections. Because this is new to us, facing problems looking for new clients lets say, I'm studying techniques of sales, presentation etc to be better and more professional so even new clients from nowhere will have feeling we are the right contractor for them and i know we are. They just need to see it for first impression!
I really appreciate your comments.

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