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Discussion Starter · #1 ·
So I build spec houses and obviously you have to budget yourself, and for contractors doing work for jobs, if you can get a better price on materials, can save/make you money or customers money. Well thing I'm getting to is I've gone to few lumber yards. And one place was about 1800k bucks cheaper. All my exterior and interior walls. So the more expensive place, I'll have tell the guy I'm not going with him. Can't really say to match price. And I think it's hard just trying to say come down.im sure he's gonna be upset. But nothing I can do, that's alot of cash I can into lights or etc..
Would you do the same or how you go about saying it. Kinda thing I don't like about our jobs.
 

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Show them the quote & ask them to match/beat it.

Just make certain the cheaper guy is bidding the same quality, grade & amounts as the higher guy.

Most of the yards pay the same price for lumber.
 

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Discussion Starter · #3 ·
griz said:
Show them the quote & ask them to match/beat it.

Just make certain the cheaper guy is bidding the same quality, grade & amounts as the higher guy.

Most of the yards pay the same price for lumber.
I know right, the one guy said he would be more costly from the start. But in building price is everything, I know asking someone go cheaper is hard, because that's their income, money for the family. I guess just wish some people would be understand from our stand point in we have save money. Some guys have attitude or little hissy fit about it!
 

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Some will just lie.
Then you buy another lift from them.
Check the quantity and quality as Griz said previously
 

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Sorry. I disagree with your reasoning. While certainly "A" factor, price is not the only factor. There are other things to be considered.

And in the overall scope of things, $1800 is a drop in the bucket compared to the total cost of the house. Not saying it's not to be considered, but shouldn't be a deciding factor either, IMO.
 

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Don't look past the services that the smaller yards offer. My yard is smaller than a big city yard but it offers incredible service to its contractors. The biggest builder in my town build around 25 houses last year. They are a two brother business.

At my yard one of the owners has the job of strictly taking care of contractors. He designs, draws up prints, works directly with the HO in the process, estimates materials, coordinates delivery of materials with subs, and often times goes out and does maintenance work when a product is defective in some way. Were it not for this guy these contractors would not be able to handle half of what they do now.

They could definitely find cheaper prices from a bigger yard but sacrificing that service would not be worth it. Just a thought.
 

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Discussion Starter · #10 ·
svronthmve said:
Sorry. I disagree with your reasoning. While certainly "A" factor, price is not the only factor. There are other things to be considered.

And in the overall scope of things, $1800 is a drop in the bucket compared to the total cost of the house. Not saying it's not to be considered, but shouldn't be a deciding factor either, IMO.
In today's market where everyone wants something for nothing, cash means something. If the house was more than $500k or million dollar home I could understand, but when your in lower market, I'm not going to justify it buy spending a few thousand here or there, it adds up
 

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In today's market where everyone wants something for nothing, cash means something. If the house was more than $500k or million dollar home I could understand, but when your in lower market, I'm not going to justify it buy spending a few thousand here or there, it adds up
It sure does.... I've been using (and quite committed to) a particular brand of vinyl replacement windows for nearly 15 years. The company was purchased a couple of years ago and while they kept my favorite window exactly the same, my prices have gone up substantially. They recently instituted a 5% delivery/fuel charge on top of my already high pricing.

They have also dramatically increased my sales rep's territory. So, where I used to get timely visits and wonderful CS from him, I haven't seen him (or heard from him) in over six months. Meanwhile, I've had reps from several different companies knocking my door down trying to get my business.

While I've always been pretty loyal to my vendors of choice, building relationships that actually meant something more than $$$, it's getting more and more difficult to follow that line of thinking in today's marketplace.
 

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So I build spec houses and obviously you have to budget yourself, and for contractors doing work for jobs, if you can get a better price on materials, can save/make you money or customers money. Well thing I'm getting to is I've gone to few lumber yards. And one place was about 1800k bucks cheaper. All my exterior and interior walls. So the more expensive place, I'll have tell the guy I'm not going with him. Can't really say to match price. And I think it's hard just trying to say come down.im sure he's gonna be upset. But nothing I can do, that's alot of cash I can into lights or etc..
Would you do the same or how you go about saying it. Kinda thing I don't like about our jobs.
You say "I compared your bid to the one from cross town competitor and he won the bid based on price. Are you interested in pricing the next package I have come up?".
 

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You say "I compared your bid to the one from cross town competitor and he won the bid based on price. Are you interested in pricing the next package I have come up?".
I agree with your approach; always call the losing bidders and let them know what happened - price, free delivery, availability, whatever. Some sales people seem to appreciate having the information, some don't care. If the price difference was significant, I'll tell them how much it was.
 

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Discussion Starter · #14 ·
Timo said:
You say "I compared your bid to the one from cross town competitor and he won the bid based on price. Are you interested in pricing the next package I have come up?".
I agree. Some people aren't grateful for one order, they want the bulk package. He was upset when I didn't buy the floor osb from him
 

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I agree. Some people aren't grateful for one order, they want the bulk package. He was upset when I didn't buy the floor osb from him
Yes I would be too.

Please don't tell me that you get one supplier for bath cabinets, one supplier for base cabinets, a different supplier for wall cabinets and the hinges must be quoted separately.

Do you all not do lumber packages where you are?

If things were so stupid that I had to beat everybody up, or I was just that greedy, I would quit.

And I guess that is why you are still asking questions and I can only answer in the past tense.

Seriously, no one is allowed to make a little profit off a package from you?
 

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Yes I'd buy the cheaper lumber if it was the same quality. Be sure to check, if you spend $2,000 straightening studs then you'll wish you bought the nicer stuff.
 

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Discussion Starter · #20 ·
Pearce Services said:
If you have a working relationship with the higher priced guy, you owe him honesty. How else would he know why he lost the sale, and maybe he will see something in the other guys offer that you are not seeing.
Agreed, and I did that yesterday,
 
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