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I was wondering if everyone else has been asked to reduce prices to get jobs? I have had that happen to me 3 times this month. The email
will say, we really would like you to do our house, but we have other bids that are lower, would you be willing to lower your price? The house I start on Monday I lowered the price $100.00, from $1800 to $1700. 4 rooms and a hallway. The other 2 job I didn't drop the price at all. One I got and the other I was 2x the lowest bid, I was 33,000
higher. I said give it him, you won't find anyone cheaper, .50 cents a sqft. they are going to lose there shirt on that job
Also wondering if things are picking up where your at. I am in Minnesota and this has been the busiest winter I have had in 10 years,
and I have lots of work lined up for spring already.:thumbup:
 

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Oh yeah often a bluff, just say no.
 

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I was wondering if everyone else has been asked to reduce prices to get jobs? I have had that happen to me 3 times this month. The email
will say, we really would like you to do our house, but we have other bids that are lower, would you be willing to lower your price? The house I start on Monday I lowered the price $100.00, from $1800 to $1700. 4 rooms and a hallway. The other 2 job I didn't drop the price at all. One I got and the other I was 2x the lowest bid, I was 33,000
higher. I said give it him, you won't find anyone cheaper, .50 cents a sqft. they are going to lose there shirt on that job
Also wondering if things are picking up where your at. I am in Minnesota and this has been the busiest winter I have had in 10 years,
and I have lots of work lined up for spring already.:thumbup:
Yes, this has been my best january ever. Not mind blowing busy but comfortable andnprofitable work. Dont give em an inch tell you have to.
 

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I can use alternative material to lower price if they like but No Warranty.
99 % of the time the customer wants no part in that.
Once you give in they will run you down forever picking apart the littlest things to continue the price cuts. Those are the customers I dont want.
 

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There are two pricing paradigms. Some contractors assume there will be some negotiating and they build that into the price. If somebody doesn't talk them down, they throw a party. Other contractors name their price and stick to it.

I prefer to name my price and stick to it. I don't want to rip people off. I don't want to sully my reputation. I'd also probably lose business if my starting price was artificially high.

That being said, there are some customers who will never be happy unless they can talk me down. They think every contractor charges artificially high prices and I'm just a stubborn jerk. Oh well.

Here's my strategy for dealing with customers who want to negotiate:

When a customer asks me to lower my price, I just act all naive and innocent and say something like, "If you're tight on cash, we could maybe (break it up into payments/put off doing XYZ/use cheaper materials)."

This is a little bit insulting to a guy who's sitting on a pile of dough. They are instantly back-pedaling, assuring me that they have lots of money. The last thing they want to do is make the project more complicated. And I come out smelling like roses because I'm ostensibly just trying to be helpful.

If the customer really does need a lower price, then I have just opened up that discussion. I'm not giving something up for free!

The trick is to be sincere. If you can't do it without sounding like a sarcastic jerk, I would not recommend this technique.

Another tactic is to tell the customer you can work with any budget. Suppose somebody wants me to pick up the acorns in their yard. I figure it will take about 5 hours. I charge 10 bucks an hour. My price is $50. They offer me $30. I tell them, "Sure! I'll gladly pick up acorns for 3 hours." Obviously, the quality of the job will be inferior. They figure this out pretty quick and give me what I'm asking for. If they do go for the cheap job, then at least it's a pretty relaxing job because they can never complain about the quality. Win-win.

Another thing you can try is asking playfully, "What's in it for me?" Few customers have the balls to say, "Nothing. I just want a lower price because I'm awesome." Maybe they will drop the negotiation right there. Or they may give you more information about other bids or whatever. Win-win.

Avoid telling customers "No." Even if you get your price, people don't like to hear, "No."
 
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