# Too Expensive.



## BamBamm5144 (Jul 12, 2008)

No not me but with all the discussion around here with low ball prices, what about the ones who are trying to scam the homeowners?

Yesterday while on a roofing proposal, the homeowner informed me I was the cheapest of the two other guys he had out there. I was shocked. I very rarely hear this. I will tell you my bid was roughly $8400 for a 24 square roof that has two valleys, one layer and is a ranch. Shingles right to dumpster, wide open access, the type of job everyone loves to do and would do every single day. This is a job that should take us only one day to complete, even less if I hop on it with the guys.

The other bid was from a large remodeling company. Their bid I understand. I know they price roofs really high because they don't want to do them, that isn't where they make their money. I respect that company and what they have built. 

The other was from a builder who happens to try to do roofing. When I say happens to try is because the homeowner told me he really had no idea about anything they were going to do, just that they were going to replace everything. He showed me their estimate and I shook my head. Not only was it written on a scribbled piece of paper but the guy quoted a little more than 12k. That is absurd for this type of job. Perhaps since he doesn't always do roofing, this is a two or three day job for them so they need to charge more to make the same money but still, seems like a rip off.

After this it just got me thinking about all the guys who try to become millionaires off of one job. I mean, I quoted that job at $350 a square and was thinking I would have to justify my price but guess not.


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## J F (Dec 3, 2005)

If someone's cheaper than you, they're a hack. If they're more expensive, they're a con artist. :laughing:

The view changes from wherever you're seated.


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## WarnerConstInc. (Jan 30, 2008)

J F said:


> If someone's cheaper than you, they're a hack. If they're more expensive, they're a con artist. :laughing:
> 
> The view changes from wherever you're seated.


Well, we know who the hack is this time.....


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## BamBamm5144 (Jul 12, 2008)

J F said:


> If someone's cheaper than you, they're a hack. If they're more expensive, they're a con artist. :laughing:
> 
> The view changes from wherever you're seated.


Valid point. I consider it to be a con when someone is trying to make (From what I figure) 7 grand profit in a day when they don't even fully know what they are doing and can't offer any extended warranties through the manufacturers. Further, since they are "builders" I highly doubt they pay roofing insurance and roofing workers compensation coverage.


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## J F (Dec 3, 2005)

I got to the point quite awhile ago, where I don't care what anyone else is charging/making. It's better for the blood pressure.


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## J F (Dec 3, 2005)

WarnerConstInc. said:


> Well, we know who the hack is this time.....


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## Randy Bush (Mar 7, 2011)

BamBamm5144 said:


> No not me but with all the discussion around here with low ball prices, what about the ones who are trying to scam the homeowners?
> 
> Yesterday while on a roofing proposal, the homeowner informed me I was the cheapest of the two other guys he had out there. I was shocked. I very rarely hear this. I will tell you my bid was roughly $8400 for a 24 square roof that has two valleys, one layer and is a ranch. Shingles right to dumpster, wide open access, the type of job everyone loves to do and would do every single day. This is a job that should take us only one day to complete, even less if I hop on it with the guys.
> 
> ...


Always nice when you think you are to high and they come back with this type of response. That is pretty much the same ballpark I at with roofing, I always worry I am to high.


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## BamBamm5144 (Jul 12, 2008)

Randy Bush said:


> Always nice when you think you are to high and they come back with this type of response. That is pretty much the same ballpark I at with roofing, I always worry I am to high.


I never really worry about being too high or where I am at but I usually have to try to justify the price a little more.

Normally when bidding this type of job the other quotes would be coming in at the 6k range.


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## BrandConst (May 9, 2011)

That roof in TX would be a great deal cheaper, try $5,400 for a typical CT-LM with 6/12. But then again, we don't have the luxury of you using the labor we want either. If you want to compete around here, you gotta join'em cuz you sure as hell can't beat'em. Ask Davy Crockett!


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## 3Seasons (Feb 11, 2012)

The bottom line is you have to run your business profitably.

As long as you are good at estimating, do the correct takeoff, and build in your Profit margin then you'll be successful.

I try and be in the top price range. *I know where I need to price my projects so I can hire good people, quality products, do the job correctly and make a fair profit.*

I lose 2 of 3 bids, so I land one. That ratio keeps me profitable and my company in good financial shape.


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## RobertCDF (Aug 18, 2005)

I'm sure the guys who usually bid $6,000 on that roof are saying of you "What a scam artist, he's trying to charge $8,400 for that roof" 

What if you could have signed that job for $12K? Would you? 

When bidding (USUALLY) no one is holding a gun to anyones head saying "Sign this proposal!"


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## BamBamm5144 (Jul 12, 2008)

RobertCDF said:


> I'm sure the guys who usually bid $6,000 on that roof are saying of you "What a scam artist, he's trying to charge $8,400 for that roof"
> 
> What if you could have signed that job for $12K? Would you?
> 
> When bidding (USUALLY) no one is holding a gun to anyones head saying "Sign this proposal!"


That middle line sounds like what my sales guy says. No, I wouldn't have. That is dishonest and I have ethics. There have been times where I've known I could go higher and get the job but doing that type of stuff wont get you far. Integrity means something to me in my business.

For the guy who charges 6k, he wouldn't be saying things for too long because he won't make it just due to the fact of the material cost.


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## summithomeinc (Jan 3, 2011)

Had it happen today. I called the HO and told them I had their proposal ready when would be a good time to come by and discuss it. They asked how much I told them They said fine when can you start? I was worried about being high because I have been raising my prices. It's a nice feeling.


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## RobertCDF (Aug 18, 2005)

BamBamm5144 said:


> That middle line sounds like what my sales guy says. No, I wouldn't have. That is dishonest and I have ethics. There have been times where I've known I could go higher and get the job but doing that type of stuff wont get you far. Integrity means something to me in my business.
> 
> For the guy who charges 6k, he wouldn't be saying things for too long because he won't make it just due to the fact of the material cost.


How is it dishonest? WHY is it dishonest? Are you taking away the free will of the individual to choose you? If you are then it's dishonest. Do they have the option to pick up the phone and call others? Then it's THEIR choice to pay you $12k.


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## Tom Struble (Mar 2, 2007)

so...only the middle guy is honest?:blink:


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## RobertCDF (Aug 18, 2005)

AND you can stay in business and build your business AS LONG as the customer feels they got $12K worth of VALUE out of the transaction. There is nothing ethically wrong with charging $12k for that project. When you remove the persons free will choice THEN it becomes an ethical deal.


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## BamBamm5144 (Jul 12, 2008)

RobertCDF said:


> How is it dishonest? WHY is it dishonest? Are you taking away the free will of the individual to choose you? If you are then it's dishonest. Do they have the option to pick up the phone and call others? Then it's THEIR choice to pay you $12k.


What I am saying is that it is dishonest. If someone gives you the wrong amount of change back, do you keep it?

If you're price is 10k and that's your number that you came up with to make money but the homeowner will pay 15k, should you take it?

If you come to my house and your price is 10k but you'll give me 2k off if I sign right now, that's dishonest.

If you come to my house and charge 10k, then say tell the homeowner you'll take two more grand though if he has it, that's dishonest.


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## BamBamm5144 (Jul 12, 2008)

RobertCDF said:


> AND you can stay in business and build your business AS LONG as the customer feels they got $12K worth of VALUE out of the transaction. There is nothing ethically wrong with charging $12k for that project. When you remove the persons free will choice THEN it becomes an ethical deal.


Yes, nothing unethical about making 7k profit a day.


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## 3Seasons (Feb 11, 2012)

BamBamm5144 said:


> That middle line sounds like what my sales guy says. No, I wouldn't have.
> 
> *That is dishonest and I have ethics. *
> 
> ...


*You're confusing the two.* That's in your mind, not the customer.

There is nothing wrong with trying to get the maximum dollar for your work. The market will tell YOU whether you are right or wrong.

I always try to get the highest dollar possible. I back it up with great service and extended warranties. *Who says I can't be the Highest price contractor and it is NOT the best deal for the homeowner?
*
Price means nothing when it's not backed up. Even if all things were on the same level, if the homeowner wants to choose me it's HIS choice.

Last year I did a job and was the highest price by a MILE. The HO showed me the other bids. I was almost $18,000 higher than the lowest bid.

I said "just out of curiosity why did you choose me if I was the highest?"

HO said that's simple, the other contractors were unprofessional, their estimate sucked, they had crap vehicles, I didn't trust them, and my wife said I could ONLY work with YOU or we were not going to get the home remodeled. 

Ask yourself why Apple (iPad, iPhones, MacBooks, etc...) charge a SKY high premium for their products and are now the Biggest company in the world? :whistling


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## 3Seasons (Feb 11, 2012)

Tom Struble said:


> so...only the middle guy is honest?:blink:


No, just stupid.


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## Diablo View (Apr 10, 2011)

BamBamm5144 said:


> Didn't know we were talking about wall street. I think it's ridiculous what NFL players make, even more ridiculous what MLB players make but we aren't taking about that.
> 
> People like to change things around.
> 
> It is unethical if you only need to make 1k a day for you to be where you want be but since you think the HO will pay more, you shoot for 7k. Just like if you needed 7k a day and then realized the homeowner would pay 20k a day for your profit. I don't know where I said anything different.


And I am sure if you were offered a few million to play your favorite sport you would say "no that's rediculous":no:


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## BamBamm5144 (Jul 12, 2008)

Diablo View said:


> And I am sure if you were offered a few million to play your favorite sport you would say "no that's rediculous":no:


Don't know where I said that. Don't imply things you don't know about.


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## KAP (Feb 19, 2011)

No two companies are alike... nothing is static...

You may decide that 15% NET profit is good for you, and another may decide 25% or more.

One owner may want to make six-figures for the challenge of being an owner, and another may be perfectly happy with $50K/year.

Same goes for the employees... one may pay $12/hour, another $20/hour

Add to that taxes, insurance, WC, etc... and it makes a difference...

One may do remodeling, the other only roofing, one may have a building the other not... 

Lots of variables... which is why you should never base your pricing off what another company charges...

If both your companies were the same, with everyone making the same money, etc. I can see where you would be coming from...

But that is rarely the case...


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## BamBamm5144 (Jul 12, 2008)

I believe people shouldn't comment on threads they don't read. It should be a rule.

Robert posted a line saying "if you could've got 12k for that job, wouldn't you?" i replied No because that would be dishonest since my original quote was $8400. My original quote reflects my margins.

I don't know where everyone is getting off saying that I said there is something wrong with making a 7k profit a day.


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## KAP (Feb 19, 2011)

I think post #18 might be causing the confusion... I think you meant that you didn't have a problem with $7K a day, but in subsequent posts I think guys thought you did by the way you worded it... you forgot the smiley... 8^)


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## summithomeinc (Jan 3, 2011)

BamBamm5144 said:


> I believe people shouldn't comment on threads they don't read. It should be a rule.
> 
> Robert posted a line saying "if you could've got 12k for that job, wouldn't you?" i replied No because that would be dishonest since my original quote was $8400. My original quote reflects my margins.
> 
> I don't know where everyone is getting off saying that I said there is something wrong with making a 7k profit a day.


I read it. I re read it and now I'm more confused than I was...Unless you were saying it would be dis honest to change your quote.(it would be) But if your original quote was 12k how is that dishonest? Really not trying to have a big argument but I really don't get it.


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## BamBamm5144 (Jul 12, 2008)

KAP said:


> I think post #18 might be causing the confusion... I think you meant that you didn't have a problem with $7K a day, but in subsequent posts I think guys thought you did by the way you worded it... you forgot the smiley... 8^)


On the iPhone. I can do this


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## Tom Struble (Mar 2, 2007)

i see what your saying,it would have been dishonest for you,not necessarily the contractor that made the 12k bid...is that right?


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## Diablo View (Apr 10, 2011)

BamBamm5144 said:


> Don't know where I said that. Don't imply things you don't know about.


Relax you are way too serious, actually it is kinda funny to watch you get so stressed over this thread :laughing:


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## BamBamm5144 (Jul 12, 2008)

summithomeinc said:


> I read it. I re read it and now I'm more confused than I was...Unless you were saying it would be dis honest to change your quote.(it would be) But if your original quote was 12k how is that dishonest? Really not trying to have a big argument but I really don't get it.


Didn't you read the last post I made? I was asked if I would raise my prices on a job if I would have known that I could and still get the job. I replied that it would be dishonest to do that. It isn't too complicated to understand or at least shouldn't be. 

So to make it perfectly clear. If I bid a job at 10k and the HO told me he was willing to pay up to 15k, I would still only charge 10k considering that is the original number I came up with in order to meet my margins.


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## Jaws (Dec 20, 2010)

Tom Struble said:


> i see what your saying,it would have been dishonest for you,not necessarily the contractor that made the 12k bid...is that right?


I think so.

Bam, in a previous post you said you thought NFL players salaries were ridiculous, did you not?


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## Bone Saw (Feb 13, 2006)

BamBamm5144 said:


> I highly doubt they pay roofing insurance and roofing workers compensation coverage.





BamBamm5144 said:


> It is unethical if you only need to make 1k a day for you to be where you want be but since you think the HO will pay more, you shoot for 7k.


I thought the amish were exempt from WC


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## BamBamm5144 (Jul 12, 2008)

Tom Struble said:


> i see what your saying,it would have been dishonest for you,not necessarily the contractor that made the 12k bid...is that right?


Yes because I don't need 12k for that job to make my margins.


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## summithomeinc (Jan 3, 2011)

BamBamm5144 said:


> Didn't you read the last post I made? I was asked if I would raise my prices on a job if I would have known that I could and still get the job. I replied that it would be dishonest to do that. It isn't too complicated to understand or at least shouldn't be.
> 
> So to make it perfectly clear. If I bid a job at 10k and the HO told me he was willing to pay up to 15k, I would still only charge 10k considering that is the original number I came up with in order to meet my margins.


Then I agree. Changing the price after you give it to the HO is dishonest. I was reading it that you wouldn't charge it to begin with. Thanks for the clarification.


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## BamBamm5144 (Jul 12, 2008)

Diablo View said:


> Relax you are way too serious, actually it is kinda funny to watch you get so stressed over this thread :laughing:


I just can't stand how many threads guys jump into just to make useless posts so that they can be read.

And trust me, I'm not stressed over this thread, it's just a thread. What's stressful is the amount of crap I have to get done the rest of this week and the amount I owe the federal government in taxes


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## BamBamm5144 (Jul 12, 2008)

jawtrs said:


> I think so.
> 
> Bam, in a previous post you said you thought NFL players salaries were ridiculous, did you not?


Correct and they are. I know why they are but if you don't think some of their wages are overboard then I don't know what to tell you.

Yes, I would love to make a few million a year to play football.


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## Jaws (Dec 20, 2010)

They are pretty high, but someone is making enough for it be worth paying that much.


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## KAP (Feb 19, 2011)

*"So to make it perfectly clear. If I bid a job at 10k and the HO told me he was willing to pay up to 15k, I would still only charge 10k considering that is the original number I came up with in order to meet my margins."*

I can't say I ever had this ever happen to me... have you? I guess I don't understand the hypothetical as it's not a reality I've ever even heard of someone encountering. I'd LOVE it if a HO said he was willing to pay it... if he's willing, so am I... :thumbup:

Let me ask you this... if you were quoting the same and your price was the $8400, and hadn't submitted the proposal yet, but realized there was a new tool you wanted would you raise your price to be able to get it?


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## 3Seasons (Feb 11, 2012)

KAP said:


> *"So to make it perfectly clear. If I bid a job at 10k and the HO told me he was willing to pay up to 15k, I would still only charge 10k considering that is the original number I came up with in order to meet my margins."*
> 
> I can't say I ever had this ever happen to me... have you? *I guess I don't understand the hypothetical as it's not a reality I've ever even heard of someone encountering.* I'd LOVE it if a HO said he was willing to pay it... if he's willing, so am I... :thumbup:
> 
> Let me ask you this... if you were quoting the same and your price was the $8400, and hadn't submitted the proposal yet, but realized there was a new tool you wanted would you raise your price to be able to get it?


Me too. *It's rare that a HO gives me his bids to review. * Although it has happened a few times.

But, I have my bid with me and the price is the price. If I'm not happy with the profit then I should have changed the pricing before I see the HO.


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## BamBamm5144 (Jul 12, 2008)

KAP said:


> "So to make it perfectly clear. If I bid a job at 10k and the HO told me he was willing to pay up to 15k, I would still only charge 10k considering that is the original number I came up with in order to meet my margins."
> 
> I can't say I ever had this ever happen to me... have you? I guess I don't understand the hypothetical as it's not a reality I've ever even heard of someone encountering. I'd LOVE it if a HO said he was willing to pay it... if he's willing, so am I... :thumbup:
> 
> Let me ask you this... if you were quoting the same and your price was the $8400, and hadn't submitted the proposal yet, but realized there was a new tool you wanted would you raise your price to be able to get it?


I would probably just go and buy the tool, lol. That price already has money in it for tool upgrades and what not, that is why my overhead percentage is included.

I never heard of such a thing either, I was just replying to Roberts posts. Then a few guys implied I was "nuts" for thinking it was unethical to do such a thing.


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## J F (Dec 3, 2005)




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## RobertCDF (Aug 18, 2005)

I read back a little more and you asked me a direct question 

"If the number you came up with was 10K and you knew the homeowner would pay 15K would you charge 15K" 

Here is my answer and this is based upon experience: 

I bid the VALUE of the project. If I sell the project as being worth $16K then I will sell it for $15K and give them a deal of a lifetime, the behind the scenes cost (material, labor, overhead, profit) is irrelevant. If I happen to have acquired all of the material from my supplier for FREE because we do so much business with them and I did all the labor myself in 10 mins IT DOESN'T matter. 

So if your supplier called you up and said "Your next roof's worth of material is on us" would you lower your next bid by the material price?


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## BamBamm5144 (Jul 12, 2008)

RobertCDF said:


> I'm sure the guys who usually bid $6,000 on that roof are saying of you "What a scam artist, he's trying to charge $8,400 for that roof"
> *
> What if you could have signed that job for $12K? Would you? *
> 
> When bidding (USUALLY) no one is holding a gun to anyones head saying "Sign this proposal!"





BamBamm5144 said:


> That middle line sounds like what my sales guy says. No, I wouldn't have. That is dishonest and I have ethics. There have been times where I've known I could go higher and get the job but doing that type of stuff wont get you far. Integrity means something to me in my business.



Okay. For the final time so you GET IT.

That is what we have been talking about the whole time. The reason I wouldn't have charged 12 is because that isn't what I need to make my margins on that job. For the other guy it could be, but I highly doubt that anyone needs a 7k PROFIT (you know, the money you put in your *own personal bank account* after a job is done) a day. If you need 1.68 million a year, then yikes.

I think a lot of guys get profit confused with overhead, two entirely different items and I think that is what you are confused on since you brought up his business costs.

Here is a review I got on one of those websites you guys hate
"Replaced the fascia on one side of our ranch style house where the roof comes to a peak. Strong winds tore off the fascia on one side of the roof and loosened it on the other. (They) recommended a color that was very close to the fascia on the rest of the house. Once it was up I could not tell it was a replacement. The insurance estimator priced the repair at over $400; an amount that was under my deductible. (Their) estimate and final charge was under that, though (they) knew the insurance estimate was higher. The repairs were completed the day after I agreed to have him do the work.
I am very satisfied with the work and my experience working with (Them).

See, I could've got $400 for that job but that wasn't what I need to make my margins. Since then, I have done two roofs for two referrals from this guy because he appreciated the honesty.

Getting materials for a bargain has nothing to do with anything posted in this thread. 

In Summary - No, I will not inflate my price because I know I can do it and still get the job. If you do it, and you're okay with it, that is fine. Doing it how I have been doing it has been working very well, so much so that I get to sit around on CT all day.


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## J F (Dec 3, 2005)




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## KAP (Feb 19, 2011)

BamBamm5144,

*"See, I could've got $400 for that job but that wasn't what I need to make my margins. Since then, I have done two roofs for two referrals from this guy because he appreciated the honesty."*

That depends... did the customer tell you before or after that the insurance company was giving them a credit of $400 for the repair? Not knowing what your NET profit margin is, it's also kind of hard to view this objectively. 

I can tell you that if your company does not have capital reserves and a 6-month emergency fund, that it is probably too low. If your profit margins are funding your retirement program and are on track, no debt, etc... sounds like you are all set. If not, I would respectfully suggest your margins are not high enough to support your business and lifestyle and that you are leaving money on the table.

Insurance companies want to pay the LEAST amount they can and come to that conclusion based on averages. The fact that you were lower may be a reason to look at your pricing structure. I doubt very much that you did another job that day, right? Did you have a helper or another employee who had to be paid for the rest of the day anyway? That's another way of saying that your pricing structure is YOUR pricing structure. It's great that you got more business, but I think that it is fair to say that it was due to a perception that you were honest (from the customer POV, not saying you're not). That someone would have charged the $400 or more doesn't mean that they are not honest. What if there was someone else who would have done the job was cheaper than you? Does that mean that you are now not honest? Of course not, it means that their pricing structure allowed it and yours does not. It's the same for those who would have charged $400 or more...

I think that is where you are rubbing the feathers the wrong way. The customer has TOTAL control over what they are WILLING to pay. They either write the check or they don't, and I would argue that if someone WANTS to pay you more than you need at that moment in time for the work they want you to do, who are you to decline their generosity? If they KNOW you will do it for $12K but WANT to pay you $15k, they are doing it of their own volition. But like I said before, I've never had that happen before... I HAVE, however, paid people who have given me an estimate for work I want done, even though it was supposed to be a "free" estimate, because I value their time...


Where it comes down is perceived value... A Mercedes is 3-5 times the cost of a standard sedan. You don't actually think it costs 3-5 times more to make it do you? That just means that they have a market that is willing to pay it... is a million in profit too much or a billion? Only one usually leads to more people employed...


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## summithomeinc (Jan 3, 2011)

J F said:


>


Where do you get this stuff? You got Waaay too much time on your hands.....


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## BamBamm5144 (Jul 12, 2008)

KAP, completely off subject. We were roofing a neighbors house. Wasn't a big deal.


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## RobertCDF (Aug 18, 2005)

You have determined that the other contractor was going to profit 7000 but you cannot know what his profit is without knowing what HE pays for material, labor, and overhead.


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## J F (Dec 3, 2005)




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## summithomeinc (Jan 3, 2011)

J F said:


>


Definitely way too much time on your hands..


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## gastek (Mar 29, 2011)

It's all relative. 

What I really want to know is why do I have to pay higher gas prices just because someone thinks Iran saying they are going to limit the oil export even when what they export is a minimal amount. So just on speculation alone, jack the gas prices up. No that's dishonest and ripping off the consumer. However we are too stupid to do anything about.


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## larryb (May 23, 2008)

3Seasons said:


> *You're confusing the two.* That's in your mind, not the customer.
> 
> There is nothing wrong with trying to get the maximum dollar for your work. The market will tell YOU whether you are right or wrong.
> 
> ...


Maximum being the key word. There is a low, mid and high price (max) range. Pro contractors who know pricing and know what it takes to stay in business will be in the high range. With any experience, they will know what the real high range is and that exceeding that high range crosses that fine line between honest and dishonest. If a guy can get $12k on 20 jobs (high range) and thinking customers are willing to pay that amount, good - that's an average high range. But, if only one or maybe two of those 20 customers agree to go with the $12k price, the price is likely too high and the customer is being taken advantage of. There's also the potential of blowback from customers when they find out that they paid "too much" later on.

Apple sky high prices? True, but they are/were the only players and could therefore set the market price that ALL people had to pay if they wanted the product. Entirely different situation.


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## HomeSealed (Jan 26, 2008)

From the _Harvard Business Review_, 
_"Here's the problem: When rivals all pursue the "one best way" to compete, they find themselves on a collision course, trapped in a destructive, zero-sum competition that no one can win. Everyone in the industry follows the same advice. Companies benchmark each other's practices and products. Customers, lacking meaningful choice, buy on price alone. Profitability deteriorates.

Instead, Porter urges a different kind of competition: compete to be unique. Focus on innovating to create superior value for your chosen customers, not on imitating and matching rivals. Give customers real choice and price becomes only one competitive variable. But understand that doing this profitably means accepting limits and making tradeoffs — you can't meet every need of every customer. Nothing is more absurd — and yet more widespread — than the belief that somehow you can do exactly what everyone else is doing and yet end up with superior results."_

My point of posting this is that there is no one right or wrong way to do anything in your business, including pricing. The low and high-end guys create an opportunity for the guys in the middle and vice-versa. Obviously you need a sustainable model, but you can find success stories at every price point in home improvement... Personally, I put myself in the same category as Bamm as far as philosophy, but as much as I enjoy selling against really high or really low priced outfits, I find it hard to hate them for what they do because it allows me to do what I do... Just my $.02.


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## BamBamm5144 (Jul 12, 2008)

lol, okay. I had to bring this thread back because of this reason;

I called to find out the status of this job, someone was 3500 cheaper than me. He "won" the job.

I'll keep my mouth shut from now on!


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## KAP (Feb 19, 2011)

BamBamm5144 said:


> lol, okay. I had to bring this thread back because of this reason;
> 
> I called to find out the status of this job, someone was 3500 cheaper than me. He "won" the job.
> 
> I'll keep my mouth shut from now on!


And it doesn't mean you are dishonest for being more... :thumbsup:


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## VinylHanger (Jul 14, 2011)

In the eyes of the guy who was 3,500.00 cheaper it probably does.:whistling
Like Bam said, I price the job at the level I need to cover my expenses, P and O, etc. I chatted with a Handyman friend of mine last night and he told me what some guys around here are charging for a common install that I do. I am way, way under. I may up my price a bit, but there is no way I can justify the price they are doing it for. I want to make a good living, but be competitive to the point they can't compete. I prefer to get repeat business from folks and I do that by being fair and not giving them a reason to shop my price.


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## kevjob (Aug 14, 2006)

Being the most expensive doesnt make yoy less competitive it means you have to work harder to sell your company. 

Anybody can lowball and get every job they look at. Staying busy doesnt mean your profitable. 

I am always in the higher range, some we get some dont. Signed one last week where I was 6k higher than the low baller and the client saw right thru it and wondered how he was going to do all the labor for 2k. :thumbup:


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## KAP (Feb 19, 2011)

VinylHanger said:


> Like Bam said, I price the job at the level I need to cover my expenses, P and O, etc.


 &


VinylHanger said:


> ...he told me what some guys around here are charging for a common install that I do. I am way, way under. I may up my price a bit


You don't see these two statements in conflict?


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