This thread is all about ‘value.’ That’s why I’ll be quite vague as to the technical details.
This past week, my truck began running very poorly. When the problem first surfaced almost a month ago, I had a mechanic look at it. A fix was prescribed, a part ordered, the repair made – and the problem seemed worse, if anything. An unrelated minor thing did improve, though!
Naturally, I was not in any position to wait until ‘late next week.’ My truck is my livelihood. Other shops were similarly packed. Finally, I took it to a shop I had been afraid to approach before.
This ‘big shop’ had all the signs of high overhead: snazzy work clothing for all, big sign, lots of light, lots of new trucks in the lot, big brand name. The posted ‘shop rate’ was $94 – in a town where a common rate is $65.
Yes, they could work on the truck, that day. No guessing what was wrong; they estimated 90 minutes to diagnose. Their being available, when I needed them, is worth something.
They found the problem. While it was something I “could” of done myself, I would have been guessing. A proper diagnosis is worth something. I’m not a mechanic, I lake the tools, training, workshop, and desire to be one. I told them to fix it.
I got the bill. Despite the higher shop rate, the overall bill wasn’t bad. Parts mark-up was non-existent. How many shops have you seen subsidize their ‘low’ shop rate with parts mark-up and other fees? Honest billing is worth something.
Finally, as I pulled away, I could already tell there was an improvement. Today, when I push things a bit, I’m confident the truck will perform. Getting it right -the first time- is worth something. So is the confidence that returns.
NOW … let’s look at how we run our businesses. Like this garage, many of us have fine operations – yet fail to get that message across to the customer. Indeed, sometimes we either scare them away, or let them assume the worse.
Consider the ‘diagnosis time.’ many folks try to offer ‘free estimates.’ If it takes you more than a few seconds to make a reasonable estimate, perhaps you need to charge for your efforts. This is especially true if your estimate will become a ‘shopping list’ for the customer.
While substantial materials mark-up is a common practice … maybe we need to reconsider, as the customer is often aware of the true pricing. Look at all the bad press hospitals get for that $50 aspirin.
Finally, look at the damage a series of call-backs will cause your business. You look like a bumbling fool. Not good.
Replies
we have this contractor in town, he three times or more than anybody else. Does multi million dollars indusrtial and commerical work. His budget is high but he will always come in on budget and time. He will hir a 100 people and work 24 /7 to come in on time. He has a waiting list. His work will be purpose. All his work trucks are 4 door z71 and king ranch.
He will there you he exspensive but he doesnt play.
you get what you pay for, it not that you bid too high its that other people bid too low.