How can I compete with companies offering interest free credit?

[Jock Spanners]

Evening all,

I serviced a boiler and gas stove for some customers in September and warned them that their 16 year combi probably wouldn't survive the winter. They asked me for a quote and I gave them one for a Baxi then heard nothing until today when they asked me to fix their gas stove. So when I turned up there's a new Worcester on the wall. I wasn't happy - this is a family I've looked after for years - leaks, breakdowns the lot. I told them I could have fitted a Worcester. He said his wife had wanted one and got it on interest free credit. So I came away feeling miffed and undervalued. I felt like telling them to get whoever fitted the boiler to fix their stove. Then I thought: 'How can I compete with companies offering interest free credit?'

 

[SimonG]

They will have paid through the nose.

Just charge more every time you visit.

There are some companies who you can do it through. I don't know much about them but i think i saw gas app mentioned somewhere.

 

[Best]

You are only just to be used when the customer feels like it. They don’t really understand or care.
I agree just to charge a bit extra for other work you do. And try to take the service work if you do that sort of work.
As long as you get paid your choosen rate for every hour, don’t worry about who pays it.

To be honest, I have had worse, - not nice when you get asked to fix a toilet for a customer and then discovering they are getting some other plumber to powerflush their system for no reason and a few hundred quid.

 

[Deleted member 32524]

You can get contacts who can help you. One I remember is black horse. You can't actually "sell" the finance but they would contact the customer and sort it with them. You may get a commission for sending business their way. There is also no such thing as 0% interest

 

[Welder]

Evening all,

I serviced a boiler and gas stove for some customers in September and warned them that their 16 year combi probably wouldn't survive the winter. ....

Then I thought: 'How can I compete with companies offering interest free credit?'

Please don't think me rude Jock, but WTF?

Fact is YOU are their 'go to' person. That you didn't offer them credit left them no choice but to go elesewhere as they will have realised it's not somethng you do.

I would guarantee they more than a bit upset at having to go elsewhere. However you are taking it as some form of sleight and thinking only of yourself. If you put yourself in their shoes you'd see that far from taking the pi55, they actually trust you which is why they've come back to you.

By all means take the grown up view and throw your teddy oot the pram. Or you could take the other grown up view and see this for what it is - a genuine opportunity to open up what you can offer customers in the future.

My apologies for being blunt, but you're patently not daft just a bit miffed. Once you've calmed down you'll realise you've done the right thing to come on here and pig, because from it you'll be able to walk away thinking - this is a new and positive beginning.

All the best Dave

 

[Best]

Please don't think me rude Jock, but WTF?

Fact is YOU are their 'go to' person. That you didn't offer them credit left them no choice but to go elesewhere as they will have realised it's not somethng you do.

I would guarantee they more than a bit upset at having to go elsewhere. However you are taking it as some form of sleight and thinking only of yourself. If you put yourself in their shoes you'd see that far from taking the pi55, they actually trust you which is why they've come back to you.

By all means take the grown up view and throw your teddy oot the pram. Or you could take the other grown up view and see this for what it is - a genuine opportunity to open up what you can offer customers in the future.

My apologies for being blunt, but you're patently not daft just a bit miffed. Once you've calmed down you'll realise you've done the right thing to come on here and pig, because from it you'll be able to walk away thinking - this is a new and positive beginning.

All the best Dave

But sometimes Dave you don’t know your customers finances and can assume some of them have the money.

 

[Harvest Fields]

But sometimes Dave you don’t know your customers finances and can assume some of them have the money.

I’m all about the customer myself. If I put a price in and I am not in their price range they either let me know or go elsewhere. Don’t hold a grudge. If they are good customers they will be back to you before you know it. Like they where.

 

[townfanjon]

Evening all,

I serviced a boiler and gas stove for some customers in September and warned them that their 16 year combi probably wouldn't survive the winter. They asked me for a quote and I gave them one for a Baxi then heard nothing until today when they asked me to fix their gas stove. So when I turned up there's a new Worcester on the wall. I wasn't happy - this is a family I've looked after for years - leaks, breakdowns the lot. I told them I could have fitted a Worcester. He said his wife had wanted one and got it on interest free credit. So I came away feeling miffed and undervalued. I felt like telling them to get whoever fitted the boiler to fix their stove. Then I thought: 'How can I compete with companies offering interest free credit?'

I feel your pain pal
I have had that happen to me by a neighbour who I did everything for , half the time I never even charged them , I have never been the same with them since . “ nowt funnier than folk” to quote my grandad

 

[Best]

I feel your pain pal
I have had that happen to me by a neighbour who I did everything for , half the time I never even charged them , I have never been the same with them since . “ nowt funnier than folk” to quote my grandad

I have had a few customers, including neighbours, who got themselves in a pickle by getting plumbing and heating companies in who did seriously bad work.
After I have spent ages trying to get some of the plumbing in order and for little or no money, - they later get another plumber, again unknown to them, to do more work!
“You do top quality work” is typically what they tell me.
And I don’t charge them much.
Yet they only ask me to be the back up.
Strange isn’t it?

 

[townfanjon]

I have had a few customers, including neighbours, who got themselves in a pickle by getting plumbing and heating companies in who did seriously bad work.
After I have spent ages trying to get some of the plumbing in order and for little or no money, - they later get another plumber, again unknown to them, to do more work!
“You do top quality work” is typically what they tell me.
And I don’t charge them much.
Yet they only ask me to be the back up.
Strange isn’t it?

Er yes strange lol .
When we eventually move ( christ knows when) I have no intentions of working for any of the new neighbours. Already thinking of excuses.

 

[SimonG]

I won't work in my street.

 

[Deleted member 32524]

TBH I don't do work for neighbours, friends and family apart from my Mum n Dad and the Mrs Mum.

 

[Harvest Fields]

TBH I don't do work for neighbours, friends and family apart from my Mum n Dad and the Mrs Mum.

So you do then

 

[Best]

I don’t even like working for my other half.
But penalties apply if I refuse

 

[Deleted member 32524]

So you do then[/

LOL. I suppose I do. Its my olds and I would help them anytime and like best I am in the dog house if I don't do as I am told!!

 

[Jock Spanners]

Thanks guys. My dad's dying so I just needed to vent some steam. Ironically I had exactly the same scenario this morning - this time my customer has gone with British Gas. So I has a look on the BG website and found they're offering two years interest free credit on all new boilers. Incidentally - my first customer is the CEO of a county council on a six figure salary. I guess with him it's all about the bottom line and to hell with the consequences (making people redundant etc). I still feel like telling him to get whoever fitted his boiler to fix his stove. Or maybe should I just charge him £200 for my time like British Gas would?

 

[Harvest Fields]

Sorry to hear that mate. Hope he is at least comfortable.

 

[Best]

Also sorry to hear that. Difficult time and you realise customers are not all considering you.
Just put your prices up, mainly onto the wealthy types that don’t care for you as a reliable trades guy.

 

[Harvest Fields]

Also sorry to hear that. Difficult time and you realise customers are not all considering you.
Just put your prices up, mainly onto the wealthy types that don’t care for you as a reliable trades guy.

I am so the opposite to this.

 

[Best]

I am so the opposite to this.

As in, charging certain customers more?

 

[Harvest Fields]

As in, charging certain customers more?

I charge all customers the right amount. Irrelevant of if they didn’t have me in to fit the new boiler. Would rather have a customer for service and breakdown than not at all.

 

[Welder]

Thanks guys. My dad's dying so I just needed to vent some steam. Ironically I had exactly the same scenario this morning - this time my customer has gone with British Gas. So I has a look on the BG website and found they're offering two years interest free credit on all new boilers. Incidentally - my first customer is the CEO of a county council on a six figure salary. I guess with him it's all about the bottom line and to hell with the consequences (making people redundant etc). I still feel like telling him to get whoever fitted his boiler to fix his stove. Or maybe should I just charge him £200 for my time like British Gas would?

Sorry to hear that Jock. Now I feel a dick!

Different ball game. Charge him more.
However, don't do it all at once otherwise he'll suss it. Up it by 10%, then 15% then 20% over the next times you go AND just be slower, apparently more thorough, each time you go or just talk the job up - then enjoy the benefits whilst being super sincere...

Bear in mind though that BG are a marketing machine playing on people's fears, uncertainties and doubts with that friggin penguin every hour of every day. They spend millions because it has a huge payback for them.

 

[Welder]

I charge all customers the right amount. Irrelevant of if they didn’t have me in to fit the new boiler. Would rather have a customer for service and breakdown than not at all.

I do get that H and I respect you for it.

However, I also completely understand how Jock is 'used' to do the small jobs because people like this know the BiG boys don't want the small jobs. So, they keep a 'pet plumber' dangling. I literally overheard a conversation around this theme one time on a job. I walked out and never went back although I promised to. CBA. We are all human beings and regardless of our race, colour, creed or circumstance in life we deserve a little respect.

 

[Best]

I charge all customers the right amount. Irrelevant of if they didn’t have me in to fit the new boiler. Would rather have a customer for service and breakdown than not at all.

I suppose if you have been charging proper rate to the customer, then that is ok.
If the customer had used you for a few favour jobs and then dumped you for the lucrative job, I would not be happy.
But my head tells me to charge more, but I just seem to charge same rate I must confess.

 

[Harvest Fields]

With people like that though mate. They have no loyalty. I never turn work down. I would rather have a house on my books for something rather than nothing.

 

[Harvest Fields]

I suppose if you have been charging proper rate to the customer, then that is ok.
If the customer had used you for a few favour jobs and then dumped you for the lucrative job, I would not be happy.
But my head tells me to charge more, but I just seem to charge same rate I must confess.

I understand mate. I was just saying what I do, that’s all.

 

[Welder]

With people like that though mate. They have no loyalty. I never turn work down. I would rather have a house on my books for something rather than nothing.

This is what makes us different. My view is not to sully my life with them. Someone decent always replaces them

 

[Harvest Fields]

This is what makes us different. My view is not to sully my life with them. Someone decent always replaces them

That’s what I love about the world mate. (We are all different)

 

[Best]

I do get that H and I respect you for it.

However, I also completely understand how Jock is 'used' to do the small jobs because people like this know the BiG boys don't want the small jobs. So, they keep a 'pet plumber' dangling. I literally overheard a conversation around this theme one time on a job. I walked out and never went back although I promised to. CBA. We are all human beings and regardless of our race, colour, creed or circumstance in life we deserve a little respect.

Very apt that description “Pet Plumber dangling”.
Sums it up to describe my experiences.

 

[Deleted member 32524]

All the best, sorry to hear about your Dad. Very few people never mind customers know about loyalty. Always charge as much as you can and everyone pays the same rate. I have stopped with set price servicing, for example, and now charge all of my time. How many times have you been on a boiler for alot longer than planned cos it's a mess. I don't loose out any more.

 

[Best]

I understand mate. I was just saying what I do, that’s all.

You are really correct. No point in assuming all customers will stay loyal.
Business should ideally be totally non personal.

 

[Best]

This is what makes us different. My view is not to sully my life with them. Someone decent always replaces them

I agree that if you have plenty of work, then no point in working for difficult customers if decent customers are being turned away.
But for those that are not overbooked, then take the more troublesome

 

[Welder]

I agree that if you have plenty of work, then no point in working for difficult customers if decent customers are being turned away.
But for those that are not overbooked, then take the more troublesome

Sorry Best but I must disagree. I have never, ever, found a disagreeable one who was worth whatever I earned from it - ever ever ever.

 

[WaterTight]

There is a spectrum of disagreeableness and there is a spectrum of value earnt from doing the job. There will be various intersections where you should consider it worthwhile. Mildly disagreeable person who happily pays top dollar for an easy quick job and you never hear from them again might intersect similarily favourably to a sweet old dear who means no harm but phones you 6 times on a Sunday because she thinks she has a leak but it's cat pee and you can't stand to charge her for the visit.

 

[Welder]

There is a spectrum of disagreeableness and there is a spectrum of value earnt from doing the job. There will be various intersections where you should consider it worthwhile. Mildly disagreeable person who happily pays top dollar for an easy quick job and you never hear from them again might intersect similarily favourably to a sweet old dear who means no harm but phones you 6 times on a Sunday because she thinks she has a leak but it's cat pee and you can't stand to charge her for the visit.

Of course, and mildly annoyingly , you are quite right WT.

That said, I confess to never having met your "mildly disagreeable person who pays top dollar". In my experience those sorts are a figment of an over active idealogical mind After so many years however, one definately develops a binary, green/red, 'go/no go' meter for customers. When I talk of "disagreeable" they have flicked into the red zone - to be trapped for eternity in my, oh so, humble opinion