heyheyheynoname
New member
I Quoted the job at $6750…
It’s our Ideal job, so I definitely wanted to grab it. A 3 day exterior.
Bundled into the quote was $500 for pressure washing package (House, Pool Cage, Concrete Border, Pool Deck)
The value of these services to me is $375 - this is what I’m going to pay to have it done.
So, I called the guy (With Urgency in my voice) and said:
“Hi Mr. Homeowner, Listen, I know we just spoke yesterday and you said you wanted to wait - however, I just had something open up for the first week of February - I figured I’d reach out to see if I were to sweeten the deal a little, you'd allow me to earn your business so I can fill this slot in my schedule"
(I'm framing the response as if he's doing me a huge favor...so he knows that he has leverage here)
There was a brief pause, and then he said…”How sweet?”
At that point, I knew I had a deal, it was just a matter of where I needed to be to get the yes.
I always frame my response with an action statement...
“If you place a deposit today … “
This makes sure there is complete transparency in what I’m about to offer - I’m only offering it if he’s going to put down a deposit today.
So, I said, “If you place a deposit today, I'll take $250 off and do the entire job for $6500. How's that sound?”
He came back at me and said…”Sorry Tanner, that’s not sweet enough…”
haha. I can applaud his honesty here.
Now, most would’ve backed out here - and said..."Ok, I appreciate it..."
BUT...Because I know my numbers, I know that $6500 was priced at a 50.8% profit margin!
I have a little more room...Remember, I'm a broker - a buyer and seller of paint and labor...it's just a matter of how much I'm willing to sell it for.
Now I really lay on the heat…
“Ok, I’ll make it easy…I don’t know if I’m going to be able to look my wife in the face for this one…” he laughed.
“Again, if you place a deposit today...I'll give you my best deal of 2021...$6250…how's that sound?”
“DEAL!”
“I’m on the golf course right now, have Chris come over tomorrow at 3, we’ll give him the deposit…thanks Tanner, we’re excited to work with you!”
3 day job, $3k profit, 36.8% Labor, 13.6% Material, 48.8% profit margin.
Knowing your numbers gives you negotiation leverage.
When you confidently negotiate and can spend more time framing your responses instead of feeling fearful that you’re giving up to much, you will inevitably close more deals.
It’s our Ideal job, so I definitely wanted to grab it. A 3 day exterior.
Bundled into the quote was $500 for pressure washing package (House, Pool Cage, Concrete Border, Pool Deck)
The value of these services to me is $375 - this is what I’m going to pay to have it done.
So, I called the guy (With Urgency in my voice) and said:
“Hi Mr. Homeowner, Listen, I know we just spoke yesterday and you said you wanted to wait - however, I just had something open up for the first week of February - I figured I’d reach out to see if I were to sweeten the deal a little, you'd allow me to earn your business so I can fill this slot in my schedule"
(I'm framing the response as if he's doing me a huge favor...so he knows that he has leverage here)
There was a brief pause, and then he said…”How sweet?”
At that point, I knew I had a deal, it was just a matter of where I needed to be to get the yes.
I always frame my response with an action statement...
“If you place a deposit today … “
This makes sure there is complete transparency in what I’m about to offer - I’m only offering it if he’s going to put down a deposit today.
So, I said, “If you place a deposit today, I'll take $250 off and do the entire job for $6500. How's that sound?”
He came back at me and said…”Sorry Tanner, that’s not sweet enough…”
haha. I can applaud his honesty here.
Now, most would’ve backed out here - and said..."Ok, I appreciate it..."
BUT...Because I know my numbers, I know that $6500 was priced at a 50.8% profit margin!
I have a little more room...Remember, I'm a broker - a buyer and seller of paint and labor...it's just a matter of how much I'm willing to sell it for.
Now I really lay on the heat…
“Ok, I’ll make it easy…I don’t know if I’m going to be able to look my wife in the face for this one…” he laughed.
“Again, if you place a deposit today...I'll give you my best deal of 2021...$6250…how's that sound?”
“DEAL!”
“I’m on the golf course right now, have Chris come over tomorrow at 3, we’ll give him the deposit…thanks Tanner, we’re excited to work with you!”
3 day job, $3k profit, 36.8% Labor, 13.6% Material, 48.8% profit margin.
Knowing your numbers gives you negotiation leverage.
When you confidently negotiate and can spend more time framing your responses instead of feeling fearful that you’re giving up to much, you will inevitably close more deals.