Everyone is detailing wants more business, but did you know that some business can be bad for you and for your business.
You have a service business, right? And a service business is set up to provide services to the customer with the highest quality at the most competitive prices, right?
But, have you ever considered that doing everything possible to service every customer is actually the best way to operate a business, your business?
If you have been in business for any length of time you have all experienced situation where saying "yes" to everything the customer wants ends up costing you money and many times you don't even get a thank you.
In the detail business customer service can take several forms. You know when customer service is good for the customer right? But, do you now when customer service is "bad" for you the detail business owner? No?
BAD BUSINESS
The first rule of a successful business is to never accept bad business. You must learn to turn bad business away, learn to say "no."
You must become aware of the fact that not all business is good business, and second you must accept that fact and act on it when confronted with bad business.
When you are struggling to make a buck many believe that "bad" is better than "nothing." Wrong.
Bad business is just that, bad for you the detail business owner. There is absolutely nothing good about bad business.
A GOOD BUSINESS MAKES A PROFIT
Be honest now, how many times have you forgotten all you were taught about profit and took a job at too low a price, and at the end of the day you made nothing.
You need to know "all" your costs and develop a financial model and turn that into an hourly rate that will always make you a profit it you estimate the job correctly in terms of time.
That is why you can get into trouble with posted prices, you are telling the customer this is the cost without seeing and evaluating the vehicle first. Isn't that why you do not like to quote prices over the phone? Sure you say that price "depends on condition of the vehicle." But that is like "small print" to the customer and if you try to charge more they think you are "baiting and switching" and that is not GOOD SERVICE.
Question? Do you know what your breakeven point is on a full detail; an interior detail; a buff; polish and wax; an wash and wax, etc?
If you do not know your costs you are not even close to knowing what is good business and what is bad business. And, as a result you cannot walk away from bad business.
Like you have to have technical knowledge before being about to call yourself a professional detailer you have to have knowledge about what it costs you to operate your business.
If you have the financial knowledge about your business then you are in a position to quote proper prices to the customer.
Once the customer has a price in their head you are often stuck with it.
Appreciate your comments and experiences on this subject. Situations where you took a job and lost your shirt on it.
Bud Abraham
You have a service business, right? And a service business is set up to provide services to the customer with the highest quality at the most competitive prices, right?
But, have you ever considered that doing everything possible to service every customer is actually the best way to operate a business, your business?
If you have been in business for any length of time you have all experienced situation where saying "yes" to everything the customer wants ends up costing you money and many times you don't even get a thank you.
In the detail business customer service can take several forms. You know when customer service is good for the customer right? But, do you now when customer service is "bad" for you the detail business owner? No?
BAD BUSINESS
The first rule of a successful business is to never accept bad business. You must learn to turn bad business away, learn to say "no."
You must become aware of the fact that not all business is good business, and second you must accept that fact and act on it when confronted with bad business.
When you are struggling to make a buck many believe that "bad" is better than "nothing." Wrong.
Bad business is just that, bad for you the detail business owner. There is absolutely nothing good about bad business.
A GOOD BUSINESS MAKES A PROFIT
Be honest now, how many times have you forgotten all you were taught about profit and took a job at too low a price, and at the end of the day you made nothing.
You need to know "all" your costs and develop a financial model and turn that into an hourly rate that will always make you a profit it you estimate the job correctly in terms of time.
That is why you can get into trouble with posted prices, you are telling the customer this is the cost without seeing and evaluating the vehicle first. Isn't that why you do not like to quote prices over the phone? Sure you say that price "depends on condition of the vehicle." But that is like "small print" to the customer and if you try to charge more they think you are "baiting and switching" and that is not GOOD SERVICE.
Question? Do you know what your breakeven point is on a full detail; an interior detail; a buff; polish and wax; an wash and wax, etc?
If you do not know your costs you are not even close to knowing what is good business and what is bad business. And, as a result you cannot walk away from bad business.
Like you have to have technical knowledge before being about to call yourself a professional detailer you have to have knowledge about what it costs you to operate your business.
If you have the financial knowledge about your business then you are in a position to quote proper prices to the customer.
Once the customer has a price in their head you are often stuck with it.
Appreciate your comments and experiences on this subject. Situations where you took a job and lost your shirt on it.
Bud Abraham