I have been in the consumer electronics
repair industry since 1966. Most
of those years I've been self employed,
and have had the ability to adjust
my prices depending on circumstances.
This has ALWAYS been to my detriment,
though.
I once worked for GE Factory Service,
presenting huge bills after fifteen
or twenty minutes of repair. Even
though it hurt, it was easier to
bill these jobs since I was not
the owner, and had to charge what
the company policy was.
But being self employed is totally
different. I believe pricing is
directly related to "self worth".
Granted, there is competition that
is willing to work for less than
what I charge, but the customer
has little experience in repair
services, so the majority of people
go along with pricing. In fact I
am my own worst enemy in this area.
As I have aged and matured, I have
come to value myself more, and "image"
has had a definite affect on my
pricing. (Since I perform all repair
work on site, my customer has the
ability to evaluate the time I take
and the prices I charge right there
as I work.)
It is not unusual for me to go to
a customer's home and see a couple
of Lexus's in the driveway, a large
boat alongside the house, and occasionally
waterfront prime property, and to
have that very same customer say
"It took you 45 min for $AAA, that's
$BBB dollars per hour!!!" I have
learned to overcome that argument,
and rarely hear it now.
I make it a point to anticipate
my customers' arguments prior to
hearing them and speak to them in
advance.
I charge flat rates. I explain
that I operate a "specialty" service,
and am experienced in my field.
I further explain that my customer
is buying my KNOWLEDGE and EXPERIENCE
(not necessarily explained in these
words - but you get the picture).
A charge of $/hr is not possible
since, being knowledgeable, I work
much faster than my inexperienced
competition, and my work product
is far superior. Etc, etc, etc.
I figure I am selling a package,
and my presentation is part of that
package.
Of course, if I am not familiar
with the newer technology or product,
I take a different approach.
I also keep in my mind that the
customer that devalues my services
in all certainty goes home and brags
to HIS/HER spouse how much money
HE/SHE makes, only to deprive me
of that same experience.
Lastly, I have a very clear picture
of my operating costs, and needed
personal income. I realize any discounts
I may give come directly out of
my family's income. For instance
if there are 360 days/year, less
weekends - holidays - training/convention
days - VACATION - and a few sick
days, there are about 235 work days
per year. In order to take home
$65,000 (for example) a gross of
around $80,000 is required. That
tabulates to approx. $341.00 per
work day just for personal income.
Add to that the cost of doing business,
and it presents a dilemma.
Do we charge what we are worth,
or do we devalue ourselves, to the
detriment of providing our families
a proper life style.
I can honestly say that I have charged
considerably less and had just as
many pricing complaints. And the
times I have had major price increases
I have noticed no notable change
in customer attitude. I make it
a point to give an estimate of cost
& TIME required for the repair prior
to starting. (Mr. Stewart, I can
repair your set today. I charge
$X labor, $Y trip charge, $Z parts,
and I can have it repaired for you
in about an hour. Then when I am
presenting the bill there are no
surprises.) A high bill doesn't
affect me when I KNOW why I charge
what I charge. After all we are
not providing a valid service for
our customers if we cannot stay
in business to help them in the
future.
Every time I have discounted my
services it was for reasons of intimidation
or poor self worth. Since I have
experienced a professional attitude
through training, Manufacturer interaction,
and peer support this no longer
happens. I now charge what
I need to live a respectful life
style and don’t look at what my
competition charges.
Ask yourself; Are we working to
live, or living to work? Think
about it.
Sam Sieben, CET/CSM
In-Home TV Repair, CSC
Seattle area.
(425) 487-3030
www.inhometvrepair.com
