PDA

View Full Version : Advertising 'Will beet competitors written price'


procut
04-09-2006, 10:59 PM
I've seen this technique used by some start-ups and newbies, but this week however I saw it used by a "big professional" company. This weekend a local company took out a full page color add in the local paper saying they would beet any competitors written price for clean-up, arretion, or mowing. Keep in mind, this company has nice newer lettered trucks, commercial equiptment, multiple crews and have been in business for multiple years. I just cannot believe they would open themselves up to something like this. IMO, you could get yourself into a lot of trouble doing this, and I can't imagine it working out too well. I'm skeptical that anyone will admit to doing this, but if so, how did offering to beet anyones price work out for you?

All_Clear
04-09-2006, 11:08 PM
I've seen this technique used by some start-ups and newbies, but this week however I saw it used by a "big professional" company. This weekend a local company took out a full page color add in the local paper saying they would beet any competitors written price for clean-up, arretion, or mowing. Keep in mind, this company has nice newer lettered trucks, commercial equiptment, multiple crews and have been in business for multiple years. I just cannot believe they would open themselves up to something like this. IMO, you could get yourself into a lot of trouble doing this, and I can't imagine it working out too well. I'm skeptical that anyone will admit to doing this, but if so, how did offering to beet anyones price work out for you?

I've also seen this being advertised, my guess is there is some sort of stipulation on it... ie: written est. must be by insured lco or etc...

They could lose their shirts if they didnt have some fine print somewhere, i doubt the big co. is really going to put themselves out there like that.

Seems more like a catch word/phrase... like the word Free... That attracts buyers/customers...

It's also a way that a legit co. can say to a potential customer.... Sorry we wont match this or beat this price because this "so called co. isnt registered, insured, etc. etc....


All_Clear

procut
04-09-2006, 11:16 PM
The add had no fine print. I'm a licenced and insurred company, so it made me wnat to write up an incredibly low estimate, give it to someone I know really well, then have them call the other company just to see what they do. lol

NEPSJay
04-09-2006, 11:20 PM
its because they are working in VOLUME. do you think they got all those fancy trucks and crews by being a cut-throat?

Jdmtnbikr
04-09-2006, 11:21 PM
I've seen this technique used by some start-ups and newbies, but this week however I saw it used by a "big professional" company. This weekend a local company took out a full page color add in the local paper saying they would beet any competitors written price for clean-up, arretion, or mowing. Keep in mind, this company has nice newer lettered trucks, commercial equiptment, multiple crews and have been in business for multiple years. I just cannot believe they would open themselves up to something like this. IMO, you could get yourself into a lot of trouble doing this, and I can't imagine it working out too well. I'm skeptical that anyone will admit to doing this, but if so, how did offering to beet anyones price work out for you?

Anyone who uses "will BEET competitors written price" will never get any accounts, don't worry.

B E A T

This board is so entertaining with you folks, thank you :)

procut
04-09-2006, 11:37 PM
Anyone who uses "will BEET competitors written price" will never get any accounts, don't worry.

B E A T

This board is so entertaining with you folks, thank you :)
Grammar Nazi

AintNoFun
04-09-2006, 11:39 PM
hmmm.. i think "will beat anyones prices" is kinda cut throat, is it not?



its because they are working in VOLUME. do you think they got all those fancy trucks and crews by being a cut-throat?

Jdmtnbikr
04-09-2006, 11:39 PM
Grammer Nazi


Grammar u mean?

If you wrote "beet" just once, I would have let it slide :)

Shape up man, you have a business to run for God's sake.

NEPSJay
04-09-2006, 11:40 PM
Grammar Nazi

no....not grammar nazi.... Spelling Nazi, WISE UP!:)

General Landscaping
04-10-2006, 12:04 AM
Well; write up some crazy low estimates and see what happens. Just charge $8.50/man hr. with no consideration for expenses.

This is your chance to get all your stuff done cheap then call up and b!tch when it's not done right.:cry:

Bait them a few times and see what their excuse is to not match the price.

Green-Pro
04-10-2006, 08:05 AM
They will likely get burned on a few, but only a few. As someone else mentioned they will make it up in volume.

This is the classic Wal Mart vs. the mom & pop local department store all over again.
IMO if you want to grow into a large company you will eventually have to learn to work on a thinner profit margin, if you are out to skin a fat cat every time you will lose and not experience growth. Stay solo and you can keep larger profit margins, but to compete against the larger outfits like this one you will need to differentiate yourself. JMO

wacamaster
04-10-2006, 10:04 PM
Volume may be what their after but they will get burned doing so. Everyone always thinks just because a company has a couple nice trucks and trailers they are getting rich. They are the ones going in debt up to their asses. The bottom line is... If me and 1 worker with 1 truck bid $200 on a job.. and this other company bids less then that with 3 trucks and 8 guys out there running around with half their heads cut off.. they are going to lose money. Everyone that gets like that eventually downsizes. Doesn't matter how much volume you can pull.. you get the volume at negative profit margins and you'll lose.

mastercare
04-11-2006, 03:15 PM
This will work for just about any company, and they will get 2 types of customers.

1. The tire kickers who shop 10 different companies to get the lowest price.

2. Anybody else who doesn't actually get a quote, and this is the customer they're trying to get. What does Wal-mart say? Low prices, always. How about Sam's/Costco ......buy in bulk and save, Outlet stores. IF you give people a reason to believe that you're the lowest price.....they'll call you and assume they're getting the best deal since you'll apparently do anything to be the best priced out there. If you've ever shopped at Sam's Club you know that there are some good deals. But some are not. Some items you can actually buy in smaller quantities at other stores for less! But, do people care? No....they have it set in their mind that Sam's club/walmart/costco/outlet stores ALWAYS have the best prices.....so they don't shop around.

This big lawn company is advertising to build up everyone's impression that they have cut-throat prices and can beat anything out there. Prospects will believe this, and will never bother to look anywhere else.

Example: If you need 5 gallons of mayonaise where do you go? Have you actually compared prices anywhere else? No, becuase you assume that Sam's club or Costco will beat it.....so you don't bother checking it out.

Not a bad system........it's not for me, but it works for thousands of retail outlets around the country.