Handling Objections

[George777]

I would like to hear how some of you handle objections. Today my partner and I placed in some bids on commercial properties. One lady said "the other guy is cheaper". It caught me off guard. I was stumped. once my partner and I got inside the car I told him this will never happen again. This was a new facility and had over 6,000 sq ft of turf. I was biding it for $260.00 a month. that was including the parking pad & edgeing and hedging.
My partner and I felt we offered a fair price. How would some of you respond to this? I need a few one liners to be able to handle objections.

[awm]

W ELL HE KNOWS WHAT HIS IS WORTH BUT I BELIEVE
YOLL BE PLEASED IF YOU DECIDE TO GO WITH US.

[Greenkeepers]

May we compare estimates to ensure that you're getting equivalent services. If so then thank you for your time...

If no, then sell yourself and your services to tell her why she should go with you.

[Fantasy Lawns]

I was once told by a customer "you lawn boys are a dime a dozen" & I told him I felt the same way .....but that I'm a professional .....not a "lawn boy" & the lawn boys he speaks of gives the working man a bad name anyways....

it's easy to low ball in the winter .....just tell them "you get what you pay fore" and when he stops coming around in the regular season to give you a call for a "new bid" ....just rememeber "you can't please all the people all the time" ....work for a fair amount which can make you the $$ you need

[kutnkru]

I would have told them:
"ThankYou for the opportunity to bid on the grounds management of your facility. Unfortunately at this time I am not able to do the work you have requested for any less than we have stated in our propsal."

I would attatch a business card to the portfolio and then ask the contact person:
"If things dont work out with the current contractor, I welcome your call. I would be interested in talking with you once again. Maybe at that venture things will have changed and we can better meet your needs."

This sounds to the prospective client as though you may be willing to drop your price at a later date. You are however, sugessting that they will get superior service if they are willing to pay more.

In all actuality what you have done is implanted "the seed" or thought process for them to call you first. You have not implied you would drop your price, and I would stick to my bid if they call back later. Unless of course you are completely out of the ballpark, way beyond fair market value.

At this point they will have gotten what they have paid for - a cheaper, less desireable service.

Hope this helps.
Kris

[Edited by kutnkru on 02-08-2001 at 03:15 PM]

[Eric ELM]

I'm not sure which member posted this, but this is what he said:

If you were getting a heart transplant, would you take the cheapest bid.

[kutnkru]

That ONE sentence says it all.

Kris

[Fantasy Lawns]

well said ....& true ;-)

[geogunn]

george777--it's not the "fair price" that gets the job but the best (read that to mean the cheapest, unfortunately) price.

large commercials in my area take sealed bids and you never hear the top bid price unless they are government.

medium to small commercials in my area you are dealing with the owner, manager ot the purchasing agent. you can ask them what the other bid is and sometimes they will say. and sometimes they will lie to you. tough choice to ask this question.

I always build extra profit into a bid so that if I want the job bad enough to dicker the price, I can.

GEO

[lawrence stone]

You were way overpriced. That job will go for between $100 and $125 a month in growing season only, NOT in year round payments.

6K of turf is a tiny job.

[Eric ELM]

Maybe he forgot a zero on that amount, since he did say over 6,000 feet.

[russman]

I always try and stay realistic. I know I won't get every bid. And probably wouldn't want to. Just try to learn from the ones you don't get. We are in a service business and people do talk. If you give a smart remark to a customer that may cost you opportunities in the future. Always say thank you and if you change your mind let me know. Who knows they may realize the poor work being done on their property and give you a call. Never burn a bridge

[KirbysLawn]

$260.00 a month for 6000 sf, a bit steep I might agree.

[Grassman]

Forget about the one liners and be kind and proffessional about it. You may have a shot at it later if you don't burn your bridges. Russ

[TJLC]

Down here people will argue over a dollar or two on a cut! I just walk away. That's getting started on the wrong foot. Our yards avg 80x125 (10,000 sq. feet) $18-20 pet cut or monthly $54-60. A little more if there is extra trimming or edging, etc.

[George777]

I've learned a great deal. Thank you all for your input. My partner and I walked to a buliding a few feet from where we submitted our bid the the manager told us he is paying 350.00 per month and that the contract will expire in April.
I was however caught off guard. I will be prepared next time this happens. we live and learn.

[GREG R]

By her saying the other guy is cheaper, she was letting
you know she was still willing to talk, or she would
of just told you she would think about it...or some other
strange excuse..

on properties I'm really interested in and after losing
a bid, I always send a letter, thanking them for letting
us present our bid and something about future business
with them. so if the other guy screws up they will call us.
and never ever leave on a bad note, and always end with hand
shake.

[moonarrow]

larry, where you are that may be to high a price but down here where I am for mowing edging and weedeating and hedging I would not touch 6k for less than that amount, I have properties with less the 3k that I do for $200 mth yearround

[Mueller Landscape Inc]

Friends,

Rather than arguing price with someone, try to sell all the benefits that your company has over the other guy. We use a promo-package whenever we submit a bid. It has everything in it including newsletters, surveys and letters of reference. Things that set you apart from the rest. I truely believe that the more you charge the more value clients will put on your services, but, you MUST deliver!