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  • #16
    Re: dropping your prices

    Wow! You got some great advice. The only thing I can ad is listen to it. And listen to your gut feelings. You DONT want to step on toes, and you DONT want to lower your rates...Call them and tell them you cannot do the numbers.

    Who can argue with that?

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    • #17
      Re: dropping your prices

      Ace

      Make sure you can just start pumping in CO. Some states say you need a lic and so many hours. In some states like WI you need 1500 hour pumping before you can get a lic.

      Price Service Quailty pick two but you cant have all three.

      We started just jetting. I was losing work to outfits that offered pumping. It has led to more jetting. I was mad when I need a vac truck and got poor service. Pumping in cold weather isnt always a ton of fun.

      Cant feel bad about offering new services if you dont someone else will. I would ski more raise the prices and hire someone in a perfect world.

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      • #18
        Re: dropping your prices

        Cutting the rate defeats the purpose of getting the work. The pumping rates are getting so low here there is no rate to cut.

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        • #19
          Re: dropping your prices

          Originally posted by DANE View Post
          Cutting the rate defeats the purpose of getting the work. The pumping rates are getting so low here there is no rate to cut.
          And the dump fees continue to rise. 12cents a gallon and I have a 60 mile round trip!
          www.ClinkscalesSeptic.com

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          • #20
            Re: dropping your prices

            Dropping your prices just to get work is never a good idea.
            If you can't get the work based on quality and reputation, then you
            don't want them for a customer. They will kick you out of bed for
            the next cheapest whore, no disrespect intended.
            Investing in equipment that may not be sustainable would be a double whammy.

            Run, Forrest, run.

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            • #21
              Re: dropping your prices

              Also consider that when you start servicing septic systems, you will start seeing other work that needs to be done such as, risers, baffles, leach fields, underground lines, etc. All of these can be profitable, but where do you stop. So much of the time, one thing leads to many. The drive to the disposal site would be the fly in the ointment for me, are there any alternatives? Make no mistake about it, you can make a lot of money with a vac. truck and sometimes it is easy. Sometimes it's hard beyond belief. It is a lot to consider in your situation. Good luck.

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              • #22
                Re: dropping your prices

                yeah... where do you stop.

                I dig and do repairs and line replacements now. part of getting into septic pumping would be doing inspections when properties are being sold, and that will lead to repairs, risers, effluent filters etc. We are actually liscensed to install fields as well, though it's kind of by accident and have yet to get an install, though I've bid a couple.

                I mean really, if I wanted to go big I'd get the pumper, a rubber tired hoe, an excavator, a trailer to haul it on, and a tandem dump. but the limiting factor there is you need guys to run it all and they have to be good enough you don't have to sit on them or it all falls apart.

                I'm putting it all on hold til I see what's on the table.

                If I could get away with it, I'd be very content to do 5 sinks a day 5 days a week and screw the rest. But you can't do that... at least I can't. Do good work in one area and they want to use you for everything, so you end up having to offer it... this may be the contract that puts me into pumping, or I may just hire out the pumping and keep the jetting only, or I may just walk away depending on the nuts and bolts of it.

                honestly, I don't want the hassle of the pumping, though it's tempting. my fear is that if I commit to providing it and am relying on subbing it out and lose my sub, I've got to buy a truck in a hurry at that point, as he's the only game in town other than the guys I'll be taking it from, and I can just hear the laughter when I call them up to get something pumped if I go there.
                This is my reminder to myself that no good will ever come from discussing politics or religion with anyone, ever.

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                • #23
                  Re: dropping your prices

                  one good thing about it; the properties that are out of/on the fringe of my usual area are on the way to the disposal site.
                  This is my reminder to myself that no good will ever come from discussing politics or religion with anyone, ever.

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                  • #24
                    ace

                    my first thought was that you didn't feel good about this. otherwise you would not be asking us. i'm 65. i have never lowered my prices yet. it kind of looks to me that they are trying to bid this down. i can understand that, i would not want be involved myself. as for as night and weekend service, i do that. i'm the most expensive here. i'm also the cheapest because no one else will come. listen to yourself. you don't sound very positive about this yourself. breid................

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                    • #25
                      Re: dropping your prices

                      Update:

                      Drove down and had a chat. Offered 5%, and glad we did. Not sure how much new business is going to come of it, but we did at least secure a spot on the preferred provider list, which as it turns out is key to retaining the existing business.

                      They are not trying to do any heavy handed stuff; just trying to simplify their service provider base, and buy a little price break where they can by consolidating the block of work they have to offer. They are trying to retain the providers their people use now and like, and get a break where they can for making those people the preferred people. They're not trying to shove the cheapest they can sign someone to down all their people's throats, just trying to identify the best (in an intelligent total package sense of best) among the providers they use, put more work with them, simplify their accounts payable, and bargain a little in the process.

                      We're to get together to make it formal next week. May get the pumping, may not, if so it will be subbed out for at least a year to see if it's enough to make buying a truck practical or if it goes well enough with the sub that we don't want to mess with it. Will almost certainly be getting the pm jetting, which we probably won't have to discount much if at all as the current provider is charging them so much we will be significantly cheaper at normal rates, and will likely pick up work from one-off clogged this or thats at properties of theirs that we don't do much at now.

                      So, a little premature, but I'm feeling real good about it at the moment.
                      This is my reminder to myself that no good will ever come from discussing politics or religion with anyone, ever.

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                      • #26
                        Re: dropping your prices

                        That's great news. I hope it works out for you!
                        www.ClinkscalesSeptic.com

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                        • #27
                          Re: dropping your prices

                          That does sound good.

                          Something else I thought of, I do not know what your terms of payment are but I have found if you give a discount for early pay they usually jump all over that, even if you are not the low price.

                          Good luck with it and hope you secure all of their work.

                          G3

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