A con Artist Customer

[skyhigh]

So they can afford to buy all those machines to help every small sign shop who can't afford to buy them.


.

At $7 profit, that amounts to $336,000 profit over 3 years after all bills are paid.


Help you say??????

So at $21 profit, I'd say that is rape. Thats over a MILLION dollar PROFIT in under 3 years on a $90k machine. Bullchit.....I say everyone get a flatbed, then we will get the price down to $5.50 profit per board.

(edit: In case anyone dosen't get it....I'm being sarcastic. Although I'm sure this will be the case in a couple more years, the way this industry is going)

 

[10sacer]

And if everyone could afford a flatbed and had space to put one and had an operator to run it... then I guess that would happen.

I guess I got into this to make a living and to grow a business past a few years in business so I thought the object was to deliver good products at a fair price for the customer and make as much money as you can - no matter what industry you are in.

 

[skyhigh]

How could you afford NOT to have one??? Figures don't lie.

By pcsigns calculations, this would be like buying a car for $35,000, knowing that in 3 years you will find $420,000.00 in the glove box when you trade it in. Why wouldn't you buy the car?

sounds like a "no brainer" to me.

 

[broli4000]

The issue I have with people that come in and say they got another shop to do it less is that they are coming to you and saying "But I'd rather have you do them".

The fact of the matter is, they know you will do a better job but they want to save some money. They keep coming back to you because they really want you. Keep the price the same and tell her that she will get what she paid for. Anyone doing it cheaper is doing it using crap materials.

 

[signswi]

How could you afford NOT to have one??? Figures don't lie.

By pcsigns calculations, this would be like buying a car for $35,000, knowing that in 3 years you will find $420,000.00 in the glove box when you trade it in. Why wouldn't you buy the car?

sounds like a "no brainer" to me.

Not everyone has the cashflow or sales capacity to approach those numbers much less the space or staff. Otherwise yes, everyone would do it. Wholesale can be highly profitable.

 

[fresh]

we use 18X24 yard signs to get people in the shop and hope they want more. ive tried to get the owners to raise prices on a lot of things, but they are relatively absent, and claim to know what people will pay for things, and "they wont pay $35 for a yard sign". I cant even get them to do an overhead worksheet so we can update our hourly rate.

Yes they will if they really want just one. $35 is what we charge for one, double sided, one color 18x24 coro. They can get 2-5 for $30 each. Or they can order a bunch and wait a week for me to order them.

 

[ucmj22]

You know it, I know it, unfortunately I don't get to make that call.

 

[comcat]

As for the original question "what should I do?" [with this customer], I'd say get her to pay your invoice in full, or a part of it she is willing to pay (wife's friend, be polite..), forget about her and move on with your business. After that; quote on the paper-> approval-> 50% deposit-> invoice. And avoid to do the business with "friends" of any degree.

 

[brush1]

ME..............i woulda told her THE 1ST TIME SHE ASKED ME IF I DO PRICE MATCHING......NO i dont do that!!!!! and if you feel the other shop is giving you a great price.....BUY THEM THERE!!!!! ends all the BULLCRAP!!!!!!

 

[Gino]

I'm not telling you how to handle this woman, but the time of what a sign is worth and what you can sell it for are gone. Actually, they're still here, but not as fruitful as it once was. The cost of the machines keep going up, but the cost of what they're producing is spiraling downward.... and fast.

There are far too many companies out there, that depend on pennies due to high volume for their business model. Right now, we are busier than a one-armed paper hanger with our flatbed work. In a little over a year, we've experienced such a growth spurt that we're seriously thinking of purchasing another one..... and one that is far faster than the one we have. However, it's gonna cost many thousands and thousands of dollars just to get this monster in our building. We need almost a 13' opening to get it in. We need more lines run and the cost of moving it is unfrickin' real. We were quoted at least $15,000 just to move it. That doesn't include the training, the machine or the supplies. It's a very expensive street to go down, but once everything is lined up.... no one can touch you..... cost-wise or crafts-wise.

Some of you may ask.... why do you spend so much money to under-price the neighboring shops ?? What business is that of mine... what they charge ?? I know what I gotta get to keep my doors open and it seems like we're beginning to do the work for just about everyone around us now.

This is very generic, but we just finished a job where we got about $1,700 for the signs. Does not include the installation. Our substrate, ink and cutting costs including man labor was around $175.00. You do the math... we got $1,700 for it, plus $1,600 for installing 5 signs... the largest being 20" x 48" and all ground level on posts [supplied by the customer] in about 5 hours.

We're in the middle of a job as I mentioned a day or two ago where we're doing a bunch of 30" x 30" double-sided signs. Again, what we get vs. our output for materials and labor plus overhead is next to nothing. However, no one can even come close to our pricing or quality, let alone turnaround.

You guys mention everyone should get one. Go ahead, but the vast majority of you will never catch up and go belly up.... forcing more machines out in the market for some other person to buy and not make ends meet.

You need to have the business and outlook to feed these machines. You don't just go out and buy one because you want to do a sign cheap. You need volume.... and lots of it. We're at this very moment negotiating a deal like the OP here is doing and if things work out for both parties involved.... a lot of chit is gonna be flyin' around in good ol' Reading.