Just lost a bid by HALF!

[cartoad]

This is a common problem for most us. It continues to amaze me why anyone would drive all over town, or make a bunch of calls to compare price for a small coroplast sign, but some do.
We recently lost a deal we had started on some real estate signs for a new company. Art work to be delveloped, and provided on disk to the customer when done and 1000 business cards. And 8 d/s .040 alum signs. The bum after we sent him a proof took it to another company who told him they would do the art work for free, 500 business cards (guess it helps to see the art almost completly developed) and then sold him 10 alum d/s signs 3 colors for $42 each! Ouch! If memory serves me we were at $65 each for signs(under blue book) and a design/logo developement fee. The other sign shop was an independant, we also have a major franchise shop that is quite low most of the time. The franchise shop baffles me since they have a franchise fee to pay on each job. I guess that it must be by volume!
While we have lots of sign shops, the legal market is really over crowded, but you don't see them giving away there services for next to nothing......Gee I feel better to get this rant out of my system.

 

[OldPaint]

In this economy you are going to have to fight it out. You are going to have to get lean. Get rid of the payments, crappy employees and get as light as you can. Sell any equipment you can to fight it out. It is going to be long and tough. In the Navy we used to say "Secure for Sea".

WELL, GETTING RID OF EQUIPMENT......THEN MOST(those who cant paint) CANT DO THE UNDERCUTTING PRICES)))))))))))

make a bunch of calls to compare price for a small coroplast sign, but some do.
I HAD ONE A THESE.....called me one day(realestate co.)asked me IF I PRICE MATCH...i said huh?
she tells me they called another sign shop for a couple 18x24 yard signs, adn they siad they coudl do em for $10 a side. " can you bet their price????
I HUNG UP ON HER!!!!!!!!!!!

 

[Checkers]

Hey OP,
I would enjoy phone calls like that - when I have the time.
An important rule of growing any business is to make contact with your prospective clients.
After talking with the client and determining their needs, I can then decide if I want to play the "price match" game. Although it's rare, I can sometimes offer a better product at a lower cost while securing a good relationship with a long term client.

Checkers

 

[Gino]

I don’t intend to talk price out here, but something you guys are talking about strikes home here. When people call in asking for bids over the phone…. I play the game and ask them to tell me what they’re really looking for in a sign. After they tell me all of their needs, I give them a price. When they ask if I’d want to beat another shop’s price, I ask them to bring it in and we’ll take a look and see what we can do. Usually, they’re too lazy to come in, but for those that do….. once they’re in our shop…. we got ‘em. That’s when the real education comes out and I explain I can make the same chinsy item, but would they at least like to explore a better route ?? It doesn’t always relate to higher prices for the little stinky signs, but a better project for a reasonable amount in your pocket.

Recently, about a year ago, we did this with a client which we had very few dealings. They told us they were going to go to another source for all of their signs and I asked for a meeting and I was able to up-sell them [after a series of meetings and reviews] to a different product [that the others couldn’t produce for the same price] for more money. The good part is, we make more money doing it the better way, the customer is totally happy and the competition can’t touch our pricing.

Many times, if you keep trying to land the ‘Cheap-O’ jobs…. you’re going to only attract ‘Cheap-O’ jobs. Go for the jugular and hold on.

It’s the same in other things…… if you play a slot machine for a quarter or two…. you’re only going to win small amounts. If you play the odds and go big…. you might lose some, but when you win…. you really win BIG. I’m not suggesting gambling, but work in general these days….. jobs and orders are a big gamble if you get them or not and based on many of the questions…. you’re all gambling with your business. So, try going bigger than your competition and stop worrying about what they get and worry about landing the big ones !!

Go big or go home.
​

 

[The Sign Dude]

yeah i'm always wondering how some keep going... compared to most here i'm usally on the low side but like i posted earlier there was a large sign shop in near by auburn pricing mags $25 a pair!!! i'm like OP i sell'em for $70 and want to go up but i guess i ain't got the guts. shops around here bid on banners at $2.50 a sqft!!!!

Yeh the same large sign companies LED sign reads "Cheapest Signs in Town".
I say more power to him if thats the work he wants to pull in.

 

[Fuzzbuster]

WELL, GETTING RID OF EQUIPMENT......THEN MOST(those who cant paint) CANT DO THE UNDERCUTTING PRICES)))))))))))

make a bunch of calls to compare price for a small coroplast sign, but some do.
I HAD ONE A THESE.....called me one day(realestate co.)asked me IF I PRICE MATCH...i said huh?
she tells me they called another sign shop for a couple 18x24 yard signs, adn they siad they coudl do em for $10 a side. " can you bet their price????
I HUNG UP ON HER!!!!!!!!!!!

hey OP
Maybe we should go back and paint corrugated 50ft trailers in 120 degree heat and price match!

NOT!

Hey you know CAPS use more 1 shot!
easy on the paint!

 

[synergy_jim]

im being offered just over $1k to install full wraps on 48' semi trailers... let the fun begin!

We pull that much for installing a cargo van....

$3.00 a square plus travel.

 

[OldPaint]

hey OP
Maybe we should go back and paint corrugated 50ft trailers in 120 degree heat and price match!

NOT!

Hey you know CAPS use more 1 shot!
easy on the paint!

SURE DO..and are more visible )))))))
MAY BE YOU SHOULD......then you wont be tied to you LEASE/LOAN/SUPPLIER to PAY....
before you can BUY LUNCH)))))))
sad to say but most nowadays, WITHOUT PRINTER/PLOTTER wouild all being other work)))))))
not my problem, cause i CAN PAINT, VINYL or PRINT.... but IAM NOT OWEIN ANYONE for the EQUIPMENT)))))))))))
AND I DONT GIVE WORK AWAY)))))))))
heres one i did in PAINT..... for i think close to $1000...in 1980's MONEY. cost to me, was maybe $25, for paint)))
also i painted this in less the 10 hours. AND ALL THE MONEY WENT IN MY POCKET...cept the $25))))

 

[Kentucky Wraps]

I was concerned my bid may be a bit on the low side when I submitted it.

The job was for 4 vans. Graphics on the doors only, in and area of 20 x 20 inches. Plus USDOT numbers on all doors at the lower part. Artwork needed to be tweaked to set correct pantone colors prior to production. These were combination of print/lam/contour cut and vinyl lettering.
Not to mention the need to bring the vans in and warm them up.

So 4 vans, 8 doors total. The winning bid was $475.00, installation included. That's the total for all 4 vans!

This was from one of the major Franchises in the area.

Could I really be that far off?

I think I'm gonna knock off early today and drink heavily.

So basically some small die-cut number on 8 doors and 3sft (x8 should be less than $20 a peice for that quantity) of laminated & cut to shape vinyl (not premium 3M or anythin fancy assuming)
Installation should be minutes per peice.
The winning bid was $60 a door. I'd do the job for that price. PLENTY of Profit. Total overhead is about $45 materials & labor should be less than 2 or 3 hours. That's about $400 Profit for less than 2 man hours.(1 hour machines)
I guess if you have tons of other work pouring in that paid a lot and this would just be getting in the way of that stuff...I really wouldn't turn it down.
How did you come up with YOUR PRICE???

 

[Mosh]

I just got a job doing 4 vans, 8 doors total for $475.00.

 

[Marlene]

I just got a job doing 4 vans, 8 doors total for $475.00.

do you really enjoy being the least respected person on this site?

 

[TheSnowman]

do you really enjoy being the least respected person on this site?

Isn't it obvious? Of course he does. Welcome back to a one year old thread, that has now become..."The Mosh Pit".

 

[Border]

Thanks for the "advice", however, you're about 11 months too late! This was from last January.
I don't even remember what job this was anymore.

 

[Brandon708]

edited: i didn't realize it was so old.