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Sometimes it's just better to have charged enough............

Gino

Premium Subscriber
About a month or so ago, we quoted a sign and after some back & forth details were figured out.... were awarded the job. The guy had a quote of about 1/3 of ours and I had told him to go that route, as there was nothing I could do with the numbers he said came from the other guy. Like I said, I eventually talked him into our product and got a 50% deposit. The sign he was replacing belonged to another company that had been in the building before him. They left and never took their sign with. However, it was old, beat up and not worth fixing in my opinion. The other quote was gonna just spray paint over the old stuff and re-use it again. It was also 3/4" PVC. So, when the guy was in our shop, I told him I would recommend 6mm aluminium composite for his sign and gave him all the reasons why. He eventually said, well, if you think it's that much better, let's go with it. I showed him samples, too. We figured the colors and then it became an actual job.

About 3 weeks later, we called him and told him we'd be over to instal it and to have the balance ready when we finished. No problem.

We removed the old sign and put the new one up in it's place. Two of his employees came out and oohed and ahhhed over it, his wife fell in love with it and he liked it. Then he went over to it and said, why is this so thin ?? I thought it was gonna be on the pvc stuff around 3/4" ?? No, don't you remember, we discussed this and you finally agreed and said the aluminum composite did sound like a better option ?? No, I don't. Well, you did, but if you want the pvc, we'll do it.

Now, the sign is 3' x 5.5' 2 sided. The existing posts needed no work and we just exchanged old for new. Installation time was about 20 minutes, if that.

So, rather than call a guy a liar, I just got a piece of 3/4", re-cut the vinyl and lost about maybe $125.00 in materials cost and this particular sign, I laid the vinyl down, so no outta pocket cost there. We quoted around $2,650.00 + tx for the original sign, so we lost maybe a total of $ 175.00, had to add about $130.00 for the new substrate and $25.00 for vinyl, but we still have a happy customer and a sign which will need replacing much sooner than the other one.

People here, many times ask why we charge more or how can we get away with charging the amounts we do....... it's times like this that getting your price pays off and that little sh!t factor on every single job helps thwart off upset customers.



:thumb: Gino
 

thesignexpert

New Member
Well said Gino :thumb: When shops get so caught in "getting the job" that they sacrifice real profit margins they set themselves up for failure. Being able to put significant money in the bank on every job means you have a financial buffer when your "oh crud" moments come. And they WILL come :rolleyes:. A few years ago we got hit with multiple, major, act of God, whammies all within 8 months of each other. We had major vehicle breakdowns, completely lost two solvent printers & had the insurance company screw us, had serious employees issues... it was horrible. If we had not stayed the course on our sales / financial policies we would have bit it big time. I firmly believe it would have killed most small shops but we were able to weather the storm and pull through. Squeaking by on thin margins, allowing too much debt, approving payment terms, not staying on top of cash-flow will catch up with you eventually.
 

SignManiac

New Member
If you don't ask for it, you won't get it. I have no problem quoting big a number that is easily twice or three times the competition. Just make sure you can back up the value of the product against the cost along with educating the customer about why you deserve more.

I just finished a $28k job that used $4k worth of materials. Rest is all labor and took a good week to complete.
 

J Hill Designs

New Member
If you don't ask for it, you won't get it. I have no problem quoting big a number that is easily twice or three times the competition. Just make sure you can back up the value of the product against the cost along with educating the customer about why you deserve more.

I just finished a $28k job that used $4k worth of materials. Rest is all labor and took a good week to complete.

yep :thumb:
 

Gino

Premium Subscriber
I wanna see a pic of that sign. MY GOD did you gold leaf it?

Nope, no gold leaf, not even any fake gold leaf vinyl. Nothing special, just as Maniac said, ya gotta ask for it....... to get it. however, you're all focusing on the wrong part. Its not how much, but the simple fact that we routinely quote this way, which allows us to be somewhat flexible if something goes wrong.

Ya can't give in on every job, but find an area you feel comfortable with and sell yourself and your product. We don't make the same percentage of profit on every job, but we do add the sh!t factor in all of them. That alone will usually give us about 18% on top of what we hafta get.

When you reach your final number after overhead, costs, insurance, profit and anything else you figure in..... you take it times 15% to 18% and quote that. If you don't use it, fine. Ya just made an extra profit, where if you calculated wrong, spelled a word wrong or used the wrong substrate...... you're more than covered.
 

nikdoobs

New Member
hen he went over to it and said, why is this so thin ?? I thought it was gonna be on the pvc stuff around 3/4" ?? No, don't you remember, we discussed this and you finally agreed and said the aluminum composite did sound like a better option ?? No, I don't. Well, you did, but if you want the pvc, we'll do it.

You don't get signed proofs with call-outs on materials used?
 

Gino

Premium Subscriber
You don't get signed proofs with call-outs on materials used?

For the most part, yes. This was a kinda small job, and while he signed the original quote, which didn't mention any type of substrate, we had a good connection and I didn't remember to do it. I know, I broke my own policy, but it wasn't a big deal to me. This kinda thing generally doesn't happen..... and the one time I let my guard down, I get bit in the a$$. However, the whole point of this thread is......... if something like this happens, you'll be better prepared for anything unexpectedly going wrong, regardless of whose fault it is.

I could've had it in writing and had a brainf@rt, I'm still covered. Verstehen ??
 

reQ

New Member
Lucky to be you lol. Have a customer, who we quoted $420.00 for 4x8 dibond sign, single sided, and he said its expensive.
 

gabagoo

New Member
Lucky to be you lol. Have a customer, who we quoted $420.00 for 4x8 dibond sign, single sided, and he said its expensive.

Oh that's because your in Canada!!! We are expected to work for little or nothing lol
 

reQ

New Member
Oh that's because your in Canada!!! We are expected to work for little or nothing lol

I guess lol. He is from China yet... so he always tells me how cheap is same product in China.... but as a mechanic himself, he charges canadian prices :D
 

Gino

Premium Subscriber
Went by today after another instal and quick snapped a picture.

Like I said, nothing special, in fact, that's basically why we didn't take a picture after putting it in. It's not outstanding at all. Just a new sign for a very happy customer. Oh, and the posts were already there. We had to shim the sign to make it fit. We were off by about 3/16" side to side.


At this location, right across the street is where we did two other signs within the last few months. None of them knew the other.... or had any conversations referring me to one another. Sheer coincidence.




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Oh..... and here is what we removed. I know who did it, but they're a member here and I don't wanna start any trouble.​

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SignManiac

New Member
Too many shops sell signs for time and material and are missing an important part of the equation. The real value in any sign is perceived value which can command a nice premium. Once you start selling advertising instead of letters stuck on a board, you immediately add value to your product. The easiest way to do that is with design. Design can make all the difference in the world in what you can get for your work.

Of course the service and professionalism on top adds even more value. So everything combined can really add up to your bottom line. Here are two examples of what set me apart from other shops in my area and why I have no problem quoting numbers that everyone else is scared to.
 

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