In this video I reveal the three things you can do during the sales and quoting period to teach your clients it’s cheaper to pay more!
So you are being pushed by your building clients to cut your prices and deliver a cheaper renovations or a more competitive new build. You know you could make substitutes, to get the price down, but it makes you very uneasy.
What if you could teach your clients that it’s cheaper to pay more? Here’s three things you should teach your clients during the sales and quoting period.
Long-term Investment Value
You first need to teach your clients about long term investment value. Build costs can be deceiving. E.g. A property built to last 50 years costs 400,000 to build – that’s an annual amount of 8000. But a similar property built to last 100 years may only cost an additional 50,000 to build – just 4500 per year. This makes a huge difference to residual value.
Every builder knows that certain materials require more maintenance over time. But does your client? Probably not. What about the impact of different geographical environments? E.g. A coastal climate is very different to an inland climate.
What may look nice to begin with, and be cheap to install, may deteriorate quickly unless well maintained.
So help your clients consider the ongoing maintenance costs of various materials.
Build Quality Guarantee
A year or two back, a well established Californian company reported that it would spend $43m repairing hundreds of homes because of problems caused by faulty installation.
Imagine the homeowner’s outrage if the build had been done by a non-reputable company unable to stand behind it’s workmanship. Surely it’s better to select the building company carefully, even if it costs a little more initially, and to have the assurance of long lasting quality.
How strong is the build quality guarantee that you offer, and what would you need to do to make your guarantee stand out from the rest?
The sales and quoting process doesn’t have to be painstakingly frustrating. So, instead of despairing because clients want the cheapest price, how about coming up with some real reasons that prove paying a little more up front can indeed be the cheaper option.
What have you done in your to show your customers that it’s cheaper to pay more?