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  1. #1
    Join Date
    Aug 2004
    Location
    Brisbane
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    777

    Default feeling a bit deflated

    A while ago I quoted on a piece of custom made furniture. This was followed by a request to negotiate on the price and a number was suggested. I politely informed them that the price was nonneg. and suggested as two alternatives to either get other quotes or I would do it at cost +. The next thing I was being asked to explain how I arrived at the quoted figure in detail, which I declined, reitterating that they should exercise their right to get other quotes or get me to do it at cost +. Anyway they let it go at that. Next I was told this was the first time in their corporate life they had ever been confronted with a brick wall and no chance to negotiate on price, which left me wondering if I should have been more flexible. But then he said that I'd worked for his parents for a long time and his continued loyalty to me should be rewarded in some way (like a discount). At the time this sounded a bit unusual but the more I have thought about this, the more upset I have gotten. I mean for instance I may already have factored this into the quote, but what upset me more is that I have always strived to do a superior job at a keen price and so my "reward" for being a reliable and proud worker that they trust and use is that I should work at a lower price? I don't get that. I have been grinding over in my mind if I should decline the job. At the moment the quote still stands, but the whole thing left a sour taste in my mouth. I don't know whether to walk away or not. Just getting it off my chest.

    Cheers
    Michael

  2. #2
    Join Date
    Dec 2004
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    Hell with fluro lighting
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    55
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    624

    Default

    Welcome to the corporate world.... Stick to your guns, if they cant see you are worth it, they aren't worth working for
    I may not have gone where I intended to go, but I think I have ended up where I needed to be.

    My Other Toys

  3. #3
    Join Date
    Apr 2007
    Location
    Kalamunda, WA
    Age
    53
    Posts
    1

    Default

    I would not budge on price, they know the quality you produce because they have used you before, they were happy with what they got and thye price they paid, otherwise they would not have come back. Sounds like you are dealing with some young punk who has taken over daddy's business and thinks he can change the world.

    Just because you have used someone before does not qualify for any discount. Does Coles give youy a discount if you shop with them every week instead of going to Woolworths sometimes?

    I understand you being tempted to walk away as a client who starts in this vein is usually a pain right up till the end. Whether or not you want to walk away is a decision only you can make based on your own businesses needs.

    Cheers,
    Mike

  4. #4
    Join Date
    Mar 2005
    Location
    In the shed, Melbourne
    Age
    53
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    0

    Default

    Quote Originally Posted by Gra View Post
    Welcome to the corporate world.... Stick to your guns, if they cant see you are worth it, they aren't worth working for


    Never underquote, know your worth, skill sets and experience count for a lot, and make every job your best. Aside from the physical there is the intellectual component to factor into costs, it's hard to quantify ,but it too has value.

    If a client refuses to recognise any of these, then walk away.

    I have a new client who came by high recommendation of another, I presented myself and submitted my quote. I was asked about the figure I quoted, which I explained. This afternoon I presented my concepts which the new client was rapt in. This little scenario applies across the board. Given the chance to show your worth and hit the brief first time all the time clients understand the value that you add.

    Capitulate and they will expect it al the time, given the opportunity as you've demonstrated previously the person should value your worth and not bring it into question.
    I make things, I just take a long time.

    www.brandhouse.net.au

  5. #5
    Join Date
    Aug 2004
    Location
    Brisbane
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    777

    Default

    Mostly now, I do work because I want to do it, not because I have to do it, so I could easily walk away. (I say mostly, because there is work that SWMBO gets me to do that I have to do )But in the back of my mind I think I'm making a mountain out of a molehill and I shouldn't be so precious...which I can be!

    Cheers
    Michael

  6. #6
    Join Date
    Jun 1999
    Location
    Westleigh, Sydney
    Age
    78
    Posts
    1,332

    Default

    Yep, stick to your guns. They asked, you quoted. Tell 'em you gave them an honest price first up, not one with a 'fudge factor' built in.
    (Next time, build in a fudge factor, but still don't negotiate.)
    Visit my website
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  7. #7
    Join Date
    Mar 2005
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    In the shed, Melbourne
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    Default

    Quote Originally Posted by AlexS View Post
    Yep, stick to your guns. They asked, you quoted. Tell 'em you gave them an honest price first up, not one with a 'fudge factor' built in.
    (Next time, build in a fudge factor, but still don't negotiate.)
    If I know a client is going come back with change this, change that, I don't like pink, green, blue, yellow, red or blue (and it has happened) I also factor in an "agro" component.
    I make things, I just take a long time.

    www.brandhouse.net.au

  8. #8
    Join Date
    Mar 2007
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    pakenham
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    57
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    Default

    I work in a totally different field and in our business (catering) our prices are set out for all to see in black and white.

    Over the past month I have being told by prospective clients that my prices are crazy and that they want to negotiate on price ( I haven't put my prices up in two years even though my suppliers prices have doubled and some have tripled. I felt that seeing as everyone is suffering financially that i should swallow these increased costs and not put my prices up.

    Today I quoted on a menu for 700 people at $6 per head (including staff costs), I was told that my price was too high and that I should consider charging $3 per head (including staff) for 3 courses ( starter, 3 meats, 4 salads, spuds and 3 desserts) after spending 4 weeks on quoting for this university I threw in the towel, lost the rag and told them my name was not ronald from scotland and that they couldn't get starter plus all the extra's from him for that price.

    I will always remember my old man saying to me, Son you may never beat them on price, but you can beat them on quality- at thye end of the day if your only willing to pay peanuts for something all you can expect to get are monkeys nuts.

    David

  9. #9
    Join Date
    Aug 2003
    Location
    Conder, ACT
    Age
    78
    Posts
    4,213

    Default

    As this indicates that there is an increased stress and expectation involved in this project I would raise the price of the quote to cover this.

  10. #10
    Join Date
    Jun 2006
    Location
    Barboursville, Virginia USA
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    77
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    549

    Default

    Quote Originally Posted by djfoggin View Post
    Today I quoted on a menu for 700 people at $6 per head (including staff costs), I was told that my price was too high and that I should consider charging $3 per head (including staff) for 3 courses ( starter, 3 meats, 4 salads, spuds and 3 desserts)
    David
    Mercy me! $6 a head? Come on over to the States and have all the business you can handle. Can't get simple burgers and snags for $6 a head.
    Cheers,

    Bob



  11. #11
    Join Date
    Sep 2007
    Location
    Melbourne
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    Default

    I know what you mean... I had some trees cut down last week and allowed the neighbours to take it.... they took all the straight pieces and left anything with branches. So I split up a couple of trailer loads of the hard stuff myself and before I could give it to my friends at work, they neighbours came and took it!

    So what has it come to? Wood for free but only if you split it up too!!! At least they could have come and asked if they could have it.

    Too many want everything for nothing

    Stick to your guns.... they wouldn't give their services for free so why should you.

    I make clocks... one lot thought a fair price was less than the insert and battery.... so I refused to sell to them... I would rather give it to someone decent for free than be insulted like that. After all it is my hobby rather than a business.

    Oh well I better stop before I get too worked up over it.

    Mic, once again, stick to your guns... they can take it or leave it

    Regards,

    Chipman

  12. #12
    Join Date
    Mar 2007
    Location
    nth coast nsw
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    0

    Default

    Yep, what everyone else said Mic.
    I have a deal with a couple of friends in the same business (carving /sculpture)
    if I'm having pricing dramas with annoying customers I will pass on contact details of other carvers who can do the job (my mates), and they will then double or triple my quote,

    what if the hokey pokey is really what it's all about?

  13. #13
    Join Date
    Nov 2007
    Location
    Dundowran Beach
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    77
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    0

    Thumbs down Corporate problems

    Yes, it's a strange world when it comes to value and pricing.
    One problem seems to be that people think timber is common and cheap.
    Another is that"Anyone could do that".

    I wonder whether these paople quible with high priced trades people?

  14. #14
    Join Date
    Oct 2006
    Location
    Melbourne
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    Default

    For a start, craftspersons aren't akin to the run-of-the-mill corporate world - we have a uniqueness that doesn't lend itself well to normal business disciplines.

    The client has little respect for you or your skills if they want to begin price negotiations, and as for introducing the 'old family ties' card after the fact, that's just underhand and despicable - they should have mentioned it at the outset (if at all).

    I recently posted a request on the forum for some kind person to turn me a couple of candlesticks. I had two replies and I explained to both respondents that I didn't expect any special Woodwork Forum treatment; I fully expected to pay the going rate (what ever that is!) and I would just be glad that someone would interrupt their routine for me.

    While I'm not made of money, I believe it's essential that craftspersons shouldn't be constrained by mere commerce. I suggested to both respondents that if I accepted their quote, then well and good, and if not, then there's no harm done and I've made a new friend! Craftspersons should be encouraged and nurtured, not bullied into blandness and poverty.

    I would not budge an inch on price! I would also politely request they don't bother you again.
    .
    I know you believe you understand what you think I wrote, but I'm not sure you realize that what you just read is not what I meant.


    Regards, Woodwould.

  15. #15
    Join Date
    Jun 2003
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    ...
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    Default

    Quote Originally Posted by mic-d View Post
    A while ago I quoted on a piece of custom made furniture. This was followed by a request to negotiate on the price and a number was suggested.

    In the circumstances, after their request for a lower price, I would go back to them with a non negotiable counter offer which is higher than the original quote. When asked why tell them it's because of the aggravation caused to you.

    In any case this looks like he is going to be the client from hell and you'd be better of without him or get paid adequately for the troubles he will cause you.

    Peter.

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