How To Raise My Prices I'm the cheapest in town.

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kmx321
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How To Raise My Prices I'm the cheapest in town.

Post by kmx321 » January 7th, 2019, 12:19 am

So I've been in business for about 6 months now and it's been a bit unsteady. I'm not making as much money as I anticipated and it's all due to my pricing.

The other companies in town charge anywhere from $30-$70 for a single chip. Including my previous employer.
The average in my area is $50.

Since I was barely starting out on my own I decided to charge $30. But it's been hard making a profit.
I average out $2,000/month in sales. I do about 2-3 cars per day.. That's only enough to pay my business and personal bills.
I do get insurances here and there but I mostly get cash customers.

I've already developed a bit of a reputation for being one of the cheapest in town, but I'm not happy being the cheapest.
Customers have admitted to me that they come to me because they thought the other companies in town charged too much.

How can I raise my prices without losing any current and new customers?
How much do you all charge in your area? I'm in Texas.

kennycrane
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Re: How To Raise My Prices I'm the cheapest in town.

Post by kennycrane » January 7th, 2019, 8:08 am

Never have I tried, or wanted to be the cheapest in this business. One of the reasons why I got into this business was because of the poor work that somebody did on my car, and later I find out that they were cheaper than anybody else. Now I know why. I don't just sell a repair, but like many others on this forum I strive to sell a Quality repair. I pride myself on doing the best repair possible with a lifetime guarantee. Everybody knows and expects that Quality comes with a higher price, unfortunately many people are unaware that windshield repair is an "ART", It is NOT just squeezing resin into a break, there are so many more important aspects to attaining a Quality repair. I strive to educate all that I can while I am doing the repair, If you want a cheap repair then go to the guy who does it cheap. My daddy taught me a long time ago, you get what you pay for.
These users thanked the author kennycrane for the post (total 2):
Bruce McDonald (January 7th, 2019, 1:40 pm) • Brent Deines (January 7th, 2019, 6:40 pm)
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RCRNR
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Re: How To Raise My Prices I'm the cheapest in town.

Post by RCRNR » January 12th, 2019, 9:13 pm

I agree with the last comment but for a completely different reason. Insurance pays what it pays but also brings a %$#@ton of business so it works. Cash price in my opinion should always be higher than insurance price. If you tell a customer 30 cash then they opt for an insurance claim and you make 50-85 that seems shady to me. Today I had a two chip customer over a dime size is 60 plus tax extra chips 15 each at same time. She opted for insurance which was Lynx so I only made 50 plus tax for both. But it does not make me look like I over charge Insurance when a customer asks I let them know I accept insurance lower rates for a benefit to them and the fact Insurance brings in a &^%$ton of business. In the past most everyone would tip me in addition to insurance now I tell them no tip a good review on google is much better. If you want to raise your pricing just do it trust me so long as you don't way over charge they will pay. I am located in a Tent directly across the street from Safelite and am sure they charge more than me at least that what customers have said. In addition I personally charge 2 dollars if they pay by card as a fee. Today I only did two cash but 67.00 each both were 2 chips smaller than a dime so 50 +15+2+tax of course must pay the Governor. Fix it right follow the procedure in full every time. Some say its an art I say follow the procedure every time. Good Luck and I hope you do well and enjoy this as much as I do.

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