Pricing Points Guarantees
Pricing Points Guarantees
Develop Guarantees To
Distinguish Your Business
A Trades Company uses guarantees to charge more money for the things we install, but we do this for good reasons, which we will discuss shortly. First, we need to change your mindset and break down some mental roadblocks preventing you from asking your customers for more money.
You should never be afraid of charging a high but fair price because this is the cost of doing business and you offset the feeling customers have about a higher price tag by adding value. This also makes your company different than other companies who either offer shitty warranties or companies that leave the client high and dry when something goes wrong. As you may know, many Home Service corporations often cut corners to save money, don’t do this because you will lose clients. Instead, dedicate your company to standing behind the work it does. Again, stand behind your work. Be proud of your workmanship and better yet guarantee its quality and longevity with your clients because guarantees are a sure-fire way to add value to your company. Yes, you will incur costs from fulfilling the promises you make, but the future business and good reputation you gain, far outweigh the costs of offering a guarantee.
There are also ways to offset the costs of guarantees by building them into your pricing. The shape of pricing will depend a lot on your specific home service and your region, but this is what A Trades Company has done in the HVAC sector. When pricing certain items we add a 1-2% price increase to cover the costs of fulfilling the guarantee. Once you put a little of your own money on the table, the customer will change into a long-term client and pay more for the great services you are providing. Perhaps, they contact you for a new install 10 years down the road, and suddenly that guarantee pays off because you fostered a relationship in the home.Finally, use that extra profit generated by guarantees to grow your business and offer a higher quality service as it will pay off in the long run via growth.
Let’s take a look at the 8 different guarantees we offer to our extremely satisfied clients.
1) We Respect Your Home
Our home service techs always use drop cloths, tarps, and running mats from point of entry all the way to the worksite. A Trades Company wants to ensure that when we leave your home your floors are as clean as when we arrived. This is why all Home Service Techs will wear shoe coverings as well. If a mess is left behind, we will have it cleaned! Imagine inviting a guest into your home and they leave your basement a muddy mess. Who wouldn’t be unhappy with them? The same goes for any time you enter someone’s home as a home service company. Emphasis on home, so always keep this in mind: nothing good will come if your company’s techs leave behind any kind of a mess.
2) Safety in Your Home
Every Home Service Tech undergoes both a background check and a drug test before they work for A Trades Company, this way we can ensure a workforce with the highest level of integrity. Before a Home Service Tech arrives, their photo will be sent to you by email or SMS this way you know exactly who will be entering your home. A Trades Company tech will always be dressed in our company’s uniform and is fully licensed and insured. At first glance, this may seem like a big ask of your home service techs, but homes often have families with children living in them. Think of it this way, you are grateful that schools have a teacher’s background checked before they can work, so you give homeowners the same feeling of safety.
3) Your Time Matters
A Trades Company always provides a realistic time window for our Home Service Techs to arrive at your home. We will never give you an 8 Am to 5 PM time window, instead, it is always within a 1–3-hours timeframe that you agree upon. Nothing grinds a gear more than an unreasonable wait time, so don’t let your customer feel that way. You wouldn’t wait in line for 9 hours for something, and if you did, you certainly wouldn’t be happy about it. A good service window will set your company apart from the slower companies that stretch their team thin to boost profits.
4) Complete Satisfaction
A Trades Company stands behind the materials and the work that goes into every home service installation. If at any point you are not satisfied with our home service, we will come back and make it right. We honor this guarantee for one year and in most cases is completely free to you the client. This one will cost you, but that is okay because you are dedicated to becoming the best in your home service sector and a part of being the best is to become accountable for your work. Strive to always do the job right the first time. 5-Star quality work only, go back and correct the problem the client has, while this will cost your company some profit, it will save your pristine reputation which is invaluable.
5) Transparent Pricing
A Trades Company makes the exact cost of our Home Service 100% clear, and nothing will be unexpected. We know HVAC installations are expensive and repairs can cause sudden stress and problems with your home comfort. This is why we will never do work unless you know the cost of it and agree. The first price we give is the one we stand by and there is never a hidden fee. Just think of how it feels when you see the price of something and there is a mysterious often vaguely named charge attached to the original price. Maybe it is only a $5 vending charge, but you didn’t expect it, and now you are left with a sour taste in your mouth. Don’t engage with these kinds of distasteful sales tactics or you will quickly find yourself with an upset customer. Quote one price, stand behind it, and check if your client wants what you are providing.
6) Installations Properly Fit
We measure your home, account for all environmental variables, and install equipment that fits. Our Heat/Loss Gain Analysis ensures your home will always get the perfect heating and cooling system installed. If your home cannot maintain a comfortable temperature in the winter and summertime during the 1st year, we will replace it free of charge. Yes, this will be costly, but if you are doing a quality job for the first time this is virtually free. Never cut corners by measuring and inspecting the home before you sell the client something. This prevents future mishaps. Install to fit it the first time, not the second time, and deliver the home comfort you promise in full. What does the home actually need? There is no consideration of profits when fitting a home with a furnace.
7) Protection Against Factory Defects
Manufacturers admit that a certain small percentage of equipment comes with a defect. In most cases, the manufacturers cover these kinds of faults, but A Trades Company takes it one step further. We will replace any piece of defective equipment we install if it fails in the first 5 years with the same model or equivalent. This one will be a tough pill to swallow unless you have established a relationship with an equipment manufacturer in your home service industry as replacing an expensive piece of equipment for free is a large but occasional cost. For example, to offset this cost, many HVAC companies will exclusively sell one brand from one supplier and create a distribution contract that can be agreed upon with special benefits. You will save a lot of money by exclusively selling one brand or a few brands and this allows you to turn around and offer a better guarantee to your clients.
8) Lifetime Recommend Repair
A Trades Company stands by its lifetime warranty, when and if purchased by the client, and if the proper maintenance of the unit is followed, we ensure the lifespan of the unit. The idea behind the lifetime repair guarantee is to always have a touchpoint and contact point with the client. Many home service installations last a very long time, and you may never see the client again. But if you sign them up for a yearly maintenance contract, you can come back into the home which could lead to an upgrade or new installation. You also protect your company from the liability of replacing a furnace by doing proper maintenance and making the furnace live longer than its lifespan. How is your Home Services Company different from others? We see guarantees to set yourself above the rest.
Developing Guarantees in Your Company
If you are still struggling to come up with your own set of company guarantees
- First start by researching what guarantees are offered in your market/industry by your competitors. Write them down, so when you go to write your can pick better wording if there is overlap.
- What is strong about your company? What do you do best? Install? Maintenance? After care? Are you Faster? better selection? More Savings?
- What specific results or details can you ensure after every use of your service?
- What GOOD things come from using your service? Less stress? More Money? (Make sure you can live up to the promises you make?)
- Promote that your company now has a guarantee program in place.
- Gather feedback from a few new clients that have seen your new guarantees.
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