The Site Shed has just released the first of a series of podcasts on Upfront Pricing Isn’t Magic, It’s Science and Consistency
Watch/listen to the first episode here: http://pixelme.thesiteshed.com/BVucYyLz
Starting off the series, Marcel Donnelly from Flat Rate NOW talks about the science and consistency behind the upfront pricing model. Receiving payments for tradespeople has been an issue in the industry for so many years.
Different firms implement different systems, and you also have to consider what your client wants. However, you need to let your clients understand the actual costs of your services—this includes more than just labour. You need to cover vehicle expenses, insurance, location expenses, electricity, technology, and so on.
He emphasizes the need to build a figure that encompasses all your expenses. And this is important because problems with pricing can disrupt your cash flow. You cannot operate properly without consistent cash flow, which can cause you all sorts of stress. When you adequately address your pricing issues, you can also find ways to reduce labour and overtime.
Additionally, the upfront pricing model is not just beneficial to you, but also for your customers. With this pricing model, you can give them options and find common ground with them. This way, there’s no buyer remorse.