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Job Lost Due To Pricing - Any Ideas



 
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Old April 29th, 2008 Apr 29, 2008 6:00:48 PM -   #1 (permalink)
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Default Job Lost Due To Pricing - Any Ideas

I was asked to give a price on 70 hooded sweatshirts and I did and the person thought it was a good price. It was for a 6th grade graduation class. The person in charge said they can get hoodies in gray with blue design for $8.80. I find that hard to believe. the cheapest I see hoodies is $6.25 on sale and $7 something regular price. Then I would have to put the price of the transfers on there and shipping charges. that is without adding any profit in yet. Anyone know where this person could possibly get hoodies for such a cheap price he could quote $8.80.
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Old April 29th, 2008 Apr 29, 2008 7:06:11 PM -   #2 (permalink)
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Default Re: Job Lost Due To Pricing - Any Ideas

Are they meaning hoodies or crewnecks (a very common mistake when people get their pricing... they hear sweatshirt and think hoodie)
 
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Old April 29th, 2008 Apr 29, 2008 10:38:51 PM -   #3 (permalink)
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Default Re: Job Lost Due To Pricing - Any Ideas

forget them.... if they b^^ch about a price let them go.... cutomers like that will be a PIA from here on out! better customers out there. good luck.

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Old April 29th, 2008 Apr 29, 2008 10:47:54 PM -   #4 (permalink)
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Default Re: Job Lost Due To Pricing - Any Ideas

I know your upset you lost the deal. I just want you to remember that profit is not a dirty word. I can't think of anyone who works for free. We all have bills to pay, so just keep plugging away. I never worry about the deals that get away. You set your prices and stick with them. .....JB
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Old April 30th, 2008 Apr 30, 2008 4:10:01 AM -   #5 (permalink)
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Default Re: Job Lost Due To Pricing - Any Ideas

It may have more to do "with the person in charge" than with the hoodies. It's a somewhat common occurrence in sales, for the boss to come in after the fact and nix the sale (for real or imagined reasons.) Don't worry about it, move-on to the next customer. Good luck!
 
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Old April 30th, 2008 Apr 30, 2008 5:26:39 AM -   #6 (permalink)
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Default Re: Job Lost Due To Pricing - Any Ideas

I see this all the time with the individual trying to get a lower price by saying they have this "mystery" place that they can get the same product for a much cheaper price. They usually say that they would really like to keep the business local with us,.... is there any way we can match that price or lower it some? I stick to my prices and 50% of the time they go with the price I quoted. It is amazing how this "mystery" price never seems to come through for them or if it does, I see them next time around because the product they got was so crappy that they learn their lesson and come back to a quality shop with proven results. I get really tired of everyone trying to haggle me down on every job. I should start haggling at the gas station because it is lower priced out of New York state!
 
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Old April 30th, 2008 Apr 30, 2008 5:47:35 AM -   #7 (permalink)
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Default Re: Job Lost Due To Pricing - Any Ideas

Quote:
Originally Posted by scuba_steve2699
I see this all the time with the individual trying to get a lower price by saying they have this "mystery" place that they can get the same product for a much cheaper price. They usually say that they would really like to keep the business local with us,.... is there any way we can match that price or lower it some? I stick to my prices and 50% of the time they go with the price I quoted. It is amazing how this "mystery" price never seems to come through for them or if it does, I see them next time around because the product they got was so crappy that they learn their lesson and come back to a quality shop with proven results. I get really tired of everyone trying to haggle me down on every job. I should start haggling at the gas station because it is lower priced out of New York state!
I have had the pleasure of this experience also. Everyone from family to orders coming in has tried to "haggle" down my pricing. They all get the same response. I am in this business to turn a profit and to pay the bills not to give out handouts to those people who feel like they should not have to pay the price listed no matter who they are. I agree there is always a "mystery price" out there that is far below the one you list. I usually handle the "mystery supplier" statement this way. "If you can take advantage of a price like that and get the same quality product I am offering then I would advise you to take advantage of it. I leave it at that and move on. You cannot get every single piece of business. If they are unwilling to accept product at the price listed and you become "flexible" then you will always be expected to be "flexible" in later dealings. I agree with everyone else let them make their choice and move on without regret.
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Old April 30th, 2008 Apr 30, 2008 7:04:10 AM -   #8 (permalink)
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Default Re: Job Lost Due To Pricing - Any Ideas

I started my business a year ago, with my prices set at or below my competition just to round up some customers. I took a huge hit financially. I realized that strategy wouldn't work long, so I started upping my prices gradually, and now I'm at a price that I'm comfortable at. This business is a numbers game. If my competition is printing 15,000 shirts a month, then of course he can set his price lower than a shop that prints closer to 1500 shirts a month. I just made sure to provide great artwork and customer service, and I have steady orders coming in now, even though I cost more than alot of people. I have people shopping prices all of the time. If they say so and so can do it for that, I tell them thats fine, but I really can't lower my price.
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Old April 30th, 2008 Apr 30, 2008 6:06:28 PM -   #9 (permalink)
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Default Re: Job Lost Due To Pricing - Any Ideas

Quote:
Originally Posted by lgiglio1
I was asked to give a price on 70 hooded sweatshirts and I did and the person thought it was a good price. It was for a 6th grade graduation class. The person in charge said they can get hoodies in gray with blue design for $8.80. I find that hard to believe. the cheapest I see hoodies is $6.25 on sale and $7 something regular price. Then I would have to put the price of the transfers on there and shipping charges. that is without adding any profit in yet. Anyone know where this person could possibly get hoodies for such a cheap price he could quote $8.80.
Hi Lisa,

Are you asking because you too want to sell at the amount the person in charge threw at you, or because you're curious to know who is selling at that lower price?

I personally would not waste time thinking about an $8.80 shirt if you know that you cannot produce a product at that price. There will always be a lower price found by a competitor and/or potential customers will try to get them for less.

And think about this - the person in charge could have honestly lied about getting what they wanted for $8.80/tee. Tell them to go order with that other seller if that price fits their budget because yours doesn't.

Direct your energy towards gaining another customer.

AB
 
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Old April 30th, 2008 Apr 30, 2008 6:54:54 PM -   #10 (permalink)
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Default Re: Job Lost Due To Pricing - Any Ideas

I am currently paying $3.30 for boys & girlsyouth hoody`s zippered front. King sized and regular $5.28. And mens regular pullover hoodys for $4.68. Fruit of the loom, hanes, and russel jerseys.
 
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Old April 30th, 2008 Apr 30, 2008 7:00:17 PM -   #11 (permalink)
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Default Re: Job Lost Due To Pricing - Any Ideas

majesticmind... who is your vendor? I use 2 normally, but I have about 6 or 7 that I compare prices with , but none go that low on adult or youth hoodies!
 
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Old April 30th, 2008 Apr 30, 2008 7:10:46 PM -   #12 (permalink)
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Default Re: Job Lost Due To Pricing - Any Ideas

I think that Lisa's intention of the thread was to find a supplier with lower costs and I think we are all looking for that sort of information.
Thanks Lisa
wanna share that supplier name majestic?

Quote:
Originally Posted by majesticmind
I am currently paying $3.30 for boys & girlsyouth hoody`s zippered front. King sized and regular $5.28. And mens regular pullover hoodys for $4.68. Fruit of the loom, hanes, and russel jerseys.
 
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Old April 30th, 2008 Apr 30, 2008 7:11:20 PM -   #13 (permalink)
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Default Re: Job Lost Due To Pricing - Any Ideas

If you cannot possibly match the price, tell the customer the following," Recheck the price quoted and the quality offered as I cannot do a quality job for that price. If the supplier has, as I suspect made a mistake-grab it while you can. If they try to up the price, come back and deal with an honest supplier".
This gives the potential customer the opportunity to return without admitting he was trying to rip you off. Unfortunately when you call someone's bluff without giving them a "get out clause", they are usually too proud to return.
If another supplier has simply undercut your price and you are not prepared to match it for whatever reason, move on.
If you match a price because you feel that you are forced to do so, you are really undercutting yourself. It is difficult to do a job you do not enjoy and maintain your quality standard. You will be remembered then for the poor jobs you do, not the quality ones.
 
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Old April 30th, 2008 Apr 30, 2008 7:29:23 PM -   #14 (permalink)
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Default Re: Job Lost Due To Pricing - Any Ideas

Quote:
Originally Posted by denmar
I think that Lisa's intention of the thread was to find a supplier with lower costs and I think we are all looking for that sort of information.
Thanks Lisa
wanna share that supplier name majestic?
Call Fruit of the loom, hanes, and russel jerseys. open an account tell your sale rep that you intend on doing business with them for decades and send them some projections for sales for the next 3 to 5 years. When they try to refer you to a qualified reseller to sell the product to you instead, just tell them to cut the crap and let you speak to somebody with authority. Be pushy.
 
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Old April 30th, 2008 Apr 30, 2008 7:36:39 PM -   #15 (permalink)
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Default Re: Job Lost Due To Pricing - Any Ideas

Quote:
Originally Posted by majesticmind
Call Fruit of the loom, hanes, and russel jerseys. open an account tell your sale rep that you intend on doing business with them for decades and send them some projections for sales for the next 3 to 5 years. When they try to refer you to a qualified reseller to sell the product to you instead, just tell them to cut the crap and let you speak to somebody with authority. Be pushy.

so thats what you do? and they will just sell to you at prices those cheaper prices? No quantity committments or anything??
 
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