clean and tune charges

gerry gill

to many regional variables.

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dave_141

Can we talk pricing?


Can we do this here? What are some of your going rates for a pre-season clean and tune? We charge $89.00 and sometimes it seems we're just running our trucks and techs ragged.

burnerman_2

tune-up

from april 15th til sept. 15th we charge the same 89.00 but after that we add $10.00 why most folks who call now want a free service call. we just turned it on and won't start we chare x-tra for parts and have gotten lots of leads for new installs. royboy

Bob Harper

please, no more 30 yr. old pricing

No wonder most service means change the nozzle and filters then put a check mark on it. At those prices, you're paying them for the privilege of doing service.

Perform a comprehensive service and charge accordingly. Should be several times higher than the numbers quoted if you do what you should for oil boiler svc. IMHO

joel_19

pricing

I'm sure members will help if you email them off line but prices vary wildly depending on geography as costs vary widely. Ex in my local i pay TWICE for my guys health insurance compared to other states and we can't rent a building for what some guys on here are paying to buy one.

that being said count your cost and charge accordingly not on based upon what your neighborhood competition charges (what if they are going broke?) tuneups should not be a loss leader they should be consistantly priced for a profit. Then if things are real slow maybe and it's a big maybe do you run a special to fill in some holes but this should not be regular practice. IMHO

Mitch_6

How much site time do you have

On a gas package boiler, by the time I pull the flue piping, clean the gas logs and combustion chamber. Put it back together,fire it back up, check the limits. If steam spend more time cleaning the lwc and pig tail I spend at least two hours or more. At $110.00 per hour + $10.00 for the first is ma this is at least a $230.00 bill. If we do a combustion test add another hour plus $25.00 to use the equipment.

Supper low prices are what is destroying the industry.

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klaus

Three different approaches

One makes all the profits on the fuel oil margins. Services are designed to simply break even, oil sale profits subsidize all services.

The second wants a profit from service and generally lowers oil margins a bit.

The third simply wants to sell oil. Call an independent heating guy if you need service. These guys typically sell oil much cheaper than most but their gallonage numbers are huge.

Any of the three is viable, and can be wildly profitable.

don_185

So true

I can remember running service for the oil industry.The sevice department was always in the red.While oil deliverly side of the business stay in the black and got all the kudos.

What about the guy that does not deliver oil what should he charge for service being he can not make it up on oil sales?

Leo_16

I'm a service tech

Do you charge enough to make a profit then pay me a fair wage? If this is oil it takes from one to two hours on site to do the work properly.(on occasion longer) The one hour time is the exception. This service should be based on your hourly rate, possibly including the nozzle, filter, and strainer price then add for additional parts. Our company bases it on an hour and a half, they bill more for added time. I do , the filter, pump strainer, nozzle as a given. I test the transformer/ igniter (I hate call backs), replace electrodes if necessary. Check pump pressure the first time there. Purge oil line, test safety lockout. Observe burner fan for dirt build up, listen to motor and coupling for noise, check waterside for leaks and pressures. Brush and vac heat exchanger, flu pipe if necessary, combustion chamber if necessary. On newer installations it is much easier if the installer has a clue for future service. Lastly I write up to recommend any further work such as water leaks, tankless coil gaskets and the like. Then the job is finished with a combustion test. I had unknowingly developed a reputation with customers (it is a small town) until someone told me you're the guy we heard about. I am constantly reading and learning. Can you afford me at your prices? I am anal and will work hard to make your company have a good reputation. Or you can cheapen the job, let the system get in disrepair then when the customer gets frustrated and I come in for three hours who do you think they will pay atention to? I have heard on many occasions, wow the last guy was here a half hour. We are an oil company and we gain customers on price AND service. I will add, I hate cleanings as they are often called but because of the way I do it I get stuck with most of them. If I had a choice of jobs I would never do another one again. I know enough about gas that what Mitch posted makes perfect sense.

Leo

tim smith

Mitch, almost dead on with us as far as pm calls.

Other ones above have to be oil companies charges as no one could subsist on those charges. Tim

Leo_16

Or

Tim said, "Other ones above have to be oil companies charges as no one could subsist on those charges. Tim "

Or they are guys who have no business being in business. Owning your own job is far different than owning your own business. I know enough about business to be dangerous but I do know cash flow and profit are two distinctly different things.

Leo

Techman

tune ups

I agree with mitch s.First there is the travel time to the job, then maybe 5-7 trips to bring in all the tools ,parts ,sootvac,drop light,extention cord,2-3 tarps to cover their floors,rugs,Then do all that work,then put ALL that stuff back into the truck IN THE PROPER PLACE,then clean up,then the paperwork,then discuss any recommended other work,and then the parts HAVE to be restocked on the truck.For $89.00 you are not making very much profit,that electronic flue analizer cost how much?WOW!!!!

Denny Reardon_3

you need to know your overhead cost before you can set your selling cost. CUSTOMER PAYS FOR EVERYTHING.

mtfallsmikey

I was

Charging more than Burnerman charges 10 yrs. ago when I got out of it...don't want to break the rules here, but my guess is I would be charging around 3 times that figure now.

Jim_47

Annual service

Its basically simple like one mentioned here check your overhead and base the fee there.

You can hire a oil company to send you a burner tech. OR- You can Telephone me. I am a Maintenance Specialist. My responsibility is looking out for the customer. I perform more than an annual cleaning or tune-up, I'd like to refer to my service as a Complete Comprehensive Maintenance Proceedure that includes the annual cleaning, Hydronic service, Fuel system inspection, Housekeeping inspection, Safety inspection, Skilled combustion analysis using state of the art combustion test equipment, to perform an accurate educated combustion evaluation that will have your heating appliance running reliably and efficiently. I will be working on your heating equipment for well over an hour, even if i was here last year. Since I will be working so hard and so long in this part of your basement, Could you please clear a path to the appliance, listen to all housekeeping suggestions, have adequate lighting, have oil in the tank before I get there, offer a beverage, tell me where the bathroom is, have the toys kids and animals put aside so I can make these trips to my fully stocked service vehicle.

I can rant more but I'll let someone else take over.