How do you handle this? (Starch)

John Starcher_4

It doesn't happen often, but it did this morning.

Customer calls last week, in the evening, and left a message for our on-call tech that his water heater is leaking. This is not a person that we have worked for in the past, so he's a new customer to us. Tech calls him right back, and offers to come fix it. Customer says he has the water and gas shut off, and would like a price for installing a new one. This is not his primary residence, it's a summer home.

Tech calls me, I call the guy, and we set up an appointment for this morning at 11:00 to meet. (This was HIS requested date and time) Customer gives me his cell phone number.

I call him while I'm on the way to his house, he says he'll be there in about 5 minutes. I arrive at the home promptly at 11 as planned, only to find the van of one of my competitor's sitting in the driveway (This company and mine refer each other all the time, by the way) I go up to the van and say hi to my competitor, and ask him why he's here.

"I'm supposed to give this person a quote for a replacement water heater," he tells me, "he's supposed to meet me here at 11."

My head is about ready to explode. While I have no problem with a customer seeking more than one bid, I think that it's extremely rude and disrespectful to schedule the bidders to show up at the same time.

How would you handle this situation?

Starch

John@Reliable_9

I love those type of calls,not

John this happens allot to us in winter for "no heat calls" and most of the time I and the other guy/guys will all know each other,we talk it over and you should see the look on peoples face when we all drive away at the same time. I know it's not good business but sometimes after a 80 hour week it sure feels good! John@Reliable

Wizaard

Duel

Hi John! I hear of this happening more often than it should. Most contractors in our area say they drive by the HO's house and never go back if they see a competitor in the drive at the time of an appointment.

I believe it might best be determined on an individual basis. If you are busy and backed up on work - maybe you pass. But what if... what if... what if... oh, could it possibly be? Yes! What if this prospect was capable of comprehending the difference in your service? What if it lead to additional work and referrals?

Uni R

Something to consider...

Have an understanding with the others that in situations like this, it's the customer's choice but only after only he pays a trip charge for each van there. If the customer balks, he reduces the chance of getting someone and will no doubt be aware that there is still the risk that (s)he may be on the hook for yet another trip charge. Ideally, everyone gets paid for responding to the call, the customer learns not to pull that stunt again and hopefully complains to friends and neighbors so that they indirectly learn not to do it as well. Maybe something to consider. The key thing is to mention the trip charge when you first get called out.

Heatermon

My suggestion

Would be to wait for the homeowner with my "competitor" and then go through the system replacement together. You can help each other spec and design the replacement and then together present the homeowner with a price that either one of you will be willing to do it for. Then let the customer decide which one to go with. At the very least you will prevent him from playing you against your competitor and one of you may get a profitable job after all. Otherwise, you're just wasting your time by leaving the customer with nothing so he can start the process over again with more of your "competitors". I know it's not a perfect answer, nor does it work in all cases, but it's better than just leaving. Good luck.


Heatermon

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Dana

Happens to me all the time. Doesn't bother me in the least. I love to here how competitors handle themselves. Tells me alot about what they know and how they perform. I just keep my mouth shut and learn.

hr

Do you charge a trip charge

weeds out shoppers, and at leasts pays you fuel and time, if they book a call.

With the cost of driving a truck these days, you need to cover that.

hot rod

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John Starcher_4

Hot Rod....

....we don't charge a trip charge, just a minimum invoice amount.

How do you handle a case, though, where someone calls you for an estimate or quote, as opposed to someone calling for service - do you have a trip charge to go to the house and write the quote?

Starch

Dave Yates (PAH)

One way that got results

Enjoy!

http://www.contractormag.com/articles/column.cfm?columnid=68

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John Starcher_4

This particular contractor....

...and I know each other very well. Like I said, often give each other referrals when we're too busy, or if we feel that the other guy is better suited to handle a particular situation.

Biggest thing that frosted me was the homeowner's attitude. He never mentioned that the other contractor was going to be there. Then, when he arrives (as I'm leaving!!) he flags me down and says that I just passed his house. I replied that he had a guy waiting for him in his driveway. He looked at me very smugly and said, "yeah, you've got some competition!"

"No I don't," I said, "but you've got a lot of nerve!!" as I drove away.

Here's the thing - this is the guy's "summer" home, and I guarantee it would sell for 800-900K. He's driving a 50K SUV, and he expects two honest working guys to beat each other up over a lousy water heater install??? Not today, Pal!!!!

Starch

Mad Dog

If we don't know you

there is usually a trip charge...weeds them right out. Mad Dog

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Mad Dog

I Like that idea

mAD dOG

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Paul Pollets

Trip Fee

If you charge a trip fee, you'll find you will eliminate this type of customer. I always rebate the fee, if I get the job, otherwise, what pays for your time and travel?

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Alan(CaliforniaRadiant)Forbes

John

Save yourself the anguish and start charging a "trip charge". Don't blame the homeowner since we all learn to "get more than one estimate".

I would be mad as well; that's one of the reasons we don't do much service work. And when we are slow with contract work and I need to do service work to keep my guys busy, I will give someone an estimate over the phone, like, "A 50 gallon water heater will cost you between $700 and $1,000". That gets the sticker shock over with right away.

Alan

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Paul Rohrs

Great Thread!

I have had a customer for years who has not bought anything from our supplyhouse. Years. He would utilize our company for warranty water-heaters and the like. Worst of all, he would call and use me as his "tech assistance" on everything. It was chewing up hours a week. I finally made up my mind that I would tactfully say I would be glad to troubleshoot items that he bought from us, but otherwise, I have an expanding customer base in hydronics and radiant floor heating that requires quite a bit of time. Even though our company has 15 employees, I always get the call if it has electricity or gas involved. (We never bill for time, our margins and expenses are only met if we sell product)

Long story short, this customer called me again, and before I could tactfully explain my situation, we had landed a nice radiant together. I did the design, layout, CAD drawings of the tubing, mechanical, and electrical. This was my customers first bout with tubing installation, so I went out and helped lay tube for a few hours at night, and yes, this was before my very pregnant wife made "The Call". It really helped build a bridge that was just about to (possibly) crumble.

It was gratifying to actually have this customer relationship develop into the radiant arena in which I am so passionate about. We have prints for other jobs pending.

I don't know, Beautiful wife, happy kids, and new baby, a job I love. Friends and peers in an industry that can come together in an awsome forum that is mentored by a person I respect, and who's vision is larger the respect he has earned.

Today, it just doesn't get any better that this.

Regards,

PR

p.s. - It feels great to be back on The Wall again.

ScottMP

Good attitude Paul

Allthough in your shoes, It would be tough not to have one right now . Your right, in some situations a difficult cutomer can be turned around, sometimes. He could have had bad experinces with other contractors and thinks we're all the same, who knows.

Thats being said I probable would have handled it the same way John did. I do like the idea of both charging the same amount. Let him decide who to hire.

This guys attitude needs to be corrected. If he has a summer home that is a quality house then he Needs a contractor to have a relationship with, Not a quick repair. What happens when the nieghbor calls and says the house is flooding and he can't get there right away ? Are one of the guys who "bid" his water heater going to jump right to it ? I think Not.

Good post.

Scott

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John Starcher_4

Hey Wiz !!!!!!!

Good to read your voice, man! How have you been??

Starch

Wizaard

It seems like I've been out in the desert for a couple of years. But its been good. I've learned a tremendous amount of stuff about my self. I am back with Tom and Klaatu and more excited about working with techs and customers than I've been in seven or eight years.

Cliff Brady

Benefit of the doubt for the customer...

Maybe one of the contractors showed early or late and that is the cause of the overlap. It is probably more embarassing for the customer than it is a hassle for you. Most customers would rather stagger multiple bidders as far between as possible but their time window may be limited as well. I get nervous just scheduling the same trade in the same day because I respect how you feel about overlapping with your fellow tradesman.

I think all your solutions to the problem sound fair though. But, a $100.00 difference in a water heater install means a lot to a lot of customers.

John Starcher_4

Cliff....

...I agree that $100 could very easily make a difference to many people. See my post below, though. Combine the price tag of this guy's house and vehicle alone, and you're probably pushing a million - and this is his "summer" home.

As far as accidental overlap of the scheduling, I verified with the other contractor that we had both been scheduled to meet the HO at 11:00 AM, so this was definitely done by him on purpose.

I appreciate your comment about respecting how we feel about overlapping. This particular HO seemed quite pleased with himself for intentionally scheduling us at the same time, though.

It's simple - show me respect the way you expect me to do the same to you. The golden rule rules, and I try to live my life by it. Wish I could say the same about this homeowner.

Starch