You can’t use flat rate pricing to overcome poor performance.
Some service companies are just plain lousy, and they don’t
appear to be worth what they are charging. Phones are not
answered in a unique and practiced manner. Their service
technicians are not uniformed, clean-cut, serious professionals.
Managers emphasize technical training over customer service
and communication skills. Trucks don’t look like they belong
to a quality company.
Let me speak about value for a moment. There is a difference
between "low price" and a "good deal". I understand OJ Simpson
paid Johnnie Cochran $500 per hour for his criminal defense.
There are cheaper lawyers, but I would have to say Mr.
Cochran WAS A BARGAIN! Value is a comparison of what you
receive and what you pay for it. Anytime what you receive
exceeds what you paid, the purchase was a bargain. Marketing
processionals understand this concept and they understand
sometimes it is simply a matter of perception. Like a fine
hotel or a fine restaurant, they work hard on both real and
perceived value components.
Think of it another way. A competitor’s service technician
could charge $50 per hour for a HVAC repair and be a rip off.
Your service technician could fix an air conditioning system
for $200 per hour and be a great value. How can this be? A
$200 per hour technician should perform a complete and
thorough diagnostic procedure. Everything should be cleaned
and tuned, and a professional repair made in one trip. That’s
worth two hundred bucks. A fifty dollar an hour parts changer
who takes longer than he should and looks like he’s there to
tar the roof instead of repair an electrical, plumbing, or
HVAC system is no bargain. A bum at $50.00 per hour is still