Eco FriendlyEco Friendly

Why Customers Lose When Choosing the Lowest Price

It’s a common trick in the commercial cleaning industry, as well as many other service industries. Use a low priced bid to win the business, then under deliver your service (hoping the customer won’t notice) or ask for more money at a later date.

We’ve seen it time and time again. We’ve lost business because of it.  For us, one instance stands out as a shining example of this flawed strategy.

For six years, we provided the daily cleaning for a very challenging building and in general, had a very satisfied client for those six years. When the building came to tender, it became abundently clear the personel in charge of creating the scope for the RFP were uneducated, inexperienced and focused on trying to get more for less. What was created was a scope of work that would at least double their current budget. Yet, what was awareded was a contract to a company that bid amost half of the current budget. Sorry, the math just didn’t work and why the building’s managers couldn’t see that is baffling.

Follow these tips so you don’t fall victim to the low price trap on your next request for proposal.

  • Ensure the scope of work and the budget you have allocated are in sync. If you are not sure how to do this, ask a trusted advisor that has this experience.
  • Another option to ensure your work and budget are realistic, is to do a pre-proposal walk-through with the bidding contractors. Outline what your high/low priority areas are and then ask them to provide a recommended scope and price based on that. This strategy can be tricky to compare apples to apples but it allows the contractors offer up their expertise and provide a balance between performance and efficiencies.
  • Ask around, find out what companies your peers are using. What companies have proven to be trustworthy, which haven’t. Then compile a list of contractors you would be open to working with and invite them to bid on your work.
  • If you are already in a position where you are working with a contractor that played the low price trick on you and you’re seeing that negative results, start looking for alternative services.

Our company philosophy, as is for some other building service contractors, is to provide “real” pricing and work scopes that represent value and honesty. We may not always win business with this strategy, but when we are able work to with customers that understand it and hire us for it, we are able to forge an honest and respectful relationship from the start.

The low price option always ends the same way. The customer loses with poor cleaning performance and a dirtier building and added work load to manage a cleaning program that isn’t working and then having to repeat the RFP process all over again.

By the way, the building that we lost to the low baller is now looking like it. Don’t ever doubt the old adage, “you get what you pay for”. Especially when it comes to the cleanliness and health of your building.

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

EFS Clean Building Services is Calgary’s locally-owned-and-grown commercial cleaning company and authorized dealer for Ceiling Pro International. Our services include Contract Cleaning, Post-Construction Cleaning as well as specialty services; Ceiling Cleaning, Floor and Carpet Cleaning, Electrostatic Disinfecting and Quality Assurance Inspections. Let us help you get a better clean by calling 403-949-3344 or by requesting a cleaning quote/demo.

 

 

 

 

Why You Need to Listen to Your Customer’s Complaints

Being in the cleaning industry, dealing with customer complaints is part of the job. In fact, the same can be said of any service based business. Some clients habitually complain. Some clients are more reasonable than others. But often, client complaints are valid. Nobody likes hearing criticism, but perhaps we are simply looking at it the wrong way?

I recently listened to an interview with actor Mandy Patinkin. If you don’t know him, then you are not addicted to the Showtime program Homeland like I am. Or perhaps you haven’t seen Princess Bride where he was Inigo Montoya in 1987’s The Princess Bride, in which he delivers the iconic line, “Hello, my name is Inigo Montoya. You killed my father. Prepare to die.” Anyway, I heard the passionate Patinkin talk about his appreciation of criticism and how it can make us better.  That statement got me thinking about how a paradigm shift in regards to customer complaints just might do us some good.

An article in The Guardian outlines some of the benefits of criticism like this;

Criticism is a form of communication – If someone has a criticism it means they want to give you feedback on what you’re doing for them – that means an opportunity to learn more about the person who you’re working for and how to convert them into a satisfied customer.

Feedback helps make your product/service stronger – Use that information to change your performance, service or event – sometimes it will make for uncomfortable listening but it can make your offering stronger.

It forces you to think about how you work – Constructive criticism can guide you away from bad practices and towards good ones. Try to be objective and look at what you’re providing as though it’s not yours.

The right kind of criticism can give you an advantage – If you can get a customer to tell you how to give them the perfect product or service, that’s information you’ve got that no one else has. That puts you at an advantage over anyone else in your sector and can be used again in the future to get things right, even faster.

Use positive language, elicit a solution – Try to avoid getting into an argument. Instead, turn the exchange into a discussion about how to resolve the problem. This way you’re still in a position to get paid and you’ll waste less time guessing how to put things right.

So next time you get a complaint, don’t take it personally. Instead, listen and then thank that customer for helping you improve the way you do business.

“Criticism is something you can easily avoid by saying nothing,

doing nothing, and being nothing.” ~Aristotle

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

EFS Clean Building Services is Calgary’s locally-owned-and-grown commercial cleaning company and authorized dealer for Ceiling Pro International. Our services include Ceiling Cleaning, Commercial Cleaning, Post-Construction Cleaning, Hard Surface/Tile Restoration, Rapid Disinfecting and Quality Assurance Inspections. Let us help you get a better clean by calling 403-949-3344 or by requesting a cleaning quote/demo.

Industry Certification Takes Cleaning to the Next Level

There are two ways businesses can look at cleaning; as a “pain-in the butt” expense that doesn’t really make a difference to their business. Or, as a investment in their business that illustrates professionalism and success.

As a member of the ISSA, we take pride in working closely with cleaning professionals from all facets of the industry to learn what value we can bring to our clients when it comes to their cleaning programs.

Free Quotes

Request a no-obligation price quote for cleaning services that fit your needs and your budget.

Your Name (required)

Your Email (required)

Subject

Your Message

Certificate of Recognition

Small Employer Certificate of Recognition (SECOR). Committed to working towards improving health and safety for Alberta workers.

Appreciation for Cleaning

Proud member of ISSA. Increasing the appreciation for cleaning as an investment in human health and the environment.