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(@jbstahl)
Posts: 1342
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Just received an email from one of my clients.

>Explain to me why your rate is 160 an hour and everyone else is 120

The rate is for a two-man GPS crew staking a fence line. How would you respond?

JBS

 
Posted : 28/04/2014 7:36 am
(@norman-oklahoma)
Posts: 7610
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Because my crew, being both better equipped and more highly qualified and professional than those of my competition, is more than 33% more efficient.

 
Posted : 28/04/2014 7:42 am
(@flyin-solo)
Posts: 1676
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"There is no standard by which rates are set. Our rates are based upon our costs to provide you with thorough, comprehensive, and reliable service and product. I cannot speak for the basis of other companies' rates, nor would I try to do so. We believe our services speak for themselves and would be happy to provide you with several client references if you wish."

 
Posted : 28/04/2014 7:43 am
(@james-fleming)
Posts: 5687
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>How would you respond?

Exhibit A http://en.wikipedia.org/wiki/Williams_%26_Connolly

Exhibit B http://simpsons.wikia.com/wiki/I_Ca n't_Believe_It's_A_Law_Firm!

Q.E.D.

 
Posted : 28/04/2014 7:45 am
(@ridge)
Posts: 2702
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Had a well driller tell me once, "Charge a lot, make money and stay in business."

It probably doesn't matter to this client whether you stay in business or not!

It's interesting, I can't get the rates I charged 10 years ago. Everything costs twice as much (gas, food, supplies). So I'm making only about half as much (in buying power) and working less than half the time. I don't even pursue the work anymore but still some comes my way.

I'm not surprised at the rates mentioned, kind of a long slow death of sorts. Making little money, unlikely to stay in business.

 
Posted : 28/04/2014 7:58 am
 vern
(@vern)
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You're fired! 😛

 
Posted : 28/04/2014 7:58 am
(@nate-the-surveyor)
Posts: 10522
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I'd say

I have invested a great deal into my crew members. They can often make decisions, and work much more efficiently than others. Also, the final product that they render, has much more work into it. They are more efficient.

Kind of like the difference between hiring a larger bull dozer. It just gets more work done, per hour, than a smaller dozer.

 
Posted : 28/04/2014 8:00 am
(@jim-frame)
Posts: 7277
 

I'd respond by saying he's mistaken, my 2-man rate isn't $160, it's $215.

 
Posted : 28/04/2014 8:02 am
(@williwaw)
Posts: 3321
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"I can't speak to the value my competition places on their services, however I will tell you this much. I go to the ends of the earth to make sure that I have the best equipped, most qualified and productive field crews representing your interests and mine, and my rates reflect that fact. That is something I take great pride in, both personally and professionally."

My stab at it anyway!

Cheers! Willy

 
Posted : 28/04/2014 8:04 am
(@already-gone)
Posts: 81
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It's $120 per hour for the crew, equipment, expenses, etc. and $40/hour to know where to put the stakes. A.K.A liability.

Already Gone

 
Posted : 28/04/2014 8:06 am
(@dougie)
Posts: 7889
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Thank you for bringing this to my attention, I will contact the other companies in the area and tell them to raise their rates.
😉
B-)
:snarky:

 
Posted : 28/04/2014 8:10 am
(@tommy-young)
Posts: 2402
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I'm better than they are.

Seriously, I'd tell them that good help is not cheap.

 
Posted : 28/04/2014 8:16 am
(@nate-the-surveyor)
Posts: 10522
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Tongue in Cheek (I just realized you are in Salt Lake City)

Well, you see, I am from Salt Lake City, and I have 12 wives, and 42 children. It simply takes more to feed us!

JB, I hope you are doing well! 🙂

N

 
Posted : 28/04/2014 8:17 am
(@flyin-solo)
Posts: 1676
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I'd say

well, in my case, it's a bit different and here's how i've justified our rates (which have been questioned, and which i know are among the highest in the area): I am the RPLS. I will personally be on site, supervise, and complete your survey from start to finish. I have already visited your site to gain a proper understanding of the scope of services required. My professional resume is attached for your review, so that you may compare our services and involvement with your other quotes should you desire. My cell # is xxx-xxx-xxxx, please feel free to contact me at any time before or after we commence with your project and please expect regular updates regarding progress or any issues that may arise during the course of completion. Upon receipt of a signed proposal I will be on site within 7 business days. "

1. i know that 95% of the companies we're competing with can't make claim #1. 2. we're landing a darn good share of the proposals we send out (albeit it's an incredibly easy time to get work around here, admittedly), and i'm almost never bothered by needy clients. 3. we're delivering everything, to this point, that i would claim to in the statement above.

 
Posted : 28/04/2014 8:18 am
(@lmbrls)
Posts: 1066
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Because we all know what we are worth.

 
Posted : 28/04/2014 8:31 am
(@kris-morgan)
Posts: 3876
 

I would respond with "My business model is tailored to specific and difficult projects that require a level of experience and training above most of the competitors in my market. This means that my pay scale and overhead is different than that of my competitors. While I perform many services my competitors do, my competitors do not practice in my market. For this and other ancillary reasons, my rate for a 2 man crew using a nominally $50,000 piece of equipment is $160/hour, portal to portal.

Should you have any other question, please feel free to ask."

 
Posted : 28/04/2014 8:40 am
(@frank-shelton)
Posts: 274
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two reasons:

1) i know the value of my expertise and liability, and

2) the same reason a dog licks himself...because he can.

 
Posted : 28/04/2014 9:03 am
(@larry-p)
Posts: 1124
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Yet another reason to never quote rates. I would ask the client why he cares so much about the time instead of the end result. The time is irrelevant. The end result is what matters.

Have told many people I would rather pay someone $2,000 per hour for something that will only take 1 hour than to pay someone else $1 per hour if it will take them 3,000 hours to complete.

Larry P

 
Posted : 28/04/2014 9:54 am
(@clearcut)
Posts: 937
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Well, color me baffeled. I always thought fence staking was "cheaper" than boundary staking.

Kidding of course.

 
Posted : 28/04/2014 10:08 am
 Paul
(@paul)
Posts: 178
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:good: :good:

 
Posted : 28/04/2014 10:30 am
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