Fbomb 0 Posted February 4, 2009 I mainly use 651 (besides 631) b/c most of my work is decals, plus banners & signage for indoor apps or I explain the life expectancy of 651 if I do an outdoor job. Most customers just go for what is cheaper anyway. I don't really do any auto body stuff, so 751 hasn't really come into the picture. Anyway, my question is how do you price 651 vs 751? I've been doing well with 651 pricing, but wonder how you adjust accordingly for 751? Since I may have to go that route soon... What I was going to do is price as 651, then figure my gross profit...Then add that to the 751 costs. Seems fair enough....BUT, do you guys go for more (or less) profit on 751 since it is cast??? Thanks! Share this post Link to post Share on other sites
Fbomb 0 Posted February 4, 2009 I just change my price the cost of the vinyl. Lets say you get 651 for $1/yd and 751 for $2.20/yd Your job will take 6 yards and production will cost $60 Job in 651: $66+markup Job in 751: $73.2+markup That what you where wondering? I was wondering if you put more mark up on 751 because of its higher quality. Say you get 651 for $3/yd and 751 for $6/yd and you mark up x6 for the 651...Do you do the same x6 for the 751 mark up or do you go with x7 or less since there would be more profit in $6x6 vs. $3x6... Share this post Link to post Share on other sites
midwaste 4 Posted February 4, 2009 I just change my price the cost of the vinyl. Lets say you get 651 for $1/yd and 751 for $2.20/yd Your job will take 6 yards and production will cost $60 Job in 651: $66+markup Job in 751: $73.2+markup That what you where wondering? I was wondering if you put more mark up on 751 because of its higher quality. Say you get 651 for $3/yd and 751 for $6/yd and you mark up x6 for the 651...Do you do the same x6 for the 751 mark up or do you go with x7 or less since there would be more profit in $6x6 vs. $3x6... I would use the same markup for both. Doesn't really make sense to use a higher markup for the higher quality, the customer is paying the premium price already for the higher quality, right? Share this post Link to post Share on other sites
Fbomb 0 Posted February 4, 2009 I would use the same markup for both. Doesn't really make sense to use a higher markup for the higher quality, the customer is paying the premium price already for the higher quality, right? Right on, but would it make sense to do less then? Sticking with my example. Say a job uses 5yds. 651=> $3/yd x 5yds=> $15 cost x 6(markup)=> $90 or $75 profit 751=> 6/yd x 5yds=> $30 cost x 6(markup)=> $180 or $150 profit So you'd double your profit b/c of a better product? Sounds good to me, but doesn't seem right (we aren't in the restaurant biz )...So maybe a 4x markup would be better? Share this post Link to post Share on other sites
midwaste 4 Posted February 4, 2009 Think of it in terms of your customer. Do they know you are making twice the profit? No, they just know they are paying twice as much for the good sh*t. Also, not sure if you warranty the vinyl based on the manufacturers specs, but they are also getting that, and you are having that potential headache hanging over your head. Share this post Link to post Share on other sites
Fbomb 0 Posted February 4, 2009 ^^^Cool, I think what threw me off with what you were saying is the "+ (add) markup" when I am thinking "x (multiply) markup". Thanks! Midwaste, I hear what you're saying...I usually don't offer a warranty unless the customer seems worried about one. But I will fix my work if it needs it b/c of my error. Thanks! Share this post Link to post Share on other sites
tlzimmerman 11 Posted February 5, 2009 I say you have more investement in the material, so you should have a higher profit percentage on the more expensive stuff. I might adjust it but I would still want to make more if my investment was more. I just usually figure the cost of the job to me, then estimate my labor time, add the labor in and triple my invested cost and thats about my price more or less. Seems to get me close to what others are charging. I donno, I estimate alot of different ways! Share this post Link to post Share on other sites
Fbomb 0 Posted February 5, 2009 I say you have more investement in the material, so you should have a higher profit percentage on the more expensive stuff. Good point! Share this post Link to post Share on other sites
Rob28x 0 Posted February 7, 2009 Personally I would quote the job using 651. (That's what I use) Then if they want/need longer life stuff I would just add the additional cost that the vinyl costs, that's it. (So in your example $15) Labor is the same no matter what vinyl they choose, so why would you charge more for labor for the 751 vinyl? That makes no sense to me and sounds just like an easy way to screw over your customer. Share this post Link to post Share on other sites
