Nobody likes to loose out on a job, especially in recent times when the work is thinner on the round and you can’t be as picky as you could be 3 or 4 years ago.  Nobody likes to loose money also and so how do you combat low ball pricing and secure the job at a higher price than others?

It is probably easier to achieve a premium price over low bidders in the residential market than commercial.  In residential you are more likely dealing with a higher level of emotion and so convincing someone to go with your higher price is easier than in the commercial market.  In a commercial project, price ranks higher in the priority list and so you need to be pretty much “on the money” in order to be considered.  That said, do good work, provide value, put in the effort BEFORE the tender or RFP is issued, and you also don’t have to be the cheapest to get a commercial job.

Back to the residential market, some tips to combat lower priced competitors are:

  • Don’t bad mouth the competition.  Focus on what your strengths are and let the client draw the right conclusion.
  • Be reliable.  Turn up for appointments a bit early.
  • Say what you do and DO what you say (plus a little bit extra)
  • Provide value to the prospect early in your relationship with free advice or information
  • Be honest with the prospect and say you probably won’t be the cheapest, but probably will be the best overall value
  • Ask the prospect to rank what they value most.  If they “price”, RUN!!
  • Present your quotes professionally and with lots of supporting information, such as recent testimonials
  • Keep up the communication.  Don’t just give them a price and don’t follow up with more value (advice or useful info)


Use some of these tips with confidence (not arrogance) and you will attract a better class of job that provides a better margin and less hassles.

If you have other tips and techniques that have worked for you, please post them here for others to share.  Thanks

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