Chain store bidding.

[Ron Musgraves]

Originally Posted by spbutton

hey guys

Good thread... Ron, what area(s) are you cleaning at a walgreens store that is taking 45 mins. I am working at getting on vendor list with walgreens and submitting unsolicited bids... Just wondering what they typically look for - a comprehensive service like "rangars" bid or basic sidewalk, entryway, drivethru.

Mel, how's business down your way? Passed through vero beach recently... Nice area!

Rangar, good luck with the bid.

call me steve and i'll give you the name and the number.

[Ron Musgraves]

YouTube - PPW SHORT AD

Originally Posted by PWkid

Ron Thats a good analogy but People can stay home and break even or make a little bit of money. I realize there is power in numbers (does Wal-mart ring a bell) I am not sure what the cost of doing business in Arizona is but I will guarentee it cost more to do the job than call people and see how much they will WHOR* themselves out for.

Yeah, your right commercial jobs are bad. i would stay washing roofs, way more money in roofs. I heard a couple guys made a whole 500 dollars yesterday.

I'm rethinking my stategy on the residential thing. i figured if i start washing house for 99 dollars and sub them for 59.00 too another guys i might make 300 a day.

I might be able to pay my eating out daily bill. If i get another guy maybe i can by the wife a yugo.

I'm happy with what i do, I let you house wash guys wash houses. Just kidding..

on a serious note i will never wash roofs or homes in the near future. one exception, I will wash the ceo or vp's home for free.... Everytime.


http://www.youtube.com/watch?v=iD4zCv3g86o

[PWkid]

Originally Posted by Ron Musgraves

You used too do CVS stores? 1100.00

Mel you been around a long time. I have charged walgreens that too, not on 15 day maint. that only takes 45 minutes.

I wonder if you guys know how to PW?

Ron these were not maintenance these were initial cleanings.They contacted me because because the WHOR* guys that were supposed to do maint were not doing them. (if I had to guess it was because they bid them so cheap that they figured it out rather quickly it was not enough money to do stay in business and worth staying up at night.) Ron I do properties on a 15 day basis but the 1100 was initial cleanings. Ron I will not even comment on your last statement because I am quite sure in your mind YOU are the only one who knows how to PW.

[MMI Enterprises]

Ron doesn't know it all and is not the best pressure washer but he surely has the smartest opinion here.
What strikes me as untrue in this thread is "You will have a customer for life."
And I wouldn't say "if they were happy with the people you know, then I doubt they would have called me to bid." is not subjective to plenty of thought. Maybe some areas get bad service but I bet even the areas getting good service are likely to go out for bid at some regular interval set internally. Maybe they don't have to take lowest or switch and maybe some areas they give some free license for individual managers to do as they see fit...there has to be some smarts and flexability up the chain of things somewheres...All it takes for many commercial places to go out for bid though is some new manager coming in that needs to feel like their doing something. Most places do not respect long term and turn over rates can be in terms of months regardless of there being real basis to cancel a contract. Places just make a basis if need be.
If such places called me I would give them standard price and hope it not insulting to their sensibilities.
But Rangar, I think you know all that.
We all can learn from others here and so hey welcome to the forum!

[Ron Musgraves]

Originally Posted by PWkid

Ron these were not maintenance these were initial cleanings.They contacted me because because the WHOR* guys that were supposed to do maint were not doing them. (if I had to guess it was because they bid them so cheap that they figured it out rather quickly it was not enough money to do stay in business and worth staying up at night.) Ron I do properties on a 15 day basis but the 1100 was initial cleanings. Ron I will not even comment on your last statement because I am quite sure in your mind YOU are the only one who knows how to PW.

Thanks, heart warming!!!

[Ron Musgraves]

Originally Posted by MMI Enterprises

Ron doesn't know it all and is not the best pressure washer but he surely has the smartest opinion here.
What strikes me as untrue in this thread is "You will have a customer for life."
And I wouldn't say "if they were happy with the people you know, then I doubt they would have called me to bid." is not subjective to plenty of thought. Maybe some areas get bad service but I bet even the areas getting good service are likely to go out for bid at some regular interval set internally. Maybe they don't have to take lowest or switch and maybe some areas they give some free license for individual managers to do as they see fit...there has to be some smarts and flexability up the chain of things somewheres...All it takes for many commercial places to go out for bid though is some new manager coming in that needs to feel like their doing something. Most places do not respect long term and turn over rates can be in terms of months regardless of there being real basis to cancel a contract. Places just make a basis if need be.
If such places called me I would give them standard price and hope it not insulting to their sensibilities.
But Rangar, I think you know all that.
We all can learn from others here and so hey welcome to the forum!

Holy COW!!!! I think rangar is a smart cookie too.

[Rangar Inc]

Boy I can sure tell I am the F-N-G around here lol. Gettin hammered.

[814jeffw]

Bid what it is worth for you to do them, it's truly as simple as that. That's how I bid everything, You start trying to compete with all the guys doing it for beer money then you won't be very happy with yourself, and you'll probably go out of business. what the other guy is bidding is of no concern of mine. No one ever dictates my pricing but me.

Jeff

[Ron Musgraves]

Originally Posted by 814jeffw

Bid what it is worth for you to do them, it's truly as simple as that. That's how I bid everything, You start trying to compete with all the guys doing it for beer money then you won't be very happy with yourself, and you'll probably go out of business. what the other guy is bidding is of no concern of mine. No one ever dictates my pricing but me.

Jeff

First off, no one is washing Walgreens for beer money. At one time the criteria was you had to have ten years in the business to work for them. They realized the PW industry was to new and they changed it to 5 for the approved vendor list.

The exterior engineers will meet with you in order to get on the list. Then and only then will they call you instead of you calling them.

I'm assured someone had a disagreement with his current contractor. the GM is filling his head that he is going to bid the district. I wonder why hes telling him this? DUH, he wants the best price.

I have stores in phx, you cannot keep everyone happy all the time. When you have 140 + locations with one compnay someone wants to change. I dont fight them, I see if they have a legit complaint and i fix it. If the guy keeps complaining about this and that and i cannot make him happy i let them go. I ussally remind them of the other approved guys. I remind the that they are suppose to use them.

Two or three months go by, we find out from another mang that this guys brother in-law is pw. Hes calling around to other mangs, his buddys and asking them to change.

It happens, cant please everyone all the time.

[814jeffw]

How do you know how much someone drinks? Just kidding!! I was just generalizing the whole bidding thing. Was just trying to point out what I perceive as pitfalls of bidding against another company so as to just get the work. Whether it's a chain store or a basic small job,

Jeff

[Ron Musgraves]

Originally Posted by 814jeffw

How do you know how much someone drinks? Just kidding!! I was just generalizing the whole bidding thing. Was just trying to point out what I perceive as pitfalls of bidding against another company so as to just get the work. Whether it's a chain store or a basic small job,

Jeff

Getting the work is what its all about! Jeff, i think your talking residential?

if you knew about commercial then you wouldnt make the comments you made.

[814jeffw]

No, Ron it's not just about getting the work. Commercial or residential. If it were just about getting the work then we'd all sell out and do it for nothing I guess. And I stand by any of the comments I made here. What you may be able to do for $100.00 may be a job I need to do for $300.00 to make a profit. I can only worry about my own circumstances not the other guys. I may get the job, but I'd be going backwards.

Jeff

[Ron Musgraves]

Originally Posted by 814jeffw

No, Ron it's not just about getting the work. Commercial or residential. If it were just about getting the work then we'd all sell out and do it for nothing I guess. And I stand by any of the comments I made here. What you may be able to do for $100.00 may be a job I need to do for $300.00 to make a profit. I can only worry about my own circumstances not the other guys. I may get the job, but I'd be going backwards.

Jeff

I would seriously evaluate the cost and the time your having to take. Example, we can service 8 locations a nite at 125 a piece. if you cant do them in the time we can and the quality we can you cant compete with me.

That makes your life very tough.

Because i have streamlined my methods and reduced costs I can operate at that rate and make more.

I'm far from a hack or a low baller, some here may think that. I assure you my one man rig grosses and nets more than most per day week month and year.

[Ron Musgraves]

Its what i do, get the work.

[Ron Musgraves]

Originally Posted by 814jeffw

No, Ron it's not just about getting the work. Commercial or residential. If it were just about getting the work then we'd all sell out and do it for nothing I guess. And I stand by any of the comments I made here. What you may be able to do for $100.00 may be a job I need to do for $300.00 to make a profit. I can only worry about my own circumstances not the other guys. I may get the job, but I'd be going backwards.

Jeff

Jeff, I'm sure you have been around awhile. I'm not trying to badger you, I have a different opinion and business model.

The beer thing i took wrong because as most here know from Round tables, most larger corporations dont hire hacks. Try to get on walmarts vendor list, if you are then you know that its not about beer money.

Most commercial clients have tough criteria to wash for them. now i'm not talking bout a single franchise owner that might run three or four locations.

I'm specifically talking about Walgreens and other major companys that run all locations the same.

Do you think a walgreens would take me any longer in your neck of the wood? Keep in mind i know they like 15 day service.

they are not going to pay you more than anyone else if someone can do the job correct and make money.

Trust me, i'm not talking low margin, i'm talking the correct margins.

They have people like every smart business has studying these services. Time studys, operating expenses ECT.