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Original thread:
Post 13 made on Sunday June 9, 2013 at 11:56
Mr. Stanley
Elite Member
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January 2006
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On June 9, 2013 at 01:14, bcf1963 said...
So, if they were worth less, this would be ok? Because they are well to do, they should pay more?

No, I'm just saying that I was shocked to see a supplier do this. Does SONOS really need to do this? Seems like they are already doing just fine, without undercutting their dealers I Redmond / Bellevue / Seattle.


Sorry, but I probably fall into the "well to do" camp, and I'll tell you that if I have a chance to pay less, I'm going to do it! Call me cheap if you like. My investments make more money for me each year, than I pull in. In my opinion, Ben had it all wrong... after taxes a penny saved is worth more than a penny earned!

Now, I'm a reasonable person. If I think I'm getting something in return for paying more, I may decide to do so. But, with the margin you make on Sonos, what special service would I receive?

I think the business model of most of the CI's here is failing. There is so little money to be made on most TV's, receivers, Sonos, etc, why not scrap the old business model, and sidestep the issue entirely? Why not just sell your services, as an installer / integrator, and if they can get the equipment somewhere else more cheaply let them. Just make them sign an agreement that it must be the exact model you contracted to install, and if you show up and it is wrong, they will pay for travel time, and some amount of hourly rate? This puts it on them if they want to shop for all the items, or wish to buy from you. This allows you to sell what your real product is.

I have another idea. Don't sell product that can be purchased online.



Car salesmen love to talk about how much of a monthly payment the car will be, as it gets the customer away from knowing what the true total is. Anyone buying a car knows how slimy a tactic this is. Yet most of the CI's here seem to think there is noting wrong with this tactic when discussing an install with your customers. Put yourself in their shoes. They don't necessarily know if you are great at what you do. (How would they? They're not a pro at this.) They don't know how trustworthy you are. So many will turn to the only place they have to determine if they are getting a decent rate, the internet. So you've put them in this position, where they then have to doubt if your rates on the equipment are so high, are your rates for the install overpriced as well? In the end, if you educate the consumer, they'll be willing to pay a fair price. Pricing the goods separately, and offering them separately from your services serves to inform the customer of what you do, how much time it takes, and what the true cost is. Why wouldn't more here want to do this, unless you don't think what you do is really worth what you'd have to charge?

I'm having trouble following the above comparison. How does the car salesman tactic apply to our rates? I don't get it.

I'm sure I'll get flamed by several here... But if you read the above, and try and understand the reasoning, you'll have a better feel for what thought process your customers are going through. So, I've got my Nomex on, so flame away!
"If it keeps up, man will atrophy all his limbs but the push-button finger."
Frank Lloyd Wright


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