Everyone laments that the profits from projectors and plasmas are dropping dramatically. But the fact is since the prices of these products are dropping they are more affordable to many more people. There is constant changes in businesses. We are going to be forced to adapt to these changes if we hope to stay in business.
TVs, for the most part, are becoming too complicated for many people to simply bring home, plugin and enjoy. They need someone to mount on the wall, install a Dolby Digital surround sound system and program a remote control so that they can use it. A company can market itself as a Video Integrater. Someone who will come and and install the video display, the audio system, and computer system into one system that the customer can use and enjoy.
I run a business. I have to pay bills. If a customer wants me to install equipment that he has furnished I will increase my labor charges to compensate for the lost revenue. I furnish no warranty except that the job is done correctly. If he has a problem and I have to come out to check it out then guess what? He gets an invoice for a service call and labor.
The one thing that I will not do are cheap jobs. I will leave those jobs for someone else to do. I will focus on the mid level jobs. Most of my business is now in the $7,500 to $15,000 jobs.
I am lucky in my area we have several big box stores that are trying to get into the custom installations. I have no problem with competing for these jobs with them. When a customer starts to compare prices on certain parts of the proposal I tell them the only line they should be comparing is the bottom line. I have a much harder time winning a proposal when I am competing against a fellow custom installer.
There are some people who will not cater to the new "McTheater" customers. These fellow members of RC are extremely experienced and knowledgeable. They can continue to serve the smaller "elite" market of customers that get $50,000.00 and up for their installations. I admire these people and wish that I had the knowledge and experience of them. But for now, I am going to adapt to the market and concentrate on the mid levels jobs.
Hope this helps,
Dave
Last edited by davet2020
on January 28, 2006 22:33.