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Topic:
Discounting Today Because of Mistakes Yesterday
This thread has 21 replies. Displaying posts 1 through 15.
Post 1 made on Sunday March 15, 2020 at 11:54
crosen
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Six or seven years ago, I installed a $25K audio/video/lighting system for a budget conscious client. In an attempt to save him some money, I came up with a design that missed the mark on usability and reliability - particularly on the audio side of things, where I used a motley collection of audio gear in place of a high quality matrix and amps.

While the system has basically been working since then, the overall user experience has not been great. For example, there are times when the client cannot get music to play in a given room. Sometimes he calls me and we work it out together. Sometimes he doesn't call and just deals without having music.

After a recent incident, the client asked for a proposal to overhaul the system. The main goals are to: a) simplify the user experience, and b) improve reliability.

The solution that I think would make the client 100% satisfied would cost around $5-7K without any discounting. Part of the solution takes advantage of new tech that wasn't available originally, but a good chunk of the solution is to redo what I didn't do well the first time around.

Here's the question: to what extent should I discount the part of the solution that needs to be redone because I didn't do it well the first time?

I know there are MANY details that I'm leaving out, but I'm curious to hear thoughts on how others handle similar situations.
If it's not simple, it's not sufficiently advanced.
Post 2 made on Sunday March 15, 2020 at 12:12
Brad Humphrey
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Correct me if I'm wrong but: It seems the original system was put together the way it was, because of the "customer's" decision on such a small budget.
Unless you screwed something up in addition to that, his current system has nothing to do with how much it will cost to upgrade it.

Why would you go hungry for something that had nothing to do with your decision?
Post 3 made on Sunday March 15, 2020 at 12:20
Fins
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Does the customer feel like the original system is your fault?
Civil War reenactment is LARPing for people with no imagination.

Post 4 made on Sunday March 15, 2020 at 12:23
punter16
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That's good that you're taking ownership. Most guys around here just go out of business and then start another company with another name.

If the issues with reliability and user-experience were spelled out and said issues are exactly what you mentioned would happen, I would feel less responsible than if I installed a solution that I look back on now and say "Yeah...that solution kind of sucked and I probably shouldn't have put that in". If the latter is the case, I would give the client a break on something new but that's just me.
See our Youtube page for info about smart homes, great audio and more.

[Link: youtube.com]
Post 5 made on Sunday March 15, 2020 at 12:38
Ranger Home
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The old adage "you get what you pay for" seems to ring on this one
OP | Post 6 made on Sunday March 15, 2020 at 12:50
crosen
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On March 15, 2020 at 12:12, Brad Humphrey said...
Correct me if I'm wrong but: It seems the original system was put together the way it was, because of the "customer's" decision on such a small budget.

You are correct that the system was put together the way it was in order to fit the budget. However, I think I should have refused to sell it and insisted that we either cut scope or increase budget.

For example, I speced a Denon DRA397 as a critical piece in the audio routing. It's a cheap unit with IR only control. Nothing but trouble. The client trusted my judgement, but I don't think I should have allowed this into the project as a key component under any circumstances.
If it's not simple, it's not sufficiently advanced.
OP | Post 7 made on Sunday March 15, 2020 at 12:55
crosen
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On March 15, 2020 at 12:20, Fins said...
Does the customer feel like the original system is your fault?

Well, he's not tech savvy, and he knows it. I think he struggles enough with his other tech that I didn't sell him (ie. his iPhone, his TV in his second home, etc.) that he is reluctant to draw any conclusions about how the original system I provided should behave.
If it's not simple, it's not sufficiently advanced.
Post 8 made on Sunday March 15, 2020 at 16:30
Hasbeen
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Will he be attending your funeral?  If not, why would you take money away from the people who will be attending?
Post 9 made on Sunday March 15, 2020 at 17:20
Hi-FiGuy
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Charge him full price and be confident about it, own it, don't be arrogant and move on. A lot of my best customers came out of push back.
OP | Post 10 made on Sunday March 15, 2020 at 17:33
crosen
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On March 15, 2020 at 16:30, Hasbeen said...
Will he be attending your funeral?  If not, why would you take money away from the people who will be attending?

I take your point.
If it's not simple, it's not sufficiently advanced.
Post 11 made on Sunday March 15, 2020 at 17:58
Brad Humphrey
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Yeah. I'm going to also assume you tried the 1st time on selling them the better stuff, that would have worked better. Again correct me if I'm wrong.

I've been down this road many times. If I agree to do something, then it at least was good enough to get by. If the customer complains afterwards, I have no trouble reminding them 'THEY' chose to go this route over what I suggested. And I have no trouble repeating myself over & over if they keep complaining about the BS, until they decide to PAY me to upgrade it.

And another thing for customers that pull that complaining over & over for what they decided against = "Oh there are tariff charges now, cost of living has gone up, and that original system is going to be 20% more now". Discount my arse!
Post 12 made on Sunday March 15, 2020 at 19:13
goldenzrule
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I really don't get why this is even a questions.  He went cheap the first time which resulted in you working outside of your comfort zone and the result is a less than adequate system, although has gotten him through all this time.  Why on earth would you then discount anything to help someone that as already cheap to the point you don't feel like the right system was installed?  What he wants costs a certain amount of money, charge him that.  If he doesn't want to pay for that, then thank him for his time and move on.
Post 13 made on Sunday March 15, 2020 at 20:01
Trunk-Slammer -Supreme
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Did he pay you on time with no hassle the first time? A good client that didn't bitch at you every time he turned around? A client that could be a source for nice referrals?

Give him a little break.


Sometimes, you just need to do the right thing. You will still make a profit, right? You will still have a happy client, right?


Good news travels fast, bad new travels a lot faster. Especially in this day and age.
Post 14 made on Sunday March 15, 2020 at 21:58
Fins
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Remember the old saying, pigs get fat, hogs get slaughtered. It’s good to be aggressive in business, but down right greedy usually comes back at some point. A little goodwill can go a long way to keeping a customer loyal and make him feel you don’t just see him as a rent payment. Consider something like 10% on hardware because its always bothered you that the system wasn’t easy for him. Don’t admit fault on your part though. Explain that technology wasn’t what it is now.
Civil War reenactment is LARPing for people with no imagination.

Post 15 made on Sunday March 15, 2020 at 22:03
Impaqt
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What multi-room distribution tech wasn't around 6-7 years ago thats going to be so much less?
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