One of the biggest misconceptions about flat rate pricing is the mistaken belief of everything about it must be perfect and complete before implementation, so today I’d like to clarify why this is a dangerous mindset to have.
The fact is no price book will ever be 100% perfect and complete because this is an ever-changing industry and so too are your company’s environment and goals.
You can spend so much time listing every job possible for every possible price in your books but there’s always going to be work you come across that isn’t going to be featured in it and that’s ok!
Instead of panicking about this or being frustrated at your price book missing this, get your technicians to speak to a supervisor before issuing a quote and then take notes about this particular work.
By having these details on hand you can then add them to your next updated price books.
It’s exactly this point which shows why companies who delay implementing flat rate pricing until their books are 100% will never 100% experience flat rate’s benefits.
I spent years getting caught up trying to add everything into a flat rate pricing book and in hindsight though my intentions were good, attempting to chase perfection cost me valuable time and impacted on offering customers a true flat rate experience.
It’s also a mistake to create your flat rate pricing book and then leave it as is without any consistent review or update.
Yes, adding new jobs your technicians encounter into these books is the most obvious benefit of updating these books but there’s another key benefit into monitoring your books.
As you grow accustomed to flat rate you’ll begin learning about how your business financially responds to it.
One of the best features about flat rate is its flexibility in suiting your company’s needs, as it’s a pricing structure designed for YOUR business and YOUR needs.
If you have the same pricing as you did two years ago I hope it’s because after consistent reviews it’s a method which still suits your goals instead of having not monitoring it for two years.
Flat rate is one of those things in business you get out what you put into it and you must be prepared to invest time into it, and not just in the early phases because it’s an ongoing process.
I suggest making flat rate pricing reviews a formalised process and whether that’s once or twice a year, that’s up to you and your business.
But put time aside, schedule it well in advance and always be open to getting feedback on your pricing so when you do look into it you’ve got as much information as possible to help your decision-making.
If you’re chasing the idea of the perfect, complete book then you’re chasing something that may not exist, and if it did exist it would be larger than a telephone directory and potentially out of date within months!
Making a start is the most important step in flat rate pricing and if you combine a thorough, well-researched book with the same great customer service your company shows, you’ll be on your way.