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From Richard Penning [rjp@penningplumbing.com]
Subject: 10 ways to raise your average ticket from $190 to $451
Mike - I think this covers how we progressed over about a 7 year period. Now if the economy would straighten out and we could keep trucks busy all day we could make some money. Probably need John Kerry's help - he has an answer for everything that's a problem and knows the right way to do it.
1. Listened to Frank Blau and calculated what my actual cost of operations were and thus what needed to be charged.
2. Bought Numbers Cruncher to calculate and keep up with changes in costs.
3. Went to a flat rate pricing system (NSPG)
4. Hired a service manager with a mandate to track and coach by the numbers.
5. Trained, trained, trained and keep on training technicians to be clean, friendly, and offer options so that the customer has choices to make and sees value...good , better, best.
6. Sent technicians to Charlie Greer's Sales Survival school and now to Nextar's Service System school. They are taught customer relations and service agreement value.
7. Insisted that this training be followed through on so that along with options, the technicians offer an inspection of the building and offer options on other work that is needed.
8. Started a direct mail coupon offer and sent thank you cards after each job with coupon offers. People with coupons in hand seem to be more willing to spend money.
9. Post numbers for technicians to see which keeps them on their toes.
10. Changed pricing structure to enhance service agreement sales with higher discounts for agreement customers and higher markup for those who chose not to become agreement customers.
Richard Penning
Plumbing Heating & Cooling Services
Clean...Safe...Dependable... Guaranteed....OR YOU DON'T PAY
