Pricing & the Race to the Bottom
The biggest pile, and the one fight every trade is in.
Every trade. Every state. Every experience level. The same fight: can I charge what the work is worth? And the answer keeps coming back: not if someone down the road will do it for half.
"In the race to the bottom there are no winners."
-
"I feel like I am being watched and judged on Cost Plus."
Builder
-
"The amount of ppl that just undercut your price here in Melbourne is crrraaaazzzzyyyy! Its so cut throat."
Electrical owner
-
"Most times I am more expensive than the other builders, but I include everything as per the plans."
Builder
-
"I have insurance and if I was to quote my jobs out to make $950 a day I would never get a job."
Painter, WA
The read: This isn't a discounting problem. It's a can't-show-the-work problem. The tradie who can put the real cost in front of a customer doesn't have to win the race to the bottom. He gets to not enter it.