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Cheap Prices - are they making a profit? New
« on: September 27, 2003, 11:06:51 pm »
We are currently have competitors pricing office cleaning at £6.90 per hour. (exc. VAT) How can they be making a profit?..

Re: Cheap Prices
« Reply #1 on: September 28, 2003, 01:37:33 am »
Pay Cleaning Ops Minimum wage £4.20 (£4.50 October 1st) £2.70ph profit, less expenses.   Times this by 40 hours =£108.00 gross profit on a cleaners average week.  If they employ 10 Cleaners £1080.00 a week gross. It all depends on what sort of margin you are willing to accept!! And on what level of competition is in your area?

Cloverleaf

Re: Cheap Prices
« Reply #2 on: September 28, 2003, 02:06:17 am »
My advice, set your price and what you want to earn, ignore competitor prices. Give a professional service and results.
If they are after price only, then ignore it.(they are after cheep!)
In my experiance people want a professional approach and top quaulity results at a resonable price. Make sure that the service you offer cant be beaten and go with confidence!
John

Re: Cheap Prices
« Reply #3 on: September 30, 2003, 08:39:45 pm »
;)
Thanks we had just chnged our prices slightly to be more competitive.
Two proposals have went out this week and it looks good.

But i just wish that more people would look at the cleaning industry as a science and a cost effective way of saving on capital expenditure in the long term, rather than looking at the short term financial managers profit warnings. ???
:D ;D
Big up the cleaners.  ;)