follow on from newspaper ad

G. Lasagne · Oct 15, 2009

Following on from my ad thread i would like a few opinions on the following.

The price is £1725 including vat
What would you advertise £1500 or £1500+vat or £1725(inc vat) or £1725?

The reason i ask is a fellow competitor is booked out until january with an offer that is £2224 but when i rang up (spying

) i asked if its plus vat and they said yes.

Obviously the price without vat will give you a higher ratio of calls and once you "get your foot through the door" and sell the product make them like you etc you can explain its plus vat or explain it early on in the quote, im not looking at it in a moral point of view but from a business sense. i.e what will make more money

also what would you prefer a baxi with a 2 year warranty and 2 years free servicing or a vokera with a 5 year warranty with 5 years free servicing (for the same price)

The baxi has won an award for best boiler the vokera has not, but im happy as an installer to fit both as i have never had any problems woth either?

Cheers

dave

skyhi2 · Oct 15, 2009

Baxi every time Gas Angel.

£1725 all in too,and make a special thing about " no added extras ".

Noticed in your other threads your up Newcastle way.

You have a really keen price on your boilers/fitting,if i may say.

Skyhi2.

MrsPWN · Oct 15, 2009

I vote for vat included as well, could you put "No hidden extra's" or do you sometimes have to re-do plumbing at extra cost. I am always wary of something touted as a bargain, expecting there to be a catch somewhere. If you can instil that confidence I am sure you are on to a winner!

dubes · Oct 15, 2009

Yes I agree definatly VAT included

G. Lasagne · Oct 15, 2009

dubes said:
Yes I agree definatly VAT included

Why do you think its better to include vat?

G. Lasagne · Oct 15, 2009

skyhi2 said:
You have a really keen price on your boilers/fitting,if i may say.

Skyhi2.

Does that mean cheap/competitive:|

G. Lasagne · Oct 15, 2009

skyhi2 said:
Baxi every time Gas Angel.

£1725 all in too,and make a special thing about " no added extras ".

Noticed in your other threads your up Newcastle way.

You have a really keen price on your boilers/fitting,if i may say.

Skyhi2.

But in a time of economic crisis are people not drawn towards price more?
I mean a boiler is a boiler to most people or is it?
also vokera are a good make and just as good as the baxi but with a extra 3 year warranty and 3 years free servicing.

skyhi2 · Oct 15, 2009

The Vokera may be a good boiler,but to " Joe public " it will conjure up some kind of Russian/Cheap connotation.Whereas Baxi is,most probably,a name most folk have heard of.

Competitive,rather than cheap,i would say.

Skyhi2.

Fenland · Oct 15, 2009

As a consumer (not a business)I would always like to see the price as including VAT, but not necessarily stating so in your Ad i.e just put £1725.

My reasons being, I've no idea if you are VAT registered but I would like to know what I'm going to paying. It also means when I phone, you dont then say VAT's on top and I start thinking "wow that good deal I thought I had found is not so good afterall" swiftly followed by the dreaded "I'll get back to you"....

I do hear what you are saying about not putting VAT on- this then giving you the opportunity to convert them into business when they phone. So for me it would be a trade off of how many you may lose by adding VAT vs how well you can convert once they phone.

With regards to the boiler, for me it would be Baxi. Reason being, as a non-plumber, this is the name/brand that I recognise. Those in the 'know' may choose the russian vodka boiler, but probably 90% of Joe Public will have no idea.

Anyhow, I'm not a marketing gure so I'm probably way off the mark...

MrsPWN · Oct 15, 2009

I would only chose the vodka boiler if I thought it would double as a still

The fact the Baxi has won awards would win it for me, I still say play up the WHICH award, not just Which cos that looks like a word (kwim)

dubes · Oct 17, 2009

GasAngel said:
Why do you think its better to include vat?

I just think most of the time people see the value as a given and feel that when VAT is added onto a invoice can feel a bit stung.

Never budgeted for a product or service to later find it's more exspensive when VAT is added?

I just think it's more honest and trustworthy to let somebody know up front exactly what they are going to pay.

G. Lasagne · Oct 17, 2009

dubes said:
I just think most of the time people see the value as a given and feel that when VAT is added onto a invoice can feel a bit stung.

Never budgeted for a product or service to later find it's more exspensive when VAT is added?

I just think it's more honest and trustworthy to let somebody know up front exactly what they are going to pay.

Yeah i agree but when i found out that another company was advertising a price without vat added it made me think, they are booked out until jan and with that offer they must be making £1000 a day profit, its something to consider. As long as you make it clear early on that its plus vat, i do however agree that i would feel a bit pissxd.

G. Lasagne · Oct 17, 2009

Fenland said:
As a consumer (not a business)I would always like to see the price as including VAT, but not necessarily stating so in your Ad i.e just put £1725.

My reasons being, I've no idea if you are VAT registered but I would like to know what I'm going to paying. It also means when I phone, you dont then say VAT's on top and I start thinking "wow that good deal I thought I had found is not so good afterall" swiftly followed by the dreaded "I'll get back to you"....

I do hear what you are saying about not putting VAT on- this then giving you the opportunity to convert them into business when they phone. So for me it would be a trade off of how many you may lose by adding VAT vs how well you can convert once they phone.

With regards to the boiler, for me it would be Baxi. Reason being, as a non-plumber, this is the name/brand that I recognise. Those in the 'know' may choose the russian vodka boiler, but probably 90% of Joe Public will have no idea.

Anyhow, I'm not a marketing gure so I'm probably way off the mark...

yeah my thoughts exactly.

Vokera is italian by the way

The only reason that baxi is more well known in this country is the shear size of the company, they are one of the biggest in europe, and spend a lot on advertising. a lot of boilers are from the same production line with a few design differenes and a different badge.
Its the same as LCD tv's.

Also worth noting is that a lot of manufacturers are owned by the same company. Glowworm-saunier duval baxi-potterron-myson-thorn etc etc.

I know this is not going to be something the consumer knows but certianly something i could point out.

Lead Gen & Conversion · Oct 17, 2009

Hi

I havent seen your previous thread so forgive me if im covering something already mentioned.

Is it possible to test your various prices. eg. +Vat in one ad, inclusive in another etc and then measure the response and conversions you get to each?

This way you will know from the horses mouth which price point is preferred.

TJ

G. Lasagne · Oct 17, 2009

Lead Gen & Conversion said:
Hi

I havent seen your previous thread so forgive me if im covering something already mentioned.

Is it possible to test your various prices. eg. +Vat in one ad, inclusive in another etc and then measure the response and conversions you get to each?

This way you will know from the horses mouth which price point is preferred.

TJ

Hi, well i plan on testing the vokera and baxi offer and seeing which one comes out on top but at a £100 a week for the advert i need to decide on what to test.

Obviously if the price is £1000 as apposed to £1150 then more will call, the question is will they be so pissxd off when they find out its plus vat they wont go ahead with the work?

ThePublisher · Oct 17, 2009

Does your advert sit near your competitor's advert? Why not put £1725 inc VAT in your advert, which may then set people wondering whether your competitors price has VAT on it or not.

patientlady · Oct 17, 2009

If its domestic its inclusive. If commercial it's exclusive. I think no if's or but's.

If your competitor is booked till Jan and you are not, you will get the work that he cannot take on maybe, then perhaps build from recomendation... (the best form of advertising)

By showing an advertised price i think you are at liberty to charge said price?

G. Lasagne · Oct 17, 2009

ThePublisher said:
Does your advert sit near your competitor's advert? Why not put £1725 inc VAT in your advert, which may then set people wondering whether your competitors price has VAT on it or not.

No my advert is on the "notes to the editor page" on page 8 i decided to go where no other adverts are, the main advert section is page 30 something.
I have thought about putting it on the same page, what would you advise?

i have made a total scool boy error by making the backround white and having the advet in the bottom left hand corner which makes it blend in to the page, will be changing it next week and hopefully will see an increase in calls

ThePublisher · Oct 17, 2009

What is the state of most of your customers' boilers when they purchase? Is it distress purchase - the boiler's gone wrong they need a new one, they call somebody in? If this is the case they are going to go looking in the paper or whereever for a gas plumber in the trades section where the gas plumbers advertise. They aren't going to go reading the editor's notes whilst looking for their new boiler!

People may notice your advert alongside the editors notes, but are they in a 'buying a new boiler' frame of mind whilst reading them?

I don't think many of us buy a new boiler as an impulse or desirable purchase. If your pricing is good in comparison with your competitor, sit alongside him and show this!

Picture this scenario, they've seen your ad whilst reading the editors notes. A few days later, their boiler goes wrong - they know they've seen a gas plumber in the paper - where are they going to look for him? In with gas plumbers in the trades section. People won't necessarily remember where they saw your ad, other than it was in the paper. It could be they've seen your ad, but will call your competitor because they can find him and not you when they go looking again.

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