Quotation break down for client

[PurpleCommunications]

Would like to pick the brains of you good people of UKBF.

If you provide customers with quotations how far do you break them down?

We always provide an overall quotation for the requested work, we have been asked to break down a quotation for a client into individual items so in order we feel that they can either cherry pick what they would like or use it as a stick to beat other suppliers.

How do or would you deal with this request ?

 

[Lee Jones Jnr]

Would like to pick the brains of you good people of UKBF.

If you provide customers with quotations how far do you break them down?

We always provide an overall quotation for the requested work, we have been asked to break down a quotation for a client into individual items so in order we feel that they can either cherry pick what they would like or use it as a stick to beat other suppliers.

How do or would you deal with this request ?

If you want the order to be 'take it or leave it' rather than letting them knock off items they can get cheaper elsewhere then break it down as asked, inflate the prices slightly accrues the board and then show a bulk discount.

 

[simonr]

that the estimate, if we broke it down would be higher than the current estimate, in total. This, we explain, is because we're running things together to (for example) split the travel costs between them and the client next door who is in the same neck of the woods and who we're seeing the next day. If they're not happy with that we'd charge them full travel costs, not half the travel costs.

For some reason, people seem to be happy to go with less information if it equates to less cost! YMMV, of course.

Simon

 

[GraemeL]

In some instances, I would want re-assurance that all of the aspects of the product or service I wanted had been covered by my supplier. And so would request a breakdown so I could see that was the case.

But no real need to price these elements separately, unless the break was obvious. For example, I would be totally agreeable to split the cost of the product and the cost of freight for imports. I would not be agreeable to splitting the product cost into materials and packaging.

G

 

[Philip Hoyle]

For a job that can't be split, then you shouldn't break down the quote - the best you can do is itemise it down into a list of tasks/materials so that the customer has confidence in knowing exactly what they're getting.

However, if it's a job that involves several smaller jobs that can be done on their own, then you could itemise each job and give it a price (higher on its own), and then offer a discount if all the jobs are done together - i.e. increase the price of each separate job by say 20% (to cover travel time, set up and clear up, etc), and then discount the entire job by 20% on the grounds it's all being done in one go - end result is same price, but you're less likely to get the customer "cherry picking".

I.e. If you're, say, a window fitter, and someone comes along for a quote for replacement windows and doors, you could give a quote for them all for £5,000, but if they want a break down, then you could say doors £1,000, upstairs windows £2,500, downstairs windows £2,500, i.e. total £6,000 with a £1,000 discount for all done at the same time bringing it down to the £5,000.

 

[Somecamel]

Or just give them a shopping list by detailing everything with the price

 

[PurpleCommunications]

Or just give them a shopping list by detailing everything with the price

But by doing this would you not be giving away the margin/mark up for each item?

 

[Somecamel]

Exactly

 

[miketombs]

Where we quote for a couple of different jobs, e.g. completing the previous year's accounts and tax for a new client plus a quote for current ongoing work, we include a sentence along the lines of "this quotation is open for acceptance in whole (but not in part) until 31st October 2011".

 

[Billmccallum]

If you dont want to disclose your pricing strategy, simply break down the tasks and materials but the the price as a whole.

 

[KateCB]

I like that Mike - in whole, not in part - that would cover it! I might pinch that - that OK?

I get people who ask for a quotation for say 30 T shirts, 30 Hooded jackets, 30 Polo shorts, all embroidered - I quote based on a 90 garment order, then they want to knock off 10 of the hooded tops, 5 t shirts etc and expect the same unit price - that phrase would cover this nicley!