# How rampant is dishonesty in industry quoting practices (bait and switch)?



## zeusprinting (Jun 21, 2009)

We have been running into a lot of, what I consider dishonest quoting practices. As an example, we recently quoted on two separate screen print jobs for one client. In both cases we were included with 3 other local companies in the bid process. They weren’t large jobs, about $1500. As we found out later, our bids were either somewhere in the middle or on the high end. They went with the low bids.

We were talked to the client later and learned some concerning details. The client has been taught through experience that screen print companies always bill about 20% higher than their bid at the end of the job. So, while our quote was a firm contract-like bid, the client assumed our price would also jump 20%.

The first project was delivered at $300 over the bid, and 2nd project was awarded to a company that up charged $400 on their last project.

So, how do I compete with this? Give rough/vague bids and jack the price at the end, or stick to honest realistic bids and hope for the best?

Do you give rough bids or firm numbers when quoting a job? Do you consider these practices dishonest (am I being too touchy)?


----------



## Girlzndollz (Oct 3, 2007)

I would not be a happy customer if I got a quote and the finished job was $300 to $400 higher than expected.

How about a nice big blurb stating the maximum cap a job would increase (IF you even want to or need to go here.) 

For example, hiring contractors is a situation where notoriously, problems arise and job prices increase. I *always* hire a contractor that has a "cap" as to how much the job 'may' go up, and after that amount, they eat it. I think that's fair... 

But... for a screen print job.... 

If you do your quote well, your price should be your price, and if you mess up a few shirts you don't expect to on my order, I do expect you to eat that cost... 

So why not make your contract clear, and up front, as to where YOU stand on increases in pricing "above" the quote amount. 

Seems like it may likely solve your problem of prospective customers assuming your price will be $X higher, and you will not have to face that uncertainty on their side anymore.

They will know where they stand $$ with you, and then you can dazzle them with your quality and service and win a loyal customer who trusts you. Best wishes...


----------



## Unik Ink (Nov 21, 2006)

Did the job specifics change? I won a bid on a job that was SUPPOSED to be for 1000 shirts 1 front, 1 back. The order ended up being less than half of that, so we had to adjust the price per garment to reflect the final quantity.


----------



## hostingdiva (Mar 31, 2006)

The scenario you're providing is VERY common in the construction industry. I'm happy to say that the practice is not too common in my town in the t-shirt industry but I've heard of it happening.

My advice would be to include a sheet of past jobs in your bid. On that sheet, include the price you quoted and the price you charged in the end. This will show the potential client that you're giving honest numbers.



P.S. I took a look at your Zeus Printing website. Not sure whether you realized this but the resolution on your website is way too big. I actually get a scroll bar at the bottom. The standard in the industry is 800x600. My screen is at 1200 pixels across and I still get a scroll bar. I took a screencapture so you can see what I see.


----------



## zeusprinting (Jun 21, 2009)

hostingdiva said:


> The standard in the industry is 800x600.


hostingdiva, I appreciate the comment about the site, but according to several sources, only 4% of the population still run 800x600. Our actual visitor statistics shows 0% at that resolution. It is not the standard.


----------



## zeusprinting (Jun 21, 2009)

Unik Ink said:


> Did the job specifics change?


The specifics didn't change. What was interesting is that the other companies don't ask for specifics and just wing it on a rough number.

For example (sample numbers):

Client: I need 100 Gildan sweatshirts 2 color 1 location
Other Companies: Ok. $8 per.

We would naturally ask for more details; size breakdown, sweatshirt color, does the design require an under print, etc.

We then can calculate a "real" number. No wonder the other companies numbers change. When they got the job, and the details, they arrive at the final number.

These other companies were large reputable companies, not small companies just trying to get a job.

I feel like we should stop asking for the details, and just wing it like the others. But, it just feels wrong to me.


----------



## ladyumbrella (Aug 25, 2009)

Well, from where I stand - as a customer, I would be more or less outraged if the price I was quoted didn't end up being the actual price..giving honest quotations is, in my mind, the only thing to do..getting all the requirements before giving the quote shows the customer that you are genuine, know what you're talking about and are upfront and honest - all good things...so, I say keep doing what you're doing and let customers know that the price quoted is the price they'll pay (as long as their order doesn't change of course) - no ifs or buts...


----------



## RM5 (May 6, 2009)

zeusprinting said:


> We have been running into a lot of, what I consider dishonest quoting practices. As an example, we recently quoted on two separate screen print jobs for one client. In both cases we were included with 3 other local companies in the bid process. They weren’t large jobs, about $1500. As we found out later, our bids were either somewhere in the middle or on the high end. They went with the low bids.
> 
> We were talked to the client later and learned some concerning details. The client has been taught through experience that screen print companies always bill about 20% higher than their bid at the end of the job. So, while our quote was a firm contract-like bid, the client assumed our price would also jump 20%.
> 
> ...


Just my opinion. We give honest quotes and we back them up. If the biz goes elsewhere on an obvious lowball quote. vaya con dios and good luck. Our customers tend to come back to us year over year. I have had customers call me and apologize for going with someone else. I just say no worries.


----------



## mtroup (Aug 15, 2008)

I have also ran into this around my area. The best solution I have found is to make it clear to the customer that your price will not change and that all fees are included in the quote, it's always best to make sure they know and risk sounding redundant than to lose the bid due to them assuming your prices will increase after the job is completed.


----------



## RM5 (May 6, 2009)

Marty, totally agree.


----------



## majesticmind (Sep 1, 2007)

We get the print info and send a bill right away. We get paid upfront always. Cant addon to the bill and screw the customers. Our price is our price. We make very clear.


----------



## hostingdiva (Mar 31, 2006)

zeusprinting said:


> hostingdiva, I appreciate the comment about the site, but according to several sources, only 4% of the population still run 800x600. Our actual visitor statistics shows 0% at that resolution. It is not the standard.


You're welcome. I think 4% is a lot but I guess it's good that you're not attracting that 4%.

Good luck with your issues .


----------

