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I was driving away from a re-inspection today and I saw a little trailer with ladders and equipment attached.

Now that you have seen the view from my vantage point, let's take a look at the sign or billboard.

I know that successful marketing is often fueled by discounts, especially at department stores and super markets where we might get name brands at discount prices. Heck, even some local dentists advertise discounts and, early in my career, I used a few modest discount coupons. But when I see a 50% discount for services that require hard labor, that does not instill confidence or a desire in me to buy.

It could be wrong thinking on my part, but I worry that a person advertising a service at 50% off is cutting corners. We consumers like discounts but I think that many of us get nervous about committing to what seems to be way too good of a deal. 

In my view, this discount ad does not make me want to buy. It has the opposite effect and it discounts my confidence in the service provider. What is your take on this?

Thanks for stopping by,

Steven L. Smith

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45 Comments on Does The Discount Discount Your Confidence?

MAY
12
2010
613,752 Points 164 Featured Posts Attended Rain Camp Called Shot Master

Would that most had your point of view!

People think that such discounts have nothing to do with the final product.  We inspectors see that mistaken thinking every day!

9:00pm • #1
1,103,760 Points 45 Featured Posts Outside Blog

Jay,

I can deal with discounts, especially when some businesses are starting up or hurting, but once it gets to be more than a small percentage or amount, then the alarms go off. It also seems like desperation. On the other hand, maybe the guy charges double anyone else. In that context it means little.

9:05pm • #2
168,521 Points 4 Featured Posts Outside Blog Called Shot Master

Hey, this is a good post!  I give discounts to my clients when I as the listing agent sell their home.....I am not a discount house.  I have parted friends with more than one potential listings owner...I have learned that the business will be there later when the seller is a bit more motivated from dealing with discounters....

9:07pm • #3
1,103,760 Points 45 Featured Posts Outside Blog

John,

Glad you liked it. I saw that little trailer and it got me to thinking. I even went home and got my camera.

9:09pm • #4
Outside Blog Called Shot Master

Marketing is tricky. 

It looks like a startup/small business trying to offer a discount to get his name out there.

It is hard to know what marketing is going to work, when you are relatively new.   Sometimes it backfires and does the exact opposite of your intent. 

Jen Wing 

9:14pm • #5
213,961 Points 4 Featured Posts Outside Blog Attended Rain Camp Called Shot Master

Hi Steven-

I don't know that I would do business with someone like this.  In general, you get what you pay for...

--Sara

9:19pm • #6
662,713 Points 113 Featured Posts Localism Sponsor Outside Blog Called Shot Master

Steven, my thoughts are.... Nutsy's cousin started a painting business?

No confindance vote here...

9:19pm • #7
1,103,760 Points 45 Featured Posts Outside Blog

Andrea,

Nutsy has never offerered such a deep discount...not once. He has gone pretty low competing with Charlie Bee, but never there.

9:27pm • #8
1,103,760 Points 45 Featured Posts Outside Blog

Jenn, that is likely to be true.

Sara, Me too.

9:32pm • #9
750,304 Points 99 Featured Posts Outside Blog Attended Rain Camp Called Shot Master

Steve, my immediate reaction to any discount is to think about all the guy's previous jobs where he must have been over charging if he can now afford to do it for half as much.  How is the consumer to know that he has come down to a realistic price even now?

9:34pm • #10
1,103,760 Points 45 Featured Posts Outside Blog

Charlie,

You are such a sceptic that it is no wonder that Nutsy disagrees so often.

9:39pm • #11
750,304 Points 99 Featured Posts Outside Blog Attended Rain Camp Called Shot Master

Probably a lot like the way Nutsy would disagree with my digestive system.

9:53pm • #12
662,713 Points 113 Featured Posts Localism Sponsor Outside Blog Called Shot Master

Steven, you got me all wrong. I would never imply Nutsy would stoop so low... I thought perhaps it was a cousin, you know, on the bad side of the family....

No matter what his detractors may say MR CHARLES AND KATE, and sometimes MR JAMES for instance, I believe that if he were closer I would recommend Nutsy for jobs here. But not that lowlife cousin of his on his fathers side of the family.... never....

9:57pm • #13
1,103,760 Points 45 Featured Posts Outside Blog

Andrea,

The thoroughness of Nutsy's work has Charlie's knees knocking like dice in a cup.

10:06pm • #15
547,312 Points 15 Featured Posts Localism Sponsor Outside Blog

Steven, all they have to do is price it twice as high and offer half off.  Maybe it's a business trick. 

10:18pm • #16
750,304 Points 99 Featured Posts Outside Blog Attended Rain Camp Called Shot Master

I wondered what that noise was----I was afraid it was my teeth again

10:21pm • #17
1,103,760 Points 45 Featured Posts Outside Blog

Charlie,

Actually Nutsy recorded your knocking knees and played the recording for me. Right here.

10:28pm • #18
750,304 Points 99 Featured Posts Outside Blog Attended Rain Camp Called Shot Master

Pretty dang weak compared to the real thing I gotta say

10:38pm • #19
734,987 Points 9 Featured Posts Outside Blog

Steven - perhaps the discount is because the trailer is pulled by manpower not horse power

11:48pm • #20
MAY
13
2010
262,715 Points 3 Featured Posts Localism Sponsor Attended Rain Camp Called Shot Master

That small cart would make me think that this person is possibly starting out and the discount is to entice customers. I might try them out on a small job but not a big one.

12:22am • #21
1,103,760 Points 45 Featured Posts Outside Blog

Teral,

That sounds like a smart idea and gives the benefit of the doubt.

12:36am • #22
1,103,760 Points 45 Featured Posts Outside Blog

Mr Charles,

The boss might not appreciate your slopping up this wonderful post with stupid photos of animals.

Nutsy S. Wallenda

12:52am • #24
1,139,231 Points 139 Featured Posts Outside Blog Called Shot Master

H-m-m-m! If he marked the price up by 80% and then gave a 50% discount, then gave another discount because it was Tuesday, then they might come in at a decent price. If you drop "the nut job's name" all deals are off...

Helping you help others live their American dream...

6:45am • #26

With the new rules on lead based paint, 50% off will still be expensive!

10:44am • #27
431,122 Points 72 Featured Posts Called Shot Master

I would take 50% off Nutsy's hide and Charlie Bee can take the other 50%.

The chicken suit makes me hungry.

7:02pm • #29
1,103,760 Points 45 Featured Posts Outside Blog

Mr James,

If you are ever able to afford a rooster outfit, so you looks as good as me, we might start paying some attention to your ramblings.

Nutsy

8:46pm • #30
MAY
14
2010
177,236 Points

Hey Steve,

I have to agree with you. When I see things like that I start to wonder what kind of service I will get.

Hi to Nutsy!

12:07pm • #31
1,481,051 Points 275 Featured Posts Localism Sponsor Outside Blog Attended Rain Camp Called Shot Master

Steve, I'd never respond to this type of marketing.  That's way to little money to charge, at least if you're any good at what you do.

10:58pm • #32
MAY
16
2010
806,042 Points 27 Featured Posts Localism Sponsor Attended Rain Camp Called Shot Master

Good morning Steve,

I firmly believe you get what you pay for. I like personal referrals and a professional image from trades I recommend.

10:11am • #33
406,025 Points 49 Featured Posts Outside Blog Called Shot Master

I always figure they mean 50% off after they jack the price up 100%.  You get what you pay for.

12:31pm • #34
1,103,760 Points 45 Featured Posts Outside Blog

Thanks to Pat for putting this in her blogs of the week to read. Glad to see it revisited.

7:46pm • #35
MAY
17
2010
131,798 Points 3 Featured Posts Attended Rain Camp Called Shot Master

You know the saying...you get what you pay for!!! There is no free lunch. 

12:24am • #36
478,746 Points 65 Featured Posts Outside Blog Called Shot Master

50% is such a misnomer because you first have to know "50% off of what?"  Also, the 50% billboard may just be a way for the advertiser to get his phone to ring.  We do it all of the time with "FREE CMAs" and other information.

I do get your point and I agree that if this person builds his business by actually charging 50% off of all of his/her services, then I would question the qualify of what I might be getting.

9:03am • #37
550,812 Points 22 Featured Posts Outside Blog Called Shot Master

How can you discount 50% for painting labor? Seems like someone just trying to get some quick cash by plunking down that trailer in an area hoping for some homeowners to happen upon the sign.  As you say, not me.

12:26pm • #38
196,802 Points 7 Featured Posts Attended Rain Camp Called Shot Master

Andrea,

Remember that you get what you pay for. Often time, it is a gimmick to get potential client to start a conversation. Or it could be someone is really desperate for work. Any income is better than no income.

12:40pm • #39
223,141 Points 2 Featured Posts Attended Rain Camp Called Shot Master

I hate discounts at the supermarket deli & meat counter.  Usually means the food is about to spoil and they need to dump.  could be wrong, but that is the impression I get from that

12:48pm • #40
3 Featured Posts Attended Rain Camp

Have you ever noticed that the folks who use "Discounts" as their main claim to fame usually end up having a short lived existance. They most probably don't have a grip on the big picture of what it actually costs them to do business.

2:12pm • #41
1,103,760 Points 45 Featured Posts Outside Blog

Janet,

I believe that you have that right. Some minor promotional discounts are one thing but certainly not something a person should rely on.

2:16pm • #42
861,456 Points 76 Featured Posts Outside Blog Attended Rain Camp Called Shot Master

My first reaction is 50% off from what? From an overpriced quote?

9:36pm • #43
MAY
18
2010
128,117 Points 2 Featured Posts Localism Sponsor Outside Blog Attended Rain Camp Called Shot Master

Licensed? Bonded? Insured? Naaahhh..... but it's 1/2 off!!!!

9:34pm • #44
MAY
22
2010
1,103,760 Points 45 Featured Posts Outside Blog

It seems that the majority of us are not in tune with this type of promotion.

11:21pm • #45

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Steven L. Smith, Bellingham, Wa. Home Inspector

Bellingham, WA

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King of the House Home Inspection, Inc

Address: Bellingham, Ferndale, Lynden, Blaine, Sumas, Nooksack, Lake Whatcom, Lake Samish, Anacortes, Mount Vernon, Whatcom County, Bellingham, WA, 98225

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Home inspection information designed to educate the real estate buyer and the real estate professional. Blog posts include general information and information specific to the Pacific Northwest region.


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