Quote:
|
Originally Posted by Klaas Koopman
Probably I should set myself to a min. price I want to earn per month, and just price around the first month, see how everything goes, how much clients I get etc, then next month I set everything up in pricing and have a total pricing schedule!
|
Yes, a good idea. That way you are feeling out the market. It's what I did when I first started manufacturing kitchens.
I also did something else! I went to various kitchen companies in my area and pretended that I was a potential customer looking for a kitchen quotation.
I gave them all the same design so that they were all quoting on the same thing.
When I received the quotations back it was quite easy to 'reverse engineer' them to see how the money added up. I had about 7 quotes so I had a good spread of information. I looked at what my costs and profit margin was for the same plan and it was well within the lowest / highest quotes so that was good. It meant that I would be competitive within that market.