Very well put Jeff

-----Original Message-----
From: re-wrenches-boun...@lists.re-wrenches.org 
<re-wrenches-boun...@lists.re-wrenches.org>
To: RE-wrenches <re-wrenches@lists.re-wrenches.org>
Sent: Wed Feb 04 19:48:41 2009
Subject: Re: [RE-wrenches] Prices on PV


Joel has clearly pointed out the obvious.  Perhaps in your area there are only 
a few solar dealers and you are working on a handshake basis, but its hard 
enough getting clients to not "shop a job" without handing them over our job 
cost worksheet.  There was a time when our cost proposal listed every single 
item and part number we planned to use.  
 
After having clients take this list to competitors trying to get a better price 
we stopped this and now our proposals describe a complete working system, nit 
the individual parts making up the system.  We also found that some of the 
competitors the potential client took our detailed parts list proposal too 
would not have had any idea how to cost out their bid if they had not seen our 
detailed material list.  We lost a recent job to a potential client that we 
completed a very complete site analysis as part of preparing our cost proposal. 
 
 
During our site work the client was surprised to learn that we were not 
recommending a roof mounted system as we found many shading and roof design 
problems, and instead we determined the bast location was a ground mounted 
array near the rear of their lot.  When the client told me they had decided to 
obtain a proposal from another firm, I almost begged them not to disclose our 
very detailed proposal and design information to this other firm.  I felt it 
would be better for the client to not only see a proposal from someone else 
without the benefit of seeing our cost proposal first, but it would also be 
interesting to see if the other dealer would recognize the obvious roof mounted 
array was a bad choice.  You guessed it, they showed our detailed proposal to 
the other firm who then proposed the exact same system we proposed, item for 
item, except they lowered their price about 1/2%.    Yes, we lost the job.
 
No, its not only not a good idea to give out this cost information, but its 
also not a good idea to give out a detailed parts list breakout.  If the client 
wants another bid, then go for it, only let the competition have to go to the 
same trouble you did to figure out what parts and sizes of equipment will be 
needed.
 
Jeff Yago

 

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