House Cleaning Business - What do I Charge?
This is the number one question I get on owning and running
a house cleaning business. And it's not easy to answer directly
because it depends entirely on your marketing and business plans.
Professional marketers know a little secret most small business
owners are not aware of; most advertising is worthless. And the
reason it's worthless is because people don't spend the time on
their small business plan and small business marketing plan. The
information you enter in these plans define your target customer.
Without knowing who your targeted customer is, what kind of an ad
are you going to publish?
Are you also aware that not everyone is your customer? Even in
the house cleaning business, there are different types of customers
that look for the type of house cleaning business that will service
their needs. Do you know who these people are and how to attract
them?
What you charge depends on what your market will pay. Every city
in the world is different. After you define your target customer,
you need to start researching your competition to learn what they
are charging for the services they offer. It also makes a huge
difference to your target customer that you are licensed, bonded
and insured; or not.
You can now start by defining your personal hourly rate. This is
the amount you want to earn per hour. Add onto this your overhead
and you have the hourly rate for your business. How does this
compare with what your competition is charging? Can you compete
at this rate? What will make you stand apart from your competition
at this rate? Is your rate your only measure of exceeding your
competition?
If you're going to compete in your market with only your rate, you'll
have a hard time. There will always be someone in your area that will
consistently under-bid your quotes. You'll need a customer benefit
to keep your target customer interested in your service.
If you're targeting the low-end customers and lowering your rate to
get jobs, you'll constantly need to work more jobs and acquire more
customers to keep ahead. But, if you are targeting the high-end
customers that are looking for quality and reliability, you can work
less jobs for more money.
That why you need your small business plan and your small business
marketing plan to establish who your customers will be and how you
will attract them. If you don't have this information, don't spend
a penney on advertising until you do.
Define your target customers and all your marketing will easily fall
into place and effectively bring in customers that want what you offer.
a house cleaning business. And it's not easy to answer directly
because it depends entirely on your marketing and business plans.
Professional marketers know a little secret most small business
owners are not aware of; most advertising is worthless. And the
reason it's worthless is because people don't spend the time on
their small business plan and small business marketing plan. The
information you enter in these plans define your target customer.
Without knowing who your targeted customer is, what kind of an ad
are you going to publish?
Are you also aware that not everyone is your customer? Even in
the house cleaning business, there are different types of customers
that look for the type of house cleaning business that will service
their needs. Do you know who these people are and how to attract
them?
What you charge depends on what your market will pay. Every city
in the world is different. After you define your target customer,
you need to start researching your competition to learn what they
are charging for the services they offer. It also makes a huge
difference to your target customer that you are licensed, bonded
and insured; or not.
You can now start by defining your personal hourly rate. This is
the amount you want to earn per hour. Add onto this your overhead
and you have the hourly rate for your business. How does this
compare with what your competition is charging? Can you compete
at this rate? What will make you stand apart from your competition
at this rate? Is your rate your only measure of exceeding your
competition?
If you're going to compete in your market with only your rate, you'll
have a hard time. There will always be someone in your area that will
consistently under-bid your quotes. You'll need a customer benefit
to keep your target customer interested in your service.
If you're targeting the low-end customers and lowering your rate to
get jobs, you'll constantly need to work more jobs and acquire more
customers to keep ahead. But, if you are targeting the high-end
customers that are looking for quality and reliability, you can work
less jobs for more money.
That why you need your small business plan and your small business
marketing plan to establish who your customers will be and how you
will attract them. If you don't have this information, don't spend
a penney on advertising until you do.
Define your target customers and all your marketing will easily fall
into place and effectively bring in customers that want what you offer.
Source...