Latest / Cleaning Business Life / CBL EP 189 Value vs Price: Why Clients Say You're Too Expensive...
Transcript
- 1:01SPEAKER_01: Welcome back to Cleaning Business Life.
- 1:03SPEAKER_01: I'm Shannon Miller, Systems First Cleaning Business Coach.
- 1:06SPEAKER_01: And today we're going to continue on with our theme.
- 1:10SPEAKER_01: In case you guys haven't figured it out, they're uh they're in segments usually.
- 1:13SPEAKER_01: Yeah.
- 1:14SPEAKER_01: We're going to talk about value versus price.
- 1:17SPEAKER_01: Now, this has a lot of weird connotations with it.
- 1:22SPEAKER_01: There's still people who say cleaning is a luxury service.
- 1:26SPEAKER_01: And for a long time I did too.
- 1:28SPEAKER_01: I don't think that cleaning is a luxury service anymore.
- 1:31SPEAKER_01: I think cleaning is a necessity.
- 1:32SPEAKER_01: It is a form of self-care.
- 1:34SPEAKER_01: It is a form of therapy.
- 1:36SPEAKER_01: It is a form of appreciating yourself and giving people back their time.
- 1:40SPEAKER_01: That's what I feel, in my opinion, that I just vomited everywhere.
- 1:44SPEAKER_01: Because if you're constantly getting pushback on your pricing, it's usually not just about the number, it's the perceived value that you are telling them all about.
- 1:55SPEAKER_00: Yeah, and this kind of stuff comes up all the time.
- 1:59SPEAKER_00: People think lowering the price is the solution, but it never actually fixes the real problem.
- 2:05SPEAKER_01: Right.
- 2:05SPEAKER_01: And then you become known as a bargain cleaner company.
- 2:08SPEAKER_01: That's not good either.
- 2:10SPEAKER_01: So if you don't understand value, and more importantly, if you don't communicate what your value is, you will always feel like you have to justify your pricing.
- 2:19SPEAKER_01: Ding ding ding.
- 2:22SPEAKER_00: That's it.
- 2:23SPEAKER_00: That is not the price.
- 2:25SPEAKER_00: Yeah, the problem is not the price.
- 2:27SPEAKER_00: So I think a lot of people hear the word value and it sounds vague.
- 2:32SPEAKER_00: Like, okay, what exactly does that mean?
- 2:35SPEAKER_01: It is vague.
- 2:36SPEAKER_01: If you don't understand the concept of what you're you're pitching, you're like, well, I'm cleaning, right?
- 2:41SPEAKER_01: What's my value?
- 2:42SPEAKER_01: I know I, but you you're providing, you're giving people back their time, you're providing stability, you're you're providing trust, loyalty, you're providing all of these things.
- 2:53SPEAKER_01: And that's all an equation of value.
- 2:55SPEAKER_01: It's a big ball of yarn.
- 2:57SPEAKER_01: Yeah.
- 2:58SPEAKER_01: So value is really concrete.
- 3:01SPEAKER_01: It's reliability, consistency, trust, not having to recheck work.
- 3:05SPEAKER_01: And sometimes that happens with new cleaning text.
- 3:07SPEAKER_01: We won't talk about that today.
- 3:09SPEAKER_01: And it's knowing that someone's going to show up and do what they said they were going to do.
- 3:13SPEAKER_01: And we see that a lot in the groups where I hired someone, they didn't show up and they didn't do these things.
- 3:19SPEAKER_01: And like there's a big difference between W-2s and Tines.
- 3:23SPEAKER_01: We've had plenty of podcasts about that.
- 3:25SPEAKER_01: You can check that out.
- 3:28SPEAKER_01: It's what people your perceived value is what people are actually paying for.
- 3:33SPEAKER_00: Right.
- 3:34SPEAKER_00: And I think that if you don't explain that a little bit, the client will just see just the number.
- 3:43SPEAKER_01: Right.
- 3:44SPEAKER_01: The number and the budget.
- 3:46SPEAKER_01: And when they only see the number, they're comparing you to the cheapest option, which is the person without insurance, the payroll taxes, the training, the uniforms, all the stuff that it takes to have a legitimate business.
- 3:59SPEAKER_01: And here's the truth price is what they're paying, but value is what they're getting.
- 4:06SPEAKER_01: I hope that kind of makes sense.
- 4:08SPEAKER_02: Right.
- 4:10SPEAKER_02: It does to me.
- 4:14SPEAKER_00: Codes are not the same thing, right?
- 4:15SPEAKER_00: They're they're not.
- 4:16SPEAKER_00: They're not the same thing.
- 4:18SPEAKER_00: A cheat cleaner can cost someone more in stress, inconsistency, not showing up, constantly rescheduling a job.
- 4:29SPEAKER_00: I hear it all the time.
- 4:31SPEAKER_00: Missing details and having to constantly redo things.
- 4:38SPEAKER_00: Professional services do cost more.
- 4:41SPEAKER_00: And it delivers a consistent outcome.
- 4:44SPEAKER_00: And that is the big difference.
- 4:46SPEAKER_00: So you're really not selling cleaning, you're selling the result, which is your value.
- 4:54SPEAKER_02: Value.
- 4:57SPEAKER_01: I I think that consistency and showing up on time, I hear it a lot too about, oh, well, they just stopped showing up, and that that's usually a red flag.
- 5:06SPEAKER_01: Or they'll ex-they got something shinier, so they they bumped you down to later in the day, or they just don't show up at all.
- 5:12SPEAKER_01: And remember, there is prep involved to have the cleaners coming.
- 5:17SPEAKER_01: Nothing pisses a client off more when you have to reschedule them because they've pre-pepped, they've picked up the floor, they got all the dog toys put away, they got the launch.
- 5:29SPEAKER_00: You gotta have it prepped.
- 5:30SPEAKER_00: Right.
- 5:31SPEAKER_00: They've done all that, right?
- 5:32unknown: Right.
- 5:32SPEAKER_01: And then when you don't show up, it makes them mad.
- 5:34SPEAKER_01: And you know what?
- 5:34SPEAKER_01: I'd be mad too.
- 5:37SPEAKER_00: Me too.
- 5:38SPEAKER_00: That is there's nothing more infuriating than and even me, uh uh you know, as a business cleaning business owner, that makes me mad for them.
- 5:49SPEAKER_00: And it's like, hmm, you're making us get a bad look out here.
- 5:54SPEAKER_01: Right.
- 5:54SPEAKER_01: So basically, what you're selling is peace of mind, which goes back to your value.
- 6:00SPEAKER_01: Um, you're selling consistency, again, value, and you're selling not having to think about it anymore.
- 6:05SPEAKER_01: They just want to cut you a check, you just charge their credit card, it's an automated thing, easy peasy, right?
- 6:11SPEAKER_01: So if you don't frame it that way, you're gonna get lumped in with everybody else.
- 6:16SPEAKER_01: Yeah.
- 6:17SPEAKER_01: And this is where I see people sabotage themselves.
- 6:19SPEAKER_01: This happens a lot in our industry.
- 6:22SPEAKER_01: Self-sabotage, imposter syndrome.
- 6:25SPEAKER_01: It sneaks in, it sneaks in when you're least and expecting it, and you, you know, you quote too fast.
- 6:30SPEAKER_01: I've done that before, where I'm like, oh, I think it's gonna be a buck eighty, and then I get there with the cleaning tech to like walk through and do a meet and greet because sometimes we they require it or whatever.
- 6:40SPEAKER_01: And I'm like, oh, this isn't gonna be the buck 80.
- 6:43SPEAKER_01: Or you forgot to mention the full built-out basement you also want done, plus the casita.
- 6:50SPEAKER_02: Yes.
- 6:50SPEAKER_01: Minor detail, that's not gonna be a buck eighty.
- 6:53SPEAKER_01: So they don't explain the scope, they don't you know, understand the dirt code, they uh soften the number, or they overgive the job before it starts.
- 7:02SPEAKER_01: So that instead of getting a regular maintenance cleaning, you as the cleaner give them a top-to-bottom deluxe cleaning because you feel that that's what every single person deserves.
- 7:10SPEAKER_01: And if they deserve it, then they need to pay for it.
- 7:14SPEAKER_01: There's a fine line of where you feel comfortable with what you're giving, and you'll never be able to scale if you give everybody a detailed cleaning versus a standard regular maintenance cleaning.
- 7:26SPEAKER_01: You'll never it'll just be you, oh by my sale.
- 7:30SPEAKER_00: Yeah, and doing a deep clean every single time you are cleaning, and there's no difference between a deep clean and a standard clean.
- 7:42SPEAKER_00: And and like you said, you can't scale because you'll never be able to bring on somebody to hire because you're you have sat there and and groomed your client to expect that.
- 8:00SPEAKER_01: Yep, you trained them.
- 8:02SPEAKER_01: And then at that point, it becomes about price because you know Susan is here five hours and five and a half hours every single time, and you came in and said it was gonna be this price, and you're here for three and a half hours.
- 8:13SPEAKER_01: Well, that goes into production rates and knowing what the difference is scope, right?
- 8:17SPEAKER_01: Top to bottom has a different scope versus regular maintenance.
- 8:20SPEAKER_01: Again, that's the value that you're providing.
- 8:24SPEAKER_01: So if you don't clarify, clearly define what's included, what's not included, clients will fill in the blanks.
- 8:31SPEAKER_01: And they they do it, they don't do it to be mean.
- 8:34SPEAKER_01: They're just trying to figure out what they're paying for, right?
- 8:36SPEAKER_01: So that's where scope creep starts, that's where resentment starts, and that's where burnout starts.
- 8:42SPEAKER_01: And never, never, never.
- 8:44SPEAKER_01: I saw a post this morning about someone who was burnt out and I felt really bad.
- 8:47SPEAKER_01: I'm like, Air Ugs, right?
- 8:49SPEAKER_01: Because we've all been there, we've all done it to ourselves.
- 8:51SPEAKER_01: Yes.
- 8:52SPEAKER_01: Been there.
- 8:54SPEAKER_01: So here's the part that people miss value has to be communicated.
- 8:58SPEAKER_01: So if you don't tell them the right words and phrases, you're not gonna sell the value.
- 9:03SPEAKER_01: And you may know that you're doing a good job, but they're not gonna know because you're not telling them.
- 9:08SPEAKER_01: If your client can't see it here or feel it in your process, it doesn't help you.
- 9:13SPEAKER_01: You're hurting yourself.
- 9:14SPEAKER_01: You might as well just go, Oh, I shot myself in the foot, right?
- 9:17SPEAKER_01: Value shows up in how you walk a property.
- 9:20SPEAKER_01: Again, you need to be in our last segment, you need to be uniformed.
- 9:24SPEAKER_01: I was telling the audience how I couldn't find a uniformed logo shirt because I haven't been on an in-person bid in, I don't know, a couple years.
- 9:32SPEAKER_01: How you explain your service, how you set your boundaries, and how you handle add-ons.
- 9:37SPEAKER_01: I mean, these all are four biggies.
- 9:40SPEAKER_01: Even doing something as simple as saying we don't spot clean cabinets, we do a five full-on wipe down of cabinets or add-ons, especially if they have 15-foot ceilings, right?
- 9:48SPEAKER_01: Because then you have to get on the ladder, a lot of ladder work up and down.
- 9:52SPEAKER_01: And that's value and boundaries working together.
- 9:56SPEAKER_00: And that's where people get nervous.
- 10:00SPEAKER_01: Right.
- 10:01SPEAKER_01: And that's why they stay stuck.
- 10:03SPEAKER_01: Nobody wants to stay stuck because they're afraid to lose the sale.
- 10:07SPEAKER_01: And then it becomes a personal thing.
- 10:09SPEAKER_01: And even when the sale is not a good fit, then they're like, Well, how come I didn't get it?
- 10:12SPEAKER_01: And then you start to obsess.
- 10:14SPEAKER_01: And then again, you know, imposter syndrome kicks in.
- 10:17SPEAKER_01: Well, it's a self-inflicted thing, it happens all the time.
- 10:20SPEAKER_00: Yeah, and it that imposter syndrome does not go away.
- 10:24SPEAKER_01: Nope, I get it still to this day, and she cares about it.
- 10:27SPEAKER_01: I'm like, oh my god! So it happens to all of us, even biggies like myself.
- 10:34SPEAKER_01: So stop apologizing, explain your scope, stop bundling extra work for free just this one time.
- 10:41SPEAKER_01: It's just this one time, and and talk about outcomes, not just tasks.
- 10:45SPEAKER_01: Like your house is gonna look amazing.
- 10:48SPEAKER_01: If your house is known for your cleaner, which Jamie is getting ready here to fully launch pretty soon, maybe it's the smell, maybe it's the perception of the clean and the smell.
- 10:58SPEAKER_01: And then understand that not every client is your client, not every person who calls you and wants to wave money in your face, because not all money is good money.
- 11:07SPEAKER_00: And that that last one is huge.
- 11:11SPEAKER_00: That's huge.
- 11:13SPEAKER_00: It's not a flex, you guys.
- 11:15SPEAKER_00: That is not a flex of well, I'm fully booked and da da da.
- 11:20SPEAKER_00: Well, whenever you say that, that that means that you don't value what we're talking about.
- 11:28SPEAKER_00: You are the cheapest cleaner in town.
- 11:32SPEAKER_02: And if that's what you want to be, hey, but that's fine.
- 11:36SPEAKER_00: You know, because there we in every single area, it's all of our areas are saturated, every one of them with these micro cleaners, solo cleaners, and that's fine.
- 11:49SPEAKER_00: We're just not that one.
- 11:51SPEAKER_00: You know, if you want to be that, that's fine.
- 11:54SPEAKER_00: But that last one that you were mentioning, Shannon, was huge.
- 11:58SPEAKER_01: So yeah, so when you you understand value, you stop negotiating from fear.
- 12:07SPEAKER_01: So if they're wanting to add a full wipe of their cabinets in a regular maintenance, and you say, No, I can't do that because it's not scalable, and then you give the McDonald's example, that's negotiating from fear.
- 12:20SPEAKER_01: So you're not wanting to like say, Well, I can't, well, okay, I'll do it for you this time.
- 12:25SPEAKER_01: Or, hey, can you get all that cat litter?
- 12:27SPEAKER_01: My dog, my my kitty, Mrs.
- 12:29SPEAKER_01: Fluffy, you know, she had a little bit of an episode and got cat litter everywhere.
- 12:33SPEAKER_01: So you're over there for 25 minutes trying to get all the cat litter, right?
- 12:36SPEAKER_01: Or can you empty out the paper shredder and they never empty it out?
- 12:39SPEAKER_01: So when you open it, it explodes.
- 12:40SPEAKER_01: That's another 25 minutes.
- 12:43SPEAKER_01: So yeah, you you realize, you know, that price without value sounds expensive, but value with clarity sounds worth it.
- 12:52SPEAKER_01: So you have to have the right verbiage and know what to say.
- 12:56SPEAKER_01: And I find that when if you're still doing in-person bids, if you give eye contact while you're politely saying no, it comes off better than if you're on your phone going, Well, I got my calculator here.
- 13:08SPEAKER_01: And nope.
- 13:13SPEAKER_01: No, you can still say no.
- 13:15SPEAKER_01: It's not what you say, it's how you say it.
- 13:17SPEAKER_01: Yes.
- 13:18SPEAKER_01: Um, my mom taught me that a long time ago.
- 13:20SPEAKER_01: You can say no, no, no, no, no.
- 13:22SPEAKER_01: But it is like what you say, well, it's not how you say it.
- 13:24SPEAKER_01: Well, it's not what you say, it's how you say it.
- 13:26SPEAKER_01: Articulation at this point in the day.
- 13:30SPEAKER_02: So if you're Yeah, no, go ahead.
- 13:34SPEAKER_01: If you're listening to this and you know your pricing's off, not because you're too expensive, but because your structure isn't supporting you, then this is exactly what I teach inside the pricing is power accelerator.
- 13:45SPEAKER_01: That's actually gonna start pretty soon here in the month of April.
- 13:48SPEAKER_01: I'm very excited for this.
- 13:50SPEAKER_01: Well, so am I, because this is the first I've heard of this.
- 13:53SPEAKER_00: I'm sorry.
- 13:55SPEAKER_00: You're totally fine.
- 14:02SPEAKER_01: That we meet once a week over Zoom for six weeks in a row, and we talk all about the scope of pricing and how to get that all finagled for you.
- 14:12SPEAKER_01: So I'm pretty excited, and it's a small group.
- 14:14SPEAKER_01: I'm not allowing just everybody in, it's just gonna be mounted spots, and that's it.
- 14:20SPEAKER_01: So it's actually how to build pricing that works in real life with real clients without burnout.
- 14:27SPEAKER_01: Um, if you want the details, you just need to message me the word price and I'll send you the info.
- 14:32SPEAKER_01: That's off Facebook, obviously.
- 14:36SPEAKER_00: I'm excited for that one.
- 14:37SPEAKER_00: So I want if anything has hit home with you in this episode, you guys, send it to someone who's still undercharging or overdelivering.
- 14:50SPEAKER_00: Let us get out to these people that could fear honestly Shannon's work.
- 14:57SPEAKER_00: I don't know if we've if you're following along, you definitely know the help that she's helped me and many others, and especially inside of the Maids Network.
- 15:08SPEAKER_00: If you go in there, look up the Maids Network, answer the questions, please.
- 15:12SPEAKER_00: I do look your guys' profile up, make sure that you know you're somebody at least.
- 15:20SPEAKER_00: Answer the questions, come on over.
- 15:23SPEAKER_00: There's not a dumb question, but we really want I I really want people to come over, especially if you're taking this serious, and reaching more people out there that are listening that are just like you, or that was just like me, or a couple of episodes ago, you probably heard Angie Zweena.
- 15:47SPEAKER_00: We were both students of Shannon's, and she helps a lot.
- 15:52SPEAKER_00: So share, like, subscribe, all the things, and we will see you in the next episode, and have a great day.
- 16:01SPEAKER_00: See you next time.
- 16:03SPEAKER_00: Bye.