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  • Price agreements

    Posted by Harry Cleary on 25 April 2007 at 23:26

    I have been asked by another signmaker to meet for a drink, and from the drift of his chat and having some knowledge of him(hunger’s mother!) I think he is gonna want to agree prices (price fixing if you like) Just wondered what your views were on this, I dont want to antagonise him, certainly don’t want a price war. How would you all deal with this. And I know its illegal.

    Harry Cleary replied 18 years, 8 months ago 6 Members · 7 Replies
  • 7 Replies
  • Marcella Ross

    Member
    25 April 2007 at 23:31

    I’ve not been in that position personally. But John has. When John had a van hire company there were 3 in the same town. They all met and agreed on retail prices, but agreed that trade prices were a free for all, so to speak. John reckoned it was better than a price war.
    If a price war had broke out, the person with the biggest bank balance/overdraft, was going to be the last man standing.

    But in saying that, it’s a different ball game to signs. Hiring a transit, is hiring a transit. Getting a sign is different, different level of skill, different qualities of work.

    It’s a tough one Harry.

    But I’m sure others here will put you right 😀

  • Phill Fenton

    Member
    25 April 2007 at 23:42

    I reckon there’s no harm in talking to your competition. For one thing you can forewarn each other of bad payers and troublesome customers in your locality. I’m often troubled when a new customer comes to me (that I have never supplied before) and suddenly wants to do business with me when he has been supplied by a competitor in the past. Often it’s because he’s exhausted his list of suppliers due to some form of unreasonable behaviour.

    You can also help each other out on occasion with things like materials (e.g a vinyl colour you need that day but can’t get from your supplier can often be borrowed from another sign maker in your area) or taking on a job to help each other out.

    Yes – it’s good to talk and there’s nothing illegal about meeting up with a fellow signmaker and discussing business.

    Should the subject of price fixing come up I would be wary. This is certainly wrong and I would make it clear that this was not an option.

    But get to know your competition, and be on friendly terms with them. You never know when you might need each others assistance with something 😀

  • Robert Lambie

    Member
    25 April 2007 at 23:42

    AS MARCELLA SAYS… OUR GAME IS VERY DIFFERENT.
    caps 😕

    i know loads of folk that come in for a quote based on spec, never to be seen again. only for them to go elsewhere and get a dodgy looking foamex sign for half the price. reality is, if the spec said dodgy foamex sign we would have been in at same level on the quote. but never works that way…
    now how are you going to be fixed if that happens with you? i.e. he quotes for one thing high, you get asked for same job but he no longer wants perspex but foamex. you win job… but its then your word against his! or vice versa…

    its different for businesses with advertised rates… you can keep tabs.
    we dont have a set structure as such…
    i think the reason he wants to talk is "he’s" seeing you as competition…
    tell him your busy and cant make it… 😉

  • Martin Pearson

    Member
    25 April 2007 at 23:46

    Harry, I would be quite happy to meet with the guy myself and wouldn’t mind discussing things like pricing but I certainly wouldn’t be making any form of agreement with him. There are so many variables with most types of signage that it would make it quite difficult to do anyway.
    Has he spoken to any other signmakers in your area because even if you had an agreement with him it wouldn’t stop anyone else in the area being cheaper. I wonder if you have maybe taken some of his customers away from him and he is worried that you may take more.

  • John Singh

    Member
    25 April 2007 at 23:54

    Don’t let him pressure you into doing something you are uncomfortable with – which is clear from your comments

    We all want to make a good profit but I don’t think we want to fleece our customers.

    I think most of us here get great satisfaction from knowing we have provided a service and the customer is delighted with our work

    Hopefully he will return or recommend us to others

    We want to enjoy our work (It makes it easier to get up in the morning!)

  • Phill Fenton

    Member
    25 April 2007 at 23:56

    I also think that this is a topic more suited to a closed forum – accessible to only proper signmakers (e.g UKSG discussion group).

    There are too many Tom, D1cks and Harrys browsing these forums that should not be privvy to this type of discusion.

    I have nothing to hide – but I do not wish to discuss my business in a forum that is open to the general public.

  • Harry Cleary

    Member
    25 April 2007 at 23:59

    Thanks for the prompt replies, I am a bit nervous about this guy as I suspect there is a cartel of sorts operating, I just want to make a fair living, I think I will tell him I’m too busy like you say Rob.

    Never thought of that Phil, move this if you think it proper Rob.

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