I tried to keep quiet on this one but...

>From an outsider, it seems like some installers underprice their work and
wind up with a slim (or even negative!) profit margin when it comes to the
labor component.

To make up for this, they depend on a high profit margin on the equipment
component.

Until recently, this worked fine because the overall profit margin on the
"package" of equipment plus service was reasonable.  Mail order, the
internet, and a better used market have changed the equation because
equipment and service are no longer bundled.

Some customers WANT the a la carte menu option, so installers need to
rethink their pricing structure so that they can make a profit on  the labor
(both initial installs and support) as well as the equipment sales.

Can you imagine a car dealer refusing to fix your car because you bought it
elsewhere?  Or because you had it serviced at the local gas station a few
months ago?  Or because your cousin tried to fix it but really screwed it
up?

Just my thoughts...

Marc
[EMAIL PROTECTED]




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