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Old 01-09-2009, 10:33 AM   #1
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Has anyone offered full service contracts to cover plumbing just like is done with HVAC? If so, how would you determine how much money you would need to charge and still be profitable. I have customers that are interested but I'm not sure how to approach this. What I come up with is just inspecting their accessible plumbing, for a fee, and making recommendations on repairs needed. The fee would also include an annual flush of water heaters and cleaning of grease traps, if applicable. Trying to come up with a price for full coverage seems to be nearly impossible as you can't predict how abusive the customers can be with the plumbing in general.
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Old 01-09-2009, 11:16 AM   #2
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We have a Service contract they get 10% off, yearly inspection and top of the list on dispatch. $199. they don't move too much and I do not sell them.
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Old 01-09-2009, 11:50 AM   #3
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I also should have stated that this is for commercial service customers such as gyms, restaurants, hair salons, office buildings, churches, etc.
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Old 01-09-2009, 03:27 PM   #4
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Quote:
Originally Posted by PlumberDave View Post
We have a Service contract they get 10% off, yearly inspection and top of the list on dispatch. $199. they don't move too much and I do not sell them.
Ours is similar to the above. Most customers are not interested. HVAC service policies seem to make more sense. There are too many variables to cover with plumbing. If you cover a lot, you need to charge a lot. If you only cover a little, the customer will want to take their chances.
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Old 01-11-2009, 09:40 PM   #5
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I made a very simple contract that states that you will get priority service and save about 10% off the price of the job. For that, I charge $69 per year. The rule of thumb is that, if you need work, lower the price. Charge more if you don't need work.

Of course, once they have the service contract, you charge them your cost of doing business. If they don't want it, you charge them more. Many people only hire a plumber about once a year or once every two years anyway, and don't need the contract.

I decided that, for regular property management people or people who own enough properties, I would forego the contract and automatically give them the service contract price. Otherwise, it would get very tricky trying to get a $69 contract on every property they manage. And if you're already doing a lot of work for them, repeat business isn't a problem, and that's the purpose of the service contract in the first place, to get repeat business. (Hey, we've got a contract with this guy, let's call him.)
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Old 06-22-2009, 03:55 PM   #6
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I was thinking of offering service contracts to my customers and was wondering if any of you guys had success with them ?? Where did you buy the service contract info or forms from ?? What do you offer or charge ??
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Old 06-22-2009, 04:21 PM   #7
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I offer a maintenance program on sewer and drain cleaning if they have a big problem with roots. How much I charge depends oh how much a a pia it is to get to the cleanouts. If it is reasonably accessable i usually charge 150 dollars to rod and camera.
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Old 06-22-2009, 08:05 PM   #8
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I offer most turn down due to tuff times.
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Old 06-22-2009, 09:11 PM   #9
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We offer a service contract for 89.95. This covers an inspection of everything I can see including test the elements in the water heater. I usually find something wrong but don't do it just to get work. I've had about two in which everything was good.

We include two flappers with the service and 15% off (Premier Customer) for the next year. I usually don't have a hard time selling them when I try. I can usually save them money on the first call and I get five bucks for selling it.
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Old 06-22-2009, 09:46 PM   #10
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I offer a service contract allright. I'll come out everytime you call for 95$ an hour and i'll stay aslong as i need to and if you need more service later I'll come back for 95$ an hour unless gas goes up and then theres a surcharge of 5$ on top of the 95. You dont even hafta sign my contract!
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