- Always give a quote
An offer is on the table ensures that you are in the running. Set a time frame for the quote and deliver on your commitment. This the first opportunity you have to demonstrate that you can deliver – make sure that you do. I recently quoted on a project and was shocked that at least three other companies had not bothered to deliver a quote.
- Know your worth
Understand your own value and how that contributes to the project. Undervaluing yourself leads to difficult financial situations and lack of motivation. Overvaluing results in a begrudging client who is unlikely to use you again. Clearly communicate the value that you add.
- Quote on fair value, not customer worth
Big customers may have more financial backing, but should not have to pay a premium for your services. You may want to under–quote a small customer to make sure that you secure the work. Everybody loses when a quote is not fairly valued. Under quoting undermines the project and compromises your ability to deliver a high quality end–product. Over quoting undermines your relationship with the client and damages future opportunities.
- Know your strengths and weaknesses
Understanding yourself will help you to leverage your strengths and compensate for your weaknesses. Quote around your strengths and approach the project in a way that gives you and your client an advantage over your competitors.
- Take reasonable risks
If we only quote for things that are comfortable we limit our ability to grow. Sometimes a project might seem too big, or require skills that we have not yet aquired. Push yourself enough that each project forces you to grow.
- Only quote if you can deliver
If you can't deliver or you are not the best option, then be open and clear about this. Your client will be happy to know that you did not mess them around. Doing work for work sake is a bad strategy.
- Be remarkable
Amplify your strengths and offer something remarkable. Remarkable could be the way you communicate with your client, the quality of your work, or the speed at which you are able to deliver it. It may even be the price (high can also be remarkable). Remarkable beats boring.
If you have an idea for a product, or a problem that can be solved electronically, then please contact me – I would love the opportunity to give you a quote.
Great article Duncan. I like your approach, and can see Seth's influence in there too :)
ReplyDeleteKeep up the great work!
Oh, no's 1 and 6 are a bit contradictory. I agree with both, but perhaps the key is say upfront if you can't quote, otherwise make sure you do provide one?
ReplyDeleteJust my 2c :)
Yes, they are contradictory - by intention. I believe that there is a delicate tension between the two which every entrepreneur has to juggle.
ReplyDeleteGreat list, Duncan.
ReplyDeleteOn risk: I'd suggest don't be shy to show the risk, but there is no reason why you must take it on yourself every time. If the risk should be with the client, explain the risk and what the possible consequences may be - but make it clear it is for their account - at least if it should be their problem.
Then I'd also suggest:
Set policies.
This will give your approach to quoting structure. You'll be more consistent and less vulnerable to being influenced by circumstantial factors.