Broaching the topic of budget with a new client can be tricky, but it is a vital step. It’s important to enter the conversation with confidence, to demonstrate your experience and professionalism, and remember, these conversations will allow you to determine whether the person is your ideal client.
Know your worth
Work out what your average projects cost and how much money you need to charge to be profitable, and go into all your budget conversations knowing this information to ensure you are not pitching yourself too low. You can add this typical job cost to your Houzz profile, as a clear indicator to potential clients of the average budget needed before getting in touch.
Get an idea of the client’s budget
The first important step when speaking with a new client is to try to gauge their budget, however, some clients may be reluctant to reveal this straight away or are unsure about what it should cost, but there are ways to tackle this.
Offer a price range as a starting point and you may find that your potential client is more forthcoming. If the answer to your question about budget was, “We’re not really sure what our budget is”, give the client a range such as £2,000 to £8,000. This will often prompt the response “£8,000 is too much, but we’d perhaps be able to pay £5,000”. By suggesting some figures, you’ll usually trigger some response that will give you an idea of what they want to pay.
Explain the figures
Once you have an initial starting point to work from, you can then fully explain what your services entail and the costs involved. From here you can discuss your client’s plans and provide a detailed breakdown of the costs involved to realise their vision. By being upfront and clear about your costs, your client can make an informed decision.
Houzz Pro software allows you to build professional-looking estimates in minutes so potential clients know all the costs involved. Accurate estimates win more projects, and Houzz Pro helps you create them fast.
Talk about past projects
A simple way of reassuring a client that they’re receiving a good deal is to give them examples of past projects. Ensure you upload photos from past projects to your website and Houzz profile, and most importantly, request reviews from your previous clients. Think of them as your CV for winning new jobs.
A customer will appreciate you taking the time to share detailed information, and this will help to set a realistic budget right from the start.
Give a quote and be flexible
Don’t assume that a high quote will scare a potential customer away. Be confident in your work and avoid the pressure of providing the lowest quote.
An informed client won’t necessarily go for the lower price, this decision will be based on a number of factors. Instead, give a range for the potential client to work from, as this will allow you to be flexible.
Stick to what works for you
Having a good understanding of your business model and how this works best for you can be an effective way to streamline budget discussions, and by being upfront about pricing you can ensure you’re both on the same page straight away.
Over 1,400 decorators have already created a profile on Houzz.co.uk, where consumers, interior designers and other trades can then link up or request their services. Simply visit www.houzz.co.uk/getStartedPro and sign up today – It’s free!