The why is simple: Either you don’t sell enough jobs or you don’t generate enough profit from the jobs you do sell.
Part of the challenge is how consumers buy kitchen cabinets and design services.
Consumers have been conditioned to think designs are free, thanks to home centers and designers advertising free design. Most designers don’t get “paid” for their design services until they sell the job. Your mark-up on the job is your payment for design services rendered.
For example, if you quote 10 jobs and sell 4, that means the 4 jobs you sold paid for the hours you put into 6 jobs you didn’t sell.
However, you didn’t sell the 4 jobs for enough to pay for your time on the 6 jobs you didn’t get. That is the real problem in our business.
Hey, if you do charge design fees -- good for you! You have dealt with a portion of the problem.
Every profession, to some degree, invests time without receiving money. However, the difference in other industries is that the owner of the company is not doing something as highly technical as designing a kitchen. And at the same time, ignoring all other aspects of running his/her business.
In other words, those other businesses have enough margin so that the owner can hire others, like salespeople to sell. But you say: ”I don’t want to hire salespeople or designers”. You may say that, but I bet you would like to make enough money and have enough business to have that option.
But this isn’t about design fees. Not being able to charge design fees is a symptom of a bigger problem.
You need to take control of your business. You need to set the expectations. And stop responding to someone who doesn’t know half as much as you do, like your customers, for instance.
Visit my marketing services website kitchendesignpartner.com to learn more.