Yes, You Can Compete Against Best Buy, Geek Squad

Julie

You are correct.  Best Buy does not give it away.  Nobody can afford to give it away. The issue is not the price.

I’m sorry, but if an AV professional can’t out sell the Kids (no offense intended) at the big blue box store, then they should apply for a job at the Post Office.
Selling is a 5 step process: meet & greet, qualify, recommend, close, and follow up.  The 2nd and 3rd steps require AV knowledge.  If you don’t have enough, then get more.

I’m pleading with the industry to get their act together. Don’t give away this amazingly fun business to the big boxes.
AV professionals are better than that.

My plea is directed to manufacturers as well. Their is only so much shelf space at the big boxes. If manufacturers lose the AV pro, they will have no place else to offer their product.  They may find themselves next to the former order takers at the Post Office.

I understand that best buy is not as low priced as most think. But the problem lies in the perception. People think they are cheaper so the use them, then get hit with all the up-charges ( I hate this type of business, but have been wondering if it may be necessary) then are unhappy, but the job is done now. Where as many of us give an all inclusive price lower than their final price but higher than their initial price, and we lose the job.

Seriously, how much more work is that 1 extra component? whats the difference in a 26” and a 32”, they are still going to sent 2 guys to do it.

By the way you forgot the “excludes power cable” issue

We all know we are better, unfortunately they have the budgets to make consumers believe differently.

Infinite 1
  You state that the problem is perception.  You are indeed correct.  But perception lies on both sides of the equation: the consumer & you. 
  Let’s assess the situation. First, you cannot control the weather, the national economy, and the big blue box store promotional machine.  But you can control who you do business with and your marketing plan.
  Not all consumers are your potential customer.  Therefore, aim your business compass at a specific customer target.  Begin with a look at your most sucessfull sales.  I hope that your best customers are those who have a genuine sincere passion for music and movies.  This should be your customer target.  This customer will buy better product than the big blue box store can offer.  This customer will buy from a dealer who shares his passion.  This customer will recognize the big blue box store for what it is: generic.
  Those who do not share the passion simply settle for generic product, the lowest price, and the blue box store.  And in fact that’s a just outcome.  This is not be your customer.
  Adopt the above as a business strategy.  The balance of your business plan should include the tactics you will use to reach your customer target.  This consist of the 4P’s of marketing: Place (where you do business), Product, Price, Promote (Sell).  And you do have the budget for this.
  In my opinion, the perception of the situation should change to ‘how can the big blue box store compete with you’.

When we felt that BB was starting to tap into our clients we changed our strategy.  No longer do we quote anything over the phone.  We set an appointment.  What we found is that an installation that we may have quoted over the phone previously and completed is getting installed now with all of the bells and whistles, clients are happy and we’re bringing in more revenue per installation.

Ed

Thanks for the advice. I will be the first to admit that sales and marketing is not my strong point. I am not using BB as my excuse, I dont need one, as each year has been better than the previous. I am by no means cheap, but do take any job that will pay my fees (I just read the article on firing some customers, and know who some of them are but still trying to wrap my head around it) I value the better clients but cant see JUST them making my entire living. I will take your points to action. Thanks again

iwire
I absolutely prefer to quote in person and not over the phone, as my personality seems to sell well, but as a one man shop, it is difficult to pull away from a current project to go quote another 2-3 hour hang and bang. I found myself running all over and some of them didnt come through. Most of my work is referral, so I WILL spend the time with those calls, but I found on generic panel hangs or small jobs I will throw out a price over the phone, and if they think it is fair, I book the appt, if not I havent wasted any time.Since alot of the time they have bought their mount and cables already, and wont pony up for power, there is no product money, time is valuable.  I have yet to find that the install is so much more than I pictured over the phone, that I have to upcharge. More of my hours are paid for this way

We have found the same to be true. Tell them up front that you’re competitive. Pull the rug out from under them. Keeping them from buying at Best Buy, the WalMart of the CE world until WalMart out-Walmart’s them, is in everyone’s best interest. Plus, our service is FAR superior to that of big blue’s college kids and career washouts. They’ll never beat us!

I do find it is hard to compete with BB since a customer can go in and see the tv’s . They have the foot traffic of people buying DVD’s and camera’s . Most people would go with a custom place if they saw the benefits. I could greatly benefit from a few more hang and bangs . There easy and get paid quickly. I know another custom guys that have gotten 100k jobs that came from a referal of small tv job. Most people don’t know any where else to get a tv accept bb or pcr . Its like this My gf has driven a toyota all here life so when it was time for a new car she when to toyota it was all she know . But it wasn’t the right fit . So I took her to bmw and she spent more but she’s happier ( so am I ) . The Public needs to be take to us (bmw ) not Best Buy ( Toyota) And explained we can give them better service and the right product for just a lil more .