Re: Brinks Home Security Fraud

[tourman <robercampbell@xxxxxxxxx>]

On Jun 22, 10:10 am, "Robert L Bass" <RobertLB...@xxxxxxxxxxx> wrote:
> "tourman" wrote:
>
> > RHC: Lemme see now....she's about 20 houses down from my place so I
> > walked over to her home....she's been my customer from 14 years paying
> > me every month.....she's a dear old lady, and not very able to
> > understand her alarm, and I have all her friends and relatives as
> > customers..... and it took me about 2 minutes to fix the problem.
>
> > You're damn right I didn't charge her ! If you would have, that would
> > make you part of the "problem" not part of the "solution"....
>
> > And no, I don't charge people for service calls relating to any sort
> > of trouble on their system. What little I "lose" up front, I gain
> > through multiple referrals and good will.....
>
> Bob,
>
> We usually charged for service calls after the initial warranty expired. =
 In
> the early years I gave a 5-year warranty to gain a competitive edge on bi=
ds.
> Later we changed it to a 2-year period.  That policy got us lots of refer=
rals
> though I'm sure your approach works just fine.
>
> There were certain exceptions.  During the recession if a client was out =
of
> work I would void the monitoring fee for up to one year.  Service visits =
were
> free as well.  When it was over almost every client who hadn't moved away
> stayed on with us.  Most offered to pay the prior year's fee once they we=
re
> working again.  We also got tons of referrals, especially of people who h=
ad
> been dropped by their alarm companies when they couldn't pay.
>
> --
>
> Regards,
> Robert L Bass
>
> =3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=
=3D=3D=3D=3D=3D=3D>
> Bass Home Electronics
> 4883 Fallcrest Circle
> Sarasota =B7 Florida =B7 34233http://www.bassburglaralarms.com
> Sales & Tech Support 941-925-8650
> Customer Service 941-870-2310
> Fax 941-870-3252
> =3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=
=3D=3D=3D=3D=3D=3D>

RHC: Bob, this brings up an interesting question (and one that
definately IS on topic).

Every business has to strike a proper (for them) balance between costs
and income. I chose at the beginning rightly or wrongly to provide an
all inclusive service for a very reasonable rate with no long term
contract. I wanted to be different rather than play in the
conventional marketplace. The gamble paid off for me handsomely and
makes it especially easy to compete against the large companies (there
is no competition really unless they get suckered first by a smooth
talking salesman). My warranty is 100% with no exclusions for ANY
reason for as long as the alarm is monitored through me. The only
"downside" is I don't install alarms at discounted prices, and I ONLY
do automatic billing. If a client wants a system at a lower rate up
front, and doesn't mind signing a contract, I refer him to other small
dealers for service (as they do for me). It's perhaps an unusual
market niche, but one I'm being successful in. I also know that I
simply don't have it in me to insist on the client paying out a
contract when he moves, and if I did business that way, and didn't, I
would be losing money.  So I recoup my equipment costs at the front
end (and then some)

Our market in Ottawa is a little different I suspect from a lot of
places. People have a lot of money, and are very fluid here in the
high tech industry, and they move a lot from home to home and place to
place. They like the freedom of no long term contract, and have the
money to easily pay a fair market price for a system. There is little
if any haggling involved. Other places, this formula might not work at
all, and I understand that...

Over the years when I have had to fix a broken alarm, and the client
has forgotten my motto...."you own the system - we own the problems -
period !!", and his system is fixed at no cost to him, most are
rightly surprised, but pleased (obviously), and my phone is soon
ringing with referrals and takeovers ! This approach would never work
for any large company, or even a small one with large overheads, but
for me, staying small and efficient, it works well. I work out of a
home office, subcontract my monitoring and billing to a large but very
good company, pay no advertising or up front promotional costs, and
keep all other overheads to things that are totally tax deductible.
The way I factor it is there is $1 a month in the monitoring rate for
"warranty", which pays me $1000 a month whether I spend anything or
not, and $2 a month for conventional service and troubles. The rest is
income from $15, less the monitoring fee. So in a sense, I am being
"paid" for my work, but not just in the standard way. Plus the two
high end, full priced systems that I install weekly easily pay my
son's salary plus profit for me. It's different, and does generate
some flack from some other companies, but usually because they don't
understand the cost structure, or are in the "free system" game, or
just don't want to take the longer range view. And in some cases, they
simply disagree with it, and that's fair ball.

But the bottom line question is whether I'm making money, providing a
decent service to the community, and enjoying my business. Bingo for
all three so far (especially the first...:)).

I too have had a couple of clients who couldn't afford the monitoring
because they lost their job in the high tech market. I have carried
them while they get back on their feet, rather than see them mickey
mouse their system, and like you, they have come back. Business is (or
should be) all about two things - helping people and making money.
Sometimes one reason takes priority over the other. But that's a rare
situation, and you have to make sure they don't see it as a form of
charity either....

I do understand when others in the newsgroup snipe at this. That is
natural given their market and the way they do business. I actually
see that as one sign I'm doing things right, although I don't need any
additional  proof in that regard. The tax man reminds me of that once
a year......