Re: Brinks & Broadview Takeovers

["Doug" <not@xxxxxxxx>]

"tourman" <robercampbell@xxxxxxxxx> wrote in message
news:45633a6e-6b99-4f7f-942a-77a809280ae3@xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
On Oct 2, 10:00 pm, "Doug" <n...@xxxxxxxx> wrote:
> "tourman" <robercampb...@xxxxxxxxx> wrote in message
>
> news:404dd192-3526-4aaf-b76b-ab6ae2a2959c@xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
>
> > So, yes, in that sense I contributed to the lowering of prices, but
> > things have since gone from the sublime to the ridiculous. Many
> > companies charge $12 full service all the way down to $9 no service. I
> > know that they are not making money overall, unless my previous rate
> > calculations were way off.
>
> I don't know what the average rate was in your area when you were a
> newcomer
> to the alarm business and priced your service at $15 full service, but if
> the average rate was $25 then you priced yourself 40% below your
> competitors. If the average rate was $20 then you priced yourself 25%
> below
> the competition.
>
> If the rate you charge is still only $15 for full service, then a newcomer
> charging $12 for full service is only undercutting you by 20%.
>
> I'm sorry but I fail to see any logic to your position that things have
> gone
> from the sublime to the ridiculous, you apparently entered the game at
> between 25% to 40% below your competitors and now are unhappy when others
> are entering at 20% below your price.
>
> Doug

>RHC: No....I'm unhappy about the newcomers who don't do good work
>whatever they charge, $12 OR $25.. Bottom line, the super discounters
>don't affect me much if at all. You've missed the point of this
>discussion. When the price gets too low, with people scrambling to get
>accounts at any cost, that's the start of a downhill slide in the
>industry.

Who decides the point when the start of the downhill slide began, did it
start when you undercut the competition by 40% by pricing your service at
$15 or did it start when others undercut you by 20% at $12.

In the same vein, what exactly constitutes a "super discounter", someone
who enters the game at 40% under the going rate or someone who charges 20%
less than what you claim is the now going rate in your area.

You really can't contribute to the decline in prices and then lament the
fact that prices are now ridiculously low.

You now claim that it isn't the price, but the poor service that you are
unhappy with,well if that's the case why did you bring price into the
discussion, why not just bang on forever more about the newcomers that are
providing poor service.

As to me missing the point, if you ever get round to making one, I'll do my
best not to miss it.

Doug