Why pay an electrician flat rate?
Posted by Carol Hart on Mon, Aug 31, 2009 @ 10:51 AM
We all know the phrase "time is money", and nowhere is that more true than in a home services company. It seems pretty straightforward--you find someone who charges a reasonable hourly rate (and "reasonable" is definitely in the eye of the beholder!!) and get an estimate for how long the job should take and how much you'll pay for materials. That's the way to save money, we're told. Unfortunately, that leaves the customer watching the meter tick and the bill growing by the minute. Often, the customer feels the need to hover over the technician to make sure that no time is wasted. And the plumber or electrician who's trying to work? They're actually rewarded for working more slowly.
I've had the experience (one I'm sure you've shared) of waiting and waiting on a service technician, wondering if my checkbook is deep enough for whatever the bill turns out to be. I don't like it, and that's why I'm a fan of the flat rate.
No one ever asks the appliance retailer how much per hour that fridge costs. It's a flat rate, and we the customer decide if we feel the fridge is worth it. The same goes for services--how much per hour does a dentist or hair stylist charge? It's irrelevent to us. We find a dentist who works carefully, and a stylist who makes us look great, and we decide if the cost is worth the end result. So why should the same principle not apply to electricians and other home service professionals?
Most professional home service companies are turning to flat rate systems, and most homeowners LOVE the switch. Why? Having a ceiling fan installed or a plug replaced is a much less stressful when you already know the cost. The homeowner has control over what they pay--not the electrician. There's no risk of padding the bill by wasting time--the customer's and the repairperson's--and the electrician is not rewarded for slow and inefficient service.
Now that's a win-win situation.