How to market to Technibblers?

[tstegart]

I launched the website today and I'd like to get advice from everyone here on how to best market to, um, you guys, basically.

To start off, I'm now in the iPhone and iPad repair business. One aspect of the business plan is to do white label repairs for computer shops so that they can offer iPhone and iPad repairs to their customers.

Having spent the last few weeks reading through the forums, it is obvious that people have all different sorts of businesses here supporting all sorts of customers. So I've narrowed it down to a few I think have the most promise.

• Tech support businesses providing support to SMB's who are adopting iOS devices and want to offer iOS device repair to their customers.
• Shops with a retail presence that want to offer iOS device repair to consumers.
• Basic repair shops who repair everything and just don't want to keep iOS device parts in stock.

Ignoring this forum as a method for communicating with my target market, how would you propose marketing to these businesses? I'm not really looking for how to identify potential leads as to what would convince you, as a business, to start offering your customers iOS device repair?

For example, lets say you provide computer repairs and tech support to small businesses. How can I convince you to start offering them iPad and iPhone repairs, which you would then farm out to me? What closes the deal?
Tom

 

[NYJimbo]

"What closes the deal?"

1) They must make a decent profit after paying you.
2) You must offer them a guarantee long enough so that they can offer one to their customers thats a decent length of time.
3) You must have enough stuff in stock so you are not surprised when they walk in with something and have to make them wait 3-5 days for a repair
4) You must never talk to or get involved with their customers or leave any signs that you have touched their machine/devices.

Those are a few things I do for my technician customers when I do laptops, I think that applies to anything in this business.

 

[tstegart]

Thanks @NYJimbo!

So you think, if I were email marketing, that indicating how much profit might be made would be a good thing? My prices are a little higher than the larger iPhone repair retail-oriented websites, but I still believe I offer a good profit.

I haven't set my exact guarantee yet, but I'm thinking 60 days. I plan on keeping enough parts in stock for most repairs, but is 3-5 days a long time to wait? I assumed most of my repairs would come through the mail, which gives me enough time to order parts if I'm out/short. So counting the time to mail back and one or two days to repair, it seems all my repairs will take 3-5 days.

Number 4 is pretty easy. I used to be a lawyer and I'm used to not getting involved or even getting curious anymore. On the other hand, I assume I will need iPhone lockscreen codes for testing. I just assumed it was reasonable to ask for this.

 

[mau64]

Yup, do all that and I'll keep you in mind.

 

[16k_zx81]

"What closes the deal?"

1) They must make a decent profit after paying you.
2) You must offer them a guarantee long enough so that they can offer one to their customers thats a decent length of time.
3) You must have enough stuff in stock so you are not surprised when they walk in with something and have to make them wait 3-5 days for a repair
4) You must never talk to or get involved with their customers or leave any signs that you have touched their machine/devices.

Those are a few things I do for my technician customers when I do laptops, I think that applies to anything in this business.

^ what NYJimbo said.

I outsource ipad screen repairs, and board-level chipset repairs. My requirements are the exact things mentioned.

If you are servicing nationally you need to build into your costing the price of next day or other 'fast' delivery to and from your customer and *still* leave a margin for adequate profit at their end. I think you will find this quite an ask when you compare with some of the local providers who provide this service directly.

I charge $99 for an iphone screen replacement. It costs me $65 from outsource company. There are local specialist repairers here who do it 'same day with a loan phone' for $95. Pretty hard to compete, which you must do if you want your outsource idea to work. (Thats not a criticism, just an observation of the necessary dynamics involved in competition)

In regard to marketing to TN, try a Forum sig, and also consider approaching Bryce for a banner ad here. Its not cheap but you would have a captive audience.

Best of luck with it

Jim

 

[mraikes]

...snipped...
So you think, if I were email marketing, that indicating how much profit might be made would be a good thing? My prices are a little higher than the larger iPhone repair retail-oriented websites, but I still believe I offer a good profit.
...snipped...

Prices are always localized. You would have a difficult time telling me what my profit would be - and NYJimbo's would likely be different, etc. etc.

In a nutshell, my cost to hire you including shipping plus enough markup to make it worth my time, can't exceed what local competition charges for the same work. It may even need to be less. Otherwise, what's my value proposition to my customer to wait what? 6-10 days at BEST? For a device they often use daily if not hourly?

A setup like this may be worthwhile to keep your tech's busy between more profitable retail work. But to be honest, if WE are your middlemen, YOUR profit can't even approach the same amount you earn working directly with retail customers.

The $$$ involved already leave little margin for divvying up the pie - and I have to make enough to be worth marketing, dealing with the customers, handling warranty issues, delayed shipments, etc.

Some days I wonder if it's worth when I'm making 100% of the profit!

I think you'd have to tell us your rock bottom pricing, and then WE have to see if there's room on top of that to be worthwhile in our markets.

 

[NYJimbo]

Thanks @NYJimbo!

So you think, if I were email marketing, that indicating how much profit might be made would be a good thing? My prices are a little higher than the larger iPhone repair retail-oriented websites, but I still believe I offer a good profit.

Well, I dont know if you can really email pricing, but I think the overall point is that your tech customers will want to make enough of a profit so that its worth taking in the work, sending it to you and then dealing with the customer later on.

 

[tstegart]

Hmm.. I find the local competition price point interesting. I'm not the lowest price by far, both because that's the way I want to run my business and because I currently live in a more upscale neighborhood. For retail customers in my immediate surroundings, my competitor is the Apple Store a half hour away.

If you go over to Madison, they have a business doing it for half my prices. Their business model is basically hiring college kids to fix phones. And of course, there are always the Craigslist vendors.

For my white label service, I may have to concentrate on shops in areas like my own. I'm already above your prices, @16k_zx81, so I'm curious what sort of urban environment you're in.

I agree with @mraikes that prices are localized, and I base what I would charge people like you on what I think people will pay for the final repair in my area. So then the question becomes, are my prices too high or are your prices too low? I assume people will pay $125 for an iPhone screen repair in my area, and I've based my wholesale prices on that. That leaves a healthy profit for computer shops who use me, but only if they charge high enough prices to begin with.

 

[altrenda]

In LA anyway, I think the profit is being sucked out of phone repair.
Repair prices from reputable shops for an iPhone 4s:
Screen repair $70
back replacement $45
everything else $40
While you wait. 30 -45 minutes with appointment.

not much meat there for anyone not doing high volume.

 

[16k_zx81]

Hmm.. I find the local competition price point interesting. I'm not the lowest price by far, both because that's the way I want to run my business and because I currently live in a more upscale neighborhood. For retail customers in my immediate surroundings, my competitor is the Apple Store a half hour away.

If you go over to Madison, they have a business doing it for half my prices. Their business model is basically hiring college kids to fix phones. And of course, there are always the Craigslist vendors.

For my white label service, I may have to concentrate on shops in areas like my own. I'm already above your prices, @16k_zx81, so I'm curious what sort of urban environment you're in.

Im in a city with population 1.2 million.

I dont think Im trying to compare prices with where you are. Im just trying to make a point about margins and competition. From what I have seen this is a difficult area to compete just in terms of direct service provision. I think what I am also trying to say is that as a 'third party' provider, these margins appear from where I am standing to be very thin indeed.

From a service standpoint, also, "while you wait" repairs are very difficult to compete with.

Btw - forgive me if I am wrong about the localities, but it looks like there's a guy up the road from you doing iphone screen repairs @$89

Jim

 

[callthatgirl]

You asked specifically...how to market to "Technibblers", meaning people in this forum, here are a few tips that helped me market to this crowd.

Post a lot and give good information your posts.
Reply to others and give them good feedback.
Learn from this forum, get to know the key people, watch their posts.
Add a link in your signature about your service.
As people find your posts of benefit, they will start to come to you naturally.
If people PM or email you, get back to them as fast as you can.

 

[SprinterTech-WI]

We do them at $85 retail and $62 wholesale... same day turnaround. Currently we do that at 5 stores in WI, just added another in Green Bay. Our competition charges $100-$125 but we stay low, no need to make $100 on a 25minute repair. 90 day warranty on all repairs.
The only repairs that take longer are some Android ones... but i overnight a parts shipment in about 2times a week, so if i know a phone is coming in i order the part up.

Good luck to ya, but i don't think $125 is a nationwide sellable rate, esp. Without a shop or without as you wait service.

 

[tstegart]

That could be my problem @SprinterTech-WI; I'm not down to 25 minutes yet!

Maybe I will look at getting my wholesale pricing down to the levels people have mentioned here. I'm not too terribly worried about the final retail pricing because I don't plan on concentrating on retail, but I'd like to be an effective supplier to computer shops and if most of the competition is on price and not other things, then I'll need to look into it.

Thanks everyone for your input so far, you've been amazing!
Tom

 

[mraikes]

...snipped....

So then the question becomes, are my prices too high or are your prices too low? I assume people will pay $125 for an iPhone screen repair in my area, and I've based my wholesale prices on that. That leaves a healthy profit for computer shops who use me, but only if they charge high enough prices to begin with.

$125 in your area translates to $79-$99 in Albuquerque NM. With my 20% discount on your $125 service, my cost is $100. And who pays for shipping? Clearly, Techs in New Mexico are unlikely to be your target audience.

Hmmm... you know, if you can get $125 YOU might want to subcontract to us. I'll charge $60 instead of your $100. My profit would be about $30. That leaves you $65 to cover the shipping, market, deal w/customers, and squeeze a little profit out the back end.

Sound like a good deal?

 

[altrenda]

Hmmm... you know, if you can get $125 YOU might want to subcontract to us. I'll charge $60 instead of your $100. My profit would be about $30. That leaves you $65 to cover the shipping, market, deal w/customers, and squeeze a little profit out the back end.

Sound like a good deal?

I like your style.
Too much local competition to make a mail in service work. Plus there's this from Twitter

Tyten Teegarden ‏@tyten
My 69 year old dad is replacing my mom’s iPhone 4 screen via @ifixit guide.
pic.twitter.com/afhMOO4w

 

[SprinterTech-WI]

Keep in mind places like Radio Shack sell this in every store and online:

http://www.radioshack.com/product/index.jsp?productId=12964444#tabsetBasic


$99.99 and your iphone 4/4s is back in your hands within 72hrs, covers overnight fedex shipping both ways.


For a pristine screen.

Get your iPhone 4/iPod touch repaired and returned in less than 72 hours. This service includes a toll-free customer support number and an online, real-time repair status. Plus, two-way FedEx overnight shipping and a one-year repair guarantee is included.

Repaired and returned in less than 72 hours
Toll-free customer support
Online, real-time repair status
Two-way FedEx overnight shipping included
Includes one-year repair guarantee
Satisfaction guaranteed

 

[lan101]

It sounds like a good concept in theory to offer and if everything went absolutely perfect for everyone involved...then that would be a great service. I'm just not sure with the whole mailing the phone, turn around time, etc if it would be worth the small profit made. Also too if a crazy customer comes in and wanting to know where his phone is etc. now you have to explain to him that it was shipped out to another company.

I'm not trying to be a downer, I really like the idea. I'm just trying to come up with possible pitfalls. I know for me personally, I would have to profit a very minimum of $50.00 to even be worth my time and headache dealing with a customer. I'm in a fairly low income area overall too. That's just my take.

 

[16k_zx81]

Also too if a crazy customer comes in and wanting to know where his phone is etc. now you have to explain to him that it was shipped out to another company.

.

If you take your car to a mechanic and it needs a head job - often this will be outsourced and commuted by courier.

Similarly transmissions,

Similarly steering racks, etc

Its not feasible for most of the smaller service centers to have service divisions and skilled staff for all of the 'fine work' required for many discrete, complex mechanical components.

Personally Ive never had an issue with mechanics outsourcing work when servicing my cars. Its a 'sign of the times' thats how many of them operate, and I pretty much expect it if its a trans or a head or a rack.

Similarly, I dont see any issue with tech repairers outsourcing tech repairs, and have, myself, been outsourcing chipset-level repairs since I started. I also outsource data the recovery jobs that I cant resolve, and nowadays have added i-devices to the mix.

Never seen a customer balk at the work being outsourced. Its just a way of doing business, and they seem to accept that. They know the work is being performed by a specialist staff, which can be perceived as a form of service quality, rather than deficit. The concerns only seem to be (a) turnaround time, and (b) price.

Just my 5c

Jim

 

[lan101]

Yeah I do outsource data recovery and I think that is expected with most people on something of that nature. Just curious what is your I-device turn around time typically?

 

[tstegart]

Thanks for everyone's feedback, you guys have been awesome!
Tom