Is this tech under-charging?

And that's why the other owner is sending them your way. Because he/she doesn't want to deal with lowball residential clients. Ask that owner a question as to why he/she is passing up on said opportunity. They'd probably tell you the truth if they're honest.

They've stopped taking on residential clients in order to focus on businesses... apparently they've been considering passing their existing residential clients off to me, but haven't made any formal decisions quite yet.
 
I stay away from Facebook groups around my area they want the $20-$40 jobs. I tried it for a little bit and once I saw Johnny charging $25 for a virus removal I bowed out and never tried it again.
 
Yeah we keep getting tagged by customers in FB groups and I never respond any longer. We rank top in Google, Yahoo and Bing with at least 30 more positive reviews than any competitor. I'm not going to get in a group and get lowballed or worst yet get bashed with dozens of eyes watching and no way to defend myself. Screw those FB groups, it is my firm opinion anyone asking in groups for a good shop are really seeking out people that work on the side or on the cheap. GOOD is the last thing they're looking for or willing to pay for.
 
Computer Bloke beat me to it, but I was going to suggest waiting a week or two from his "undercut" post then ask in that group, "Hey, did you ever get that Windows 10 and laptop fan issue straightened out? How much did it end up costing after all?"
 
My guess is, he uses cheap prices to get them through the door, then "discovers" that they have a failing hard drive, viruses, etc. and charges them hundreds to fix those "issues." repair, then left spending $100's of dollars for work they didn't even need.

That's a garage trick. Especially ones that offer super cheap MOTs.
 
In this case out of curiosity and research I would follow up with the customer since you have her facebook contact and see if she got her laptop fixed, that would make you look sincere as we all should be and concerned for her problem. I'm sure she would let you know if she disapproved of that persons work and probably tell you she ended up paying a lot more. I don't advertise on Craigslist, you get people doing re-installs, malware removal and everything else for 25-40 bucks lol I can't! I don't want to be in that category. I do troll local facebook and craigslist computer repair ads to know what the newest trend or lowest prices are.
 
Ok, so apparently he's a "real" tech and business. So we have to imagine why he might do such a thing.

Makes you look bad.
Gains a customer with an introductory rate - you know, just trying to help out.
Business is slow this week and something is better than nothing.
Needs to keep lower paid employee busy. Or training.
That's his regular pricing and he just does a LOT of jobs.

Ghost shop him and find out what he charges IRL.
Plus 1 for the ghost-shopping. Then you'll know!
 
I wouldn't sweat it. If a legit company is charging $35 for a repair they surely won't be in business for long as it takes quite a bit more than that to make a decent living and actual grow. Or they'll linger as one of those always been there never makes any money type of places.
 
Did you follow up and see what the customer actually ended up paying? Having her post a review of his service in that Facebook group if he up charged a lot after his low-ball quote could help take care of him for other potential customers. Or maybe he is legit and using it just as new customer acquisition tactic. Just don't see that working too well.
 
Of course the price is to low. What if it has a failing hard drive besides? Without evaluating it, it is impossible to give a price estimate. We would charge about 150 for the fan and installation labor. Assuming the hard drive is good we would fix the windows issue at a discounted rate from $60 to $110 on top of it
 
Of course the price is to low. What if it has a failing hard drive besides? Without evaluating it, it is impossible to give a price estimate. We would charge about 150 for the fan and installation labor. Assuming the hard drive is good we would fix the windows issue at a discounted rate from $60 to $110 on top of it
You could certainly give an estimate. An estimate is what you "think" it will cost based on the information provided and subject to change if other issues are found.
 
Why are you chasing the bottom feeders in this business. I seriously don't know how you were going to do the job for $86.25. I won't even look at a machine for less than $125. Its not worth my time and expertise. It took you years to acquire the skills and knowledge to do your job well. Don't give it away. I know there are much cheaper techs offering their services in my service area but i give my customers much more than just my knowledge of computers. I like to build long lasting relationships with all my customers so that I become an invaluable resource that they can count on when they need my help. I attached a recent letter i received from a customer after i had already billed them $200 to solve and email issue that verizon and Frontier created when they merged. I was there for two and half hours, mostly on the phone with the two companies tech support. Kelly was so happy with my service that she sent me this letter and a check for an additional $100. Those are the kind of customers you want to build your business around.
 

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The F.B groups are a crap shoot, some of them lead to great jobs/clients and some are filled with cheap clients or people seaking free advice. I have had much better luck getting clients off F.B when I stay out of it. I let my clients in the group recommend me, if a prospect is serious, they will call me directly. Doing this also cuts out competing on price and eliminates folks that don't want to pay for a service.
As far as the tech doing it for 35 dollars, forget about him, do you want him to be your competition, do you want his clients that take cheap over quality?
Focus your energy on the firm that wants to hand you business and building relationships with others like them.
 
In my area, we had a person charging stupid low prices for laptop repairs. That same person brought me business. Why? Because he replaced laptop parts with used stuff that broke - often! I said HAD because I put him out of business by questioning him about warranties and if he was licensed and insured, which he wasn't and gave a 24 hour warranty. I am licensed, insured and give 30 day warranty on any repair.

Also, with such low prices, people just did not trust his work. Sure, it may be a $10 fan, but my labor is $69.95 + parts (would have been a $25 fan) and troubleshooting the Windows 10 issue - hourly at $60 hour.

The problem with shade-tree technicians is that they more often than not, don't know what they are doing and give us legit techs a bad rap. As for your issue OP, he seriously under charged. 30 mins? Yeah, how many screws would he put back in? Would he clean the dust off the fan he pulls from a donor laptop? Etc. etc.....
 
Why are you chasing the bottom feeders in this business. I seriously don't know how you were going to do the job for $86.25. I won't even look at a machine for less than $125. Its not worth my time and expertise. It took you years to acquire the skills and knowledge to do your job well. Don't give it away. I know there are much cheaper techs offering their services in my service area but i give my customers much more than just my knowledge of computers. I like to build long lasting relationships with all my customers so that I become an invaluable resource that they can count on when they need my help. I attached a recent letter i received from a customer after i had already billed them $200 to solve and email issue that verizon and Frontier created when they merged. I was there for two and half hours, mostly on the phone with the two companies tech support. Kelly was so happy with my service that she sent me this letter and a check for an additional $100. Those are the kind of customers you want to build your business around.

I have literally been discussing this with my wife this past month. I don't mind taking a one off client here and there when they are willing to pay. But I will not be low balled nor deal with the PITA clients. Fired all those headaches and told them to take a hike a couple years back when they didn't like my price increase.

I myself strive to build long term relationships with my clients and be their go to guy when they need something with their computer and technology related.
 
Wasted time really. If he is using a strategy of reeling in a client with low prices and then charging more this would turn against him eventually.
 
Don't even worry about it OP. If clients are going to chase dollars like that, they are not really the clients you want. I charge $40 just to look at a machine. Case in point, had a machine in last week, locking up. Diagnosed as a failing hard drive, called and told them what was going on. They didn't call back, just wanted to pick it up. Whatever. Anyway, I guess the guy talked to my wife who was in the shop when I wasn't, dude wanted his diagnostic fee back. Like no, we don't do that. She didn't give him the machine at that time, so he stopped by later when I was in for a few minutes, ironically no mention of that conversation, gave him his machine sent him on the way. Might have helped I'm bigger than he was lol. But really, if I'm doing tech work for less than say my diagnostic, I don't want to bother. I'll be fine with taking just my diagnostic if I'm only someplace say 10 minutes, but these people that want to hire a tech for like 30 bucks, you know I get it, but if I'm going to only work for 30-40 bucks at a time, why bother?
 
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