How do you prevent this from happening? The first step is to educate yourself.
One key is to locate a reliable manufacture’s representative in your area. Over time, you will need their support and I guarantee they will help you.
These days, most pro audio equipment manufactures offer products intended for the contracting market so it’s a good idea to start within your comfort zone.
One great way to get information is at trade shows which include exhibitions present training seminars, and plenty of manufacturers maintain booths and demo rooms.
If you wear a badge that indicates you are a potential buyer, they will be very eager to offer assistance.
I’m Ready! Wait…How Do I Bid?
Unless you are already a wizard in contracting, this can be your biggest challenge by far. A sound reinforcement guy can look at a rider, compare it to the equipment specified and quickly see if it’s a fair bid for the gig.
After all, you are selling the client a service rather than a product. The products used may ultimately get the job, but it is still a service you are providing. Sound contracting is way different.
There are two approaches to bidding an installation. First you must ask yourself, am I just selling product and installation labor? Or, am I selling a maintenance program along with the products?
In some cases, it might be a little of both. This can be a tough question for anyone to answer, but it must be figured out prior to the bid.
It is critical because your client may have high-maintenance needs and may have knowledge to shop around the product portion. You may have to bid less on the product side, knowing there is profit on the maintenance side.
The last thing you need is your client feeling that you took advantage of them. Remember that you are still doing live sound gigs for them. That is what got you the job in the first place.
When charging a client for contracting products, a safe rule-of-thumb is to charge around 30% to 40% above dealer. For labor and maintenance, you will have to figure out what your time is worth.
Remember that every job is different. For consumer-based products, it is slightly different, as it is nearly all full-retail pricing.
Most everyone involved with sound reinforcement companies will face the one-stop audio situation someday. The key is to not forget what got you that client.
It is a fine line between bidding on the job fairly, not to screw up the market, and charging the client too much. Remember, customer service is what got you the client. One last thing, take care of your client or someone else will!
Jeff Kuells is an audio engineer and audio manufacturing consultant and was previously director of engineering for a major amplifier manufacturer.