Owned and Operated - A Plumbing, Electrical, and HVAC Business Growth Podcast

#158 Pricing Effectively Based On Your Efficiency

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Dec 31, 2024

Discover the secrets of strategic pricing and why gross profit surpasses gross margin in importance. John and Jack share their experience with 46% year-over-year growth, highlighting effective marketing partnerships. Learn how handling discounts and boosting inside sales can drive revenue. They tackle common pricing challenges in plumbing and emphasize the need for aligned team perceptions. With insights on operational efficiency, commission structures, and staying ahead of AI trends, this conversation is packed with actionable advice for thriving in the service industry.

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ANECDOTE

Record-Breaking October

John Wilson's company, Wilson Companies, experienced significant growth, up 50% year over year.
October was a record-breaking month, exceeding previous revenue highs, even with fewer working days.

ADVICE

Strategic Pricing

Price strategically, considering overhead, efficiency, and technician earnings.
Determine your hourly rate based on these factors and strive for higher efficiency.

INSIGHT

Efficiency's Impact on Pricing

Companies often overestimate their efficiency, leading to inaccurate pricing.
Focus on increasing efficiency alongside raising prices to improve profitability.

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Join John and Jack as they break down the do’s and don’ts of strategic pricing and why gross profit matters more than gross margin. They’ll also chat about handling discounts, boosting inside sales, and training your team to hit those numbers. Plus, hear about their crazy year-over-year growth and their open book management style. Tune in for some real talk on making your service business thrive!

Wilson Companies just wrapped up the year in the low $20M range, and they couldn’t be more pumped. Most of the industry didn’t see the same level of success this year, so it’s an incredible achievement.

A SPECIAL THANKS TO SERVICE SCALERS

When you think about who helped make it happen, Service Scalers is right at the top of the list. Wilson has been working with them for a couple of years now, and they’ve delivered best-in-class SEO, PPC, and dominated LSA and GMB marketing for the company. Service Scalers has been a critical partner in driving Wilson’s impressive 46% year-over-year growth.

Looking ahead to next year, Wilson is aiming for the low $30M range. Service Scalers will remain one of their most strategic partners, helping them stay ahead of AI trends, keeping their SEO sharp, and ensuring they stay at the top—exactly where they want to be.

Huge thanks to Sam and his team at Service Scalers. If you’re looking to level up, check out ServiceScalers.com

A SPECIAL THANKS TO HATCH

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John Wilson, CEO of Wilson Companies
Jack Carr, CEO of Rapid HVAC

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