Devious competitor tactics

Sesame

I recently got a quote request for some work. It looked suspicious and a bit of googling revealed that the requester is connected to a competitor.
So know I know that he's fishing for my prices for his friend, how should I respond? I am thinking of giving him an inflated quote (leading him to think he has nothing to worry about as I'm more expensive). Or should I let on that I know what he's up to?
This hasn't happened to me before, so I'm not sure what the course of action would usually be!
Its a very small industry and there isn't that many of us in Ireland, so I don't want a bad rep and wouldn't consider doing what he has just done.

heggie

well if you do give an inflated quote, maybe he'll show that to people when looking for business?

Sesame

Never thought of that!
Haven't been running this business for very long, so still got a lot to learn.
Should I let on to him that I know what he's up to?

Darragh29

I'd call him on it...

greenfingers

just tell him your too busy at the minute but thank him for the oppourtunity of pricing the job and to keep you in mind for the next one. It happens to me every now and again. They usually realise that you have caught them and leave you alone.........and send another friend !

Darragh29

Or another tactic on your part could be to come in way way lower than what you would usually charge, then your competitor could lower his price and you are more competitive, and he could be losing money trying to "compete" with you!

Gurgle

Definitely give him the 'too busy' line - even go further and turn it around on him, tell him to call again in 6 months as you're planning to expand..., maybe even give him your competitor's contact details and say this guy *might* be able to do the job.

Sesame

Ha ha, I like it. will do that!
Caught it though seeing their social networking buddies. Scary too though that its so easy to find that out!

m5ex9oqjawdg2i

Gurgle wrote: »

Definitely give him the 'too busy' line - even go further and turn it around on him, tell him to call again in 6 months as you're planning to expand..., maybe even give him your competitor's contact details and say this guy *might* be able to do the job.

That's the best one there... don't inflate or deflate your price... it might work against you. Tell him some porkies, but make sure you have your back covered.

Savman

I'm not sure I'd do anything here except treat it like business as usual. If it's true, it's not exactly illegal. Tesco and Superquinn price check all the time, this is a part and parcel of business i.e. knowing what others are charging.

Sesame

You're right, it isn't illegal. I don't like the sneakiness of it.
I think if he rang me himself and said "I'm XX, you're competitor, just wondering how much you're charging", I would have been impressed at his guts and would tell him what the prices are and ask him what he's charging.

Sonnenblumen

Gurgle's suggestion might appear clever and probably is a good one, but I'd wonder why you'd even bother wasting any time on a dud enquiry?


Your spin on expansion could be used against you and it too can rebound?

byrne0f56789

Your competitor is bound to find out what you charge one way or another. They are just doing some market research. There are many ways they can find out what you charge. You should do the same and find out what they charge. It's business.

You should feel good about yourself because you are on your competitor's radar. You must be doing something right.

Savman

byrne0f56789 wrote: »

You should feel good about yourself because you are on your competitor's radar. You must be doing something right.

+1

dh0661

How about telling the "customer" that you are too busy to do the job in the near future - and recommend your competitor as a possible person to do the job.

blue4ever

Kaydence Nice Tycoon wrote: »

That's the best one there... don't inflate or deflate your price... it might work against you. Tell him some porkies, but make sure you have your back covered.

Look - be staright - ring 'the friend' and ask him why he is asking you for a quote when he has a relationship with the other company - don wast your time on the mind games - you will only loose sleep.

If they know that you are staright and can call a spade a shovel- they will have a new found respect (grudgingly) for you.

p.s - whats the general business area - prioduct/ service?

chillywilly

Although I understand that it is a little bit sneaky, its just business and finding out competitor prices is essential.

Id just give him your real prices and then let him know gently that you know what he is doing.

niceirishfella

TOO BUSY! Out the door.............can't quote right now.

Talk it up when its quiet, and talk it down when your busy.....i do it all the time, reverse psychology ehhhhhh....LOL

Gurgle

blue4ever wrote: »

don wast your time on the mind games - you will only loose sleep.

But mind games are fun :P

Sesame

Its both products and services.
An update: As the friends request was by email (personal, but named his company, as its the company that would require it), I phoned his company describing that they requested the quote and explained who I was. He was unavailable, but said they'd tell him to call me back. No call back - which I'm not surprised at. I guess its harder to lie over the phone than in an email.
Think I'll leave it at that and get back to the real work!

jhegarty

Darragh29 wrote: »

Or another tactic on your part could be to come in way way lower than what you would usually charge, then your competitor could lower his price and you are more competitive, and he could be losing money trying to "compete" with you!

Or he shows that quote to your customers to show them how you are ripping them off.

blue4ever

"Think I'll leave it at that and get back to the real work!"

Proper Order. They are taking the p1ss - leave it - ignore them.