Ginny asked:
1) Why is a month to month less desirable than a yearly contract? I guess I
know the answer to
this but have not changed my prices in the last 8 years.
Month to month isn't necessarily less desirable, but it is less common. In
general, annual and multi-year contracts offer consistency of budgeting (for
both parties), and conceivably "lock in" pricing for the term of the
agreement (watch the fine print, folks). However, also conceivably, similar
budgetary protections can be offered month to month as well (a cap based on
the CPI, for example; or a cap on the number of rate increases per year,
etc.). That coupled with a careful examination of the vendor's previous
rate increases to indicate a pattern of behavior may make up for the
uncertainty ... but still more potential financial risk no matter which way
you slice it.
Each organization will weight the value of consistency of pricing vs.
flexibility to switch vendors differently, and it will depend on lots of
things like how many boxes they store, past history with the vendor, level
of individual responsible for managing the contract and their respective
pull within their organization, etc.
2) Why would a client leave my facility to go to another facility that
charges much more than I, charges $15 for
perm out fees per box, while I only charge the pull charge and they really
don't care about their customers?
At least one reason why a customer may choose to leave a vendor with whom
they are happy is single-sourcing. Perhaps this more expensive vendor
offers service lines you don't, and perhaps the premium on paper storage is
balanced by the perceived (or actual) value of such "other" services. And
while you cite $15 permout fees, anyone who has sat through a serious
negotiation session with a vendor who regularly charges them knows, all of
that is negotiable ... so the deal may be quite different when signed than
you think it is.
As for not "car[ing] about their customers", hard to say. Some people
just don't have a need for warm and fuzzies and are just fine being a
"number". Personally, I like some level of warm and fuzzy and so would
include that in a vendor's value proposition.
3) What am I missing that ya'all want? If you are going to leave, why am I
not given an opportunity to
re-present myself, so that maybe you will stay? Or is "It was a business
decision" really equate to higher
management not involved in the day to day business with people needing
records?
It may be that you just can't offer all of the services they desire so
there's no point in offering you an opportunity to re-bid. Or, perhaps they
weren't as happy as they let on, but didn't feel obliged to share. Or maybe
it's management making arbitrary decisions. Does it really matter? The
point here is, do whatever it is you do to the absolute best of your ability
and treat customers like you want to be treated, and the rest will shake
out. Spend your energy on serving customers, not worrying about one who
left. If you're really that good, they'll be back.
All in all, Ginny, it sounds to me like you've got a winner on your hands
(and the name of your company is very clever!). I don't have a need for
paper storage in Arizona, but if I did, I would certainly give you a shot at
my business.
Cheers,
Julie
--
Julie J. Colgan, CRM
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