Evaluating Call-Out Rates: Should You Charge More During the Holidays?

Evaluating Call-Out Rates: Should You Charge More During the Holidays?

BUSINESS

12/19/20242 min read

a man fixing a light switch on a wall
a man fixing a light switch on a wall

As the holiday season approaches, many tradespeople, including plumbers and electricians, consider adjusting their call-out rates to reflect the increased demand and limited availability. Understanding the standard rates and considering a reasonable increase during the holidays is crucial for maintaining competitiveness while ensuring profitability.

Current Hourly Rates

Plumbers in Australia typically charge an hourly rate ranging from $70 to $200, depending on the complexity of the job and the plumber's experience. The average rate tends to hover around $85 to $150 per hour. For electricians, the rates are quite similar, often aligning closely with plumbing rates due to comparable service demands and skill requirements​

Call Out Fees

Call-out fees are additional charges applied to cover travel and preparation time. For plumbers, these fees generally range from $50 to $150, depending on various factors like location and the urgency of the call. This fee is standard practice in the industry and is expected by most clients during regular days​

Considering a Holiday Increase

During the holiday season, it's not uncommon for tradespeople to increase their rates. This compensates for the higher demand, the inconvenience of working during holidays, and the reduced number of available workers. A reasonable increase could be in the range of 10-20%. This increment helps manage client expectations and also covers any extra costs that might arise from suppliers or subcontractors increasing their prices during this period.

Communicating with Clients

Transparency is key when adjusting rates. It’s important to communicate any rate changes clearly and ahead of time. Informing clients about the holiday pricing during the initial consultation or through your website and social media channels can prevent misunderstandings and foster trust.

Conclusion

Determining whether to adjust your holiday call-out rates and by how much involves understanding the current market rates and assessing your business needs. A modest increase is generally acceptable and can be effectively managed through clear communication, ensuring that both the business and client expectations are handled professionally.

This approach not only ensures that your business remains profitable but also respects the needs and expectations of your clients, maintaining good relationships and fostering repeat business for future holiday seasons.