how to price your lsiting collection price guidance on lovejunk

Collection Price Guide & Counter Offers

18 September 2020

How much does a collection cost?

The price you pay is the price you agree with a collector. Prices are typically 25-50% cheaper than 'standard'.  You can see examples here.

 

How does the process work?

When you create your listing, you include a price that you're willing to pay. Nearby collectors will claim the job for that price immediately (this happens VERY QUICKLY if you've priced it fairly) or counter offer a higher price (typical response time is 50 seconds). You can accept a counter offer, wait for a better/cheaper one, or increase your original offer by clicking the increase price button in your listing. The process continues until a price is agreed. Average time for a match is 3 minutes.

 

Why are collection prices so much cheaper than normal?

Low prices are a combination of a) market competition, b) collectors being able to review and agree the price for your job remotely in seconds (so they don't have to risk a customer saying no after they've driven to site to give their quote), c) collectors being nearby (which cuts the travel time for the job and therefore their cost of labour and fuel), and d) reuse (which reduces the collector's cost).

 

What Price should I offer when I create my listing?

What price should you offer and why? Here are the THREE major sources of reference for price:

  1. Prices of Similar Collections
  2. Price Estimate when listing
  3. Counter Offers after listing

 

1. Prices of Similar Collections

Scroll through previous collections in the LoveJunk home gallery to see what collection price was paid for jobs similar to yours. But remember, no two jobs are the same - think reusability of junk, postcode area, accessibility, time of day, day of week, proximity of collector - but this exercise is a pretty good indication of what the going rate is for your type of job.  This is particularly helpful for simple items like a mattress or sofa.

Click to see recent examples of BULKY WASTE and TRADE & DIY WASTE.

 

2. Price Estimate provided when creating a Listing

A Price Estimate appears below the ‘Price You Would Like To Pay’ field as you create your free listing. The price range shown is based on recent prices being paid by users of the platform to get rid of similar size jobs and waste type. This range changes over time, depending on supply and demand. If you offer a price at or close to the top of the range, you are VERY likely to be matched in a few seconds.  Offer a price at the low end of the range and you're more likely to receive a counter offer.

 

3. Counter Offers from Collectors after you've posted

If collectors think your offered collection price is too low, they can make a Counter Offer.  Counter Offers show in orange on the App home gallery screen.  As a customer you'll also receive a notification any time a counter offer is made. A counter offer is just that.  You are not obliged to accept it. But if you do, then the price is agreed and the job will be allocated to that Collector.  You can receive, and collectors can make, more than one counter offer for a listing. So, if you're not in a rush, take your time to see if a better counter offer comes in after the first one.

 

 

 

Why is a Collection at the High or Low end of the Price Estimate?

The following factors influence if the agreed collection price ends up being towards the top or bottom (or even outside) of the Price Estimate.

 

  • Size – our 4 different Load Sizes are simplified and, particularly with the larger loads, this means there is quite a lot of wiggle room as to how much junk you have compared to the chosen Load Size. Accordingly, if your volume of junk is towards the larger end of your chosen Load Size, it’s likely you will need to offer a price towards the top end of the Price Estimate range. On the other hand, if you think your junk only just qualifies for your chosen Load Size, then (subject to any other factors below) it should be fine to offer a price towards the low end of the estimate range.

 

  • Weight – weight is a key factor in waste disposal because collectors are typically charged on the basis of weight (not volume) when they dispose of waste at commercial recycling facilities. So, if your junk contains a significant proportion of very heavy, dense waste material (eg. soil, bricks, sawdust, logs, wet leaves, concrete, gravel, carpet tiles) then expect to have to pay towards the top end of your Price Estimate range, because the cost of disposal will be relatively high for the collector for this load size. Alternatively, if your waste is particularly light (eg. packaging, polystyrene, duvets, empty boxes), then disposal cost will be lower than normal for this load size, so you should be able to pay towards the low end of the Price Estimate range. Note: the DIY waste option within the Create New Listing page is there to identify heavier items and adjusts the estimated price range accordingly. Nonetheless, there is a big difference between a couple of bags of rubble, and an enormous pile of broken tiles. Lots of heavy waste, normally means you will need to offer price at the high end of the price estimate range.

 

  • Fridges, Mattresses – certain items (unless they can be reused) cost more to dispose of than ‘normal’ waste because of what they are made of and as a result how difficult it is to recycle them. The most common special items are fridges and mattresses . As a result, collectors will normally require a premium to collect these. As a rough guide, add £10-£15 per fridge or mattress to whatever price you would have offered if your junk did not include any of these special items.

 

  • Metal and Resalable Junk – if your waste includes material that has resale value, then feel free to offer a collection price that reflects this. A reasonable amount of metal (in particular copper and brass) will have scrap value.  So, highlighting this clearly in your listing description / additional info and making sure it can be seen in your photos, will likely allow you to offer a price towards the lower end of the price estimate. Equally, reusable items (like a nice bike or sofa) in good condition and working order may also impact price.

 

  • Urgency – if you need a collection done fast, offering a price at the high end of the price estimate should lead to a faster match.  On the other hand, if you’re in no rush, it's fine to offer a low price and waiti to see if any collectors are interested.

 

  • Time slot and day of week – your chosen collection time can significantly impact the price required. If you select a ‘normal’ time slot (eg. weekday between 09:00 – 16:00), there should be plenty of collectors operating and available to accept your job, so no premium will be required.  However, if you choose a very unsociable time (eg. Sunday 03:00 – 05:00), you will probably have to pay the top end of or even above the estimated price range to get them out of bed! Equally, if you choose a time likely to be very popular with lots of other customers (eg. 07:00 – 09:00 on Friday or mid-morning on Saturday), prices may be higher because most collectors are already busy at these times and so available collector capacity will be low.

 

  • Access & Location – easy access and easy location normally mean lower prices because the job takes less time to load. Difficult locations and access mean more time spent on site which increases a collector’s cost, which in turn means they will want prices nearer the higher end of the price range.

 

  • Solo lift – classifying your job as a Solo Lift means it can be undertaken by just one person which, subject to any other factors, means it costs less to do and therefore you can price it towards the low end of the range. Some collectors only operate as one-man teams, so ‘solo lift jobs’ can be done by a wider pool of collectors which also increases supply and therefore lowers prices.

 

PS. Last but not least, please try to be as honest and accurate as possible when creating listings. It’s natural to be optimistic when deciding how much you should pay for a service, but wishing your job is small, light and easy doesn’t actually make it so. Creating a listing that doesn’t reflect reality will just end up wasting both your own time and that of the collector.



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