This reads more like a press release than a news article but still interesting to know how much Coyle charges for a hotel inspection:

[www.wsj.com]

That was a fun little read.

Shows how bad the shopper is getting screwed.

" accepting fewer than 10 percent of the 25,000 people who apply each year. Those who make the cut can search the firm’s intranet job board for assignments..."

Anybody know anyone who didn't make the cut?

How exactly are shoppers getting screwed?

@BuffaloNY101 wrote:

Shows how bad the shopper is getting screwed.

While I think that Coyle underpays shoppers (in comparison to other luxury mystery shopping companies), I'm not sure I'd say shoppers are screwed. That fee accounts for getting the client in the first place, establishing the parameters of the shop and questionnaire, scheduling, editing, account management, administration, and profit for the business. If you think you can do all of that yourself, you're welcome to start your own business and compete with them, right?

@elynbeth wrote:

@BuffaloNY101 wrote:

Shows how bad the shopper is getting screwed.

While I think that Coyle underpays shoppers (in comparison to other luxury mystery shopping companies), I'm not sure I'd say shoppers are screwed. That fee accounts for getting the client in the first place, establishing the parameters of the shop and questionnaire, scheduling, editing, account management, administration, and profit for the business. If you think you can do all of that yourself, you're welcome to start your own business and compete with them, right?

WHAT??? You mean these report forms don't create themselves?? Technology today is still CRAP.

I certainly don't think they are trying to take advantage of shoppers. But, alas, as with all other MSCs, fees continue to go down over time.

Don't tell anyone, but I would be happy to complete a few select assigments for free, and for a very few select assignments I've seriously considered offering them hard, cold cash, or someone's first born, for the opportunity.

They are the only MSC that the above statement holds true. You couldn't pay me enough for some assignments. I once did a grocery pricing audit/cost of living project, back in the day, that paid me $325.00. Not sure I would do it again, even at that price and that was over five years ago.

Edited 1 time(s). Last edit at 02/01/2016 06:46AM by Professional Guest.

oh yeah they get paid $1500 per shop and the shopper makes $200 most plus reimbursed room and meals which cost the hotel next to nothing. oh and once the form is set up for one hotel it is easy to copy and tweak for each new client. We know editors and schedulers make peanuts per shop. So yes shoppers get screwed which is why I don't shop hotels.

To be fair: what about the cost of sales, marketing, insurance, customer service, accounting, overhead.....?
Companies are in this business to make money. Shoppers are in this business for varied reasons, but mostly to make money. It's up to individual shopper, as an IC, to figure out if the shops are profitable for them. If I am happy with the profit I make, i do not begrudge someone else the money they make. If I am not happy with the fee offered, I don't take the assignment.

At least we now know what their top travel pay will be :-). PG, have you done any of their assignments? I like this company, I try to take shops when I can, but I wouldn't do even their cruises for free. Their reports are much more work than most hotel forms.

@MMMM wrote:

If I am happy with the profit I make, i do not begrudge someone else the money they make. If I am not happy with the fee offered, I don't take the assignment.

Which is why not one is getting screwed unless you are screwing yourself.

I think that in reality ACL is probably working at a much higher per shop profit level than Coyle with their no-fee hotel shops. I choose not to take those shops...

For any that have done a Coyle hotel, you realize the amount of editorial work that goes into it and consider the fact that most of the editors are employees as far as I know. It's easy to see how producing the report could cost that much and leave little profit to share with the shopper...and if you think the editors are making out; know that I gave up what would probably be considered a lucrative job working as an editor in order to return to being a shopper. The employees are NOT allowed to perform the assignments, but have to read all about our travels and fine dining. Not that desirable of a job!

For me; I'm looking at over $30k in reimbursements alone from Coyle for 2015 in fine dining and travel, so I certainly don't feel screwed.

Maybe we should keep in mind a lot of MSCs don't like our profit margins any better than we like theirs

@Hoju wrote:

" accepting fewer than 10 percent of the 25,000 people who apply each year. Those who make the cut can search the firm’s intranet job board for assignments..."

Anybody know anyone who didn't make the cut?

Haha, I didn't the first time I applied. Granted, I didn't take the application seriously and may have even left the sample narrative blank the first time I can't really remember. But once I started reading about the types of shops they offered I put some effort into the application and got accepted.

@PasswordNotFound wrote:

I like this company, I try to take shops when I can, but I wouldn't do even their cruises for free.

I especially wouldn't do a cruise shop for free, just not for me. I have done hotel shops for essentially free, using the shop fees to offset travel expenses but other local hotel shops I've not bothered to apply for even with a reasonable fee.

I didn't make the cut the first time either - I had to apply twice... which I know they don't recommend, but it worked for me. I also have to agree with PG - they are the only company out there, that for a few assignments, I would happily do them for free. Others make sense if I am in the area and need a hotel room or a meal or two. Others I wouldn't personally touch, but that doesn't mean they aren't right for someone.

It's interesting how not long after this thread started, Coyle posted a series of their popular shops with fees cut in half from that of previous years. But everything offered in my area in 2016 has been offered at a lower fee from previous fee amounts.

I don't think it was because of this thread in anyway. If you pay close attention to the hotel fees, they have steadily gone down (along with travel reimbursements) over the past two years.

Actually, I'm doing a hotel tomorrow that has a higher fee than in the past. They are not all lower...

@SteveSoCal wrote:

Actually, I'm doing a hotel tomorrow that has a higher fee than in the past. They are not all lower...

Your GF is one lucky lady.

Anywhoooo, I don't care what Coyle charges. I get mine, so I'm good. I do their shops for the lifestyle enhancement. Plus, I am generally too lazy to make my own Mahattans.

@SoCalMama wrote:

Your GF is one lucky lady.

Hahaha...she is, but she's not coming tomorrow. Travel reimbursement is low for this one so I'm traveling solo to visit with another forum member.

That said, I had a hotel last week in NYC for Guest Check that also had a pay increase recently, and the GF is coming with me next week for a ski resort that had a recent travel increase.

Not all fees are heading lower...

@SteveSoCal wrote:

@SoCalMama wrote:

Your GF is one lucky lady.

Hahaha...she is, but she's not coming tomorrow. Travel reimbursement is low for this one so I'm traveling solo to visit with another forum member.

That said, I had a hotel last week in NYC for Guest Check that also had a pay increase recently, and the GF is coming with me next week for a ski resort that had a recent travel increase.

Not all fees are heading lower...

Come visit me anytime.

Interesting article. I read in some business publication that sales people make 20% commission when the contract is signed. If the annual contract is $2,000,000 -- well, I wish I were in sales!

@ceasesmith wrote:

Interesting article. I read in some business publication that sales people make 20% commission when the contract is signed. If the annual contract is $2,000,000 -- well, I wish I were in sales!

Sales commissions are all over the map and vary widely by industry and even company. I have worked for several marketing consulting and marketing research firms - all who had salespeople. Not a single one has even approached a 20% on contract amount commission level. No where close. I have seen 5 to 10% on profit (profit is a lot less than total sales) as average.

I have. Initially began with their high-end dining. Now I seem to average a hotel assignment at least once a month for them. Domestic and international. The cruise shops will make you weep - hotel shops on steroids and speed. That being said, their assignments have afforded many once-in-a lifetime experiences.

And please forgive the delayed reply, didn't realize "PG" was me!

@PasswordNotFound wrote:

PG, have you done any of their assignments? I like this company, I try to take shops when I can, but I wouldn't do even their cruises for free. Their reports are much more work than most hotel forms.

@saacman5033 wrote:

It's interesting how not long after this thread started, Coyle posted a series of their popular shops with fees cut in half from that of previous years. But everything offered in my area in 2016 has been offered at a lower fee from previous fee amounts.

Which might that be? Their restaurants still seem to pay about $15 a pop.

I was an IT consultant for a very long time. If I earned $35 an hour, my company was paid close to $125 an hour for my services. The $100+ an hour we pay for car services, the technician makes about $30 an hour at the most. The copy repair person making $30 an hour comes out of the $130 an hour service fee. Same ratio ranges for your A/C repairs, plumbing service, etc...

Most businesses go under due to lack of proper financial planning.

None of the MSCs are creating multi millionaire owners. The better ones pay on time, pay fairly, and will be around a long time (hopefully).

@MickeyB wrote:

@ceasesmith wrote:

Interesting article. I read in some business publication that sales people make 20% commission when the contract is signed. If the annual contract is $2,000,000 -- well, I wish I were in sales!

Sales commissions are all over the map and vary widely by industry and even company. I have worked for several marketing consulting and marketing research firms - all who had salespeople. Not a single one has even approached a 20% on contract amount commission level. No where close. I have seen 5 to 10% on profit (profit is a lot less than total sales) as average.

The article I read was specific, to MS and to an MSC. However, it was early last year, and my memory is
NOT the best. I wish I could tell you which MSC it was. If I had time, I'd google it...but I got shops to go do!

@Misanthrope wrote:

Which might that be? Their restaurants still seem to pay about $15 a pop.

These particular restaurant shops were on the other job board and paid $30 each last year but are now down to $15 each. Not a huge deal in the grand scheme of things but hopefully not going to be a trend.

@saacman5033 wrote:

These particular restaurant shops were on the other job board and paid $30 each last year but are now down to $15 each.

I don't think that's a reflection of their shops offering lower fees in general. It seems to be more of a restructuring of fees overall, based on the popularity of shops.

When those shops first appeared, all other restaurants were at $15 and the MSC was looking for a select group of evaluators worldwide to cover these specialty shops. They chose the higher fee to be sure the shops were attractive when they were recruiting shoppers. I know this because they called me specifically and asked how they should price the shops in order to do that. I was suggesting they pay $50!

A few things that have changed over the past few years at Coyle are the reimbursement limits (often lower) and the cost of meals (often higher). The specialty shops to which you refer have no set reimbursement limit that I know of. Shoppers are simply instructed to order within the guidelines, like all Coyle shops used to do. So...now you have these great specialty shops with no reimbursement limits paying double to what a similar shop that may be just around the corner pays. Also consider the fact that with the move to ShopMetrics, many forms have changed and while the specialty shops still have the same easy forms, other restaurants have extended questionnaires, and it's much easier to customize the fees in Shopmetrics Added to this, you also have a few years of Coyle recruiting shoppers in distant international cities and these shops have become very easy to schedule, while airport shops often sit unscheduled at the end of the month. That's most likely the reason why these shops now pay a standard fee and many airport shops are now listed at $30.

Truth be told, they could probably offer those shops with no fee and get most of them scheduled, like other companies do, but they have opted to reduce them to a standard fee instead. I thinks that's fair, considering that I get fully reimbursed an average of $300 for many of the specialty dinner shops and they are often less work than standard shops.