Just How Much Does A Pool Cost

Some companies will go to any lengths to get in front of a potential customer! For example, this weekend in the Sacramento Bee, Aqua Pools and Spas ran an ad "Pools Starting at $23,900." showing 5 different pools and NONE of the swimming pools shown could be sold for the advertised price!

This is a great example of the Used Car salesman approach. Why? In order to advertise a pool at $23,900 the very first thing you would not include is concrete decking. 2) you limit the total amount of plumbing and electrical. 3) you use equipment of the Good quality not Better or Best. 4) you limit the size of the pool to 300 to 400 square foot size and limit perimeter to less than 80 feet. and lastly, 5) you offer the customer a choice of 4 different waterline tiles.

Why not go ahead and buy a Dough Boy! All these guys are trying to do is UPSELL, UPSELL, AND UPSELL.

The truth of the matter is pools start in the low to mid 30's. The number does include concrete decking and in most backyards 400 square feet of concrete does not include a patio. Another way of budgeting for a pool is: Most people will spend on average, 10-25% TVH(Total Value of Home) on a completed backyard(includes pool, decking & landscaping). The extreme variation is partially due to geographic location, for example - you would not be advised to spend 25% in a "starter home" neighborhood and you certainly wouldn't spend 10% in an upscale, gated community.

For reference, check out the following links to a couple of pool companies that talk about the pricing:

• Dalpino Pools - Newcastle, CA
  
• Envision Pools - Lincoln, CA
  
• and one more Cookie Cutter Pools
  

An Industry Nightmare!

I'm sure all of you are aware of the bankruptcy of Aquarius Pools. But, do you know the steps leading to the companies closure?

Aquarius Pools, opened it's doors in 1972. The company was founded by Eugene "Gene" Wells, a well respected builder and innovator in the market. Gene built many award winning pools.

Winner of Over 90 National and International Awards for Excellence in Design and Construction, Aquarius continues to be Sacramento's choice for quality craftmanship and lasting beauty. Aquarius Pools website

Gene, sold the company in 2000. Now here's where the story becomes interesting! (In all future posts, lessons to be learned or items of particular interest will be highlighted.)

Gene originally sold the company to Steve Hage in 2000. Steve went on to sell his interest to the partnership of Rich Carnation & Kevin Towle. No problems yet! Clue: Multiple changes in ownership in a short period of time. As a consumer you should make sure you ALWAYS CHECK WITH THE CALIFORNIA CONTRACTORS LICENSE BOARD before signing any contract!

Rich & Kevin, not wanting to run the company full-time hired Greg Wolfe to be the sales manager. Greg has been in the pool industry for many years, and has worked for several companies. Nice enough guy. But...Greg had a reputation of being a "cookie cutter" pool salesman. That in it's self is not the problem. The problem started with the "Pools starting from ..." ads in the Saturday Sacramento Bee! Companies that solicit business with promises of low starting prices, typically target the "cookie cutter" type customer where price is number one. The benefit for the advertiser is a large number of "leads". Companies looking for a large number of leads are typically volume based and not quality based!

Greg then purchased the company in 2004, while still owing both Kevin & Rich a large sum of money. Hmmm, I remember loosing numerous sales to Aquarius Pools, because they were priced the lowest. I always recommend, get a minimum of three bids unless the company is a strong referral (still use caution), and with the same wish list, there should be no more than a one to two thousand dollar difference. If the difference is more, WATCH OUT. The sales person either missed something in their pricing (ie., the cost of the spa) or the company is abusing their margins.

Skipping to the end of the story:

SACRAMENTO, Calif. -- A swimming pool construction company that shut down has left dozens of Sacramento-area homeowners with partially completed backyard pools. KCRA3 - August 23, 2006



Lessons to be learned:

1. Check out the contractor's license with the Contractor's Board!
2. Multiple changes in ownership over a short period of time could indicate problems. Ask the company for an explanation.
3. Get a minimum of three bids.
4. If the price is too low, you're rolling the dice!

For more information:
Before You Dive Into Swimming Pool Construction - CSLB

Welcome to thePoolGuy

I've created this blog to inform and educate the consumer about the swimming pool industry in Northern California. Having spent the past 15 years in the swimming pool industry, I will share my knowledge and experience. Feel free to comment about any of the articles I post. Hopefully, in time, this blog will become a valuable source of information for those of you interested in either building your own pool or working with a contractor.