I don't think such "competition" is limited to your area. Such illiterate and incomprehesible ads seem to be the norm on Craigs List.
I met with a customer today who is going to have his air ducts cleaned before we paint. He told me that he's had 3 prices ranging from $39 to $600. Now I don't know what is involved in cleaning air ducts, but I do know that $39 is a ridiculous price. Anyone who would pay that gets exactly what they deserve-- probably a mess in their house and air ducts that have been torn apart.
My point is that there is no shortage of people who are willing to work for next to nothing. Many are even willing to pay the customer for the opportunity to work-- which is what such prices amount to.
The fact is 90% of these people won't be around in 5 years. The people who hire them don't care about that fact. Which means, there is a market for splash and dash painters. There is a market for Yugos and McDonalds too.
There is also a market for Lexus and Fuddruckers. There are people who will spend more for value. We just need to market to them, educate them about the value we offer, and not apologize for our price. If we generate enough leads the low ballers become insignificant. They are like gnats-- pesky little things that will go away very soon.
Of course, they multiply like rabbits and will be replaced very quickly. But if we learn to ignore them and treat them with the insignificance they deserve, then they actually are amusing.
Brian Phillips