Oh, where to begin? Let me start with 'watered down paint'. 25-50% before the material gets to the site? Impossible. You would basically be painting with water at that point. It would be less of a hassle, and cost, to simply use proper material. You would be forced to apply three coats instead of two, as the coverage would be horrible. Whatever cost you think might be saved in materials would be lost in labor.
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OF the different type of customers there are at least two: cheap charley's and people who want great results. I agree the need for wall repair is critical to the end results. Most critical is for the customer to be told ahead that the walls are going to need exactly what is needed. This means the contractor must look, touch, examine the walls for defects and needed work. I've been a building manager for 40 years and seen a few paint jobs. Typically a contractor does a lot of talking about how expert he is, but the guys who walk through with note pads, iPads, examine, measure, point things out, explain and recommend are the ones I will deal with. It confirms if they know what the business. Nobody likes the workers to show up and when you talk about the job they're going to do they know nothing but they we were told to be here. Their boss who bid the job doesn't supervise - a big no no around here. Nobody likes surprises or worse, at the end of a job that's not right getting a bunch of little kid excuses. Contractors that do not like the customer to be around looking at the progress don't get the job.
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