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View Full Version : What percent of your estimates are accepted?


RYAN
11-21-2001, 06:55 PM
I was just wondering what percent of your estimates are accepted. I seem to get about 75 to 80% which I think seems high although my prices are pretty much average for my area I think. I have heard varying opinions on what the percentage should be. I was just wondering what you guys thought.

kermit
11-21-2001, 08:19 PM
Although I try to prequalify prospects, I close less than half the jobs I submit bids for. If a potential client is price shopping or interested in the lowest price I won't play.

Ric
11-21-2001, 08:51 PM
I think this is a good question. how ever my .02 is we should take into account the source of the customer. If it is a word of mounth or upgrade for our customer then 80% is a fair expectation. If this is customer who called us from the phone book or advertisement then 50-60% is expected. If you are getting a greater percenage then your priced to low. Like everyone I try and cual the price shopper on the phone.

GreenQuest Lawn
11-21-2001, 10:33 PM
I am with ric on this one. If i have an add on service for an existing customer or a refferal I normally get it no problem.

Its only the new customers that are around 50%

Barkleymut
11-22-2001, 05:28 AM
I close on about 60%

HBFOXJr
11-22-2001, 07:58 AM
Anyone closing over 50% of estimates can afford to raise prices, do a few more estimates and make more money.

With the amount of quality competition your taking orders based on price, your not "selling".

a1 lawncare
11-22-2001, 08:17 AM
i write a good many more estimates than i get, if i get 40% i would think thats great, i'm talking new biz here, referals i agree with everybody else, you get a good % of those. just another reason to always do a quality job, your already one step ahead of the guy they know nothing about. nothing like a good recomendation. if i was getting 75-80% on new biz i'd be covered up, and i would also believe my price was a little on the low side. i don't know about your area but like ric said the price shoppers are everwhere, just like the old farts around here with a 42" murray rider, electric weed eater, POS push mower, there everywhere . and its hard to beat there prices, heck i'm not even gonna try, if i was gonna work for free i'd do it for family and thats about it.

ya'll have a good one, keith

SprinklerGuy
11-22-2001, 09:50 AM
On cold leads, meaning straight from the yellows, the paper, any other ads I don't think you should be closing more than about 10%. I think if you are you are too low.

A wise contractor once told me that. I always thought I was a good salesman, but he was right, I was doing a lot of work for not enough money and it caught up to me. Now I will let the guys stay home before I will do unprofitable work, within reason.

a1 lawncare
11-22-2001, 10:47 AM
my dad told me about the same thing years ago, i think he said around 20%, like maybe 18 or 22 i really can't remember but i feel the same way you do.......also i now alot of times as soon as i talk to the person if it was a dry run or not, there more worried about the price than if i edge or blow off there drive, or if i am lic and ins.

keith

65hoss
11-25-2001, 09:18 AM
Grass cutting -- 75%
Leaves --------- 50%
Aeration ------- 90%
Fescue --------- 90%
Landscaping ---- 40%

kris
11-25-2001, 09:40 AM
Just 2 weeks ago I bid a chain of 25 property's ... I was awarded 6 out of 25 . Around 25% ... I knew that they would not put all there eggs in one basket. I was able to "break into" this chain last year, doing 3 of them. I am happy with the way it is progressing.
Looking over the property's during the quote I had noticed that at least half looked really sharp ( someone is doing a good job) and it is good to know that they probably stuck with them.
It means ... they'll stick with me when a good job is done.

In general, to answer your question... I am usually around 20% bidding commercial.

John Allin
11-25-2001, 09:54 AM
We're at 25% on a cold lead (called in or solicited), and about 65% on a referral. We track every lead, and find that our highest percentage of sales (quantity and actual dollars) is in "past customers" or "referrals". SO, we market to past customers heavily to continue to draw them back.

Upsales to exisiting maintenance accounts is about 24% of the amount those customers spend with us.

kutnkru
11-25-2001, 07:38 PM
I would say that I have averaged about 3 of every 10 estimates I have given out this season. I was also quoting higher prices than my norm because I was booked and looking to let some go and replace them with a higher end clientel.

I also try to do as JAA stated and keep in touch with those who are not full time or regular clients. I will be sending out a Holiday Greeting to these people to thank them for their services and then about mid-January they will receive a letter from me acknowledging that I would enjoy doing biz with them again during the upcoming season.

Then about two weeks prior to the start of the season I will send them a coupon calendar. I hope to be able to get sales up this season by attacking certain subdivisions and neighborhoods exclusively.

Kris

Randy Scott
11-25-2001, 08:20 PM
I would say I got about 50% of my estimates this year. Being my first season I was happy but realize on some jobs they should've brought in a little more money. Now I have a better feel for it and will hopefully be able to pull better profit next season, although most likely loosing some bids because I will be a little higher. Finding that happy medium will probably always be at your fingertips and keeps you striving for good profit and decent customer volume. It definately is exciting and keeps you on your toes. I really enjoyed this season and look forward to next year already.

BigJim
11-26-2001, 02:08 AM
About 20% on cold calls,I'm pretty ruthless now,I look at the property when I pull up,If the grass is over the front fence or they have more than 5 old cars out front I don't even stop,If it looks allright I go and meet the customer,If they are reasonable folks and they can pay then I check out the lawn,will I like to mow it and can I mow it profitably ?,then I quote,If the oppositions cheaper and I miss it thats fine,cause it kills the opposition and I just wait for the next better paying job to come along,they always do.Referals or people coming up to cause they like your work should be 90%.