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View Full Version : what would you do about a screwed price?


South Florida Lawns
10-08-2008, 05:42 PM
I got a new customer that has 2 lots. One lot has the house the other is all palmettos, that need hacking back twice a year.

I gave a price to clean the palmettos but the dang lady said $450 was too much, said her last guy did it for $250:dizzy: You don't understand how much crap needs cleaning out. even my price seems low to me.

It needs to be done and I tried to get her to understand I'm working by myself and don't have a crew of mexicans, but she didn't budge on the price. I don't wan't her to get another company to do it because she wants one LCO to do everything.

I can't lose this new customer because its in a location with a lot of potential, I guess I just bust my azz for $250:cry: and get it done?

Big Wes
10-08-2008, 05:50 PM
Never cave in.

Stick to your price, or walk away.

If there is potential work in the area you should be able to get your foot in the door through some other property.

South Florida Lawns
10-08-2008, 06:01 PM
I meant gated community, and if I lost this customer I couldn't get back in. Gate doesn't have a code you gotta call the house to get in.

david shumaker
10-08-2008, 06:01 PM
Everytime I give a price, they say the last guy did it cheaper. If the last guy was so cheap, why do they ask me in the first place? What happened to the last guy?

South Florida Lawns
10-08-2008, 06:05 PM
He retired

Sweet Tater
10-08-2008, 07:04 PM
don't give in, thats ALOT of work. stick to your price. If she gets some one else just remember theres others. If you undercut yourself in an area then they will tell everyone and you will never get a fair price in that neighborhood.

topsites
10-08-2008, 07:19 PM
I gave a price to clean the palmettos but the dang lady said $450 was too much, said her last guy did it for $250:dizzy:

Yes, shocking.

Hey guys, I wonder...
If when they do that, you know, that last guy did it for $x thing...
If we stand there looking like a deer in the headlights :p

Everytime I give a price, they say the last guy did it cheaper. If the last guy was so cheap, why do they ask me in the first place? What happened to the last guy?

There that is the right answer, why did they call you or me
if they already got someone who will do it for less?

He retired

That's funny.
And you might not have meant it to be, but I still think it is.

underPSI
10-08-2008, 07:21 PM
You will lose your butt on every job if you do one job cheap.

bob
10-08-2008, 09:05 PM
I have a large hedge job that I do for a customer every year. Its a $250 that takes 5 hours and theres a lot of ladder work and extended hedge trimmers involved. One year she found a friends' daughter that said she would do it for $100. I said go ahead and let her do it. It took the girl 1.5 days to complete the job. I got the hedge job back after her fiasco. That was 5 years ago.

South Florida Lawns
10-08-2008, 09:10 PM
No he really did retire, thats how I got the yard. She had the same guy for 10 years or so. Guy did really great work.

I had a feeling she was just saying $250 to get me to come down in price. I'll wait till she asks again then i'll say I can't go lower than $400.

You guys should see the lot, its a TON of work for one person. Probably take me a full day with the saw and hauling the debris out.

So I guess I'm just gonna wait till she says "hey the palmettos need trimming" and i'll tell her the lowest I can go is $400. I'll get some pictures so you can tell me what you think.

MDLawnman
10-08-2008, 09:24 PM
Do not lower your price. Listen to these guys - they are giving you great advice! Like the man said - if you lower your price you will end up doing ALL of your work at a lower price. Walk away. They will follow if your work is good. If the say "no" they are not worth your time. This is a hard lesson to learn but it is the only way to run your business. You are worth the price that you are asking!!

traman
10-08-2008, 09:36 PM
should i assume you charge monthly for this account???with a little salesmanship just add in 75.00 more per month,and your at the price you want. [$450.00 two times a year=$900.00/by 12 =$75.00 more per month]

JFGLN
10-08-2008, 10:40 PM
Ha, The "last guy" is always cheaper, but he's not in business anymore. Did he pay taxes and have insurance? Did he have a business license?

South Florida Lawns
10-08-2008, 10:45 PM
should i assume you charge monthly for this account???with a little salesmanship just add in 75.00 more per month,and your at the price you want. [$450.00 two times a year=$900.00/by 12 =$75.00 more per month]

Traman thank you that is a great option that I didn't think of. Yes I am charging on a monthly basis. I'm gonna pitch it to her that way. I will have to take a chance. I just can't be working for that cheap, and I can't afford to lose this account.

Florida Gardener
10-08-2008, 10:46 PM
As stated by the others, do NOT lower your price, not even by $50. Esp if you think this is going to take you a full day to do. If you lose her, oh well. You will gain more. Your time and my time is valuable. Our prices are what they are and if someone doesnt like it, they can higher someone else who will do it cheaper. Do you really want customers who are looking for lowest price? I don't. When you go to a mechanic or the electrician comes over, do you haggle on their hourly rate? No. So why should you haggle with yours?

Stick to your guns.

Sammy
10-09-2008, 09:58 AM
A full day = 8 hours ?

You want $56.25 per hour.
The other guy did it for $31.25 per hour.

Whats the going rate per hour in your area ?

MOHUSTLER
10-09-2008, 10:14 AM
Dont lower your price, If the guy retired she wont find anyone else to do it for that price either. Stand strong on your price.

dishboy
10-09-2008, 12:49 PM
Do a $250 job, if see complains offer her the $400 job.

Icepuck72
10-09-2008, 01:26 PM
I can't add much else other than to say to not lower. Been there, done that, and I was kicking myself all day long for it. Swore I'd never do it again and I haven't.

Stick to your guns.:)

South Florida Lawns
10-09-2008, 05:13 PM
Well I called the customer today and told her my price of 450 was final . She understood, but said she wants one company to do everything and said she will find someone else.

Big Wes
10-09-2008, 05:24 PM
Well I called the customer today and told her my price of 450 was final . She understood, but said she wants one company to do everything and said she will find someone else.

Don't let it upset you. You're better off, she sounds like she could've been a royal PITA in the long run.

Chin up .... Move On!

Wittapp
10-09-2008, 06:55 PM
I agree with Big Wes. I just fired a customer a couple of weeks ago for a similar situation. It was a regular customer that wanted help cleaning up from the wind storm. I low balled them and told them that I was not doing any storm work, but, since they were loyal customers, I would help them out. She sniped about the price. I told them to find someone else to do the work for even anything close to what I was. The lawn is still unmowed and the storm clean up is still not completed. If I have to spend 30 minutes justifying my prices each time I mow, am I making any money on that account?
Keep your chin up and just remember you probably would have spent more for asperin than you would have made on that job

Dave in Dayton

Sammy
10-09-2008, 11:02 PM
You guys should see the lot, its a TON of work for one person. Probably take me a full day with the saw and hauling the debris out.


Have you done this type of work before ?

topsites
10-09-2008, 11:28 PM
No he really did retire

It's not that I don't believe you, but do you know the guy or is that what the customer said?
And if you know the guy, fair enough.

Ha, The "last guy" is always cheaper, but he's not in business anymore.

That's why I thought it was funny.

But I do have an idea...:

Do a $250 job, if see complains offer her the $400 job.

Compromise and do it for $325
You keep the customer.

Well I called the customer today and told her my price of 450 was final . She understood, but said she wants one company to do everything and said she will find someone else.

Oh... Ooops, but the reply is kinda hmmm anyway.

she sounds like she could've been a royal PITA in the long run.

Yup, just saw it too.

South Florida Lawns
10-10-2008, 06:54 PM
well there goes $360 a month, man that was my biggest residential account. Oh well what can you do.

I wonder if there was anything I could have said to persuade the customer in paying the price I told her. I told her how many hrs it would have taken me and my dumping fee's.

GrassBustersLawn
10-10-2008, 10:35 PM
She still may come crawling back if she can't find someone to "do it all" at HER PRICES!

(Then when she does, raise her rate because yard will need extra care the first couple cuts.)

Mike