is it time to drop some residentials?

[Right Touch]

Ok so I played around with this idea last year- I have 100 plus accounts and can't fit anymore without sacrificing quality though I get at least one call a week for lawn maintenance. There is a good handful of clients, most in a nondesirable area, that I would like to get rid of because they are either non profitable enough or they are pita's. This is the area I grew up but moved a few years ago n took my business with it. I have 2 days of mowing in the old area n would like to cut it down to 1 to make room for more in the new area. I'm thinking of just keeping the core good ones to fit into one day, though my lawncare foreman thinks we should just add another crew. The old area is lower income n rarely do I get large installs out of it, n we all know that a biggr business isn't always better. So is it a smart move to drop these guys over the winter? I dropped a handful last year and it was one of the best moves I ever made.
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[lawnangel1]

If there not profitable then drop them. However I wouldnt hand pick ones to drop I would raise the prices on the ones I want to get rid of and see who stays and see who goes.

[DLAWNS]

If there not profitable then drop them. However I wouldnt hand pick ones to drop I would raise the prices on the ones I want to get rid of and see who stays and see who goes.

I would try the price increases also and see what ya get...

[mdlwn1]

If there not profitable then drop them. However I wouldnt hand pick ones to drop I would raise the prices on the ones I want to get rid of and see who stays and see who goes.

Exactly this...................

[PLS-Tx]

If there not profitable then drop them. However I wouldnt hand pick ones to drop I would raise the prices on the ones I want to get rid of and see who stays and see who goes.


This is what I would do.

Also, I would make the decision not my foreman.

[DLAWNS]

This is what I would do.

Also, I would make the decision not my foreman.

I would say he should make the final decision, but I take my foreman's opinions into consideration. They are out there servicing the accounts and in some cases dealing with the customers. In my case, my main worker is very loyal and cares very much about our company and has a say in things as well as my part timer who has been with me since the beginning. Granted I obviously have the final say, I do listen to what they think as they are very involved in the daily grind.

[topsites]

Yup, the easy answer is a price increase where it bites the most.

Careful thou, easy on the increases...
You could lose more than you bargain for :laugh:
I'll let you figure that one out lol

Another possible answer is to simply inform them at the end of this season that you can not resume services next spring,
that is a polite way of letting them know as it at least gives the customer some time to consider alternatives.

[Right Touch]

Yup, the easy answer is a price increase where it bites the most.

Careful thou, easy on the increases...
You could lose more than you bargain for :laugh:
I'll let you figure that one out lol

Another possible answer is to simply inform them at the end of this season that you can not resume services next spring,
that is a polite way of letting them know as it at least gives the customer some time to consider alternatives.

This is what I did last year. I let them know (after I got all my money of course) that our company was. Tightening our service area and their property falls out of that new area, and for us to continue servicing the property I would have to raise rates. If u just raise the price n the customer stays, a pita customer will b even more of a pita. I think to b successful you have to eliminate non profitable customers. You can give the customer the world to be the nice neighborhood guy that mows lawns but that doesn't put food on your table. I think It has to be a balance of respect for your prices and keeping them happy. And about the comment of "you can't just send a letter" most guys don't communicate with their customers at all and I don't think anyone is going to call over 100 customers to discuss their approach to cleanups. I think a newsletter is.a great way to get information to everyone, and judginh by the responses to my end of year survey, my customers feel its a good way too. U just always get the handful that even though you've serviced the property the same way for 5 years they still call and ask if they are on the cleanup schedule.
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