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View Full Version : Rates up for 05?


Bunton Guy
10-31-2004, 01:35 PM
Jan first all my contracts will be raised per trip to cover for higher fuel costs. Who else? Any other reasons to raise your price?

mikefeliciano
10-31-2004, 02:49 PM
We are raising most of our rates next year,

Between fuel, health insurance, and all the other costs of doing business you have to do it. Some of our big "route" contracts this year, we informed we were adding a fuel surcharge on ALL work orders outside of normal schedule, and a small monthly surcharge for fuel on the monthly work. Nic ething was we didn't lose one customer.

My advice take into account more than your fuel costs, look at everything, and look at it like pessimist, that way if the crap hits the fan your covered.

tinman
10-31-2004, 02:59 PM
Raising everybody mowing prices next year. ANything this fall is being price higher already.

grassyfras
10-31-2004, 04:16 PM
I'm incrasing my revenue by 3000 dollars by raising rates or I'm walking.

rodfather
10-31-2004, 05:00 PM
I am going to make some kind of adjustment...just not sure how much yet due to fuel increases.

Kelly's Landscaping
10-31-2004, 06:37 PM
Not going to raise every one but I will take this spring to adjust lawns I just feel are not as high as they should be. Some lawns make me 25 dollars in 10 mins while others pay 45 dollars and take an hour obviously I want to raise some one like that.

LB Landscaping
10-31-2004, 06:53 PM
I'm raising plowing prices this winter and all mowing in the spring. I am calling it "increase in the cost of doing business" I have a hard time blaming it on a specific item such as gas. Are you going to lower your prices if gas prices go down???

bobbygedd
10-31-2004, 07:14 PM
i plan to not raise prices per say, but, to add more surcharges. my newest surcharge: the wind blew all the leaves off your lawn, so we couldn't charge you extra to clean them, surcharge

TURF DOCTOR
10-31-2004, 07:23 PM
That is the same

GarPA
11-01-2004, 05:40 AM
you bet I'm raising prices for 05. 5% across the board plus a per account increase based on how much fuel we use each month for each account. We already know how much fuel we use per month per account.
Everything in my personal and business life is going up in price so you bet my prices will as well. Won't even think twice about it.

Richard Martin
11-01-2004, 06:16 AM
Few to no current customer price increases for next year. A few of my older, lower priced customers will be weeded out due to them moving. The new customers will be over-priced to avoid having to jack their prices up before I move in 2008.

MOW ED
11-01-2004, 06:27 AM
I would have had a rate increase one way or another in 05. The fuel thing just helps that out even more. Cost of business continues to rise thru gas, insurance, replacement costs of equipment, you name it. Someone has to pay for it. I have been responsible with the business thru purchases but margins tighten every year.
I don't anticipate losing any customers over the increase but then you never know.

brentsawyer
11-01-2004, 07:39 AM
From reading these post it is reasonably safe to say that for the first time in many years that rates for the industry will be at least equal or more than the cost of inflation. Personally, I will take an overall revenue approach and raise that by at least 5% and adjust each account accordingly if it is low or high this year.

ALarsh
11-01-2004, 08:25 AM
I'm rasing. One customer saw a 22% raise. He agreed for next years service too. :cool2:

GrassBustersLawn
11-01-2004, 09:24 AM
For next season, I'm giving all a 10% rate increase. New people this year are getting the higher price. (Yes, I'm still getting new people in last week of Oct. for mowing. Go figure?)

Mike

GarPA
11-01-2004, 05:26 PM
I'm glad to see a number of people raising prices where they need to. Aside from our operations costs such as fuel, insurance, etc, unless an account is overpriced already, I cant fathom why Joe Homeowners cost for his service is the same as the year before when employees doing the work, deserve, and expect a raise, modest as it might be. The more we all raise the bar the better for the industry. Yes theres always going to be Joe Lowball but he's a nonissue long term..

Cheesedawg1
11-01-2004, 05:51 PM
Im raising my rates so my children wont be hungry anymore :cry:

lawnprosteveo
11-01-2004, 05:52 PM
Im with you! Fuel costs really kicked our butts. I will also consider booting accounts that are too far a drive.

PLI1
11-02-2004, 07:03 PM
On the average, we raise our rates about 3-4% percent annually.

tiedeman
11-03-2004, 02:14 AM
all of my lawn maintenance rates went up, but my other rates didn't because I just raised them BIG time in the spring of 2004. Most lawn maintenance rates are going up 7%.

ztoro
11-03-2004, 08:50 AM
I am just doubling all my inlaws properties.. hopefully they will fire me....

FrankenScagMachines
11-03-2004, 09:00 AM
Not going to raise every one but I will take this spring to adjust lawns I just feel are not as high as they should be. Some lawns make me 25 dollars in 10 mins while others pay 45 dollars and take an hour obviously I want to raise some one like that.
Ditto that.

JustMowIt
11-03-2004, 09:04 AM
We plan to add $1 to all our published rates, but only to new customers. When receiving a call from a phone book where we have published our price, we will use the gas price.

We try to make our existing customers feel special by never raising their price unless they leave & want to come back.

horseman201
11-03-2004, 05:21 PM
The 5% increase is a great idea to me. We all have to raise prices when we are paying $2.00 a gallon for gas.

o-so-n-so
11-03-2004, 05:40 PM
I like the idea of raising the rates just because the cost of doing business is going up. If you add a fuel surcharge...the minute the gas goes back under 2 bucks, people will want that money back and for good reason.

If you have been cutting a property for a few years and have never increased your rates (I have plenty of these) and provide quality service. I think alot of customers will accept the increase.

CathyLynn
11-03-2004, 08:26 PM
Your best residentials will stay with you even with rate increases if you are doing quality work. Make no lame excuses and be fair and reasonable! Raise your rates for everything you do--not just mowing! Mulching, pruning, bed work, etc.

Surcharges are a pain. Don't blame just gas--it's a lot of things combined.

Many want to blame gas but if you use 50 gallons a week and it's up 50 cents over last year then your weekly cost is up 25.00 divided by however many accounts you do--kind of a petty thing to talk about if you are going 60 properties or so a week! Yes, I know some of us do use more, but the principle is the same.

procut
11-11-2004, 04:49 PM
I'm raising most of my rates anywhere from $5-$20 for cutting.