I bag most as thats what the customer wants. When I go bid a lawn, I specifically ask..."Would you like your lawn bagged or mulched?" Unfortunately for me, they ALL seem to say bagged. But that way there is no "Why didnt you bag it today etc..?" And yes I charge more if they want it bagged. I offer both prices bagged and mulched hoping they go with mulched, but it never works as the difference is not that great.
On a side note, if a lawn is fertilized and it is starting to dry out, and you mulch it rather than bag it, will the nutrients from the clipping help rejuvinate and green up the lawn? Or was this BS I heard from another LCO?