advice on business plan
What gets the best response when bidding potential fertilizing customers?
I am weighing the pros and cons of 2 plans.
PLAN A: Use a smaller number of steps with higher price per step
PLAN B: Use a larger number of steps with lower price per step
Plan A will give the customer a lower yearly cost, and give me a higher profit margin, but a lower gross profit per customer.
Plan B will give the customer a lower cost per step, and give me a higher gross profit, but a smaller profit margin.
I use a price quote sheet which shows the "cost per step" and "full season prepaid price" ... Which is more important to customers?
I've been in the business part and full time for 19 years and am going full time and aggressively expanding in fertilizing this year.
As the fertilizing goes, its almost like starting a new business from scratch, so I have the freedom to do about any business plan.
(Competitors in my area offer 4-8 step programs, 6 is the most common)
...whats your input?
-19 years in business-
-Mowing, Fertilizing, Aerating-
"Good luck to all"
Last edited by LawnProsOmaha; 02-14-2010 at 02:37 PM.
|business , fertilization , fertilizing , profit , start up|