how to drop customers nicely-& improve your business

[yardguy28]

didn't know we also talking about raising price.

you do need to raise prices from time to time but I'm not gonna agree with trimming the fat. if everyone is willing to pay the price raise there is no need to trim anyone.

the way I'm doing things is working just fine for me so I won't be changing things any time soon. once I'm full, I'm full. I take on no more business until a slot opens up.

[PLS-Tx]

Originally Posted by MOturkey

I'm a bit surprised by some of the responses to this post. I think all solo operators, if they are successful, eventually find themselves in a position where something has to give. Age, changing family structure, health, the economy, are all factors that can, over time, change not only your need for accounts, but also your ability to maintain quality service for all your customers. Logic dictates that the first accounts to go should be the least profitable, and/or, most physically demanding. That is pretty much a no-brainer.

Just be honest. Tell them your business has grown to the point where you can no longer service all your properties and maintain the level of excellence you demand of yourself, so you must reluctantly drop some accounts from your schedule. Thank them profusely for their business and support, and, if you can, refer them to someone else.

That's good advice.

We are in a similar situation, we are going to be raising prices soon. We can handle the work if they can handle the price increase.

I hope we don't lose anyone, especially those that have been with us for a long time.

Bottom line is the bottom line.

We are in this business to make a profit!! Yes I enjoy what I do but we still must be profitable.

Most people will understand price of everything has gone up, not just fuel. The ones that don't understand or can't afford the increase, sorry but business is business.

[THIESSENS TLC]

Originally Posted by yardguy28

didn't know we also talking about raising price.

you do need to raise prices from time to time but I'm not gonna agree with trimming the fat. if everyone is willing to pay the price raise there is no need to trim anyone.

the way I'm doing things is working just fine for me so I won't be changing things any time soon. once I'm full, I'm full. I take on no more business until a slot opens up.

yes i do agree with you, if everyone is willing to pay the increase...keep em. but if they're not going to pay the increase...trim the fat and open up a slot for a new customer, or keep them until you find somebody worth more...which would be best. not sure who said it, but yes you shouldnt take on more work than you can handle.

[yardguy28]

well someone was suggesting to keep taking on more and more business to the point where you have to decide to either drop some clients or hire help.

I think that is an @ss backwards way to do business for one thing. in my opinion you fill your schedule full for yourself then hire a helper and start filling te schedule full for both of you. not overfill your schedule then hire a helper or cut clients out.

keeping accounts until something better comes along is not something I agree with either. except for non payers I would NEVER drop a client mid season.

[bocas]

Perhaps you should tell all of your customers you will dump them if a better customer comes along. Give them the same option you want for yourself. Loyalty in business has value, have someone whisper that in your ear ten times aday. Loyaty has value.

[THIESSENS TLC]

a solo operator can only take on so much work, so ya i think alot of people would take a better customer who pays more and refer the low paying customer to somebody else. I dont know about you guys, but i like money. And the more i can make the better. Customers come and go in every business no matter what the reason is.

[Triplex]

Not all business is good business. If you call RedMax and try to buy a string trimmer, they'll refer you to a dealer unless you want to buy them in bulk. Providing service and support to people buying one trimmer would cost them money; their focus is on keeping distributors happy. That small lawn that was profitable when you started out with a push mower and a pickup truck is now tying up equipment and crewmen who could be spending their time on a large commercial account, and you may be losing money by continuing to service this customer.

[THIESSENS TLC]

Originally Posted by Triplex

Not all business is good business. If you call RedMax and try to buy a string trimmer, they'll refer you to a dealer unless you want to buy them in bulk. Providing service and support to people buying one trimmer would cost them money; their focus is on keeping distributors happy. That small lawn that was profitable when you started out with a push mower and a pickup truck is now tying up equipment and crewmen who could be spending their time on a large commercial account, and you may be losing money by continuing to service this customer.

Well said!
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