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  #11  
Old 10-07-2012, 08:10 PM
Darryl G Darryl G is offline
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My initial prices tend to be increments of $5 but increases could be anything, rounded to the nearest 50 cents. So a $45 account might go to $47.50.
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  #12  
Old 10-07-2012, 08:11 PM
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gcbailey gcbailey is online now
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Quote:
Originally Posted by grandview (2006) View Post
I raise my prices every year mostly a buck or two. You need to keep up with price increases that you get stuck with. But at the same time some of my oldest customers ( not age) have lower prices then the new ones I get for the same size lawn. I still have a few lawns from when I started 12 years ago when I charged them 20 bucks a cut ,now they pay 35 a cut. It cost less to keep a customer then find new ones.
I'm sorda the same way... I've got about a dozen "loyals" that have been with me since the first season. I think I've only raised the price on one of them, and that is because they ended up getting a vacant adjacent lot.
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  #13  
Old 10-07-2012, 08:12 PM
TCW TCW is offline
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Quote:
Originally Posted by OakNut View Post
I don't "have" to collect at time of service, but by doing so, I don't need to send out invoices and such. I assume that at some point I may find it more desirable to go that route, but currently it works quite well.
It's actually not very often that someone forgets to leave payment "under the mat" either. Many write a check every week - makes no sense to me. I'd just pay for the whole month if I were the one writing checks, but that's me.

As for writing "one check a month", I think there are always customers who are OK with spending $35/week, but when they see $140, they start to think "Hmmm... maybe I will just cut it myself?"
It obviously depends on the market you're in and I can say that I work in a mix of areas from semi-wealthy, to dirt-poor, so it's something I have to consider. I always give people the option of paying for the month, and a few do, but most pay weekly.


As for "making change", I rarely take payment in person. Most people are working when I am there to cut.



Thanks for your input! I'm not opposed to rethinking the way I do things and it's always helpful to hear from those who have experience in such things.

Glad to help. We have a mixture of both residential but started out all commercial, so invoicing was the only way to get paid! Since we already had the system in place it was a no brainer to continue that route.

I'm learning a lot from you guys too, since residential is a different beast from commercial. I hadn't entertained the thought that some customers may be more comfortable weekly because of the higher "price" on the check...thanks!
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  #14  
Old 10-07-2012, 08:31 PM
Jelp2 Jelp2 is offline
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Quote:
Originally Posted by OakNut View Post
What do you mean by that exactly?
Sorry, I mean I all my lawns are say $26, $32, one small one is $18. I have them figured to the amount of time we will be there and these are the numbers that just work out for me. I dont round them off to the nearest $5 mark. I dont feel right about rounding up and I sure dont feel good rounding down!
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  #15  
Old 10-07-2012, 08:46 PM
Darryl G Darryl G is offline
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Well with prices that low I can see not rounding to the nearest $5. Most of my lawns are $50 or more.
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  #16  
Old 10-07-2012, 09:15 PM
Jelp2 Jelp2 is offline
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Quote:
Originally Posted by darryl gesner View Post
Well with prices that low I can see not rounding to the nearest $5. Most of my lawns are $50 or more.
All my accounts have yards under 10,000 sqft and that includes the house and any other structures. Not 10,000sqft of lawn. They're all flat and no obstructions. My smallest lawn, we're in and out under 10min. I couldn't justify charging over $20. We do both houses on either side of them, so we're not driving there to do just the one lawn.
A good sized corner lot in the area may command $40, but with the amount of companies in the area, it's very competitive. There are properties I've bid on in the mid to upper 30's, but didn't get them. One house was one the hook for $32 and then asked if it would be the same for bi-weekly. I told him it would be a couple dollars more and didn't hear back from him. Lawn cutting isn't our primary department. We mainly do designs, landscape and hardscape,pond etc. We've just recently started doing lawns, but for me I use it more as an stepping stone to reach more clients. I make a small profit from them, definitely don't lose money, but the smaller profit on lawn cutting is worth getting the patios, plant designs etc.
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  #17  
Old 10-07-2012, 09:56 PM
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OakNut OakNut is offline
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Quote:
Originally Posted by darryl gesner View Post
My initial prices tend to be increments of $5 but increases could be anything, rounded to the nearest 50 cents. So a $45 account might go to $47.50.
This is probably the direction I'm headed except I won't do "50 cents" unless I switch to billing exclusively.
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  #18  
Old 10-07-2012, 10:02 PM
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Snyder's Lawn Inc Snyder's Lawn Inc is online now
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My cheapest ones are $18.00 but have 12 Duplexes and each side pays 18.00 They was 15 but raise them 3 dollars each
each side is 8k sq ft

I win alot jobs by 2-3 dollars
I tell customer I'll match anybodies reasonable price or beat it by 10% on jobs I really want I like to group jobs where I can park and mow cpl hours
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  #19  
Old 10-07-2012, 10:07 PM
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knox gsl knox gsl is online now
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I have gone in this direction and seems to work fine. All prices end with 2, 5, 8 or 0. A little more complicated but also more money. $48 sounds better to a customer than $50 but is better than going back to $45 for me.
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  #20  
Old 10-07-2012, 10:15 PM
32vld 32vld is offline
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I price each lawn by the amount it should be. That means if it's 31, 37, 53, 72 dollars that is what it is. If I need to raise the price I will raise it by the amount my costs have gone up.

Thing is I don't want to handle coins. So when I give the price I always round it to the nearest dollar. Say a $30 lawn is $32.59 with sales tax. I'll tell the customer that pays me cash the price plus tax is $32.59 just give me $32 even and I'll make up the .59c. Worth it to not handle the coins and most likely the price came out to $29.** and I just rounded up to $30 even any way.

Now my commercials pay me by check so that $30 + tax will be charged $32.59.

Last edited by 32vld; 10-07-2012 at 10:21 PM.
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