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  #11  
Old 10-10-2012, 04:47 PM
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jrs.landscaping jrs.landscaping is online now
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Quote:
Originally Posted by Mark Oomkes View Post
Not sure how long you've been in the industry, but this has been going on since I can remember. And I've been in it for over 30 years.

I will say it does seem to be worse the past 5 years or so.

Yes, the nationals and others are just as guilty as solo guys who don't know their costs and don't care.

This is a result of turning services into a commodity. Or the Walmartization of the service industry.

You won't stop it. There is no way to stop it.
It's not just our industry being run by bankers interested only in the bottom line. One I can think of is Oldcastle Materials, around here if you compete too hard against them they either buy you out or drive you out of business. Much like the larger LCO's do.
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  #12  
Old 10-10-2012, 09:32 PM
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Quote:
Originally Posted by Mark Oomkes View Post
Not sure how long you've been in the industry, but this has been going on since I can remember. And I've been in it for over 30 years.

I will say it does seem to be worse the past 5 years or so.

Yes, the nationals and others are just as guilty as solo guys who don't know their costs and don't care.

This is a result of turning services into a commodity. Or the Walmartization of the service industry.

You won't stop it. There is no way to stop it.
Yep. There are lowballers in many industries, not just lawncare. It is pointless to worry about it. I was underbid on a couple mulch jobs this year, I just moved on to the next one.
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  #13  
Old 10-10-2012, 11:22 PM
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Originally Posted by jrs.landscaping View Post
It's not just our industry being run by bankers interested only in the bottom line. One I can think of is Oldcastle Materials, around here if you compete too hard against them they either buy you out or drive you out of business. Much like the larger LCO's do.
That is how businesses are run.
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  #14  
Old 10-10-2012, 11:32 PM
RussellB RussellB is online now
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At least 90% of us try to get the lowest price for work around our homes or hire the friend that is an AC/heating guy, mechanic etc. Sometimes you choose the wrong guy but usually it works out. That's how you hold on to your money.
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  #15  
Old 10-11-2012, 01:28 PM
MDLawn MDLawn is offline
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I notice it. But the other thing I notice is that probably 95% of everyone on here will ask what is the cheapest price they should get a mower for? Where can I find the cheapest place to dump grass/dirt/etc..?. Where can I get the cheapest mulch from? Where can I get cheap cheap cheap cheap cheap...... EVERYONE is looking for the deal and how can anyone blame them? Maybe one would say that the above is just how you run your business to keep costs down. Well maybe you buy the cheap mower and get bad service, maybe you dump at a site that doesn't take care of the environment like it should, and maybe the cheap mulch is a bad product. So maybe one gets burned and pays more next time.

With those big city contracts, maybe the person in charge was thinking "I'm going to save the city soooo much money by hiring this cheap guy that I'll get promoted", well they probably got demoted.

This type of stuff exists in ALL industries. Once you have a good "brand" it seems to be easier to attract the customers willing to accept a more expensive contractor. Think about the ridiculous stores in a mall that sell T-shirts with their name on if for $35-$50!!!!! I bet they sell a ton too. Why? Because that's the brand to have and people who care about that purchase it.

There are a few on here such as Jim Lewis Landscaping, Earth/Turf/Wood, PerfectEarth, IdealLandscaping, and many others who I'm sure have an established "brand" where people understand they are one of the best but come at a cost, just like the T-shirt example. I'm sure they get the calls from cheap people but they may get soo many calls they just wade through the BS and get what they want. Or people just don't call them because they know they aren't cheap.

JowMow starting out does not have that. I don't think everyone intentionally makes the choice to under estimate, many just have no clue how to. I think many of us weren't business geniuses to start..... And some others don't have aspirations to "make it big" for themselves. I saw a guy near me who had a beat to snot Ford Ranger with a 5x10 trailer that had no mesh on the gate and a beat up Stander. Yea he charges way less, but the people he mows for will NEVER choose me. Why, well I'm too expensive. And if every lawn guy charged appropriately that person would not ever have a lawn service to begin with. They'd mow it themselves or hire the kid down the street. I honestly can't believe how many people get a lawn mowing service, but again many of those would NEVER go with me or anyone if everyone charged accordingly. Unfortunately there is a market for cheap mowing and those customers don't mind hiring a different guy each year.

My question would be why do these guys flourish in times many others call tough times and use the word "lowballer" in every other sentence???? Thats what I want to know. Not how many cheap guys are out there, but how do these businesses overcome them? I think a lof of these guys and gals would answer, "Because they aren't my competition". But I still think they have a special nack for getting it done....

Last edited by MDLawn; 10-11-2012 at 01:35 PM.
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  #16  
Old 10-11-2012, 01:41 PM
MDLawn MDLawn is offline
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But yes that sod job price is absurd.....

But the question again is that if that low quote wasn't in there would that customer still go with one of you that is higher or just cancel the job all together?........
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  #17  
Old 10-11-2012, 02:16 PM
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Big Bad Bob Big Bad Bob is offline
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Quote:
Originally Posted by MDLawn View Post
But yes that sod job price is absurd.....

But the question again is that if that low quote wasn't in there would that customer still go with one of you that is higher or just cancel the job all together?........
Now this is a good comment.
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  #18  
Old 10-11-2012, 02:23 PM
Mark Oomkes Mark Oomkes is online now
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Quote:
Originally Posted by MDLawn View Post
I notice it. But the other thing I notice is that probably 95% of everyone on here will ask what is the cheapest price they should get a mower for? Where can I find the cheapest place to dump grass/dirt/etc..?. Where can I get the cheapest mulch from? Where can I get cheap cheap cheap cheap cheap...... EVERYONE is looking for the deal and how can anyone blame them? Maybe one would say that the above is just how you run your business to keep costs down. Well maybe you buy the cheap mower and get bad service, maybe you dump at a site that doesn't take care of the environment like it should, and maybe the cheap mulch is a bad product. So maybe one gets burned and pays more next time.
But, but, but that's different.

Ya know, because if Dealer A is charging $5 more than Dealer B, Dealer A is a automatically a crook.

Turn that scenario around, and Dealer B is a lowballer.

You just have to love hypocrisy.
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  #19  
Old 10-11-2012, 03:13 PM
MDLawn MDLawn is offline
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Originally Posted by Mark Oomkes View Post
But, but, but that's different.

Ya know, because if Dealer A is charging $5 more than Dealer B, Dealer A is a automatically a crook.

Turn that scenario around, and Dealer B is a lowballer.

You just have to love hypocrisy.
Pretty much...
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  #20  
Old 10-11-2012, 05:13 PM
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jrs.landscaping jrs.landscaping is online now
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Originally Posted by JContracting View Post
That is how businesses are run.
Very true, if I were in their shoes I would do the same thing.
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