Application Price

Discussion in 'Pesticide & Herbicide Application' started by Hopper1124, Jan 8, 2003.

  1. Hopper1124

    Hopper1124 LawnSite Member
    from Ohio
    Posts: 54

    I am thinking of getting into the lawn fertilization biz so I had a few companies give me an esitmate on my lawn. 2 companies were close and the other was real low and it is a larger name company. Any Ideas

    Lawn area 8,100 sq ft

    Trugreen 7 apps $49.00

    Scotts 6 apps $ 52.00
    Scotts 4 apps $ 44.00

    Green CO. 7 apps $ 47.00

    Showcase 5 apps $ 42.00

    Davey Tree Service $ 36.50 He suggested only 3 Apps maybe 4 if needed.

    What do you guys think? How do they come up with the pricing

  2. greenman

    greenman LawnSite Addict
    Posts: 1,405

    Are those prices for all applications? or per app?

    Per app would be way too high, but there is no way that I could do that lawn for those prices.
  3. Randy Scott

    Randy Scott LawnSite Bronze Member
    Posts: 1,915

    Those prices are right in line with our market here. Maybe a couple bucks high with those on the higher end. $42 to $46 and a good sales pitch would get that lawn (per app.). We sell 5 app. programs primarily, although the customer will get what they want and we just have to explain the pro's and con's of 3 versus 5 apps. etc.

    Pricing? You arrive at with your costs and profit margin needed.
  4. boohoo

    boohoo Banned
    from USA
    Posts: 77

    Are we comparing apples to apples? ie: some Co's include grub apps. and or surface insect apps as part of there service while some do not. Could you possibly give us a breakdown of what each co planned on doing for the season at that app. price.
    We couldnt possibly know but I use it as a sales tool........ One Co. might be using 1lb N / 1000 while another is using 1/2 lb so technically the lower price could be the most profitable to the Co. using the 1/2lb rate. Unfortunately Mrs. Jones is buying a service, not a commodity so she could be getting 1/4 lb for all she knows. but all she sees is the price and or the flashy advertising, fitted out trucks etc.
  5. Tony Harrell

    Tony Harrell LawnSite Senior Member
    Posts: 739

    What are your chemical costs? I know some of the pest companies try to stay in the 3-5% range.
  6. ant

    ant LawnSite Silver Member
    Posts: 2,442

    hopper good job in looking into the lawn programs...

    call each one up on the phone and ask them to ''walk you through each applications ''
    and then compair.

    one company may spot spray weeds each app.
    one may soil test b/f they start the program.
    one may be a owner operator business .

  7. philk17088

    philk17088 LawnSite Fanatic
    Posts: 17,386

    I wouldn't put any faith in their prices. A lot of times they will bump up the per app price the next year or telemarket the customer to death to buy add on services that have a higher profit margin. Do your cost analysis and DO NOT BE TEMPTED TO MATCH THEM! I couldn't afford to do that size lawn for less than $60.00 per app. I also charge more per app if the customer takes less than the five app plan. Doing a complete and thorough service would take 20 minutes at least, add on travel time to next stop, you got a 1/2 hr of your time involved . The cost of the material,etc,etc,. I'm not willing to work that cheap.
  8. greenngrow

    greenngrow LawnSite Senior Member
    Posts: 403

    Hey I need to go up on my application rate !!!!!.

    Unlike most of the people on this site. This my primairy business.
    I don't mow enough to wad a shotgun. But I do have several application accounts. I presently charge 3.00 per K with a 35.00 min.

    Ihave been at this price for 6 years now. I really need to go up on my prices, but hey I am making good $$$$$. NO Need to take advantage of a good situation.

    Do what the market can stand. And let it rip. JUST TO IT LEGAL !!!!
  9. Ric

    Ric LawnSite Fanatic
    Posts: 11,956

    excuse me But. What our these companies putting down??? If I were the home owner I would ask "what am I getting for my money."

    Apples to Apples, Dust to Dust.

    Urea is cheap cheap cheap. what about minors, P5O, K2O. etc, etc.
  10. Tony Harrell

    Tony Harrell LawnSite Senior Member
    Posts: 739

    I thought those prices were cheap compared to some I've heard about. That's why I asked about your % of product or, cost of goods. That seems to be the basis for a pricing structure. One member emailed me privately with some info but, I can't read the file. (I'll call you later).

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