lost 2 customers to a low baller

Discussion in 'Lawn Mowing' started by tgrebis, May 2, 2002.

  1. tgrebis

    tgrebis LawnSite Member
    Posts: 28

    Lost two customers. Each property is 35000 sq ft. I was charging 40 each, right next door to each other. These weren't very profitable to me since we only use 48' walkbehinds. It generally took about 3 hours labor to do both to a high quality. They both got someone to do them for $25 each. I can tell they were cut with one of those fast 61" riders, But 25$ each???!!! You got to be kidding me. What are they trying to do, get the whole neighborhood and then jack the prices up next year? How the hell are they not losing money on this deal? Are they subsidizing the lawns for all the other work in the neighborhood?
    Just wondering what everyone thinks is the scam going on here or are these people just destined to go out of business real fast.

    Tom
     
  2. 65hoss

    65hoss LawnSite Fanatic
    Posts: 6,360

    Let them have it. At $40 each for 3 hours you were not making anything either. People like that will learn the hard way, one day.
     
  3. MikeLT1Z28

    MikeLT1Z28 LawnSite Bronze Member
    Posts: 1,732

    i'd say they did you a favor if it was taking 3 hours to do them and you were getting $40 for them each. if the customer isn't happy and returns to you, jack the price up to where you should be.
     
  4. MikeLT1Z28

    MikeLT1Z28 LawnSite Bronze Member
    Posts: 1,732

    i swear we aren't the same person! just known each other too long i guess! lol
     
  5. Doogiegh

    Doogiegh LawnSite Senior Member
    Posts: 871

    I think some on here think you were getting $40 for 3 hours work or $40 for 6 hours work.

    I believe from the chopped quote above, you were getting $80 for 3 hours work, which then seems to be a semi-fair price. Low-end, but not as bad as I think some on here interpreted it as.

    Gary
     
  6. MikeLT1Z28

    MikeLT1Z28 LawnSite Bronze Member
    Posts: 1,732

    i understood it as $80 for 3 hours, but that avgs out to 26.67 an hour. like you said, a little low. i say let em wear out their MTD's and Crapsmans on it!
     
  7. tgrebis

    tgrebis LawnSite Member
    Posts: 28

    80 dollars for 3 hours is correct. It is low but would be fair if I had a large rider. now the other guys, are charging $50 total. There is a pool you have to use a small mower on, etc. No way anyone good get these properties done in under two hours.
     
  8. tgrebis

    tgrebis LawnSite Member
    Posts: 28

    the main concern is that this wasn't taken by a scrub. It was taken by a larger outfit, but I don't know how legit the employees are. I don't believe anybody could speak english.
     
  9. 65hoss

    65hoss LawnSite Fanatic
    Posts: 6,360

    I didn't misunderstand. $40 each=$80 in 3 hours.
    I'm not questioning the $40 for 35,000 sf, I'm questioning why it takes 3 hours. If its taking 3 hours your not making nothing. And again, yes I know its a total of $80. That is barely covering your expenses assuming you pay taxes, g/l insurance, gas, mowers, truck, truck insurance, etc.
     
  10. tgrebis

    tgrebis LawnSite Member
    Posts: 28

    65hoss,

    your right, thats why I am not upset about losing these lawns. They were the least profitable ones I had. I just can't understand how a larger firm can bid these so low.
     

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