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Lowest price gaurantee working...

Discussion in 'Lawn Mowing' started by nobagger, May 1, 2005.

  1. nobagger

    nobagger LawnSite Gold Member
    from Pa
    Posts: 3,065

    I posted a thread a couple of weeks ago, Lowest price gaurantee. I had mostly negative responses but it's working for me and its something I had to try. My ad is standing out from plenty of other companies by just bold headlines. Its very late in the season to be trying to gain more customers so the phone isn't ringing off the hook but its at least consistantly ringing. And no I'm not lowballing I'm beating competition by a buck or two or three. To me "lowballing" is bidding a 30.00 job for 15-20.00. Another good thing is people are remembering my ad and getting calls for other services we offer not just mowing. Hopefully picked up a 2k brush clearing job, and have picked up several little landscaping jobs which will hopefully lead to a full-time customer.
  2. slicksilverado01

    slicksilverado01 LawnSite Member
    from Ohio
    Posts: 173

    glad it is working for you...but If I were you I would be worried if all the people you get from that ad are pita's...
  3. lawnranger44

    lawnranger44 LawnSite Senior Member
    Posts: 370

    I agree...what kind of customers have you gotten from this advertising technique?
  4. MMLawn

    MMLawn LawnSite Gold Member
    Posts: 3,569

    "Lowest Price Guarantee" (....plus you really should learn to spell it it if you are going to use it) is nothing more than a souped up term for Lowballing. YOU know it and WE know it. I bet it comes back to bite you in the butt too.
  5. Mo Green

    Mo Green LawnSite Bronze Member
    Posts: 1,487

    I would have to agree.

    Why not try......Satisfaction Guaranteed.
  6. ed2hess

    ed2hess LawnSite Fanatic
    Posts: 13,190

    As the TruGreen salesman said...first order of business you have to get customers and a lot of them if you want to make a LOT of money.
  7. grassmanvt

    grassmanvt LawnSite Senior Member
    Posts: 906

    Yep, I've gotta agree. Trying to beat the other guy by a buck or two is lowballing at it's best (or worst) . Do whatever you like but if people are willing to switch providers for " a buck or two" then I wouldn't want them. These are true nickel and dimers. If you were beating the other guy by $20-$25 then I could see even some of the good customers contemplating a switch but these sound like penny pinchers to me. The type that will leave you next year for the next guy willing to go "a buck or two lower". Not trying to critsize, if it's working for you, great, but I think you will find out that this was a short-term fix to a lack of customers. Unfortunatly, you are setting yourself up for a large % of ternover on your customer list.
  8. grassmanvt

    grassmanvt LawnSite Senior Member
    Posts: 906

    Remember, lots of cashflow doesn't nessacarily mean lots of profit. This is especially a tough lesson to learn when trying to make the transition form a solo operation to having employees unless you jump to a bunch of employees to cover the smaller margins. A hard game to play.
  9. lawnMaster5000

    lawnMaster5000 LawnSite Senior Member
    Posts: 589

    I have to agree with your strategy.

    Right now the opportunity cost of your time is very low. You need to take advantage of that and build a reputation for your company. The easiest way to do that is to show people how great of a job you can do.

    The majority of the companies on this site will agree word of mouth is the best advertising. In order to get your name around you need to have a large customer base. So what if you don't keep any of these (low bid) clients more than 18 months. You won't need them anymore. They will have already referred you to all their friends.

    You may be hurting at the end of this year from dealing with PITAs and mowing a bunch of yards for cheap, however in a year or two you will be far far ahead of the guy that had too much pride to build his company.

    best of luck to you.
  10. HOOLIE

    HOOLIE LawnSite Gold Member
    Posts: 3,981

    I would be curious as well as to how many you'll retain for next year. Check back here same time next year...

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