New account lost

Discussion in 'Lawn Mowing' started by LCME, Sep 27, 2004.

  1. LCME

    LCME LawnSite Senior Member
    Posts: 430

    Went to give an estimate for weekly mowing for a newly installed grass. Ready to be cut. 1ac lot fairly flat with few trees and lite trimming. but, large driveway for edging. Anyway I told him $45 weekly mowing. He said, my neighbor has a guy cutting his lawn and he will do for $35. I tried to sell myself with the great services we will provide as a yearly customer at $45 per mowing. Customer went with the other guy because he was already there and cheaper. Am I doing something wrong here. I wanted the job. The neighborhood is upscale type sub-division. Any suggestions on how to get-in the neighborhood when I see 3 other LCO's driving around here?. Or, should I just move on and focus on another area. Thanks LCME.
     
  2. Hawkeye5

    Hawkeye5 LawnSite Senior Member
    Posts: 295

    Why do you think you are the one that did something wrong? If you can't make the money needed, don't worry about it. I wouldn't be able to do an acre for $35 either. You can't stay in business by loosing money on each lawn and trying to make it up on volume. $35 is about the labor portion with nothing for overhead. Actually, I have started looking for sub-divisions with smaller lawns than an acre. Seems the folks with acre lots feel they should pay the same as those with 1/3 acre lots. You can find lots of smaller lots for $30 to $35 per cut and the pricing is not as thin as for the larger properties. I know, because I did it too, that the larger properties look as though you should make more, but it never seems to work out that way. If you do get them, someone comes along and undercuts your price anyway.
     
  3. pilotcoplawnboy

    pilotcoplawnboy LawnSite Member
    Posts: 138

    I would have just ok. And a couple of weeks down the road if the other guy is doing a terrible job you can say (to yourself), he got what he paid for and maybe he will call you back. I would never cut an acre for 35 dollars. I just lost an account this morning because the persons husband finished a work contract in Canada and he is gonna come home and do it himself. I was like, OK! This person hasn't cut grass in over a year. Maybe the yard will look like crap and they will call me back. Atleast he help me get other yards in his neighborhood to cut.
     
  4. mbricker

    mbricker LawnSite Senior Member
    Posts: 505

    I have a customer who sold house and moved into higher class neighborhood, and several times I was asked to "bid" by people in her new neighborhood. Didn't get a one of them. "Too high."

    The last one, after I quoted him $35, told me he already had a price quote of $25, I told him to go for it.

    Then later my customer told me (laughing) the neighbor was complaining because his new lawn guy wouldn't bag, like I do, and wasn't doing a good job of trimming, and most of the time skipped edging along the street curb.

    Ya get what yuh pay for, dumb a$$!
     
  5. QualityLawnCare4u

    QualityLawnCare4u LawnSite Gold Member
    Posts: 3,758

    Hawkeye, you are exactly right. I have started doing the same thing. I have got 25-35 dollar yards with a MUCH higher profit than some of the 60 dollar bigger yards. I have 2 35 dollar yards that I can do in half a hour and some 45 yards that take me 1 3/4 hours to do. I am going after all small yards next season (if health permits) and dropping all my big yards if possible. In my area the resistance is around 40 bucks I dont care if the yard is 2 acres or 1/4 acres.

    Danny
    Quality Lawn Care
     
  6. Hawkeye5

    Hawkeye5 LawnSite Senior Member
    Posts: 295

    Danny: I have posted on the subject of price resistance and the relation to total square footage before. Some areas seem to have experienced it and others not. I have to deal with it and it seems you must also. My experience here in Middle Tennessee (Northeast of Nashville) is that $50 per cut and around $200 per month is the area where people decide they can do it themselves or find someone that will do it for less. These prices are generally for the acre and acre plus lots, also these yards seem more prone to predation from lower pricing. Also like you, I have found smaller lawns are more profitable. My most profitable lawn is a 13,000 sq. ft. corner lot with curb. John
     

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