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Pricing Strategy

Discussion in 'Lawn Mowing' started by LawnMowerMan2003, Jun 21, 2003.

  1. LawnMowerMan2003

    LawnMowerMan2003 LawnSite Senior Member
    Posts: 768

    I'm trying to plan a better pricing strategy and I had a couple of questions.

    1. If I know that some people will pay $10 more for a basic one hour lawn than what I am charging others (with a 21" and curved shaft Echo) should I start giving all estimates with the higher price? Or do I need to determine the percentage of people who will pay more first?

    2. I know this varies, but what would be the minimum hourly rate using my slower equipment (with the 21" being the main factor)?

    3. I have seen this number before but I can't remember:
    What percentage of my estimates (just regular mow and edge service) should I be getting jobs on, if it is possible to judge my pricing this way?

    Thanks for the help.
  2. Ric3077

    Ric3077 LawnSite Bronze Member
    Posts: 1,113

    1. I would say it kinda depends on your current hourly rate...tacking $10 onto what $60?, $75? But odds are I would tack on teh extra $10 and give everyone a fair estimate, don't wanna charge lawn A $75 and Lawn B (same size) $65 just cause you know you can get it from Lawn A, cause Lawn A and B may be buds or co-workers, or cousins etc...

    2. Even with the small blade you gotta get at LEAST $60/hour or you are wasting time and money.

    3. I tend to shoot for 70% of estimates booked...but it can vary:blob3:
  3. LawnMowerMan2003

    LawnMowerMan2003 LawnSite Senior Member
    Posts: 768

    Thanks for the advice, but if you're right about the $60/hour I'm in trouble! I know the market well enough to know that many services in my area charge only $25-$30 for those lawns.

    I was charging $25 (my minimum) for up to an hour (note that there's very few lawns that take less time that I've found). I charged $35 for a couple of those lawns and curently have 2 customers who are paying $35. I don't see any way possible I could get $60 for those lawns. This may be because the people with better equipment are charging $60/hour and doing the same lawns in 30 mins.
  4. Ric3077

    Ric3077 LawnSite Bronze Member
    Posts: 1,113

    I would suggest banging out 2 $30 lawns in an hour or getting more $$$ if 1 lawn takes an hour:blob3:
  5. LawnMowerMan2003

    LawnMowerMan2003 LawnSite Senior Member
    Posts: 768

    Well, I may just have to wait untill I can purchase a 36" walk-behind to do this. My Troybilt is a little slow, and so is the curved shaft Echo with the rapid loader head, but without the 36" I wouldn't expect to cut more than 15 minutes off.

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