Raising prices

Discussion in 'Lawn Mowing' started by Lazer Cut, Sep 23, 2009.

  1. whoopassonthebluegrass

    whoopassonthebluegrass LawnSite Platinum Member
    Posts: 4,201

    Absolutely keep them where they're at. Adjust your other pricing on the other services to compensate.
     
  2. Lazer Cut

    Lazer Cut LawnSite Senior Member
    Posts: 906

    i was thinking the same thing... maybe price the fert and mulch a bit higher to get my price where i need to be
     
  3. dgw

    dgw LawnSite Bronze Member
    from OH
    Posts: 1,008

    http://www.agri.ohio.gov/apps/odaprs/pest_studymat/pest_study.aspx

    study sections 5 and 8 get certified
    get all your customers signed up on a six app fert and squirt program

    leave a note on your invoice every week with a recommended upsell for the following week (pruning , dethatced , mulch freshining, aeration, whatever you notice) dont EVER wait for them to ask you
    1 out of ten will ask
    six out of ten will say yes
    Call all your customers at the beginning of the week to see how there doing and CONFIRM the upsell your a salesman right

    as for the price raising
    make up a nice menu on your computer with different weekly packages catored to the yard and they will bump themselves without you having to "raise" your price

    with these steps your mowing price will be fine
    and get some exttra fert contracts 90 percent of mine cut there own lawn
    its quick money
    postage stamp lawns i run over them with the spreader shoot some q4 and im out in 15

    minutes and i get 57 bucks an app
    good luck and prove why your worth the extra money
     
  4. pflasch

    pflasch LawnSite Senior Member
    from VA
    Posts: 294

    You will always risk having some people leave you when you raise your prices... that's just how it is... but you will take on new clients, at the higher prices, to make up for the ones that you may loose.

    Many years ago, a very successful business man told me "if 1/2 of your clients tell you that the your prices are TOO HIGH, and the other 1/2 tell you that you are a STEAL for the work that you do... you are probably charging a fair amount!

    What you have to remember is that your value is "perceived".
    i.e. If you show up on time, look professional, do a great job each and every time you are there (and maybe a little extra), people will pay you more than a "mow and blow" guy that just does what was required... and no more.

    I've seen companies that do not have any PRIDE in what they do... and it shows!
    Show every client that you deserve the money that you are asking for, and you will get a clientele that will gladly pay for your services!

    If you have a problem with this concept, walk into a Bloomingdales, Macy's or any other higher end retailer, and see how the customer is treated! PEOPLE WILL PAY FOR GREAT SERVICE!
     
  5. Lazer Cut

    Lazer Cut LawnSite Senior Member
    Posts: 906

    Ya I have customers that want me to maintain everything now since they liked how I was this past season. One customer is only $50 and I extremely under bid myself!! Freakin takes me 2 to sometimes 2 1/2 hours cause of the height he lets it get. I have told him before that I am charging him $15 everytime it gets tall... getting rid of him unless he wants to pay $100 a cut next season which I doubt. I have learned you cant always please the customers. I do not work for nothing even if I am young. That's the thing, if I was older they'd not try to push you around so much.

    Customer called and she said she'd the weekends cut (two weeks ago) went there this past weekend and it was everybit of 8-9" tall. I told her mam' I am sorry but I am not going to cut this for x price it is going to be xx price. She was very mad and blamed me for the growth even though she skipped. I politely said mam' this is the price nothing less. She told me she wasn't going to pay and so I just got in my truck went to the next house. It is a foot tall now I bet. Serves people like that right. Just cause I do not have the publicity of other companies does not mean I can't provide the same quality.

    Guys thanks a lot this is really helping me shape my business plan right up. Using excel more to create sheets figuring out costs... its great to finally have a handle on things! Feeling more relaxed too.. nice to go out and make $500 in 8 hour day and now that $11.25 per hour is my costs for everything and .17$ per mile. Nice to be able to figure these things out! All with the help from here.
     
  6. Lazer Cut

    Lazer Cut LawnSite Senior Member
    Posts: 906


    I will be looking into getting my fert app license. What do you recommend for fertilizer here in OH?
     
  7. topsites

    topsites LawnSite Fanatic
    Posts: 21,654

    I am not entirely disagreeing, I don't want you to go work for the cheapo who can't seem to afford our services either,
    that's a load of bull and everyone in my county knows I won't do it (or if they don't they can try and call, find out).

    But having said that, right now with the state of the economy, most customers could as likely give a rat whether
    their landscaper has all the right stuff or not, for the most part all they care about is that someone show up on time,
    do the work in some kind of fashion, make it look good, and be half casual and decent about it all, too.

    As for the lowballing...
    Please realize that I am an avid shopper, I used to, and still do sometimes...
    When I take a day off, just get in my car and drive around to all the little secret places I know to see what's on sale,
    check Ebay and a few others, too.

    Because what I find somedays?
    These are just examples, it could be anything you can use...
    100+ spark plugs for like just under 50 cents each.
    Grease guns (14 oz. cartridge) for like $5.99 each, decent tools, too.
    On that note, the 14 oz grease cartridge itself, I bought a slew of these at 79 cents each.
    Why did I do this, because I know they usually sell for $2+, why, because I KNOW (my cost).
    You see, as I shop I remember the prices of what stuff usually sells for, how I know when I found a good deal.
    A ph-level meter for like $1.99

    Those are just some examples, but consider these...
    When the next time some supposed lowballer undercuts you, yes it is frustrating.
    But maybe, just maybe that guy is not a lowballer.
    Maybe his cost is just lower than yours.

    So the trick here is to lower your cost, I believe the key word is strategically, slowly, perhaps methodically.

    Now times will improve, not tomorrow and not next week, probably not for some years yet, but improve they will but watch out!!!
    Because after times get going all good again with the economy, guess what comes after that?
    Yup, another bout of the rough stuff, the hard times, what we just went through, it's coming again some many years down the road.
    And I'm not trying to scare anyone but I can tell you that those who fail to reduce their costs in the meantime may as likely find it
    that much more difficult to survive the next "hard" times, and some may not survive at all, I am sure some did not this time.
    Because cost reduction and all, easy it ain't either way.
    But as they say, every little bit helps.
     
    Last edited: Oct 1, 2009
  8. brodo374

    brodo374 LawnSite Member
    Posts: 141

    how can anyone make money charging 25 bucks when working for 45 minutes....those numbers are way outta line. i do not know what the competiton is like where u live but 1 dollar for 1 minute is a must. and that is a very very low figure. 1 dollar 1 minute means 1 person from arrival to departure. 2 people should be making at least 70 bucks per hour (including drive time)
    if u cannot do that then do not lowball and hurt everyone else








     
  9. dgw

    dgw LawnSite Bronze Member
    from OH
    Posts: 1,008

    andersons

    start of with a post emergent in the spring

    anderson makes a fertilizer herbicibe combo first your first app
     
  10. Hoy landscaping

    Hoy landscaping LawnSite Senior Member
    Posts: 836

    next year im adding a pissed off fee!:laugh:
     

Share This Page