Should I raise my prices?

Discussion in 'Irrigation' started by DanaMac, May 5, 2008.

  1. DanaMac

    DanaMac LawnSite Fanatic
    Posts: 13,156

    Tell me if I'm out of line on this. I am thinking of raising my service call fee and labor rates for anyone that has freeze damage. Especially existing customers that have major damage - RP, manifold, mainline. One, it will hopefully get them to have us blow it out in the fall. and two, I'm tired of doing the same freeze damage repairs year after year for some of the same people. I'm hitting them good with parts pricing, but may raise my labor rates. Either that, or force them to prepay for winterizing and get it on the list now. But even then, I have had some people that we blew out in the fall, turn it on in the winter to water when dry :dizzy: So I don't know if I can trust them to leave it off.
     
  2. nylan8888

    nylan8888 LawnSite Member
    Posts: 137

    Why would you want to discourage a very lucrative portion of your early spring business? It is like stupid tax, only you are the collector. You offer the service, they decline it, it freezes, you collect and collect and collect until they decide they have paid enough tax and have you winterize it. We probably replace/repair 50 backflows every early spring, we make good money at it and my trucks with logos are seen all over town putting my name in the front of their brain just when they are starting to think about new zones, new flowerbeds, new fences etc.
     
  3. Mike Leary

    Mike Leary LawnSite Fanatic
    Posts: 22,076

    Who in the hell wants that kind of work? :hammerhead:
     
  4. DanaMac

    DanaMac LawnSite Fanatic
    Posts: 13,156

    We make good money doing it, but we could create a better bigger customer list if I wasn't turning away work. Or have them say they have to call someone else because we are booked 2-3 weeks in advance. And don't say hire more people. Nobody here can find good service techs, that's why some of the good landscape companies sub to me. And hell, I'd rather do 15 easy start ups a day, than 5-6 start ups with freeze damage combined in.

    and I'd like to grow the winterizing portion even more. Good money to sit on during the winter
     
  5. nylan8888

    nylan8888 LawnSite Member
    Posts: 137

    I guess it must be different there. Here it is an easy $125.00 profit for about 30 minutes work.
     
  6. DanaMac

    DanaMac LawnSite Fanatic
    Posts: 13,156

    nylan8888 - I'm tired of our schedules getting ruined due to some joker that doesn't take my warning and have us blow it out. When they call for a basic start up, and 3 hours later we're still there, it sucks. Maybe I should just stop blowing out systems all together, and have 50 times more repairs due to freeze damage.
     
  7. hoskm01

    hoskm01 LawnSite Fanatic
    Posts: 5,690

    If you feel that your rates arent enough, up them. What are you at now, I forget.
     
  8. nylan8888

    nylan8888 LawnSite Member
    Posts: 137

    I guess we do it a little different here. We schedule our spring startups and inform the customer at that time that we are doing startups only and how tight our schedules are and that if we encounter freeze damage or major problems other than adjustments or head replacements, we will continue on with our route and schedule them for a repair call at the earliest date possible. Lets us complete our startup schedule and allows my repair tech to schedule repair times more accurately because he has already seen the problem and has an idea of the time he needs to alot for repair.

    Here in Oklahoma, about the main freeze problem we have is above ground PVB's that have frozen and broke. Either repair kit for the PVB or 2 male adapters and a new PVB, and system is up and running and we are off to the next one. Usually 30 minutes tops, $125.00 profit.
     
  9. DanaMac

    DanaMac LawnSite Fanatic
    Posts: 13,156

    If we have to re-schedule for major repairs, we are already booking 2-3 weeks from now, so we can't fit in very easily.

    I find it hard to believe you can show up, talk to the customer, replace the PVB, ACCURATELY check and adjust the system, set the controller, bill the customer and be out in 30 minutes. And HOPE thaqt there are no other problems
     
  10. Mike Leary

    Mike Leary LawnSite Fanatic
    Posts: 22,076

    Comment that makes us all look like slimeballs.
     

Share This Page