The best response from customers and dollar$

Discussion in 'Starting a Lawn Care Business' started by LawnProsOmaha, Feb 13, 2010.

  1. LawnProsOmaha

    LawnProsOmaha LawnSite Member
    Posts: 5

    What gets the best response when bidding potential fertilizing customers?

    I've been in the business part and full time for 19 years and am going full time and aggressively expanding in fertilizing this year. As the fertilizing goes, its almost like starting a new business from scratch.
    (Competitors in my area offer 4-8 step programs, 6 is the most common)

    I use a price quote sheet which shows the "cost per step" and "full season prepaid price" ... Which is more important to customers?

    I am weighing the pros and cons of 2 plans.

    PLAN A: Use a smaller number of steps with higher price per step
    PLAN B: Use a larger number of steps with lower price per step

    Plan A will give the customer a lower yearly cost, and give me a higher profit margin, but a lower gross profit per customer.

    Plan B will give the customer a lower cost per step, and give me a higher gross profit, but a smaller profit margin.

    ...whats your input? :usflag:
     
  2. Lugnut

    Lugnut LawnSite Senior Member
    Posts: 551

    Quick question...I assume you are averaging out the cost of all apps and charging the same price no matter what product you put down?
     
  3. LawnProsOmaha

    LawnProsOmaha LawnSite Member
    Posts: 5

    yes, I am averaging out the cost of all apps.
     

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