200 new chemical clients?

Discussion in 'Business Operations' started by tdoeizreal, Jan 9, 2019.

  1. tdoeizreal

    tdoeizreal LawnSite Senior Member
    Messages: 573

    Is it realistic/possible for a solo operation to shoot for 200-300 new chemical clients in one season?
     
  2. Digitaria Sanguinalis

    Digitaria Sanguinalis LawnSite Senior Member
    Messages: 389

    Depends on the marketing budget, demographics, competition, current company size, etc...

    In marketing once you achieve a certain size/ base the only thing that truly matters is ROI. Quality goes out the window. The goal is to replace the un happy clients two fold with people that will never know the difference. Name brand recognition ie... PGA Tour and TruGreen for what ever reason holds weight with uninformed idiots. TruGreen won't touch a golf course to save its life. Quality is and never was its core value.
     
    gcbailey, hort101 and knox gsl like this.
  3. jc1

    jc1 LawnSite Silver Member
    Messages: 2,418

    How would you have time to service them if you could sell them? It would take more time in sales than production as a solo.
     
    kemco likes this.
  4. tdoeizreal

    tdoeizreal LawnSite Senior Member
    Messages: 573

    Point taken...what if I have someone answering all incoming calls, screening, and getting necessary information? I can complete 90% of my bids in 5-7 minutes once I have all their info.

    I know that's technically not doing it solo.
     
  5. jc1

    jc1 LawnSite Silver Member
    Messages: 2,418

    I doubt its possible to answer a call, measure a property and spend the time needed to close the sale in 7 minutes. You will not have a 100 percent close rate either. I believe you would need about 1000 inquiries to close 300 sales.
     
    hort101 likes this.
  6. DA Quality Lawn & YS

    DA Quality Lawn & YS LawnSite Fanatic
    Messages: 10,033

    Possible yes, insanity yes. Especially for a solo guy, and you have to service your current customers as well.
     
  7. tdoeizreal

    tdoeizreal LawnSite Senior Member
    Messages: 573

    5-7 minutes to complete and submit the bid AFTER I have all the info. Not including the original phone call. I have about a 40% close rate. Allot of bids are accepted without ever talking to a client. I follow up with a phone call if I haven't heard back after a few days though.

    I'm trying to look at this realistically and figure out what's really possible.
     
    hort101 likes this.
  8. tdoeizreal

    tdoeizreal LawnSite Senior Member
    Messages: 573

    You may already know my situation from a post last spring. I'm really trying to scale this business this year. I'm ok with putting in the hours this year. I feel like I set some good ground with this past season. I used to work 12-15 hours a day, 6-7 days a week to grow my mowing business before I sold it.
     
  9. DLL LLC

    DLL LLC LawnSite Member
    Messages: 48

    Servicing them wouldn't be that hard for one guy. You could easily do 12-15 per day if within a 10 mile radius. So just say approximately 2-3 weeks per step. Now gaining that many in one year is another story. Using stats from thedma.org (direct marketing analysis) average percentage of sales for a marketing campaign ranges from 0.01% for email and social media to 0.05% for direct mailing. So you would need to hit a range of 40,000 to 200,000 potential customers to barely get 200. Pending which marketing scheme you use, it will cost an investment of $8000 to $40000 to gain those 200 customers. And im giving you utopia numbers. In 2017 the average marketing cost for a new customer in the service industry was $167. So thats an investment of $33,400 to gain 200 customers. I would suggest targeting neighborhoods you are in already. We do that, spend about $1800 yearly on marketing them and gain on average 10 new customers from those campaigns. And gain about another 8-10 from word of mouth. But thats from a client base of about 150. Also consider a average retention loss of 5% every year. Good Luck.
     
    hort101 and tdoeizreal like this.
  10. Bunton Guy

    Bunton Guy LawnSite Silver Member
    Messages: 2,232

    We've tried to do what your doing. We spent a year of planning on and off, the. 6-8 months of getting out eddm post cards and hitting social media daily. Along with 15k door hangers and 10k post cards we landed only 8-10 clients. Cost us around 5-6k to get those clients. Didn't go as planned.....
     
    hort101 likes this.

Share This Page