am i trying to charge to much?

Discussion in 'Pesticide & Herbicide Application' started by inzane, Oct 15, 2012.

  1. inzane

    inzane LawnSite Silver Member
    Messages: 2,476

    i may be trying to charge to much. I stick to $7.50 per 1,000 sq. ft., but do not discount for larger lawns.. so i have been too high on a few bids. i gave an estimate for an 11k lawn for $80.00 and i was too high.. does this sound like to much?

    thinking of trying to go a little lower over 8K sq. ft., i'm in metro atlanta area, its hard to figure out what the avg. price is here so far.. it just seems that most companies go down on price per k for larger lawns, i still don't get that, but guess there is some reason behind it. i seem to get more customers in the 8k and under range, but none over that, because i'm usually to high. i'd rather the smaller lawns anyway. 3k and under seems to be where its at. i honestly don't know what a company charges for 10k here, trugreen guy says $65, scotts guy says around $80. neither is even close in price.. :dizzy:
  2. exmark user

    exmark user LawnSite Senior Member
    Messages: 460

    One reason for lower price on larger lawns is less time drive time .There is money at one stop instead of driving all around town, so less gas for vehicle.
  3. vaacutabove

    vaacutabove LawnSite Bronze Member
    Messages: 1,011

    I am lower than that. But also prefer the in and out jobs. Even in mowing. Early order ferts the most you can and work your supliers agents one another. The thery behind lower rates for more k is no fuel for a drive and less windshield time per k.
    Posted via Mobile Device
  4. inzane

    inzane LawnSite Silver Member
    Messages: 2,476

    that makes sense. i know it depends on the area, but what is some of you guys average price on a 10k square foot lawn??

    i buy what i need as i need it now.. so i do not get bulk discounts. i know i paid $25 bucks per bag of 0-0-7 with barricade last week and for 0-0-7 w/ dimension at JDL it was over $30 per bag.. could only imagine what its gonna be when i have heavier fert rounds + pre-emergents this spring. i'd rather get turned down for a high price i guess, rather than shooting myself in the foot with underbidding. i assume that an all granular program is gonna be hard to make the same profit as if i was running liquid.

    right now i am thinking my focus for next season is picking up mowing customers and working them a better deal on the apps since i'm already out there.. that way i can get some cash flow going with the mowing faster than with lawn treatments.. then mabee keep picking up smaller lawns to do applications on.. i have smaller lawns that i get $10 or more per K.. which sounds good to me.
  5. georgialawn88

    georgialawn88 LawnSite Bronze Member
    Messages: 1,075

    to compete your going to have to swap your granular program over to liquid pre's for sure. Theres no way to compete on a all granular program in my opinion. profits just to low. I'm in mcdonough and 10k for most companies around here are 45-55 range it seems
  6. WestGaPineStraw

    WestGaPineStraw LawnSite Senior Member
    Messages: 765

    I pay $12 a bag for 0-0-7...$25 is over double. I price close to what you do. I never have a problem with closing the deal. I could care less what the big boys are charging.
    Posted via Mobile Device
  7. GreenI.A.

    GreenI.A. LawnSite Silver Member
    Messages: 2,131

    We charge a flat rate for the first 3,500 sq ft. From there we charge an additional price per every 500 square feet. Then after 20k ft, we charge a slightly lower price per every five hundred. Over 100,000 sq ft, we normally estimate our time and materials. The reason we start charging less after 20k and again after 100k is that as the size increases, the time per k decreases.

    Like pointed out above, if you charge a flat rate per k then you make the same amount of money weather you treat 1 lawn that is 100k or 10 lawns that are each 10k. Yes the cost of materials are the same. But the amount of time is completely different, ony filling out paperwork once, only mailing one invoice, only flagging one property, not having to swith products between properties, only unloading/loading equipment once, only had to market to one customer, only have one customer calling to ask questions, etc.

    We currently treat 500 properties for a total of 4mil sq ft. All done in granular applications with liquip control products. This season I am researching ride on sprayers for a switch next year.
  8. inzane

    inzane LawnSite Silver Member
    Messages: 2,476

    damn, i'm paying double. that makes me feel better. lol.

  9. jbturf

    jbturf LawnSite Bronze Member
    Messages: 1,498

    what exactly is the service you are pricing here?

    is it a one time app of your 007 product? is a program including fert, weed, insect controls etc...
  10. macgyver_GA

    macgyver_GA LawnSite Senior Member
    Messages: 826

    Is that for Dimension or Stonewall?

    I paid $18 per bag for Stonewall at JDL a couple weeks ago.

    Just checked my old JDL invoices from Feb and I paid $24 per bag for 0-0-7 Dimension. $33 per bag for 25-0-10 Dimension in April.

    I don't buy in the volume some of you do since I don't have a lot of fert customers (only buy 6 bags at a time).

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