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I never bag unless the customer insists on it. If they do, it's extra $ because there's more time involved, you have to stop periodically to empty the catcher, and you have to haul and dump the clippings.
I've never had a complaint discharging. The discharge is very good on my mowers, so there are almost never any visible clippings left laying on the lawn. If there are, I hit them with the blower to scatter them.
The only time that we will bag is during leaf clean-ups. The rest of the time we mulch everything! We can go any direction, around beds, cars, the house, cats, dogs, and play areas and not have to worry about throwing grass all over everything. It may not work for everyone and I'm not telling you that it is the only way to go and that bagging and discharging sucks, because they don't, but mulching just works for us.
Make that desision for yourself based on the needs of the lawns you service, your desired quality level, and how easy you can dispose of the clippings. Around here (new jersey) i bag almost everything, expecually in the spring. The grass just grows to fast and thick to mulch or S/D without leaving a large amount of clipings lay or cutting it more than twice (and most likly causing thatch problems by summer). I frequently get new clients simply because their previous service provider didn't bag when they should and left a lot of clippings lay, and a few times even started to damage the lawn due to severe thatching.
In the summer i'll S/D a lot more when the grass slows down though. All three methods have their purpose and place, and which is best for you depends on the conditions of the area you service.
I agree with M&S's comments. We cannot make blanket assertions about what do to in areas other than our own.
My situation sounds much like his, bagging is a must. At this time of the year, any discharge in smaller area would leave the beds a mess with clipping cover. And, many areas would look like a hay fields with discharging the clippings. Mulching is never a consideration because of the heavy growth and the sappy condition of the turf. The mower would pack out with debris after a short distance, to say nothing of the clumps and rows.
Clearly, those who are able to discharge or mulch through all, or most of the season, have much different mowing conditions that some of us. Therefore, your question pertains to what conditions are right for your area, and also what your customers expect.
Around here every company and their mothers are running walkers with a bagger, you have to in these parts to keep up with the growth rate. But I also don't have to pay to bring grass to my local dump and my minimum rate for bagging a residential is 30 and 25 for discharging.