Discussion in 'Business Operations' started by Dix, Feb 12, 2002.

  1. Dix

    Dix LawnSite Member
    Messages: 50

    Elements of busines:

    Would like to know if it is better give an individual price for ea. service to be provided and then give the total price, or just list what is included in the contract and then give only the total price?

    I have been just giving the total price, but wonder if I should show what I'm charging for ea. service included in the contract.

  2. PAPS

    PAPS LawnSite Senior Member
    Messages: 404

    I do both...for smaller jobs I sometimes break it down by price per item, and then a total for the job... and for larger projects, I will explain the entire job with all elements and then give a total price.
  3. On maintenance I price each service seperate.
    It helps with things like aeration that they may want to do twice a year, or maybe you have someone that would keep trimming their own shrubs to be able to afford the rest of your services. I don't have to get it all to work for a customer. I guess it depends on what you want to sell, or feel comfortable selling. Sometimes it's a comfort factor with the customer and once they have seen your work, will continue adding services. I price all services as seperate jobs so I get my price regardless.
    On installations I price labor seperate from materials-delivery- tax.
  4. LawnLad

    LawnLad LawnSite Senior Member
    Messages: 738

    We work on a fee for service basis for landscape maintenance. So weekly service visits are priced separately from aerating, fertilizing, verti-cutting, etc.

    We price our seasonal clean ups and bed maintenance work on a T & M basis, so I give hourly rates. We can't predict the weather and it greatly affects our clean up times since we move a lot leaves.

    Bed maintennace is up the customer... they might want us to mulch, plant annuals, work in perennial beds, edge the beds, water the flowers, prune/trim, etc. So this we do on a budget and try to work within the parameters they give us.

    For construction work, I might give a T&M estimate... highlight the estimate part of it. It's not a bid, so it might change.

    For contract construction work I give a complete bid taht includes labor, materials, equipment and warranty in one price. I may separate the job, like Fence, lawn installation, bed installation, patio, etc. This way if they don't want to do the beds at this time, then they can skip that part of it and do all the other work listed.
  5. diginahole

    diginahole LawnSite Member
    Messages: 249

    An itemized proposal gives you an extra tool in your sales bag. Ask any salesman the number one objection when presenting a proposal..... he will inevitably say price. Building in an optional component in every proposal is an easy fix to price objections. Start removing items until the price becomes acceptable for the consumer. Nine times out of ten the wife will put those things back on the order before the husband gets a chance to sign. Upselling the extras once the work is underway is also still an option. Unsold items also leave an opportunity for repeat business.

    If price objections are the most common objections, what are you doing to overcome them?

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