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Customer retention

Discussion in 'Lawn Mowing' started by fairwayCuts, Jan 31, 2005.

  1. fairwayCuts

    fairwayCuts LawnSite Member
    Messages: 161

    I started mid last season and gaind a small cust base(12). I guess what I'm wondering is what do you find your cust retention rates seem to be from season to season. I'm getting ready to contact my existing cust and just looking to see what I should expect?
  2. bobbygedd

    bobbygedd LawnSite Fanatic
    from NJ
    Messages: 10,178

  3. 1MajorTom

    1MajorTom Former Moderator
    Messages: 6,073

    Hard to give an accurate answer, I think it depends upon your customer base.
    Honestly, I think our customer retention sucks! We lose too many customers each year to death, and to moving into senior citizen homes. Just off the top of my head without getting out paperwork, we've lost 6 already to start the season due to these reasons. Thank goodness we don't lose due to dependability issues or poor service. Losing so many to deaths is just killing us. (no pun intended).
  4. captaingreen

    captaingreen LawnSite Senior Member
    Messages: 471

    A certain percentage is going to be lost each year, as Jodi mentioned above. The only customers I've lost so far are the ones that have moved. Some are controlable and some not, focus on what you can control and you will be putting your energy in the right area. The biggest focus should be communication, pretty simple huh, just talk to them. Send out a letter in the winter, a Christmas card, or just something to show them you appreciate them and their business. I used to work for a nationally known lawncare co. and it seems the customer retention percentage was around 60% and that was at the high end of the scale, sadly.
  5. DennisF

    DennisF LawnSite Bronze Member
    from Florida
    Messages: 1,381

    I started last season with 65 and I have 67 as of now. Eight of the original 65 are no longer on the schedule. Six of them were Bahia lawns that I dropped and replaced with 6 St.Augustine lawns. The other 2 are deceased. I replaced those 2 with customers from a "waiting list" I've had for about 6 months. I added 2 new lawns to the schedule against my better judgement. But the 2 new lawns are neighbors of existing customers so I don't have any travel time added to the schedule.
    Other than the adjustments I made from last year I haven't lost a customer because of poor service or to low priced LCO's, so my retention is 100%.
  6. LawnsRUsInc.

    LawnsRUsInc. LawnSite Senior Member
    from midwest
    Messages: 916

    If they are happy for the most part retention rat 95-98% if you raise thier rates it might be 90% about. These are our %'s.


    HOOLIE LawnSite Gold Member
    Messages: 3,981

    If I throw out the customers that move, its around 95%. Only have had 1 die so far, 1 other moved to retirement home.

    Jodi, looks like in a few years you might be the only living folks around up there, maybe line up some cemetery contracts... :p
  8. Roger

    Roger LawnSite Fanatic
    Messages: 5,943


    One of the hazards of working in this area with a much higher rate of older population -- the customers die while on the active customer list!

    I am small (around 40-42 active), but each season, two or three customers (or spouse) die. However, the older people are in more need of lawn mowing, so it is not unexpected. However, we seem to have an overabundance in these parts!
  9. chefdrp

    chefdrp LawnSite Bronze Member
    Messages: 1,384

    mine s 99.9% I do as mentioned, On christmas i send a card and let them know i am thinking of them and to make sure they dont forget me.
  10. CamLand

    CamLand LawnSite Bronze Member
    Messages: 1,299

    Well we had 2 drop off the earth in one week so I cant really say 100% so maybe 99%..

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