Help with residential contract pricing

Discussion in 'Bidding, Estimating and Pricing' started by cdt82002, Aug 12, 2019.

  1. cdt82002

    cdt82002 LawnSite Member
    Messages: 3

    Hi guys, this is my first post on this website. Needing some help determining year round contract pricing maintaining an entire lawn.

    I've been in the business a couple years full time and mostly do bi weekly mowings and then any other maintenance like bushes is charged on a per needed basis.

    Last year I took on a couple customers wanting year round service with cuts on average every week. My main customer switched from another landscaping company that was charging $170 to me because they were increasing her price to $249. Well her yard is probably $50-$60 cut by itself plus I usually end up trimming around $25-$50 bushes almost every visit. Obviously the best part about the deal is I get a check year round and SOMETIMES I don't have to do anything but mow the front(rarely does that happen though..) with slightly less services in the winter..

    I feel I've been shooting myself in the foot so far this year and they are getting the end of the deal..

    Could someone make some suggestions or is that what most year round contracts look like? Thank you!
     
  2. jlbf0786

    jlbf0786 LawnSite Senior Member
    Male, from Charlotte, NC
    Messages: 713

    Welcome to the site, you can get at least a few valuable recommendations on this subject.

    I began much the same way you did, alacart type services. I gradually transitioned my pay per cut customers into annuals by just talking to each of them face to face and explaining how year around service is in their benefit. In the particular case you mentioned, it sounds like it'd be a hard sell unless you can keep the property on a bi-weekly schedule and still profit throughout the year.

    For $170-$200/month on the average 1/3 acre property you can offer the following:
    Mowing services every 10 days (36 max)
    Pruning up to 3 times yearly
    ** discounted prices for turf mgmt services (aeration/seeding, fertilizers and weed apps) "like say 20% off your regular price"
    ** discount on mulching, etc..

    It actually helps to have all of this on hard copy so they can take it and mul it over. Don't make it an ultimatum or she may drop you.
     
    cdt82002 likes this.
  3. OP
    OP
    cdt82002

    cdt82002 LawnSite Member
    Messages: 3

    Should mention I'm charging $200 per month
     
  4. jlbf0786

    jlbf0786 LawnSite Senior Member
    Male, from Charlotte, NC
    Messages: 713


    You should be fine, I probably wouldn't include a ton of extras
     
    cdt82002 likes this.
  5. OP
    OP
    cdt82002

    cdt82002 LawnSite Member
    Messages: 3

    Yeah the agreement we have is I cut the grass as needed.. Usually every week or its a pain to cut.. I have to push mow and bag the grass, the front has a big slope too, keep the bushes trimmed, spray for weeds as needed and whatever other random things she asks me to do.. I feel like I've been kicking myself in the teeth every time I go because it's not exactly an easy yard to cut. I end up doing probably $400 worth of labor for $200 every month in season and about $200 in the off season. Someone else was doing it for $170 before me which doesn't even make sense.
     

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