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Discussion Starter · #1 ·
I have just completed all of my pesticide certifications and am now legal. How do you guys sell your fert programs to your customers. ie (Pricing, # of apps) Many of my customers really don't seem to interested. Mybe it is my approach. Thanks in advance for the help.
 

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Well, I can't help you w/ your pricing schedule, but to sell to your maint accts, just tell them that your app. timing will be timed around their mowing schedule. Also, w/ you and or your crews there, that a small fungus/grub problem would be spotted, and could be addressed in a more timely fashion than if relying on a third party. Always works well for me.
 

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Discussion Starter · #3 ·
Say a customer calls you to do an estimate for just mowing. Do you also give them an estimate for fert program and other services. What is the best way to approach current customers about extra services
 

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when we do an estimate for a new customer, we give an estimate for all our services. Most of the time the read our booklet and end up signing on for more than the original call. When I first started I had trouble selling my customers ferts. So I changed the types of customers and have never looked back. It does take a while and a lot of selling.
 

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Do an announcement letter that you put in with the invoice.

Say that you do lawn applications, that your fully insured and licensed. Competitive rates, free estimates and so on.

Some will call you and will sign up. Those that don't, you can always leaves notes when your there pointing out a problem with the lawn, if there is one. Or when the homeowner puts their own fert down. Ya know the ones that have say 4,000 sq ft of grass and put down a half a 15,000 sq ft bag.

Also change your invoice letter heads and advertising to say "full service lawn maintenance" or something like that
 

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This is easy. For instance, take your average lawn size..ie 15k. Then average your annual costs. If in one year you put $84 in product down, multiply that number by 5...Total: $420. Divide this number by the number of apps....ie 6 app program. This gives you an app price of $70. Then figure you will need no less than $25 to pull the truck up to the house. 70-25=45....Then take the $45 divided by 15k gives you $3.00 per 1000 with a $25 stop charge. Now a 5k lawn will be $40 per app and a 10k lawn will be $55 per app.

The goal is to keep a product cost of 20% or less of your total sales price. The 2 big boys have a lot lower product cost but charge close to this in most areas of the US. Talk about squeezin blood out of a turnip. What the homeowners don't know can hurt them!!!!!!

hope this helps:dizzy:
 

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add.....if you have a 3 k lawn, you don't want to do it for $9.....Do it for $34......Unless under warrenty, you wont find any service business that will pull their truck up to your house with out a service charge. This way it is incorporated in. Also, we don't gig on grub. On one of our summer apps, we simply do grub for a single app price. If you have a 5k lawn, I will do a summer app for $40 and a grub app for $40...Total is $80 for the visit. Since my product cost went up, I simply pass that on. You may make a little on the app. I used to feel this was unjustified, but when mach 2 with fert prices went to $40 per bag to do 15k, I look at it a different way. I have sold over 100 like that this year so far and no one has balked once. They understand the higher priced product. We use a HoJo 15-3-5 50% scu. Since it is an impregnated product, you can be justified charging for a summer slow release app too. Iknow this was more that asked for, but I felt I would elaborate. For a 10k property, we get $330 for LC and $55 for grub. If you wow them with service and have a quality person doing apps (yourself), they won't flinch at the price. And it is comparable with the big boys.
 

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You are real close to the prices that the big guys are getting here in OK (Grass Roots) is getting the following. How do I know? they sent me an advertisement in the mail trying to get me to sign up little did they know I wanted this info. :D

0-3000 22. to 34.

4000-6000 37. to 45.

7000-10,000 49. to 60.
 

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Discussion Starter · #10 ·
thanks again for the help. I don't even have a pamphlet to give to new customers, just a few papers about our company. I think I'll start putting together a nice fold out pamphlet. I also like your idea of the $25 stop fee. Used that today on a pruning estimate. I knew how much I wanted for the job and added $25 to that figure. Customer was still happy with the price. Wished I had started this three years ago.
 

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This is easy. For instance, take your average lawn size..ie 15k. Then average your annual costs. If in one year you put $84 in product down, multiply that number by 5...Total: $420. Divide this number by the number of apps....ie 6 app program. This gives you an app price of $70. Then figure you will need no less than $25 to pull the truck up to the house. 70-25=45....Then take the $45 divided by 15k gives you $3.00 per 1000 with a $25 stop charge. Now a 5k lawn will be $40 per app and a 10k lawn will be $55 per app.
Why did you subtract the stop fee from the $70? Shouldnt you just divide the $70 by the 15K to get your $ per 1K?
 

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You do not want to divide the $70 by 15k. Then you get an average sqft price of $4.67.

If you do a 2k lawn, would you rather get $9.34 for the app or $31.00 for the app.

Stop charge is a must.....It can vary from $15 to $25...You make the call. With gas prices in St. Louis at $1.60/ gal, I will go with $25 for people get a little upset when you add a fuel surcharge on. If you simply incorporate it in, it doesnt look so bad. Like stated before, no service company will pull a truck up to the house without a minimium charge.
 

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Give away a little free service now and reap the rewards later . When I started selling a fert program I gave away free service to a few clients and they did most of my advertising for me . Let people in the area know what yards you are working on too and let them judge your quality before they buy .
 

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This is easy. For instance, take your average lawn size..ie 15k. Then average your annual costs. If in one year you put $84 in product down, multiply that number by 5...Total: $420. Divide this number by the number of apps....ie 6 app program. This gives you an app price of $70. Then figure you will need no less than $25 to pull the truck up to the house. 70-25=45....Then take the $45 divided by 15k gives you $3.00 per 1000 with a $25 stop charge. Now a 5k lawn will be $40 per app and a 10k lawn will be $55 per app.
Ok maybe I just need another cup of coffee. lol
You said that your annual cost was $420.00. Or is your annual cost $84.00?
If $84 is your cost and $420.00 is cost + markup, shouldnt $70/15K give you $4.66 per K ? And shouldnt your price be $48.30 for a 5K lawn? $4.66 X 5K +$25.00.
 

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THe goal is for you costs to run 20% or less. 20% of 420 is $84.

the rate your trying to put it at is 23%. Just figure your annual product costs on a lawn then multiply it by 5. That is the amount of money annually you will need to get from that homeowner
 
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