I don't understand people!!

Discussion in 'Lawn Mowing' started by ACutAbovesiny, Aug 29, 2006.

  1. ACutAbovesiny

    ACutAbovesiny LawnSite Senior Member
    Messages: 590

    I'll start from the beginning. I put in a bid for my first commercial contract (started my company last Sept). The bid consisted of three variables. Two of them I know for sure I was less than their current provider. The third one the customer asked me if I could come down with the price. I broke down everything for them to see how much all of my services will cost them for the year.
    Per week= X
    Per month= X
    Per year=X

    Now I know for sure that my total cost for the year is close to $5,000 less than their current provider.

    My question is should I still lower my price for that one variable even though I know my overall price is good?

    I should let you know that I can cut that particular service alittle and still profit.
  2. DLCS

    DLCS LawnSite Platinum Member
    Messages: 4,386

    How would you know that unless someone told you and how could you be that much cheaper?

    But to answer your question, no I wouldn't budge on my price.
  3. ACutAbovesiny

    ACutAbovesiny LawnSite Senior Member
    Messages: 590

    When we met to discuss the proposal we sat down and they had the other providers contract on the table in plain site. I didnt see that they broke things down like I did but they did have a bottom line.

    TURF DOCTOR LawnSite Silver Member
    Messages: 2,138

    NO NO NO bid it at your price take in account what it cost you to operate including taxes,how do you know what last seasons bid is.
  5. dcgreenspro

    dcgreenspro LawnSite Senior Member
    from PA
    Messages: 688

    you are trying to get the work by sacrificing more money??????:hammerhead: stop it. Put your bid in and forget about it. if you get it great, and if not, know that you won't be working for nothin'.
  6. ACutAbovesiny

    ACutAbovesiny LawnSite Senior Member
    Messages: 590

    I'm not upset that I could have priced myself higher...their provider has been with them for a few years so im sure they have raised the price over time. I was confident with my proposal from the beginning and really want this job.
  7. NNJLandman

    NNJLandman LawnSite Bronze Member
    Messages: 1,306

    Listen I have lowered my price before to get the job and anyone on here who says they havnt is a liar, but over time we all learn it effects us and we come to realize....$x.xx is what we really need. Dont sell yourself on a price, sell yourself on your work. Thats how a reputation is built.

  8. ACutAbovesiny

    ACutAbovesiny LawnSite Senior Member
    Messages: 590

    I can offer them the price they want and will still be ok. I gave them a price that I was expecting them to come back and negotiate...I just didn't expect them to take a single item from it and say it was too high but they were happy with the rest. I was originally tempted to say..."don't you see my bottom line? Even though this in alittle high, overall im fair."
  9. Runner

    Runner LawnSite Fanatic
    Messages: 13,497

    Only YOU can answer that, because only YOU know your costs. First think you have to ask yourself is What do I want to make?
  10. nobagger

    nobagger LawnSite Gold Member
    from Pa
    Messages: 3,065

    Just put bids in to where you can make a decent profit without raking the "customer" over the coals and leave it at that. We just lost a decent landscape install where I spent probably 5-8hrs designing this stupid thing and I got the old "sorry but we decided to go with another company" I said ok thanks for letting me know and good bye. The only thing that sucks is now some idiot will use my design and profit from it.

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