JustMowIt is not a lowballer

Discussion in 'Lawn Mowing' started by JustMowIt, Jan 6, 2005.

  1. JustMowIt

    JustMowIt LawnSite Senior Member
    Messages: 367

    Today, there was a thread about $15 mows & each time a cheaper price is discussed, our name seems to be associated with lowballing.

    Yes, it is true, we mow about 400 yards for other lawn companies at a wholesale price of $19.50 which has nothing to do with lowballing becasue they mark it up to an average of $27 which is a 28% profit to them. We have to do nothing, because they can log on to our database & input/manage their customers & the yards sprinkle into our routes & make them tighter.

    And we had a $19.95 promotion last season under a promotional name that won us the name of lowballer. However, the same offering was $24.95 for bi-weekly & most of the takers were $24.95 on Mondays, a day we needed to make certain routes profitable.

    To keep our trucks in the very tight area all day, every day, we must run Monday only specials, or city only, or no bush & bed etc. etc. and we consider this marketing, not lowballing or trying to ruin the marketplace; or take business from others.

    On the flip side, in our market, no one wanted to do 1 time mows & yet people were lying to us to get a 1 time mow, so we introduced 1 time mows for $40 & do a lot of them & so do others!! We cahrge $1 more for Thursday/Fridays & sell many bi-weekly mows for $30, & the bulk of our business was $25 (We have went up $1 for 2005), so our average over all was $26.85, a far cry from some of the talk. And these are not large lots with mature landscapes like many of you guys in other parts of the country.

    We run a first class business, with clean trucks, full payroll, H2B's, Insurance, the whole banana.

    Thanks for your consideration when the subject comes up again.

  2. DennisF

    DennisF LawnSite Bronze Member
    from Florida
    Messages: 1,381

    I think a lot of the people on this forum use the term lowball to describe any price lower than theirs. Some of the members don't seem to realize that the pricing structure for lawn service varies greatly in different parts of the country. The LCO's in the northern part of the country can charge considerably more for a lawn of equal size than we can here in the south. When you have per-capita incomes that are lower than the national average (like here in Florida) due to high concentrations of retired people and combine it with low wage industries, the price structures for lawn care will be considerably lower.

    This doesn't make us lowballers, it just makes us better business people, since we can operate our LCO's on thinner margins and remain in business.

    I'm from Michigan originally and I know from experience that it is much easier to operate an LCO in the north than it is here in the south. I've been operating in Florida for 2 years now and I can tell you that it is no piece of cake trying to operate in this economy. You have to be willing to accept less for your service and learn to operate efficiently or you won't last long. JMO.
  3. Fareway Lawncare

    Fareway Lawncare LawnSite Silver Member
    from Canada
    Messages: 2,222

    The Guys calling You Lowballers are Guys from the Sticks...Way out in Rural Nowhere where they Cut acres for Pennies & end Up w/$30 an hr Mowing.

    They Get their Panties in a Bunch when they Find Out you Can Make More $$$ Cutting Small City or Subdivision Lots @ $15-$25 a Pop w/21" Mowers.
  4. all degree

    all degree LawnSite Senior Member
    Messages: 344

    First let me say that I have a lot of respect for you and dont fault you at all for doing what your doing. I applaud your success.

    But you may be a lowballer if you sell your service for below market prices and hurt your competition effectively lowering the market for everyone.
  5. Duramax99

    Duramax99 LawnSite Member
    Messages: 203

    Just mow it you are not a low-baller. You have a niche in this indusrtry. You over head is low (equipment). You run smaller machines and trucks, tighter routes you have the city figured out which makes alot of people jealous that you can work for that price and still make money.

    Alot of people go out and drop $9,000 on a ztr, $30,000 for a truck, $5,000 for a trailer and wonder why there not profitable.

    I am not tring to start another lowballing war like the previous threads over the past few weeks, but Just mow it has a true niche that we all look for. He has been lucky enough to find.
  6. TClawn

    TClawn LawnSite Silver Member
    Messages: 2,036

    so true...

    I charge $30 for 10,000 sqft of lawn plus tax. 2.50 goes to insurance, gas and other expenses associated with the busines $5 goes to the business for replacing and buying new equipment and 22.50 is the pay check I have a very tight route so it works out to about $40 an hour. I am by no means a low baller in my area. their are guys who will do the same size lot for $15. they probably don't have insurance, but insurance never was, and never will be mandatory. the bottom line is when people see the quality of your work, they will pay the price you are asking.
  7. i_plant_art

    i_plant_art LawnSite Senior Member
    Messages: 558

    tclawn - insurance isnt necesary until u make a mistake. i know you say u have it but in my eyes it is maditory although i will agree wiht you that some guys will say that it is not but that is what makes professionals like us different those other guys who call themselves landscapers.
  8. TClawn

    TClawn LawnSite Silver Member
    Messages: 2,036

    i plant art. you're right. insurance is never necisary until you kill someone with a rock that your mower through and the family is sueing you for everything you have. besides protecting me, it protects the home owner. if I should ever break a sliding glass window (they are very expensive here because they all have to be shipped in special) the home owner won't lose anything out of pocket. my prices may be higher but my work is too. you get what you pay for.
  9. lawnwizards

    lawnwizards LawnSite Silver Member
    Messages: 2,439

    I'm from the sticks and i don't do what youre implying? get your facts straight before you start blowing wind and spread false rumors. thanks.

    TCLAWN, i did'nt know hawaii had grass? *LOL* must be nice to have a business there....
  10. dishboy

    dishboy LawnSite Fanatic
    from zone 6
    Messages: 6,062

    I checked your prices against similar size lots that I mow here by using the County assesors office web site [BTW thanks for that tip] for size and your prices are right at what this market will bear for most residential work. This area is highly competative and if you charge any more than what you are charging here you will have a hard time winning any bids.

    So I would have to say if comparing to this area you are definitly not lowballing.

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