new sales 2009

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David Gretzmier

LawnSite Gold Member
Location
Fayetteville,AR
sold a 4 foot wreath today and made my new sales goal for the year. 2 crews ran today, one on install sold yesterday and one on fixes and add-ons. did one appointment today and one scheduled tomorrow. one website inquiry for tomorrow to follow up on.

have one crew running tomorrow for fixes and my home will finally get finished. may rain tomorrow.

Things are still alive, so I am still putting out signs here and there, trying to get those last minute shoppers or the folks that are gonna have a party at a nice house and did not get lights up yet.

If it rains I am going to get some billing done and do some collections.
 
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David Gretzmier

LawnSite Gold Member
Location
Fayetteville,AR
sold #36 today. good one. a 400 buck add on. will hang tomorrow. 1 appointment tomorrow for minor christmas lights and mostly landscape lighting. phone rang a couple of times today, but I am screening pretty hard. I am still referring out the hang the customers lights thing. Am I done? no idea. maybe one moe job out there, a bid or two. still putting out signs. already paid for them, why not? the 3k job that went up monday came from a sign. a bid yesterday, from sign.

ran some numbers today- 45 bids I did not close. 36 bids I closed. 81 total. about the same # bids I did last year. less closes. 44.4% close ratio. 103k in new sales and add-ons. slightly less than 3k average sale per new customer. average rehang dollars per customer slightly above 1k.

an obtuse thought process-

most books point you to a desired 33% close ratio, and if you run higher than that, most say you need to raise prices. so, let's say I raised new prices 10%and only closed 27 new jobs out of 81 bids, or 33%. I would make an average extra 300 bucks per 27, or 8100 dollars in profit. my rehang dollars would also be aprox 125 bucks higher on each for 2010, so another 3k in rehang bucks for 2010. so 27 new customers at higher prices gets you 8k in more profit and 3k in rehang profit in 2010.

but is this a good idea? I would be trading the 9 extra customers at an average of 3k apiece for that. that is 27k in sales in 2009 I don't get. is there 8k in profit in those sales? I would say not only that, but quite a bit of overhead recovery as well. the shop and trucks, insurance, all stay the same no matter how many jobs you do. further, those extra 9 jobs get you another 9k in rehang sales verses 3k in increased profit with raised prices. all things equal, I would rather have more customers at less rehang per customer than larger customers that can hurt me more when one fires me.

So i like the 45% ( I'll round up, it sounds better ), even though I make less profit per customer, I make more profit and more sales overall.

what really pushed my close ratio up was the last 8 days. I nearly closed every job. I guess that happens every year, but I still do not believe it.
 
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David Gretzmier

LawnSite Gold Member
Location
Fayetteville,AR
I looked back at an earlier post and came up with another statistic. I had 57 bids and 23 closed jobs on 11/24, or before Thanksgiving close to 40% close ratio. after Thanksgiving I did 24 bids and closed 13 of those, or over 50%. 2 reasons, I think- Christmas Decor got booked up, along with the cheapies, and I could do the work quickly, and that time of year folks just close a little easier anyway. beofe and after Thanksgiving, I really need to bring in more bids.
 
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