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Rate increase?

Discussion in 'Pesticide & Herbicide Application' started by Landgreen, Jan 8, 2013.

  1. Landgreen

    Landgreen LawnSite Senior Member
    Messages: 254

    Up 25% from 2009. I may be shopping though my current distributor is great to work with.
    Posted via Mobile Device
  2. Will P.C.

    Will P.C. LawnSite Senior Member
    Messages: 966

    My grass lot is right at 8k and they will go about 10 feet into my neighbors yard that looks like complete crap. I have an embankment (2k) that runs behind my house that has plants/pine-straw where they spray pre em.

    It has little do with customer loyalty IMO. Fert and Squirt is a luxury service in my book. I will not get kicked out of the neighborhood for dropping the service.

    The average 3-5 dollar increase might be the straw the breaks the camels back if the customer is trying to cut costs on home expenses. There are also numerous reputable companies in metro ATL that would beat the price I am getting now.
  3. TurfWerks

    TurfWerks LawnSite Senior Member
    Messages: 322

    Thanks Will.. I like to get ideas of what other companies charge.. I have my prices and I like to see how I compare.. LOL Of course ya never know the differences in overhead and all, but it helps.. Im about 45 to 48 for around 10K.

    I usually don't spray into a neighbors yard b/c I have gotten my back side chewed more than once from the neighbor.. LOL
  4. Will P.C.

    Will P.C. LawnSite Senior Member
    Messages: 966

    No problem. I should have been more clear. My neighbor is an older single lady that lives in Japan. She spends about 2 months in the summer and a few weeks during XMAS here. The house is 3 stories with a finished basement and I think she has trouble just affording the basics so the yard is the first to go.

    Def not a practice I would suggest doing. I have her permission to do so and often will cut her grass when it gets out of hand since her fly by night crew comes monthly (if that)
  5. pieperlc

    pieperlc LawnSite Senior Member
    from Midwest
    Messages: 545

    Good thread here. I certainly think it's a delicate balance between keeping rates inline but still covering costs and making a profit. There is no right answer here as long as you can keep your customers happy and your bottom line healthy. Personally, I do raise rates as needed but I've never had to raise them more than every other year and believe it is a good balance. I don't think raising them every year would be a wise business move, but smaller more frequent increases are my preference and easier to justify rather than one big cost increase.

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