PDA

View Full Version : Pricing


MR.MOWER
11-26-2011, 01:55 PM
Just wondering if it would be better to price my lawns for monthly fees or yearly fees. All of my lawns are done on a bi-weekly basis, however 85% of them could be done once a week. What would be the best route to go.

Steve
11-26-2011, 06:07 PM
Just wondering if it would be better to price my lawns for monthly fees or yearly fees.

Can you tell me more of what you mean by this?

MR.MOWER
11-27-2011, 12:23 PM
would it be better to give them a quote for every month or for the year on the lawn. :D

Hedgemaster
11-27-2011, 02:21 PM
Depends on who the client is.

Some people are OK with hearing "It will be $35 a week", but if you say "$140 a month", the wheels start turning, and they wonder if they want to spend that much.

I'm guessing that is less of an issue in upscale areas, and quite possibly those folks like the "yearly" figure.

MR.MOWER
11-27-2011, 02:34 PM
So would it be an alright thing to ask them if they were looking for a monthly or yearly quote ?

Ducke
11-27-2011, 06:56 PM
I tend to agree with Hedge . Weekly pricing seems to go over a lot easier then Weekly, monthly or Yearly.

Steve
11-28-2011, 10:41 AM
Ultimately, I would think with residential customers you could tell them $x per cut. Unless they ask otherwise.

With commercial clients, most will want the big per year.

What led you to this question? Did you have any residential customers looking for a price per year?

MR.MOWER
11-28-2011, 11:40 AM
I had 4 residental customers ask what i would charge for a monthly fee

Steve
11-30-2011, 07:16 AM
When they do that, I would start with the per cut price and then give them the monthly price based on 4 cuts if they are cut weekly or 2 cuts if they are bi-weekly.

When you look at other marketing for other products, you almost always see the promotion of the lowest price in ads. It is used as a teaser. Usually it is followed with, 'starting at only .....'


Keep us posted on how this goes for you.

gatewayuser
12-21-2011, 04:05 PM
Here's what to do....#1 you need to get away from bi-weekly cuts you'll never make a living that way. Give them a price say $45 or $50 a cut if its bi-weekly and $35 for weekly cuts that way you win either way. Bi weekly cuts are hard on equipment, labor and your time. Don't let people take advantage of you because they will!

mark123
12-21-2011, 04:21 PM
When they do that, I would start with the per cut price and then give them the monthly price based on 4 cuts if they are cut weekly or 2 cuts if they are bi-weekly. ...

Well, sometimes there are 5 weeks of the scheduled day in a month. What I do is this:

12 month weekly contract:
(per cut price) x (36 cuts / 12 months) = monthly price for 12 months. Per cut price times 3 if they are spreading payments across the winter months.

12 month bi-weekly contract:
(per cut price) x (18 cuts / 12 months) = monthly price for 12 months. Per cut price times 1.5 if they are spreading payments across the winter months.


8 month weekly contract:
(per cut price) x (36 cuts / 8 months) = monthly price for 12 months. Per cut price times 4.5 if they are paying during 8 mowing months (April - November approximately). Make sure you get 8 full payments though.

You must have a signed contract for these so that they know they have to keep paying throughout the winter.

turf&tree
12-21-2011, 07:20 PM
I don't live in a climate where bi-weekly is an option except when it hits 95 degrees in july, aug. Then I have a couple of them that ask me to skip while the grass is dormant. Not a problem this year with over 70 inches of rain. I did have one customer who wanted bi-weekly and it just added time to my visit because I had to double cut it every time. I told her to line up another company for service next year. We charge by the week that way in the 5 week months we make pure profit on that last cut. I have 10 big commercial properties that we re-arranged the schedule in order to get (2) 5 week months in on this summer. More profit.
Another idea you might try is offering 12 month payment plan. That way you have steady income all season, even in the off months. We do not plow so it is income in our down time. Sell yourself as a professional and charge well for everything you do! Just a thought.

stevef1201
12-21-2011, 08:43 PM
I work in Central Florida, during the mowing season I charge x time 4.3 per month. There are 4.3 weeks in each month. I do not cut bi-weekly as takes time out of each 'off' week.

During the non-mowing season I charge the same for yearly contract as I include fall / spring leaf clean-up.

Fertilizing, weed control, insect control are all extras, and part of the yearly contract.

I have found that I have reduced the number of annoying clients, and increased my income by 2 or 3 times.

Get everyone to sign contracts, whether seasonal or yearly.