Raising rates ?

[gm lawn service]

last year was my first year got an account which then didn't know much on estimating i priced it at $80.00 and i thought it was alot then the yard didn't look that big, a church well its almost 3 acres and alot of weed eating and blowing but at the time i was like well thats 320.00 month enough to pay for my scag t tiger but now i know the real deal i think it needs to be at least 150.00 a time how do i break this to them w/out loosing the account????
live and learn i guess last year i ate one for the big dog

as soon as i made the offer they dropped who they had before hmmmm
right then i knew rookie[xx(]

[zeke]

reply

Since its a church Count it all Good!! LOL! Churches like $$ to I know. I would tell them If they want weedeating and blowing I would need to charge extra this year. Just be honest tell them you need adjust your price to be competive, but dont want to lose their biz. Dont use the word "raise your price" or "go up" adjust sounds better. If your work was good and your sincere, and you still lose them dont sweat it. I lost an old lady beacuse i didnt have a bagger I did everything for her dirt cheap! I thought she was on a fixed income, turns she was retired with hugw pension and I was mowing her summer home she had no loyality when a guy came buy w/$10,000.oo system I was toast I called and she said she had commited to him for next year. So I will work to get 2 new accounts to replace her, got one today.

[CCLS]

reply

You will probably loose the account, but live and learn. Just don't commit yourself for another year if the account is underbid.

[kutnkru]

reply

Because it is a church and they are usually handled in-house have you considered cutting back to trimming every other week??

The price increase for services you ask for is close to $2100/yr which is going to be more than they are willing to forego. They can get a machine and have church members do it for what your asking to increase the service - and save even more money in the future!!

The alternative IMHO would be to ask for $100 more per month based on your trimming hassels, and cut THAT back to every other week. This way you could still more than likely get what your asking for, and get an extra $50/trim.

[gm lawn service]

reply

thanks everyone for the advice the only thing that has got me thinking is this church probably has about 300 members pretty big maybe ill try for $95-$110 and hope for the best . i bet the contract they had before was at least 140.00 then here comes the newbie sure come on $80.00 well put you and your turf tiger all over this 3 acres.
HA HA again thanks

[andersc1]

reply

gm,
I would try to get the price up to what you are wanting, but I would do it over a period of say 3 years. Rais the service price like $15 to $20 per service. Do this over the next 3 or 4 years and your up where it should be. But if you spring on a church the fact that you are going to almost double their current fee, you are sure to loose the bid. They can find another newbie just starting out that will do it for $80.00 too. With all the one year wonders out there that come and go, they could pretty much do this indeffinately and never really pay over $80 a mow. Do it slow and perhaps they won't balk at the price increase. That is if you even want to keep the account. If not, cancel the contract and move on.

Curtis