price increase

[AKRA45]

last year i passed out alot of flyers around $20 for smaller lotswhich sometimes works good, then we go from there and bid accordingly. I'm thinking of raising my minimium to 25 so i can reach the numbers i want. do you think that will hurt me? or do you think i can still get at least a one % return. the philosophy is to increase my prices by five dollars from what i would have priced last year. also if anyone has any good formats for flyers please send. thanks.

[Scaper-S2k]

Let's just use easy numbers for fun.

You do 100 lawns at $20 each. Easy numbers....let's say it costs you $10 to mow each lawn, giving you a 50% profit.

Profit on 100 lawns is $1000 each cut.

Okay, you now do them for $25. Still costs you $10 to mow each lawn. But now you profit $15 each. You only need 67 lawns now to make the same amount of profit. You can afford to lose 33 lawns and still make the same amount.

Charge more, do less.

[Seascape]

Or cease w/ lowball cut throat flyers and just take what ever lumps you have coming to you for "Jacking your prices" this year. More than likely most of them see it coming. Its the same clients taking the lowballers year after year to get theyre gras cut. Theyre lucky to se the same LCO 2 yrs in a row for a # of reasons.


As far as what to do about it now,,,,,,,, scaper nailed it for you. Good luck,, hope it all pans out for you.


mike

[clclawn]

to sum up what the others have said ( i think ) you don't want the price shopper, you want the quality long term costomers. You want the costomers who want quality not just a great deal this year. sell your services, not a price........

[AKRA45]

so if i raise the prices should i still get a one percent return on my flyers. or should i expect less of a return.

[Scaper-S2k]

That depends on your area, the size of the properties, how much competition, and how nice of a flyer you have.

[AKRA45]

is there a chance you could send me a good flyer that would be good to pass out for a " professional company" that wouls really help me. thanks

[Seascape]

Go take a look at mine. Its posted on here somewhere. Its a multi purpose flyer. As long as your not in delaware co.,union,county,franklin county,or madison co. i dont care if you use it.

mike

[AKRA45]

nope none of those counties seascape. well i wondered if you think a min.25 drop gate is a good idea for ohio or not. i want to make money, but not put myself out of business

[Seascape]

Originally posted by AKRA45
nope none of those counties seascape. well i wondered if you think a min.25 drop gate is a good idea for ohio or not. i want to make money, but not put myself out of business

Doesnt sound appealing to me but where are you at? Here in central ohio $35 is well accepted.

mike

[AKRA45]

in central oh you can get 35 min drop gate, i am east cent. oh

[Seascape]

I guess what im trying to do is figure out what your market is. Can you be specific? Or if you want,,, go w/ $25.