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  • Company discounts

    hello....

    I just created a webpage recently,and it is currently under extensive construction, otherwise i would post it for everyone to see... But this is some of the text i do have on it... i wanna see what your opinion is.... I am posting what i would like to call my company's discounts, also i am posting my company's name and slogan... Also, for everyone to keep in mind, I am a 17year old who is just starting out...

    A+ Lawncare (company name)
    "We cut your grass, not your bank account" (company slogan)

    Regular Discounts
    10% off- Seniors citizens or retirees
    10% off-each visit- if you pay weekly
    (Special Discount)
    20-25% off-if you pay for the visit, before hand.
    15% off-discount if you pay in full with cash on site, before or after the job's complete, that day.

    No discount, exceeding more than 15%, unless further noted as a speacial discount.
    (Special discounts do not apply with other discounts).


    Seasonal Discounts (Special discounts )
    20% off-for the first 5 mowing visits, or one free mowing during the period of the season, if you sign seasonal agreement (April to August), before April 30, 2005.
    15% off-for the first 5 mowing visits, or one free mowing during the period of the season, if you sign seasonal agreement (April to August), after April 30, 2005.
    Example
    5 mowing, or 5weeks @ $60 per cut (may not be actual price) - $300 (TOTAL)
    25% discount
    ---$300-25% off= $75 saving
    15% discount- $255
    ---$300-15% off= $45 saving

    20% off entire season-if you pay for the visits upfront, when you sign the seasonal agreement, plus an additional free mowing visit or a 15% discount off for the first 5 mowing visits with the signed seasonal agreement.

    Example
    20 mowing, or 20 weeks @ $60 per cut (may not be actual price)- $1,200(TOTAL)
    20% discount-
    ---$1,200-$20% off= $240 saving
    15% discount
    ---$1,200-15%off= $180 saving

    Plus the Additional Savings of a free mowing visit or a 15% discount off for the first 5 mowing visits

    5 mowing, or 5 weeks @ $60 per cut (may not be actual price)- $300(TOTAL)
    15% discount-
    ---- $300-15% off= $45 saving

    TOTAL SAVINGS
    Signage of Seasonal agreement(before April 30)- $285 savings
    Signage of Seasonal agreement (after April 30)-$225 savings
    No Job too SMALL nor too BIG for A+ Lawncare

  • #2
    I would quickly drop the idea of 25% off if they pay in advance. You won't make any money discounting that much. I wouldn't do the 10% off if they pay per visit either.

    Your one example is for a $1200/yr job, but after discounts it's $240 less, then another $60 cut for free. So you are losing $300 on a $1200 job.



    Please don't take offense to this, but I think you are going to discount yourself out of business. What would you do if you gave the senior discount of 10%, then they paid in advance. You would be out 35%. You would then be losing money.

    Too many discounts, too much figuring.
    a.k.a.---> Erich

    www.avalawnlandscaping.com


    Build a man a fire, he'll be warm for a day.
    Set a man on fire, he'll be warm for the rest of his life.

    Comment


    • #3
      The whole thing is way too confusing. The customer pretty much has to hire a lawyer to interpret it for them.

      Somehow I manage to get by with simply charging everyone the same fair price and not making them jump through any hoops.

      Comment


      • #4
        Scaper-S2K..... I stated i would not discount any more than 15%, if you would have it read clearly then you would have also interpeted that paying in advance is a special discount... I stated a special discount does not apply or "work with any other discounted rates"... therefore there would be now way you could take a 35% off hit.

        Please give me feedback on my slogan though... Also what do you think of my company's name, my other name i'm debating on is Elite Team Lawncare
        No Job too SMALL nor too BIG for A+ Lawncare

        Comment


        • #5
          If people in the industry cannot understand your prices, how do you expect a customer too?

          I like Elite Team Lawncare, sounds good!

          Comment


          • #6
            I think you have too many rules. Make it simpler with only 1 or 2 discounts. You would still be giving incentive for new customers or prepayment, but not making it so complicated that it turns them off.

            Comment


            • #7
              First off I think that is to much for any discount. 10-25% is a large chunk. I put different promos on my fliers just for a marketing standpoint. I just need them to call, then I can sell them the job. Offer like sign up today and get first and last cut of the season free. or you can offer them, every 7 mows the 8th is free. I would not have all those discounts it is not clear at all. If they want to pay in advance give them 5% not 25. If it is a $1000 a year, thats a $50 discount is an easy sell to some people and you dont have to lose that other 200 bucks.
              --- Chris
              mowlawns@gmail.com

              Comment


              • #8
                A+ Lawncare, I don't think it was only me that read it wrong. I would think you would also get the same question from a couple clients as well that were expecting a larger discount.

                Even skipping the 35%, you would still be loosing out on $300 per $1200 made.

                Many people don't understand what these huge discounts do to their profit.

                Example:

                If you made $30,000, you would basically be giving back $7500 if they paid in advance. Even if your profit was 50% (it's not), that would be $15k, but then you lost $7500 of it in discounts. So you cut your profits in half. So, you would literally need to make $60,000 to profit what you could have made with $30,000.

                I'm not trying to be rude or anything, but you need to see this now, or in a couple years, you will go broke.

                I like the 'Elite' portion of the name. I would drop the 'Team'. 'Elite Lawns', 'Elite Lawncare'. Slogan? I don't know...."Doing it Right"? I don't worry too much about slogans.
                a.k.a.---> Erich

                www.avalawnlandscaping.com


                Build a man a fire, he'll be warm for a day.
                Set a man on fire, he'll be warm for the rest of his life.

                Comment


                • #9
                  Originally posted by A+ Lawncare
                  hello....

                  I just created a webpage recently,and it is currently under extensive construction, otherwise i would post it for everyone to see... But this is some of the text i do have on it... i wanna see what your opinion is.... I am posting what i would like to call my company's discounts, also i am posting my company's name and slogan... Also, for everyone to keep in mind, I am a 17year old who is just starting out...

                  A+ Lawncare (company name)
                  "We cut your grass, not your bank account" (company slogan)

                  Regular Discounts
                  10% off- Seniors citizens or retirees
                  10% off-each visit- if you pay weekly
                  (Special Discount)
                  20-25% off-if you pay for the visit, before hand.
                  15% off-discount if you pay in full with cash on site, before or after the job's complete, that day.

                  No discount, exceeding more than 15%, unless further noted as a speacial discount.
                  (Special discounts do not apply with other discounts).


                  Seasonal Discounts (Special discounts )
                  20% off-for the first 5 mowing visits, or one free mowing during the period of the season, if you sign seasonal agreement (April to August), before April 30, 2005.
                  15% off-for the first 5 mowing visits, or one free mowing during the period of the season, if you sign seasonal agreement (April to August), after April 30, 2005.
                  Example
                  5 mowing, or 5weeks @ $60 per cut (may not be actual price) - $300 (TOTAL)
                  25% discount
                  ---$300-25% off= $75 saving
                  15% discount- $255
                  ---$300-15% off= $45 saving

                  20% off entire season-if you pay for the visits upfront, when you sign the seasonal agreement, plus an additional free mowing visit or a 15% discount off for the first 5 mowing visits with the signed seasonal agreement.

                  Example
                  20 mowing, or 20 weeks @ $60 per cut (may not be actual price)- $1,200(TOTAL)
                  20% discount-
                  ---$1,200-$20% off= $240 saving
                  15% discount
                  ---$1,200-15%off= $180 saving

                  Plus the Additional Savings of a free mowing visit or a 15% discount off for the first 5 mowing visits

                  5 mowing, or 5 weeks @ $60 per cut (may not be actual price)- $300(TOTAL)
                  15% discount-
                  ---- $300-15% off= $45 saving

                  TOTAL SAVINGS
                  Signage of Seasonal agreement(before April 30)- $285 savings
                  Signage of Seasonal agreement (after April 30)-$225 savings
                  Way too many hoops to jump thru. If I was the customer, I would be baffeled as hell. KIS> keep it simple.

                  Comment


                  • #10
                    A+ Lawncare,
                    Don't take Scaper-s2k wrong, he is trying to help you stay in business. I too think there are too many rules to your discounts. I have seen other threads where people are offering the 5th cut free and increasing the price by $5 or so on all the rest, therefore, giving the customer a discount to get there business and still not loosing any money.
                    I am going to offer a 50% off the 5th or 6th cut straight up with no increase for a seasonal contract. My overhead is low and I think it will help me get seasonal customers.

                    I like Elite Lawncare. A+ Lawncare gets you listed first in the phone book and papers if you use A+ Lawncare as your headline.

                    Just my 2 cents

                    Darrin

                    Comment


                    • #11
                      I am going to plan on revising the discount portion.... However i feel as if the regular discounts are more of the everyday type of discount i would run through... Maybe i am wrong... If this was the case, regular discounts would not exceed more than a 15% max. The regular discounts of 15% would only be if Seniors citizens or retirees pay for each visit weekly in cash.

                      I am only 17, and my main concern is to get a enough customers to make some side money this summer... So, discounting a few senior citzens or other customers in order to get them to want my service, is fine with me.

                      I've included my price guidelines down below, for anyone to include any feedback on.... I would really like for someone to take a moment to look at the prices, since i am new to the buizness and maybe making a few mistakes.... Also, keep in mind as i said earlier I am new to the buizn. and am discount my services a lil bit then the other strong companies out there in order to compete. I would compare my buiz. to walmart or BJ... like walmart says rollbacks on quality merchandise....

                      These are my rates for the 2005 season..

                      RESIDENTIAL PROPERTY (Including mow, trim, and blow)


                      1/8 acre: $20
                      1/4 acre: $25
                      3/8 acre: $30
                      1/2 acre: $35
                      5/8 acre: $40
                      3/4 acre: $45
                      7/8 acre: $50
                      1 acre: $55
                      Over 1 acre: $55 per acre + $20 for each additional acre.
                      Example: 3 acre lawn would cost $95.

                      These are only estimated rates. Your quote may be higher or lower depending on the amount of obstacles and time involved.

                      COMMERCIAL PROPERTY (Including mow, trim, and blow)

                      1/8 acre: $30
                      1/4 acre: $35
                      3/8 acre: $40
                      1/2 acre: $45
                      5/8 acre: $50
                      3/4 acre: $55
                      7/8 acre: $60
                      1 acre: $65
                      Over 1 acre: $65 per acre + $20 for each additional acre
                      Example: acre lawn would cost $128.

                      These are only estimated rates. Your quote may be higher or lower depending on the amount of obstacles and time involved.

                      Size Chart-

                      1/8 acre= 5,445 square feet
                      ¼ acre= 10,890 square feet
                      3/8 acre= 16,335 square feet
                      ½ acre= 21,780 square feet
                      5/8 acre= 27,225 square feet
                      ¾ acre= 32,670 square feet
                      7/8 acre= 38,115 square feet
                      1 acre= 43,560 square feet
                      No Job too SMALL nor too BIG for A+ Lawncare

                      Comment

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