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raising prices mid year? good or bad?

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  • raising prices mid year? good or bad?

    i was hoping to wait until next year to raise my prices but gas just hit $3.12 per gallon for the cheap stuff here. Is bad business or unproffesional to raise prices in the middle of the season? i was going to tell them due to the cost of business not just the excuse of higher fuel prices( read that on this forum) as my reason for the raise. thanks for the advice.

  • #2
    I would not raise your rates in the middle of the season. Fuel prices were high at the beginning of the year and we all knew it wasn't going back down any time soon.

    I think you should just wait until the season is over. The increase between the beginning of the year and now isn't an extreme amount when you figure the $$$ for the remainder of this year. Assuming you raised your rates in the spring.

    Hopefull you aren't charging the same amount since fuel was $1.50.
    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.

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    • #3
      thanks for the advice scaper. i think that waiting until next year is a little more business like but i did want to get some opinions from the bigger guys. should i tell them about the increase at the end of this year for the next year or wait until the spring.thanks

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      • #4
        I'd wait and see what the prices are then. Thats what I'm going to do.

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        • #5
          We have raised our prices for all other work that clients ask for. That does help make up for some of it.
          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


          • #6
            this is my 3rd year, 1st year fulltime. i raised prices at the beginning of last year, not because of fuel but because i got alittle smarter in pricing. good records and a measuring wheel to measure everything i do were the reason i raised prices. this year i didn't raise any. my longest day only cost me about $18 more than it did 3 years ago. that is just mowing. the bottom line is my pricing is where it needs to be. i did go up $10 an hour for cleanups and things like that , but most of the things i do are for new people and they didn't know what i charged before so no big deal.

            steve

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            • #7
              eddylc - have you considered revising your mowing routes (as dense as possible w/ minimal driving per day) and reviewing HOW you burn so much gas? Such an 'audit' should decrease your gasoline expenditures.

              I still say wait till next year to raise your prices -- it's much more professional.

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