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Anyone have a fuel charge

Discussion in 'Commercial Snow Removal' started by csi.northcoast, May 5, 2011.

  1. csi.northcoast

    csi.northcoast Senior Member
    Messages: 320

    Does anyone have a fuel surcharge on their contract esp multi-year contracts. I am just curious, I have had a few companies ask about how fuel cost is going to affect pricing. so far i have told them tell what fuel is going to cost and i will tell you what i am going to plow you lot for
     
  2. Super D

    Super D Junior Member
    Messages: 22

    I was thinking about doing something like that next year with fuel prices going up and up, although today it went from $1.15 a barrel to $0.93. Who knows what will happen. But anyway i work in sales and the respons from people with any type of bump like that will make them mad and goto someone with out it. So what i was going to do is just build it into the price and explane the why my service is better then the next. They should understand that since everything is going up your price has to go with it. Now those that are very low well you do get what you pay for cause i have a coworker that pulled that on me and well lets just say he does not plow anymore.
     
  3. HALH VT

    HALH VT Senior Member
    from Vermont
    Messages: 128

    If I am getting the bill for something, one or more little itemized surcharges bug me way more than a higher price for the basic service. I would rather have somebody just raise the price, citing increased costs, without going in to detail.

    Suggestion, why not load a worst case fuel increase into your base price, then discount as appropriate? It looks better to the customer, they feel like you are sharing your good fortune with them if costs go down.
     
  4. swtiih

    swtiih PlowSite.com Addict
    Messages: 1,179

    If fuel stays where it is the customer will see an increase next season.
    If you are that concerned talk to your customer when you sign them for the season.
     
  5. Premier

    Premier Senior Member
    Messages: 274

    I have it stated in our contracts that we reserve the right to impose a fuel surcharge, and that we will do our best to notify the client before such changes go into place.