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Event pricing

Discussion in 'Bidding & Estimating' started by Jason Johnson, Jan 16, 2010.

  1. Jason Johnson

    Jason Johnson Junior Member
    Messages: 28

    I had my first request for event pricing this fall. All of our other work is either T & M, per occurrence, or seasonal budget so I need some advise on how to break it down. I already got the job and so far it is working out. It is structured as follows with the snow total in a 24 hour period:
    2"-4" = $
    4"-6" = $
    6"-8" = $
    8"-10" = $
    10"-12" = $
    12"+ = T&M
    What is the typical breakdown in this type of format? I was assuming a normal base price for the 2"-4" then break it down by percentage incrementally from there. The bid is for a medium to large sized strip mall. The contract includes walks too! Salt and calcium are separate based off of amount of material used and a unit price for each.
    Thanks for any insight you can offer!
  2. ajslands

    ajslands 2000 Club Member
    Messages: 2,033

    ya like a 80% raise depending what you charge
    Last edited: Jan 16, 2010
  3. Matson Snow

    Matson Snow PlowSite.com Addict
    Messages: 1,985

    If you already have the job...What are you asking for......To see if you lowballed it..
  4. Jason Johnson

    Jason Johnson Junior Member
    Messages: 28

    Not worried about low balling it.We tend to be competitive or a little more than everyone in the area. It's not about price for us it's value. We more than satisfy our contracts and set the standard for quality of work. I just wanted to get some advise from some professionals in the industry that may deal with this contract structure more than I have. Isn't that what this site is for. I'll figure it out on my own in time with production analysis of what we have done. Just trying to get a step ahead of it if they want to offer me additional work which there is a possiblity of that or a new customer may want something similar.
  5. ryde307

    ryde307 PlowSite Veteran
    Messages: 3,132

    We dont break it down as far as you but it goes like this.
    2-6"= 300
    6.1-10"=50% more so 450
    10" plus= 100% more so 600
    hope thats what your asking for
  6. Jason Johnson

    Jason Johnson Junior Member
    Messages: 28

    That's exactly what I was wondering. THANKS! The customer had it set up like this for the break down. I think because it is a 2" trigger depth for removal supposing about every 2"-4" you would be able to cycle back thru and do another occurrence. Only issue would be storms that are really dumping down and giving us an inch or two an hour of accumulation.
  7. Superior L & L

    Superior L & L PlowSite Veteran
    from MI
    Messages: 3,035

    Woooooooo, Jason looks like we need to see some pic's of that fleet !!! Looks very nice from that small pic
  8. Jason Johnson

    Jason Johnson Junior Member
    Messages: 28

    Thanks for the compliment! We are pretty proud of how we do what we do. This includes a great group of people and some nice equipment. I'm hoping to get a lineup picture of our fleet by the end of the season so I'll get something posted as soon as possible.
  9. Jason Johnson

    Jason Johnson Junior Member
    Messages: 28

    Forgot to mention that your fleet is very impressive! Keep up the good work!
  10. Brant'sLawnCare

    Brant'sLawnCare PlowSite.com Addict
    Messages: 1,748

    Nice equipment! I would say that ryde 307 has the right idea. That way, you can plow it multiple times but you make what you need to make each time. I don't ever sign contracts, or place bids for that matter, without a little structure like that, or a cap on the amount of snow that will be allowed to pile up before we plow.
  11. Jason Johnson

    Jason Johnson Junior Member
    Messages: 28

    That is the same thing I was thinking. We always try to create a pricing and service structure that is fair to us and our customer. This is just one that I didn't have any experience with. I feel we may have gone in a little low with it especially as the amount of snow increases. Can always work on adjusting it in the future though.
  12. smokin4by

    smokin4by Member
    from indiana
    Messages: 98

    just a little clarification needed for me...

    for a 2-6" you plow 1-2 or 3 times for $300
    and a 6.1-10" you plow 3-5 times for $450
    and a 10.1 + you would plow more than 5 times for $600:dizzy:

    if you had a 2" trigger and cycled threw every 2" that sound like alot of time on the job

    maybe i have this wrong, but i can see this working great as a raise if you only had to push once for 7" at the end of an event, but if you hit the lot too much i think a per-push pricing would work in your favor.

    am i wrong with this?? :confused:
  13. smokin4by

    smokin4by Member
    from indiana
    Messages: 98

    did i stump you guys? bump
  14. iceyman

    iceyman 2000 Club Member
    Messages: 2,521

    no need to plow 3 times for 6"
  15. smokin4by

    smokin4by Member
    from indiana
    Messages: 98

    ya i agree, but some of these guys are saying they plow a storm every two inches, and then charge the same for up to a six inch snow. doesn't make sence to me. unless they are charging for a two inch push three times.

    i don't think they have a clue what the are charging, probibly why they have so much trouble with the billings???
  16. JustMag

    JustMag Junior Member
    Messages: 7

    Hey Jason, did you ever do any painting?? I knew a guy in Cincinnati a while back that was a hell of a painter. Just wondering if you are the same guy.
  17. Runner

    Runner Senior Member
    Messages: 957

    There is no way I would be plowing 5-6 inches of snow for the same price of 1 or 2. Here is our structure.
    Price scheduling per application:
    Up to 4 inches - 100% of given price.
    4.25 - 8 inches - 150%
    8.25 - 12 inches - 200%
    12.25 - 16 inches - 250%
    16+ inches - 300%
    Now mind you...the 16 inch thing just doesn't happen.
  18. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    I'll still to seasonal contracts .Less headaches for me at least.
  19. vamootsman

    vamootsman Senior Member
    Messages: 316

    We do a full clearing when it's done snowing, and charge for that amount of snow. Any other work like keeping driving lanes open is by the hour, and by request, that way there are no questions as to why we were there plowing. Has worked great so far. Have made the "executive decision" to go do some work that I deemed necessary a couple of times, and gotten "the call" to do some work while we were already staring, so I guess we're on the same page with management so far.
  20. Jason Johnson

    Jason Johnson Junior Member
    Messages: 28

    JustMag; no real serious painting here. We sealcoat and stripe parking lots and do the occasional paint job on a mall of factory for a existing commercial customer but that is it. Never lived in Cincy or done any business there. Must be a different JJ.
    I'm along the same lines as you Runner. I structured it a little cheaper for each following occurrence since it is decent sized property, and depending on the rate of snow, when you finish one occurrence it is time to start the next. Saves by mobilizing once and setting up camp on the site for the storm with a couple units and send in a third if they get behind. It has worked out so far this season. With this customer we can't wait on the snow to stop or the close of business. We roll when it becomes harzardous and pre-salt then plow when we hit the 2" trigger depth.