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I just dont understand

Discussion in 'Commercial Snow Removal' started by toptech72, Jan 16, 2009.

  1. toptech72

    toptech72 Member
    from 21078
    Messages: 61

    Ive been plowing since i was in high school. So lets just say ive been doing it awhile now. The person that got me started still does it and has been doing it for about 30 years now. Well the other day we were having lunch together and talking about if we would have to plow this winter ( We havent seen much snow in the past couple of years). And we started talking about contracts we picked up this year. Well he told me he got 2 of the lots i had bidded on so i asked what he was charging. I almost fell out of my chair when he told me $75 an hour and no charge for the salt just the charge to spread it. I charge $125 an hour its been about 5 years since we were charging $75. He said he hasnt raised his prices since we havent had any real winters. And he doesnt charge for the salt because he gets it for FREE. And its not like he is running old equipment. Nothing he has i more than 5 years old. And we are talking like 8 or 9 pickups some bobcats a couple loaders and 4 tri axle dumps and 6 Mack container trucks. I know that he isnt worried about money. And neither of us rely on the plowing anymore. But why give your work away? I thought maybe my hourly rate was to high so i checked around and i am right in line compared to the other companies i called. The only good thing the come from our lunch was he offer me salt if i needed it FOR FREE.
     
  2. Dodge Plow Pwr

    Dodge Plow Pwr Senior Member
    Messages: 568

    Take the salt and keep your prices the same. You just have to look elsewhere for your new accounts. I have come across people that are charging anywhere from $65.00/hr all the way up to $175.00 per truck. I am right in the middle of them and get plenty of work.
     
  3. cretebaby

    cretebaby PlowSite Veteran
    Messages: 4,162

    I would love to get $75/hour on paper here
     
  4. plownoob

    plownoob Senior Member
    from ny
    Messages: 128

    if I had a competitive advantage where I had my own salt mine, or got it for free, I'd run with it too. All my ads would headline with free salt in big bold red colors.
     
  5. cretebaby

    cretebaby PlowSite Veteran
    Messages: 4,162

    ?

    where is he stealing the salt?:dizzy:
     
  6. KL&M Snow Div.

    KL&M Snow Div. PlowSite.com Addict
    Messages: 1,616

    I would love to get 75/hour. People would crap if you said that here.
     
  7. cretebaby

    cretebaby PlowSite Veteran
    Messages: 4,162

    How do you get a 67% price increase over a 5 year period?
     
  8. coldcoffee

    coldcoffee Senior Member
    Messages: 776

    Are you sure his plowing isn't just a front for something else? prsport
     
  9. toptech72

    toptech72 Member
    from 21078
    Messages: 61

    He gets his salt from the same guy i get mine from. I get a good price it just seems he gets a better one. I guess its good to know the right people. All the oldtimers still stick together i guess.
     
  10. fireball

    fireball PlowSite.com Veteran
    Messages: 536

    Must be that Nigerian salt that we keep hearing about. The salesman you need to talk to about is Bernie Madoff. He has so much that he is giving it away to make room in the penthouse