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Pricing too high? Or just other ppl not wanting to make money?

Discussion in 'Bidding & Estimating' started by PlowWestern, Nov 9, 2013.

  1. PlowWestern

    PlowWestern Junior Member
    from PA
    Messages: 8

    Ok talked to one of my potential customers. Gave him my thoughts on what the 3/4 acre parking lot should be done at. I told him $60. He replies that the last guy was doing it for $30. Am I just wayyyy to high on this or is the other guy just wayyyyyyyy to low? Also the other guy isn't around to do it and his lot was only plowed 3 times last year. I really don't think anyone else is gonna take it on for less than 60 this late in the year but maybe i'm wrong.
     
  2. 1olddogtwo

    1olddogtwo PlowSite Fanatic
    Messages: 11,537

    Both to low.
     
  3. PlowWestern

    PlowWestern Junior Member
    from PA
    Messages: 8

    Basically I've been told try to get a $1 a minute I figured 60 I was gonna be over a $1 a minute but would give me room if I ran into trouble there's no way that guy could make money at $30 kinda turns me off on doing the lot for anything less than 60
     
  4. djagusch

    djagusch 2000 Club Member
    from mn
    Messages: 2,071

    Tell the guy "well maybe that's why the last guy isn't plowing anymore". Tell him you want to be around to service the properties years to come but won't be around at that pricing. He will either understand or find the next guy who will be out of biz in a yr.
     
  5. $1 a min. Wow that's what we are at for mowing. Plowing is $2 a min nothing less. We do a acre lot and get 320 for it.
     
  6. PlowWestern

    PlowWestern Junior Member
    from PA
    Messages: 8

    lol that's funny and i'm worried about being too high.. People complain about pricing in this area on everything but they don't realize that it could be worse and way more expensive. My philosophy is basically to sit on it and if he calls me he calls me if not oh well not like I need this to feed my family. I'm small the snowplowing is just me it's not like I have employees. I'm not gonna tear my truck up and work for next to nothing
     
  7. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    This must be in Erie Pa.
     
  8. PlowWestern

    PlowWestern Junior Member
    from PA
    Messages: 8

    Pretty close how'd you guess??? Lol
     
  9. Wilnip

    Wilnip Senior Member
    Messages: 583

    Your pricing is on line for our area, western pa . We can't get $150/ hr like CT or NJ. People forget that you have different prices in different markets.
     
  10. tuney443

    tuney443 PlowSite.com Addict
    Messages: 1,847

    I certainly didn't forget but Pa. is NOT some 3rd world nation.Doing a 3/4 acre parking lot for between $30-$60 is just spinning your wheels [no pun intended].
     
  11. Sawboy

    Sawboy PlowSite.com Addict
    Messages: 1,591

    I wouldn't get out of bed for that
     
  12. Wilnip

    Wilnip Senior Member
    Messages: 583

    $60 for 45 min worth of work is $90/hr, incase your calculator isnt working. Loader with push boxes get less around here.
    And he didn't say he was doing it for $30.
     
  13. Wayne Volz

    Wayne Volz Senior Member
    Messages: 694

    Take the guess work out of it completely. Calculate your company's cost per hour + markup + value of what you are doing. With all due respect put some value in the service that we all offer.

    Snow & ice management bidding package www.profitsareus.com
     
  14. Buswell Forest

    Buswell Forest PlowSite.com Addict
    from NH
    Messages: 1,668

    3/4 of an acre for $60?

    What does a 30' driveway cost? $4?
     
  15. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    Well we may just have to start a thread about that.
     
  16. PlowWestern

    PlowWestern Junior Member
    from PA
    Messages: 8

    wow guys didn't mean to stir up a bunch of trouble over that! lol the area i'm in you got two guys that pretty much control the majority of the things in the area. no workers comp insurance and puts anyone who will work for peanuts in there trucks easy to keep costs down that way
     
  17. Buswell Forest

    Buswell Forest PlowSite.com Addict
    from NH
    Messages: 1,668

    I do a 3/4 acre+ lot, paved, some jacking around to get the nooks and crannies, @ $150 each time I drop the blade. up to 4" of snow takes me about 35 minutes, more snow takes 45 minutes to an hour depending.

    Just because you will only plow it 3-5 times, don't mean you should do it for nothing. Stick to your price, let him call. If he does, tell him it went up by $20.
     
  18. snowpro44

    snowpro44 Member
    Messages: 45

    Hold your ground!!!death too the lowballers!!lol..the bank will own his equipment...
     
  19. nighthawk117

    nighthawk117 Senior Member
    from Ma
    Messages: 165

    Does that mean that your trucks cost half of what others do, how much a gallon is your fuel, half? Is your insurance rate half of what others pay? I find it comical that many of you guys try to justify your low rates do to a geographical location :laughing: . After doing this for over 20 years I have seen the rates that some charge absolutely ridiculous and a shot in the dark when bidding properties. I will be spending my winter on the slopes this year Thumbs Up
     
  20. Dogplow Dodge

    Dogplow Dodge PlowSite Veteran
    from NJ
    Messages: 3,003

    Been trying to figure this out myself.


    With the overhead alone, I can't see working to just work, although it seems to be what is currently the trend. I'd rather do the few jobs that will pay me, and go home and enjoy the winter wonderland with my wife and puppies....