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Desperation...even from the big guys!

Discussion in 'Commercial Snow Removal' started by Schuley, Oct 14, 2009.

  1. Schuley

    Schuley Senior Member
    Messages: 161

    Just saw a customer this morning....she handed me a letter and said look at this, everyong in the whole neighborhood got one. It was a seasonal bid from a pretty large landscape and snow contractor in the area that has been losing customers like i've been losing my hair. Their prices are too high, and level of service is too low, and they wont shovel, which means you have to find someone else that will shovel.They have been passing out hundreds of proposals for seasonal contracts, and the plowings figure out to be $14.50 per driveway, per time. I have a full schedule already, but man, what nerve! Last year he was bidding $25-30/driveway, and this year is $14.50?! I just hope none of my customers jump ship just to save a few bucks!
    Sorry for the rant...
  2. Scott's

    Scott's Senior Member
    Messages: 416

    Oh they will
  3. Longae29

    Longae29 PlowSite.com Addict
    Messages: 1,953

    Where are you at in wisconsin? Prices are getting slashed everywhere, not a good trend at all.
  4. ProSeasons

    ProSeasons Senior Member
    Messages: 624

    And then mid season they will call you back trying to get back into a route you've already filled.
  5. Schuley

    Schuley Senior Member
    Messages: 161

    Just outside of Madison....
    Just got a late invitatioin to bid on a large property, sounds like they threw out the bid from a big name company in madison due to " unethical business practices and bribery attempts" Wow....what is this world comming to! apparantly there was excessive billing, for snow and grass, and when it was questioned, they said they will drop all the other charges if they sign another 1 year contract, which would make it what they should have charged in the first place..... lol
  6. Mark Oomkes

    Mark Oomkes PlowSite Fanatic
    Messages: 13,256

    Have heard a commercial on the local talk radio station for some company I never heard of yesterday.

    Checked their website and they claim to be a huge company around here. Figuring they must have lost some accounts if they're advertising on the radio this late in the season.

    Also noticed that what they call late model trucks and what I call late model are 2 very different terms.
  7. The mayor

    The mayor Senior Member
    Messages: 272

    I wish my customers would jump ship. I would take off the whole winter and go on vacation. But as always they stick with me. Must be doing something right. I know I am not cheap.
  8. teddy

    teddy Junior Member
    Messages: 5

    Low ball central here in michigan!

    Can't understand it, now the big players around SE Michigan are low balling......think they are shooting for quantity not quality. We have been at this for 35 years, and they are totally ruining the market, We have been reduced back to 1980's pricing. I would like to extend to them a big round of applause!!!! And we were just starting to make a good living, might of even had a nice retirement. Working for 1980 price rates is not sitting well for me, in the 80's I did not have health insurance, looks like I'm going to flash back to that soon......need a plan B!
  9. hickslawns

    hickslawns Senior Member
    Messages: 627

    teddy- Just wait for plan B.O. Our Pres will take care of you. then you can sit at home, watch it snow, have your health care issues resolved, collect a check, and "retire". Seriously though, sorry to hear about this. I haven't heard what our local prices are doing, but have been flooded with calls in the last week. I guess when I start hearing yes or no's I will have an idea. Don't really care though as we can be content retaining previous year's customers that are happy with our services. Your loyals will stay loyal. . . or call you back mid-season. Keep your chin up and good luck!
  10. buckwheat_la

    buckwheat_la 2000 Club Member
    Messages: 2,254

    from the canada perspective, i think where i am at is lucky, in that we had one of the worst snow years in recorded history last year, and as one of the companies that had no problem keeping all my clients happy, i am getting few people jumping ship, and a lot of unhappy people from last year looking around, however, we have had to lower prices to stay competitive too, and one of my biggest contracts (a large manufacturing plant 3 city blocks large) is re tendering because of how much snow removal cost last year were (thats what happens when some person in japan sees a 10 times change in cost, without seeing the 10ft high drifts) so we may be lossing a great contract, has me really nervous, however all the managers at the plant say we have been the best snow removal company they have ever had, so fingers crossed.