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HELP! Per push price increments PER PUSH GUYS ONLY

Discussion in 'Business Fundamentals' started by lee157, Jan 9, 2005.

  1. lee157

    lee157 Junior Member
    Messages: 23


    Been around the site a couple years now and mostly an observer but looking for some input now.

    I live in SW Indiana and we see little snow for the most part. I have been pushing for 14 years now but have the need for some input.

    A normal snow for us would be 2" to maybe 6" and most all of our contracts trigger @ 2". I have this part down and am comfortable with my pricing.

    A couple weeks ago December 22-23 we got the what some may call 100 yr snow,,,,,, 22.3 inches in about 30 hrs,,,,, this just don't happen around here.

    I think I got my butt kicked on my deep snow pricing,, I think my pricing is weak after the 6" mark.

    What I want to know is how you per push guys break your pricing on increments.

    Lets say I have a 3 1/2 " snow this is in my 2-4 bracket,,,,,, now lets say we have a 7" snow this is in my 6-8 bracket.

    Should the 7" snow be double (100%) the 3 1/2" snow or 80% 60% 50%?????

    This is where I need help, don't really need to know your private pricing just your method.

    I have looked through old posts but didn't quite find my answer, I thank you all for your time.

    Lee M Wirthwein
    L&M Excavating
  2. fordsrbetter

    fordsrbetter Junior Member
    Messages: 15

    hello, how i do pricing is lets say the lot is $100.00 for 1-4 my next is 5-8 is 150 8-12" $200 12" or more $125 per hour per truck
  3. lee157

    lee157 Junior Member
    Messages: 23


    These are the answers I'm looking for,,,,,, striaght and to the point!!
  4. avalancheplow

    avalancheplow Senior Member
    Messages: 265

    if you are doing driveways i would do 100%
    $30 for 1-4
    $60 for 5-8
    $90 for 9-12
    for commercial i would charge different for example
    $100 1-4
    $175 5-8
    $250 9-12
    12+ add $125 per 3"
    This is how i do my bidding and i got this from others around here. It works well because with that much snow you are required more work to clear the lot and in the end a business doesn't care as long as they can still use it.
  5. lee157

    lee157 Junior Member
    Messages: 23

    I'm close then,,, mine as of now for next year not the remainder of this year,,,,,,:cry:

    >4" = $100
    >6" = $135
    >8" = $170
    >10" = $204
    >12" = $239
    >14" = $274
  6. lee157

    lee157 Junior Member
    Messages: 23


    will we do anymore residential :nono: other than my own on the way out and back in if it needs it.

    Homeowners are the WORST customers,, YEP I'm one too so I ota know :angel:
  7. fordsrbetter

    fordsrbetter Junior Member
    Messages: 15

    that is why all of my accounts are commercial and most of them(90%) are not open 24hrs this way i can do a really good cleanup and they look great. this last storm we had my lots were the only ones in town that were to the concrete same day all others in town were 3day of snow and ice. good feeling to drive around and see all the hard work done right. have a great enening guys.
  8. Mdirrigation

    Mdirrigation Senior Member
    Messages: 413

    I charge per push , I dont let the snow accumulate , if its a 12 inch snow I hit the lots 2 to 3 times , keeping them open constantly. If we get a blizzard or extreme conditions we switch to hourly . I only take 6 hours per truck based on a 6 inch storm .
  9. lee157

    lee157 Junior Member
    Messages: 23

    We plow about 21 acres total 17 lots with 5 trucks, this last snow was 22.3 inches in 30 hrs we couldn't keep up, took 24 hrs to hit them all once then we came back again but we had trucks down and drivers missing with it being just before Christmas at best we had 4 trucks running at any one time, I would say we averaged having 3 trucks running constantly.

    Things were breaking here and there and one truck lost a transmission from pure driver abuse, my most experienced driver too, not sure what happend there and haven't cooled down enough yet to actually sit down a talk to him about it.

    Seriously thinking to just let it pass and that will have been his last time behind the wheel.

    He always ran a standard tranny and I put him in an auto, might have been my mistake,,,,,,,

    don't matter now anyway, just learn from it I guess, be putting temp guages on all the autos this week.
  10. JUSTBE

    JUSTBE Member
    Messages: 52

    Sorry if I sound new to this (but I am). From the listings above, you charge $100 for 1"-4" and $175 for 5"-8". Are the dollar amounts for an hour or for each push? If you do a lot 2 times, each time with 3", what would you charge if it takes 1 1/2 hours per time? Would it be $200 total ($100-3" + $100-3"); or $350 total ($175 + $175) because it totaled 6"? I am so confused.

    for commercial i would charge different for example
    $100 1-4
    $175 5-8
    $250 9-12
    12+ add $125 per 3"

    Thanks for everyone's patience with me.

  11. lee157

    lee157 Junior Member
    Messages: 23

    Per push generaly means each time you clean the lot

    Hourly rate is just that hourly rate you make XXX dollars an hr

    Per push you make XXX dollars everytime you clean the lot and it's nobody's business how long it took you. Hourly rates tend to tick people off. If I told you I was going to charge you $200 per hr to clean your lot you would n't like it but if I told you I will clean your lot for $200 and it sounded fair you would be happy,,,,,, now if I get the job done in 30 min I just made $400 per hr but you don't care because $200 sounded good.

    When a manager is making less than $20 per hr he sure don't want to hear you are making 10 - 20 times that even though you have to do all the paperwork and maintain a truck all year and be ready any time it snows they just don't like those numbers.

    If my average falls below $200 an hour per truck I get concerned.

    So the prices are for each time the lot is cleaned what you charge for a square foot or yard or whatever is your business, you need to feel comfortable with your figures.

    These figures are just representitive of the mathamatical methods used for inch brackets.

    Having never dealt with anything over 6" my figures for a heavy snow were off and it cost me about $6000 this last snow so it was an expensive lesson but one learned well.

    Not that I lost money but my contracts held me from billing what I should have made with the hours spent,,,,, basically my hourly average fell A BUNCH

    I haven't had time to total the hours yet but I'll be lucky to salvage $100 an hour,,,,,, thats WAY off from my $200 an hour I'm used to.

    Once I get it talied I'll post it just to make sure it sinks in,,,,,
  12. PLOWMAN45

    PLOWMAN45 2000 Club Member
    Messages: 2,951

    my contracts are based depending on size

    every 12 inches it like double
  13. NJ Plowman

    NJ Plowman Senior Member
    Messages: 794

    We often use the following formula:
    1"-4" = $xx.xx
    4"-6" = $xx.xx
    Over 6 inches = $25.00 per inch.

    We figure if you give a guy too many prices for all different inches he gets too confused and thinks it's too expensive. Then he gives the job to a scab who comes along and does it for one set price no matter how many inches.

    MIAWPUKEK Senior Member
    Messages: 267

    work a little more, pay a little more "sounds fair right?"

    Myself, I don't really go by "inch" measurements. I have one set rate, usually averaging about $ 15.00 a driveway, depending on size. And if we have more snow than usual, and it takes me a little longer, than I charge a little more, probably another 10.00-15.00 dollars.

    Sounds low, but believe it or not, most people in my town have driveways that are atleast 200' and 'parking areas' approximately 50'x50' and they STILL think thats TOO EXPENSIVE!

    What do you think?
  15. Mick

    Mick PlowSite.com Veteran
    from Maine
    Messages: 5,546

    I use several different methods, based on the type and size of account, but this is what has worked in the past for overall pricing.

    With a 3" trigger:

    3" to 6 " - $xxx
    over 6" to 9" - $xxx times 1 1.5
    over 9" to 12" - $xxx times 2
    over 12" - $xxx times 2 plus $yyy per inch over 12".

    The last item takes care of any amount excess snowfall regardless of your area's average. Also, you want to stipulate that pricing is for any 24 hour period. 24 hours after some designated time (like start of snowfall) will start a new billing period.

    So, let's say you've decided on $100 for a 3" - 6" and $10 for "yyy". Then the other categories would be $150 and $200. Then say you got 22" within 24 hours. That would be $200 for the first 12" plus $100 (22" - 12" = 10". $10 per inch x 10" = $100). You would bill $300.

    I also give some places one price for any amount up to 12". I have some also with 3" - 8" and over 8" to 12". But however it's done, I always stipulate that 24 hours after the beginning of any snowfall starts a new billing cycle.
  16. Plow Meister

    Plow Meister PlowSite.com Addict
    Messages: 1,174

    I would also include a "Blizzard Clause" in your contracts for any snowfall in excess of XX". This really helps cover your ass in the event of an event you just had. Mine is set at 12" and I move to an hourly rate at that point. My hourly rate is $150.00 per truck per hour.

    All of the ablove numbers look real good. They should serve as a good guideline for you.