Pricing '21-'22 Season

Mark Oomkes

PlowSite Fanatic
Location
Grand Rapids, MI
What's everyone doing for pricing this year?

Up? Down? Stay the same?

Do you do job costing to determine if you need to raise prices across the board?

We went up quite a bit on our residential prices and have been getting some pushback already. Not sure if they've missed the news about inflation. We're telling them the cost per service at the price quoted and explaining the manpower shortage as well as fuel just about doubling. Seems like we never have a problem filling routes so if I even wanted to think about dropping prices, I certainly wouldn't be doing it this early.
 

EWSplow

PlowSite Fanatic
Location
Milwaukee
Still on the fence of weather its worth doing at all.
I've been getting a few new referrals, so I haven't decided.
There is no possible way I could leave prices the same and continue.
The biggest factor is walks. I'm not even sure I could find decent help if I double my rates and double pay for sidewalk crews.
This should be in the rants section, but a concrete guy told me yesterday that he lost his top guy even after offering a $90K annual wage and benefits package.
 

Ajlawn1

PlowSite Fanatic
Location
South Bend, IN
But you can make it up in volume...

You're getting applicants?

Nope, after the one good guy left for trailers I've gotten one new kid who is pretty worthless and has missed at least three/four days in the last three weeks. Lost almost 2 hours on last check due to being constantly late, we take 15 minutes for 7:01-7:15.

Cutting back and raising everything this Winter... Not dealing with trying to find help or the stress... Especially all walks will be skyrocketing on up... Bag salt is averaging $.50 a bag higher... Bulk sounds like average.
 

EWSplow

PlowSite Fanatic
Location
Milwaukee
This whole people getting kicked off unemployment and having to go to work could go either way.
Either you might be able to find applicants because of it, or they're going back to what they did before, so there's no one available.
Construction is up, so that won't help with the available labor.
Maybe this industry needs more automated equipment, or drones so people can work from home, or at least a nice warm truck while controlling them.
If you'll recall, there's an engineer in Wisconsin plowing his driveway from his living room.
Buff's daughter might be designing your next sidewalk crew...
 

EWSplow

PlowSite Fanatic
Location
Milwaukee
Nope, after the one good guy left for trailers I've gotten one new kid who is pretty worthless and has missed at least three/four days in the last three weeks. Lost almost 2 hours on last check due to being constantly late, we take 15 minutes for 7:01-7:15.

Cutting back and raising everything this Winter... Not dealing with trying to find help or the stress... Especially all walks will be skyrocketing on up... Bag salt is averaging $.50 a bag higher... Bulk sounds like average.
Out of curiosity, what do new hires at a trailer plant make?
I've heard ads on the radio for warehouse trainees starting at $21/ hour + benefits.
 

Ajlawn1

PlowSite Fanatic
Location
South Bend, IN
Out of curiosity, what do new hires at a trailer plant make?
I've heard ads on the radio for warehouse trainees starting at $21/ hour + benefits.

Low to mid 20's all day with bennies and huge sign on bonuses... Construction hurts too as you can go to Reith and Riley right now for $35/hr...
 

cjames808

Senior Member
Location
SE WI
We are holding pricing on regular long term customers. Higher on most new bids, avoiding anything with extensive ground work. We did raise our ground labor $10/hr and set minimums on all machines. We have to offer more per hour this year to get labor.

I haven’t had any vendor or supplier call me to say prices are holding or going down
In fact complete opposite as most have been sending increase letters.
 

EWSplow

PlowSite Fanatic
Location
Milwaukee
Low to mid 20's all day with bennies and huge sign on bonuses... Construction hurts too as you can go to Reith and Riley right now for $35/hr...
I see almost everyone offering sign on bonuses.

Also, I've heard bartenders in Chicago are making $20/hour + tips and some benefits. Knowing a little about that industry, I did a little math and figured they're making around $50/hour.
 

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