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  #16 (permalink)  
Old 07-16-2007, 08:02 AM
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I charge for most estimating with new potential customers, unless I get a real good "feel" that the customer is serious. This really weeds out the shoppers. If they say they are uneasy about paying for an estimate (I call it a consulatation), I tell them to go to our website and see the type of work we do or I give them references to check first. We charge $50-$100 depending on the extent and distance of the estimate. But even if you only charge $25 it will weed out the tire kickers.
Designs fees, of course, are a separate fee.
And, if you want, tell them they will be refunded the fee if they do the work.
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  #17 (permalink)  
Old 07-19-2007, 04:34 PM
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Starting this year we don't do estimates. Either they agree to a paid consult-and it is a true design consultation-or we don't go out. Also I stopped refunding it off the labor at the end. Every couple of weeks someone gets all indignant about the fee but those people are usually just collecting estimates anyway. It's freed up a LOT of time and I'm able to focus more on the good leads.
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  #18 (permalink)  
Old 07-19-2007, 08:00 PM
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This is a tough thing to learn. If you have great communication skills it can be easier but if you don't have a good feel for pricing it is impossible for you to help someone who doesn't know thier budget figur out what it is. I always ask if they have a budget. Most people don't know what they want to spend but have some idea of what they want to end up with. If the customer wants a patio and walkway with a new planting design and a fence you can say "okay depending on the materials we use that could be done for anywhere from x to y" and then narrow it down from there.

I met a lady a few weeks ago who wanted a six ft fence all the way around her yard. Wanted to use the white plastic or vinyl stuff because it was cheap. Then she started talking about how she wanted to break up the fence so it wasn't just a big white wall. She thought six foot stacked stone pillars would be nice in between each fence section. First of all it absolutely would not be even a little nice. Secondly- One six foot stone pier would cost more than the whole rest of her fence. So I learned for that one thiong that she was a) cheap, b) completely clueless and c) possesing really bad taste. No thank you.

For me there are some parts of the landscape that I'm very comfortable with ballparking a price and parts that I am not experienced enough to do that with. I think it does have a lot to do with knowing your products. I also do have a written list of questions for calls but I'm rarely organized enough to actually go through it.

As for the specific situation you mentioned Terre...charging a design independent of the project will fix that problem every time. Nobody with a $700 budget is going to agree to a $200 design fee you will not have to waste your time. I will always meet someone for free but if they want anything that requires even the smallest amount of design thought there will be a fee for it that they will pay whether they decide to do the project or not. For a $2000 project you might only charge $100 or so but it is enough to make that lady you mentioned balk and you will know she's not serious. Anyone who really wants to do something nice and really wants to hire someone whose ideas they will value will have no problem with a small fee like that.
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Old 07-19-2007, 08:50 PM
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I'm still working on this, so I very much appreciate all the input.

I had thought maybe I could get a handle on ballpark estimating by figuring what I can do a flowerbed for per sq foot, but that idea tanked when I rolled myself under the bus at a property whose soil was pure bentonite. Every shovelful of dirt wieghed more than half what I do, so it took three times as long as I budgeted.

So, next I started asking for a budget, even telling them that materials selected could make a big difference in the price. All that got me was "Ok, can you price it several different ways?" What, I'm supposed to do triple work cause you are clueless?

Then I ballparked a few bids on the high side, figuring to allow for the unexpected. Didn't get a single one of those jobs.

There are literally hundreds of landscapers, legitimate and otherwise, advertising where I do, and while most are targeting hardscape projects, the smaller companies are in competition with me, and all offer free estimates.

If I charge a design fee, I'm afraid they will want to see or worse, keep, the design. While I can understand my concept, unfortunately. my kindergarden scribbles probably wouldn't impress them a whole lot.

So, at this point, until I get more experience under my belt, I am going to have to bite the bullet, (or my tongue) and price every one.

I'm seriously considering the minimum price concept. Certainly not $2000, but maybe $500? I am trying to put together a list of interview questions for the original phone call, and figure out how to segue that into telling them my minimum.

Suggestions?
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  #20 (permalink)  
Old 07-19-2007, 11:00 PM
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Quote:
Originally posted by LandArts
Starting this year we don't do estimates. Either they agree to a paid consult-and it is a true design consultation-or we don't go out. Also I stopped refunding it off the labor at the end. Every couple of weeks someone gets all indignant about the fee but those people are usually just collecting estimates anyway. It's freed up a LOT of time and I'm able to focus more on the good leads.
Kudos to you for making that leap.

I'm not quite there yet, but the things I'll do without being paid up front are getting much fewer. I'm also finding that for those who agree to a 4-figure design fee (low 4 figures - as in one dollar less and it's three figures ) tend to listen to my ideas much more intently than those who are expecting a freebie.

I had heard something similar from someone in another field - the more that person charged, the better his clients tended to listen to his advice. The advice hadn't changed, just the price tag for it.

Tricky Dick's advice is on the money.
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  #21 (permalink)  
Old 07-19-2007, 11:25 PM
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Here is the typical process on how i deal with a client..

They call me and leave msg.

I google earth there name a # and see where they live and make sure its a area i want to work and that their house won't be junk.

I go met with them and find out what they are looking for. wants needs desires

I then met with them again and give them a range ie 40-55k.

Then if they like me and want a accurate price i need a minimum of a $1000 retainer. Then i bring in my LA and he draws up a full plan. I have no interest in doing a job with out a plan. Once i get that retainer i am golden.


I am done typing up detailed proposals and price shoppers. The customers i want do not penny pinch.

This may not work for everyone but it works for me in my market. I do most larger jobs and if i am lucky i will proabably do 6 or 7 jobs this year.

Last edited by mrusk : 07-19-2007 at 11:28 PM.
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