Perhaps you’ve hit a plateau in your landscaping business. It’s not uncommon for business owners to get stuck, so don’t panic. While a plateau can feel discouraging, try to see it as an opportunity to revamp your operations and improve.
If you need fresh inspiration to figure out how to grow your landscaping business, here are some ideas to get things growing again (see what I did there?).
When did you last increase your prices? Now might be the time.
Consider the basic economic principle of supply and demand. Of course, you want your schedule to be full. But if you’re converting most of your leads easily, it’s an indication it’s time to raise your rates. Don’t be afraid of getting a “no” at your higher rate. You’ll find the right clients!
Other factors that warrant a price increase are inflation and the ripple effects of Covid-19. With supply chain issues stemming from the pandemic still plaguing the world, it’s likely that the equipment or materials you use are costing you too much money. Engage your customers to help you carry that load by adjusting your pricing.
Would investing in newer or better equipment help your team perform more efficiently? If so, consider a small price increase to offset the cost of investing in new tools. The improved efficiency will pay off with time.
All of these are reasons to increase the cost of your services, but do so with care. Make sure you explain the cost increase thoroughly to your customers and give them plenty of notice. Communication conveys value, so make sure they feel informed and well cared for. Slapping them with a higher invoice and no explanation is not a way to grow your landscaping business! In fact, it’s a quick way to lose customers.
Offer more services.
Diversify your offerings to grow your landscaping business. With fall approaching, consider adding leaf blowing and removal, gutter cleaning, or another seasonal service. Snow removal and salt application is a service to consider in the winter if your region sees snow (sorry, Georgia). Or, explore the possibility of adding new services related to horticultural crops, hardscapes, or irrigation systems. Maybe you could offer your customers sprinkler system repair and upkeep, or even quarterly pressure washing for hardscapes and outdoor areas.
What else do your customers need help with? What else are your employees equipped to handle? Explore the possibilities, the demand, and your ability to meet them. Then consider how these new services could fit into your business plan.
As you probably know, it’s much more cost-effective to upsell an existing customer than to acquire a new one. Developing packages to combine one-off services could be exactly what you need to grow your landscaping business. Perhaps you can bundle individual offerings into deals that result in improved lawns and increased cash flow at the same time. Your customers will love the way their property looks, and you’ll have more money in the bank. That’s a win-win.
If you’re mowing a customer’s lawn already, why not add seasonal flower installation and mulch replenishment? Or, to put your customers first, you could offer customers the opportunity to build their own packages. You can provide service options they could combine into a bundle that’s tailored to their landscaping needs.
Create subscription opportunities.
Plug and play is the way of the future. Have your customers set up a recurring automated bill pay to cover your services. Charge one recurring fee per quarter for applying fertilizer, weed control, seed, and aerating a customer’s lawn, for example. Offering your packages as subscriptions can bolster your business.
Convenience is king, so market yourself as the one-stop-shop for handling all things lawn care. Remind customers that they can subscribe, set up auto-pay, and never have to worry about the health of their yards again.
Develop a referral program.
Compensate your customers for sending new business your way. Incentivize them with an extra service, gift, or one-time discount to show your gratitude. Advertise the referral program in your customer communications and social media.
Go a step further and compensate them in a way that might result in upselling, like rewarding them for referrals with a one-time leaf removal. They might love the results so much they sign up for a fall service package or subscription!
Implement Profit First.
Profit First is a game-changer for businesses. With Profit First, sales minus profit equals expenses. By applying this system to your cash flow, you can easily identify your financial landscape at any moment – information that empowers you to strategize and make decisions that will lead to growth. Profit First can reveal any unnecessary expenses, too. A Profit First profitability analysis can help you position your business for expansion. By breaking down the actual costs in time and money for each service you offer, you will learn how profitable each of your offerings truly is. Armed with that information, you will know what services to discontinue and which ones to market more prominently.
If you’re stuck, see this as a nudge to reevaluate what’s working and what could be improved. I challenge you to get creative in strategizing how to grow your landscaping business.
If you want to learn more about Profit First and how utilizing that system can also help you grow your business, let’s talk. Schedule a call and let’s find ways to keep more profits in your pocket.