Do you think this year has been different for business?

climbingmonkey24

climbingmonkey24

Carpal tunnel level member
Location
United States
I don’t know if this has already been talked about, but I was wondering if anyone in the US (or I suppose anywhere for that matter) has noticed a change this year in the sense of call volume, people asking for a quote and then never hearing back even when you follow up, or losing more bids than usual even if you’re charging the same rates, etc.

I have a friend who operates in the same area as me and has said he’s lost quite a few bids that he thinks is due to price, or people not able to afford to do the work right now, as well as lower calls than usual.

Just wondering if this is something other companies / contractors are experiencing in other areas.
 
There was a time earlier in the summer when I wasn't as booked out as I usually am this time of year, but it seems back to normal now. I've got no theories for why that may be... I do think people have felt unsure about the economy recently, but in my area people always have money.
 
In our area people have money but this year feels different. One big change is that grant money for forestry projects is drying up or has stopped altogether. I was expecting our gross to close to double this year based on the last few years but now I think we will go up maybe 25%? The last few years our growth was uncomfortable so I’m not complaining too much but also the work faucet has been sporadic enough that I’m having a hard time making hiring decisions.
 
I’ve had to soften my rates just a touch to keep the pipeline full…. It’s definitely a fine line to compromise I know. Work comes in waves for me in my market. I think summer ending, and kids going back to school (now) has reduced lead volume a little, but I can’t complain….. Bills are paid, my guys have work, Capitol is growing.
 
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Talked to another local, but bigger company...they are on pace for a record year.

How are local economies (in general outside of tree care)? I suspect a LOT is tied to that...and we're fortunate to be in relatively strong cycle right now. Housing market is strong, but not crazy here. Job market is full with very minimal unemployment (there are jobs if you wanna work). Not a big saturation of federal government reliant workers here so people aren't looking over their shoulder wondering if they are going to be cut back. Biggest employers are healthcare, offices for an oil company, and a diversity of manufacturing...so they are all in good shape. Tariffs may help more than hurt most local employers...
 
I did a quick check of numbers for this year, up to August 31st, compared to last year. Revenue is down $45k and profits are down $14k.

Work is still coming in and I'm booked into November, but it's definitely a slower year. There's enough income to pay the bills and myself (although I took a slight pay cut), but there's not much extra for upgrading or buying new equipment. I've had to cut expenses everywhere I could and am taking on fewer out of town jobs to save on fuel and hauling costs.

There aren't as many "big" jobs coming in this year. People can afford $1000 or so to do some light maintenance or small removals, but the large planting and removal jobs aren't happening. From what I've heard around town many of the other companies are in a similar boat.
 
ATH said:
Certainly goes both ways...I like knowing I have work lined up. I just don't like asking clients to wait 2 months.
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I don't like it either, but ultimately it's the customers choice assuming you give them a ballpark idea from the get-go when you can get to it. Of course when there is a time-sensitive job due to weather or an immediate hazard those get bumped up the list, but in my experience at least if they like you, most are willing to wait.
 
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27RMT0N said:
I don't like it either, but ultimately it's the customers choice assuming you give them a ballpark idea from the get-go when you can get to it. Of course when there is a time-sensitive job due to weather or an immediate hazard those get bumped up the list, but in my experience at least if they like you, most are willing to wait.
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Agreed...and I'm glad folks are willyto wait. It does help keep prices in check, knowing I've got work that will pay the bills in a few months. But I still like it when I can help a client within a week or two. If it's time sensitive we will, but intell.folks "I'll do it next week if need be, but if everitold me that they needed it that soon, we couldn't do that.". Oh, and I need to find a good full time helper to try to stay on track!
 
ATH said:
Certainly goes both ways...I like knowing I have work lined up. I just don't like asking clients to wait 2 months.
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I like having work too but when I was 2 months behind I knew it was time to make some moves, so we added some iron to assist in getting through the work quicker, and charged little more for services which helped weed out cheap skates and tire kickers. I’m still booked out few weeks to a month most times of year now. My problem is so much can change in a couple months and after looking at so much work in a short time and booking out farther more details are required for the work proposals with adequate details, I’ll forget after couple months if not written. The Longer the back log more time on the paper work it seems. But I sell for myself and work for myself and I’m on 90 percent of the jobs, like many on here. Any regular daily sales guy needs bulletproof system for detailing his team and revisit for site changes maybe needed before sending the crew there or he can become the most hated guy on the crew quickly.
 
Treetopflyer said:
My problem is so much can change in a couple months and after looking at so much work in a short time and booking out farther more details are required for the work proposals with adequate details, I’ll forget after couple months if not written. The Longer the back log more time on the paper work it seems. But I sell for myself and work for myself and I’m on 90 percent of the jobs, like many on here.
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So true!
 
I take pretty good notes "north half of the 2nd branch up on the east side remove to improve roof clearance" for example makes it pretty clear what I was looking at. At least enough for me to know what I was looking at...and since I'll be on the job, that's good enough!

Ed Gilman and folks from Florida have a new(ish) "prescription pruning" program that is supposed to help standardize communication between prescriber and crew. I did an introduction class last year. The "full class" is happening in Ohio this week... I wanted to go, but already presenting for another program Friday so didn't seem wise to take another 3 days off this week to attend that class.
 
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