Free estimates ????

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Darn, no Cyrillic support on this board?

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Nope, and apparently not much NeTree support either.
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i guess i don't understand the need to charge for estimates. (in our area no one i know charges for estimates). is it due to the driving time? is it because you are driving a gas guzzling big truck that it costs you alot of money? are you so busy that you have to break off of a job to do an estimate? i really like doing estimates. i love it when people ask me lots of questions about their trees and how to manage them, and i love it when they have tried to do their own research into trees. i expect estimates to take at least 1/2 hr, and plan accordingly. but i live in an urban area, and the distances are smaller perhaps, although our traffic issues are worse! let me understand what motivates you to charge for estimates...
 
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"I don't care who you are. That's funny right there..."

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Jammin', I have reported your avatar to the safety nazis. No safety glasses or hearing protection. Sorry.
 
Actually I presently do not charge for est,but do for a consult.I am strongly considering charging for the est.
The answer to your question,Kelly I believe it is not the money.You will never get wealthy riding around do estimates for 29.95. What you are actually doing is weeding out tired kickers,and adding value to your service.I guarantee you that when you charge for ests your close rate will go up considerably! the reasons are Legion.
 
"close rate", love it, love learning new lingo. like when i was at the boston workshop and i found out that my line of work is "production commercial" very exciting for me.
i'm intrigued by the concept, but, for now at least, i get the overwhelming majority of jobs i bid on. easily 75%. but i don't get as many calls as i would like. i seem to lose out to gardeners who underbid me on backyard clean up jobs, and the rest of the underground landscaping market. and its really easy to get underbid out here, where there are no regulations that are enforced, and those of us who are paying taxes, are insured, and certified are the few, the proud...
 
To be honest with you and hopefully not sound like a jerk doing it that close rate is actually too high! I know right now you are thinking that i am nuts and dont know what Iam talking about .trust me, the top sales reps ,and i mean the hot shot types who make tons of money, do not close at that pace.That means you numbers are too low.
I know that you know your biz,and what it takes for you to survive,so take it w a grain of salt.
I have done a lot of work with this concept,and whenever my rate gets over 50% i start to look at profitability.A few years ago I thought I was a KILLER sales rep cause i got so many jobs.Then I took a sales seminar and a light went on!I was winning jobs on price not service. As i started to nudge my numbers up,the close rate went down and I began to become a really profitable company.
any way i hope this was not too verbose?!
 
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To be honest with you and hopefully not sound like a jerk doing it that close rate is actually too high! I know right now you are thinking that i am nuts and dont know what Iam talking about .trust me, the top sales reps ,and i mean the hot shot types who make tons of money, do not close at that pace.That means you numbers are too low.
I know that you know your biz,and what it takes for you to survive,so take it w a grain of salt.
I have done a lot of work with this concept,and whenever my rate gets over 50% i start to look at profitability.A few years ago I thought I was a KILLER sales rep cause i got so many jobs.Then I took a sales seminar and a light went on!I was winning jobs on price not service. As i started to nudge my numbers up,the close rate went down and I began to become a really profitable company.
any way i hope this was not too verbose?! [/quote

Taitree- I hear what you are saying. One difficulty of having a crew is that having them there when you need them, means having work enough that they don't have to keep alternate sources of income ready, or take on tree sidejobs. As the owner, I'd like to only take the jobs with the highest profit margin, but have to keep busy enough.

A tough balancing act, profitability and busy enough to support the crew.

I used to be more concerned (when I was newer to business (2 1/4 years on my own)) about closing more. I agree that I was closing more because of my rates. I was trying to keep busy more than I should have.

I'll start a side thread to discuss variable pay rates for employees to try to help with this.
 
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To be honest with you and hopefully not sound like a jerk doing it that close rate is actually too high!

I have done a lot of work with this concept,and whenever my rate gets over 50% i start to look at profitability.A few years ago I thought I was a KILLER sales rep cause i got so many jobs.Then I took a sales seminar and a light went on!I was winning jobs on price not service. As i started to nudge my numbers up,the close rate went down and I began to become a really profitable company.
any way i hope this was not too verbose?!

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Good points by taitree. True that an excessively high conversion rate is usually at the expense of higher $ sale & profit.

There's more to it than that though...

Try working out the following formula for your business.

# of Leads X Conversion Rate % = # of CUSTOMERS X # of Transactions X Ave $ Sale = Revenue X Margin % = PROFIT.

This is the basis of every business there is, but you will be suprised how many business people are unaware of it.

Most people think they want more CUSTOMERS & more PROFIT.

Notice the = sign in front of them. They are RESULTS. You need to focus on increasing all 5 multiplying drivers in front of them.
 
Closure rates can be a bit misleading. If you look at the number of jobs I close after submitting a formal work order then my closure rate is a about 80%.

We usually write the work order after a customer has agreed to an informal proposal. And we usually have about 2/3 of our informal proposals move on to the written work order phase.

That said, though, we usually only make informal proposals to a little more than than half of those who call looking for numbers.

That gives us an effective rate of about 30% closing on all calls we receive.

There really is no reason you cannot expect to close vast majority of the formal proposals you write. The reason being is that you should only be writing them for qualified purchasers...the people who have the need, means and authority to make the purchase.

Good luck on your endeavors and keep posting your thots and questions!
 
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"I don't care who you are. That's funny right there..."

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Jammin', I have reported your avatar to the safety nazis. No safety glasses or hearing protection. Sorry.

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I know... Jim Steele got me with that one...
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That photo is hilarious! Ben was just playing around and our photographer was basicaly waiting for a candid moment. I'm sure my son has seen me often times maintaing my saws, so naturally he decided to check his chain tension.
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..Then I took a sales seminar and a light went on!I was winning jobs on price not service...

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Through trial and error, I've come to this conclusion that I must sell service and not a price as well. I've got some real low ballers doing completely different work than I do. I can't afford to compare prices with them and lower my rates. I know for certain I out "service" many companies. And, it is important for my potential customers to know what they would be paying for.

My best example is selling crane assisted tree removals. I point out that we have very little effect on the landscape. While one of my competitors has a reputation of leaving lawns looking like a lunar landscape.
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I simply ask if that is what they want. They see the benefit of a crane job right away. --There is something about the lawn. We aught not to mess with the lawns.
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rfwood!! i totally agree actually.pre qualified leads are exactly right! and your numbers are right on.I should have qualified cold calls vs all calls.there is no doubt that a hot lead is just that.....hot!! right on...good post!it adds clarity to the point.
 
James, I'm a little like your competer, who tears up the turf/ I don't carry ISA certs/ but if I write up a HTA its got some wieght. I have went around & around about cranes bieng safer and more cost effective. Just look @ that house in Santa Rosa, you don't think that don't scare the crap outta people ? It comes down to salsesmanship & flexibility. I tore up alotta rough on a golf course, But I engineered a good cost savings, lots of Ben Fraklins, Like the supt. said, I got guys all day long that can plant grass for $15 an hour, when you can save me that kinda coin. It was a win win situation. When you play with cranes you gotta be picky, I mean any squeak/ rattle or shutter, dog er' off & isolate & fix. Tightwads & cranes don't mix, as a rule. I give free estimates & give folks alot of options, A business class or two might help me/ I'm a little rough around the edges. I'm just tryin' to make a livin like the next person. I like your shirt about hackers, James, take care
 
just wonted to say thaks for the good things some of you had to say "JIM AND Southsoundtree"
charg for the Qt your time ant fee is it.
and yes i went to madison hights high scholl in anderson IN.
I GOT MY I.S.A IN INDANAPOLIS IN.
U.S.A SERVED IN THE MRINES 6 YEARS AND I SPEAK FRENCH.
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Just look @ that house in Santa Rosa, you don't think that don't scare the crap outta people?

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Yes I do think it would scare people, but I wouldn't hessitate to point out the mistakes that were made that put that crane down. I'd educate them them. I'd basically give them a breif rundown as to how a crane assisted tree removal is performed.

If tree companies and crane companies continue to put down cranes, it will get more media coverage and eventually, it will create a negative impression on potential customers.
 
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...Tightwads & cranes don't mix...

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This year I did a trial. I told myself to put a crane on nearly every tree removal. Besides, the little volunteers and small Aspen removals, I did just that. This year alone, I have done 56 decent sized tree removals with the assistance of a crane. I'd say that at least 30% of those jobs were sold to low-middle class customers. I didn't have to throw myself under the buss, I bid regularly, and I got paid. I haven't had a problem so far...

If I didn't get any jobs with tight wads, I didn't know about it.
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But, from the rumor mill, I drew up some controversy with my local competitors by selling front yard bucket truck accessible tree removals. --What I mean is, a bucket truck would completely blow me (a climber) away with speed on removing a tree in the front yard. Unless, I had a clear shot to fall the whole tree..
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In the past I'd really have to hustle to compete with front yard jobs like that. But, with my self (the climber), one groundsman, and the crane operator is proving to be a force with tree removals over here...

So, I still don't see any road blocks with selling a crane assisted tree removal to "tight wads."
 
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