Optimizing your pricing - part 1

Pricing is the most important factor affecting a lawn care and pest control company’s profits — and yet very little time is spent optimizing pricing. This is the case in other industries as well. Paddle recently did a study on SaaS companies and found that the average software company only spends 4 hours a YEAR on their pricing.

4 hours.

The most important number for any business and it is often neglected.

It does not have to be this way, though. Companies that devote time to developing their pricing every quarter are realizing better profits and better customers.

Your business needs a pricing strategy. 

Over the next few weeks, I will be going over a few tactics and strategies for optimizing your lawn care or pest control pricing.

Location-based pricing

Netflix does not charge the same for US based customers as they do for customers in Mexico. In fact, charging differently based on location is quite common in the software space.

But why do many service companies not charge differently based on location?

Great question!

They should.

A customer five minutes from your shop should not be priced the same as a customer that lives 2 hours away.

And yet — many service companies have a standard pricing table that applies to all of their service areas.

Many times, this is due to lack of good tools and the complexity that comes with having different pricing tables for different neighborhoods or cities.

That is why we built Geopricing™ — to give service companies the tools that they need to charge effectively.

Is your service company’s utilizing location-based pricing?

Stay tuned for more tactics and strategies to optimize your lawn care or pest control pricing.