quote:

Originally posted by ch23701:
... I’m not sure, but if you wanted to keep them as a customer perhaps lower your price if possible. I know some of these outfits can fertilize a lawn cheaper than I can buy the stuff and do it myself. ...

I generally beat competitors pricing. If not, I'll match them within reason.

quote:

Originally posted by Timdogg6:
If you want the fertilizer service biz, then price that on the letter

if you truly want to drop them send it as is

I kind of do and kind of don't. I'm leaning towards "kind of don't" and am probably going to word the letter as above.

quote:

If you want the fertilizer service biz, then price that on the letter

Excellent idea!
Tell them what it will take to remain your customer.

quote:

Originally posted by mark123:
Hmm, should there be a comma before and after "regrettably"?

I would start the sentence: "Regrettably, I am unable . . ."

The letter is good.

You may include your prices for fertilizing and mowing - maybe they will buy your services.

quote:

Originally posted by bcereuss:
Can you raise your “mow only” rates (double?) to make it *well* worth your while?

If they can’t afford your rates, they’ll “drop” you.

If they *can* afford your new rates, you’ll make more. Win-win?

This.

"gas prices, inflation, insurance have increased at exponential, never before seen rates. To remain profitable I am sorry to inform you that I must increase your mowing to XXXXX. If this this is not acceptable and you decide to cancel, I completely understand.

If someone wants your service even after doubling the cost, then heck, it can be your most profitable account and the extra income makes it worth the hassle.

People like to be in charge, and they will feel better "cancelling you" than if you suddenly "cancel on them".

I would not "drop" them, what I would do is to raise their rate to the point where, if they choose to continue service, you can't afford not to keep them.

Word it so that you'd be pleased to continue as a "full service" provider at $XXX/mo., but if they only want mowing, you cannot give them a discount off that rate. In other words, it is going to be a rate increase either way, and if they choose to interpret that as getting "free extras," that's their choice.

You may also want to include verbiage about your increased costs, obviously gasoline is up a lot, but fertilizer and pesticides both are tied closely to petrochemicals and will probably be going up steeply this year as well.

Anything seen as reducing service or increasing price can make a customer feel like they should speak up about it. Don't offer fertilizer service, they'll just assume it's a way for you to get more money.

If you brought your car in for an oil change and you got a response that said, "Can't change your oil unless we also change out your engine air filter," the fallout is going to be pretty immediate.

Just let them know that you are unable to continue servicing that location due to you taking the business a different direction.

Since you asked for suggestions:

Are you intending to cut them off cold turkey or are you open to a transition period? If you'll offer a transition period say something like: I will not be available to continue servicing your lawn after ____.



You said you're on the fence as far as keeping them as a customer. Perhaps boost their fees (charge them a premium for be a problem child). Here's suggested language

I wanted to send you a letter to thank you for being an excellent customer over the past many years. I really appreciate the opportunity to serve you. However, the nature of the business is changing. Effective ___ I will only be providing mowing services to customers that also use our fertilizing services. Fertilizing services would be $____ per [month/year/application] and mowing would be $_____ per [month/year]. I truly hope you'll decide to let me provide both services. Please reply by ___ and let me know how you'd like to proceed.



I would delete this ==>
Due to concerns of insurances and reliability, I cannot suggest a replacement at this time. I wish you continued success.

quote:

Originally posted by architect:
I would not "drop" them, what I would do is to raise their rate to the point where, if they choose to continue service, you can't afford not to keep them. Word it so that you'd be pleased to continue as a "full service" provider at $XXX/mo., but if they only want mowing, you cannot give them a discount off that rate. In other word, it is going to be a rate increase either way, and if they choose to interpret that as getting "free extras," that's their choice.

Customers talk. Yelp, Angie's list, etc. One post on there that says he's too expensive and that they found someone else to do the same thing for cheap, and it's game over.

quote:

Originally posted by architect:
I would not "drop" them, what I would do is to raise their rate to the point where, if they choose to continue service, you can't afford not to keep them.

Word it so that you'd be pleased to continue as a "full service" provider at $XXX/mo., but if they only want mowing, you cannot give them a discount off that rate. In other words, it is going to be a rate increase either way, and if they choose to interpret that as getting "free extras," that's their choice.

You may also want to include verbiage about your increased costs, obviously gasoline is up a lot, but fertilizer and pesticides both are tied closely to petrochemicals and will probably be going up steeply this year as well.

Sharp knife cuts clean, why hang on to a bad relationship for longer, serves nobodies interest.

The letter is fine, I'd be a bit less wordy, one sentence, maybe two, no regerts, just been fun, had a blast, It's not you it's me, moving on!

quote:

Originally posted by HRK:
... no regerts, just been fun, had a blast, It's not you it's me, moving on!

HAHAH!

quote:

Originally posted by SR:
... I would delete this ==>
Due to concerns of insurances and reliability, I cannot suggest a replacement at this time. I wish you continued success.

But they will ask. No matter how weird it is, they always ask for referrals to competitors. I'll probably take it out. Thanks

quote:

Originally posted by mark123:

quote:

Originally posted by SR:
... I would delete this ==>
Due to concerns of insurances and reliability, I cannot suggest a replacement at this time. I wish you continued success.

But they will ask. No matter how weird it is, they always ask for referrals to competitors. I'll probably take it out. Thanks

Response - I'm not sure who is currently taking on mowing without also providing the fertilizing.

I would suggest maybe adding the following:

If you would like to continue with your lawn service by adding fertilization, your new bill would be $x.xx. If you currently use another vendor for fertilization, I would be happy to price match for X period (for comparable service).

I think your letter is fine, Mark.

My experience with lawn service is interesting. The first guy was great but just stopped cutting the lawn. I finally was able to get in touch and he informed me he was doing commericial work and did not have time. My lawn looked like a hayfield then. Then next guy did a subpar job but it was cut. He stopped coming but did not even call. He apparently left the business. I then lucked up with the next guy. Excellent job no issues. His back then went out and he could not continue. I am now using someone from the neighborhood who does a credible job but has lots of other obligations. It is hard to get a good lawn service here. I can tell you are conscientious and I wish you lived down the block.

I would at least offer a "2 weeks notice" if they want it. So they have time to find someone else...

quote:

Originally posted by Shaql:
I would at least offer a "2 weeks notice" if they want it. So they have time to find someone else...

If I send it out this week they'll have 4 weeks or more as it depends on the weather.

There's several options in play here.

If you want to drop them without a counter offer to continue doing their lawns then I'd change the letter to something more pointed as your current letter leaves the door open for them to counter with "well, I'll buy your fertilizer service."

If your goal is to get them to commit to both services then I'd reword the letter to know what the new price for lawn and fertilizer for each homeowner and I'd be sure to note that the prices reflect increased gasoline and labor costs. They accept? Great. They decline? Good luck.

Are you prepared to keep them on if they agree to your fertilizing services?