Problems and issues this industry faces and how to deal with them.

[Clutchy]

10 hours ago, swinny said:

In this day and age very few people just get one quote.... many are 3 quotes plus..... 

10 hours ago, swinny said:

 

How do you feel you are going to get on in the economic climate which we currently have and possible heading to a recession if not allready in one and waiting for the money to run out?

 

 

Yes a lot get 3 quotes but you drastically increase your chances of being a solo quote if you email your quote over same day which I always do. 

 

Our conversion rate is probably low at 20-30% but if it goes above that I know its time to put prices up

 

In regards the climate, we have for the most part moved out of domestic work. It was our goal this year as could see an issue in tree work anyway based on a lot of local firms rapid expansion. 

 

I don't want to be fighting over scraps when they start to get quiet and need to keep all the boys busy as it were. 

[doobin]

27 minutes ago, Clutchy said:

 

 

Yes a lot get 3 quotes but you drastically increase your chances of being a solo quote if you email your quote over same day which I always do. 

 

Our conversion rate is probably low at 20-30% but if it goes above that I know its time to put prices up

 

In regards the climate, we have for the most part moved out of domestic work. It was our goal this year as could see an issue in tree work anyway based on a lot of local firms rapid expansion. 

 

I don't want to be fighting over scraps when they start to get quiet and need to keep all the boys busy as it were. 

True that. I’m fortunate enough to be in a very rich area, and my plan for the recession is the same as it always is- work for the well off, and be the man who can do everything- very well. 
 

jack of many and master of many. Turnkey soloution. Etc. 

 

that and keep staff numbers low and mechanise as much as possible.  Machinery finance is indeed a cost, but it’s a damn sight less than a staff member per month and brings in more profit. Plus machines are an asset rather than a liability. 

Edited September 5, 2022 by doobin

[Clutchy]

31 minutes ago, doobin said:

 

that and keep staff numbers low and mechanise as much as possible.  Machinery finance is indeed a cost, but it’s a damn sight less than a staff member per month and brings in more profit. Plus machines are an asset rather than a liability. 

 

This, this, this. 

 

100% with you 

[doobin]

16 minutes ago, Clutchy said:

 

This, this, this. 

 

100% with you 

Sack a member of staff- notice pay, redundancy, possible tribunal costs.

 

Sack a machine- probably half to two thirds of the money you paid back!

[Mick Dempsey]

This was a good thread and a good read.

Whatever happened to the recession we were promised (were all expecting) though?

[Mesterh]

3 hours ago, Mick Dempsey said:

This was a good thread and a good read.

Whatever happened to the recession we were promised (were all expecting) though?

I think the scramferiously high inflation rates meant that it was more or less impossible for us to go into recession.

The bank of england might be trying to reverse that like.

 

[Mick Dempsey]

Ok, I did not know that.

Thats why I cut trees I guess.

[lux]

First time Ive skimmed over this thread. 

 

From a business perspective I think as a sweeping generalisation a lot of people struggle to comprehend the pricing of tree surgery. It gets thrown into the 'gardening' category with no or little comprehension of the difference in overheads for a start. For instance , most customers are always Impressed with a fancy looking bit of kit that turns up at their house, they ask a few questions including the inevitable "how much was it" , eyes are usually out on stalks when you tell them your tracked chipper or multi one or whatever was 30 or 40 k, more than most of them will have spent on their family car by some margin. Yet they still value your work at 'gardener' rates. No disrespect to Gardners, however their overheads are not in the same book let alone page. 

Trees are more often than not a non essential for them, things like electrics and plumbing fit far further into the essentials priority list. These types of skills are more regulated than the tree game as well which quite frankly leads to a disproportionate pricing structure that clients are less able to avoid and accept as normal. They seem to relate more to the value of a plumber. 

Come to think of it mechanics hourly rates are pretty strong these days. The garage Im using next week is £95 per hour. Probably around double what a lot of tree surgeons are charging per man hour. 

I suppose in a nutshell our pricing is more limited by the general customers perception of value than most other 'trades', we should be making a better margin really. In my view its a limiting factor in the industry that has ripples such as what you pay your staff / labour and who is not only attracted to working in the industry but staying in the industry long term. 

 

[Mesterh]

14 hours ago, Mick Dempsey said:

Ok, I did not know that.

Thats why I cut trees I guess.

It's only some info i gleamed from something i saw on YouTube yonks ago. Dunno if it's correct but it seems as though it could be. That, or Rishi saved us all from an impeding doom by doing absolutely sweet, fck, all.