November 11, 2024
Selecting strategies for success in any economy
In today’s uncertain economic climate, many landscape professionals are struggling to maintain steady sales and revenue. Over my 44-plus years in the design-build-care industry, I’ve seen economic cycles come and go and I’ve learned that success in any market relies on balancing sales strategies, operational efficiency and consistent marketing efforts. This column will present our most effective strategies, proven to help your business secure new projects, build client loyalty and maintain positive cash flow, regardless of economic conditions.
Minimal administration fees are applied if the project is cancelled and services like revisions or permit management will revert to hourly billing. Typically, these services are included during the build phase at no extra cost. The retainer guarantees a dedicated build team and priority scheduling, benefiting cash flow and avoiding delays.
These deferred payments are applied to a predetermined percentage of the build that aligns with both client and company finances, ensuring the payment structure does not significantly impact project profitability.
This deferred payment option not only supports cash flow management during quieter months but also encourages larger project scopes, contributing to stronger cash flow and profitability.
These packages also present easy upselling opportunities — clients are often open to adding complementary services, such as the design and installation of annual plantings, or enriching garden beds with soil amendments. Other value-added options include installing mulch or late-season pruning of trees and shrubs. These services offer high perceived value to clients at a relatively low cost to the company and enhance client satisfaction while increasing revenue.
Each upsell can help boost profitability by contributing to higher margin returns, making maintenance services one of the most effective strategies for increasing profitability, even in economic downturns.
Project phasing
Large-scale projects can overwhelm clients, especially during uncertain times. By breaking builds into manageable phases, you allow clients to tackle upgrades gradually, reducing upfront costs while securing future business. Efficient phase planning also helps clients avoid costly rework, such as installing a walkway in phase one only to damage it during phase two due to access needs. Anticipating these challenges based on your build process knowledge makes you a trusted advisor, adding long-term value to the project.Prioritize essential work
Start with foundational elements like drainage, hardscaping or key plantings that provide the best immediate value. Luxury features, such as lighting or outdoor kitchens, can be added later. Prioritizing essential work keeps a client engaged with future upgrades and provides a tiered option as their budget allows.Price lock guarantee
Clients often hesitate to commit to long-term projects due to fears of rising costs. Offering a price lock guarantee provides peace of mind and encourages commitment, even in uncertain times. For phased projects, each subsequent phase can be priced at the previous season’s rates, protecting clients from inflation or material cost increases. To manage unforeseen costs like fuel surcharges or market shifts, a contingency clause can be included for practical adjustments. This guarantee applies if the project phase is scheduled within a predetermined time limit, ensuring the work progresses smoothly.Transparent cost breakdown
Providing detailed, itemized proposals shows clients where their money is being invested, reinforcing the integrity of the price lock guarantee and alleviating concerns about hidden costs.Retainer programs: Committed cash flow
Our retainer program secures early commitment and helps evaluate clients based on their confidence in our team and process. It also shows their intention to collaborate on budget revisions and project decisions. By offering a retainer — fully applied to the project deposit upon conversion to the build phase — we can begin critical steps like permit acquisition and material selection early, ensuring clients are committed and focused on results.Minimal administration fees are applied if the project is cancelled and services like revisions or permit management will revert to hourly billing. Typically, these services are included during the build phase at no extra cost. The retainer guarantees a dedicated build team and priority scheduling, benefiting cash flow and avoiding delays.
Preferred client pay options
In addition to the regular payment schedule, clients opting for this no-interest incentive provide equal post-dated payments upon completion of the project. This strategy is most effective when initiated during end-of-season or off-season months, when overhead expenses or the break-even point are generally met.These deferred payments are applied to a predetermined percentage of the build that aligns with both client and company finances, ensuring the payment structure does not significantly impact project profitability.
This deferred payment option not only supports cash flow management during quieter months but also encourages larger project scopes, contributing to stronger cash flow and profitability.
Custom maintenance packages
Offering customizable maintenance packages, especially regularly scheduled horticultural care, ensures a steady stream of recurring revenue. These programs are essentially recession-proof, as clients prioritize the upkeep of their properties and landscape investments. Whether billed hourly or structured as seasonal contracts, maintenance services provide reliable and ongoing cash flow.These packages also present easy upselling opportunities — clients are often open to adding complementary services, such as the design and installation of annual plantings, or enriching garden beds with soil amendments. Other value-added options include installing mulch or late-season pruning of trees and shrubs. These services offer high perceived value to clients at a relatively low cost to the company and enhance client satisfaction while increasing revenue.
Each upsell can help boost profitability by contributing to higher margin returns, making maintenance services one of the most effective strategies for increasing profitability, even in economic downturns.
Glenn Curits
Owner, Plantenance Landscape Group
Owner, Plantenance Landscape Group