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The Business of Lawn Care: Pricing

November 30, 2022 | Categories: ,

If you own a lawn care company, you know it’s about much more than yard work. In “The Business of Lawn Care” series, we discuss topics related to managing and growing a company in the lawn care industry. 

If you haven’t already established and implemented your 2023 pricing model, now’s the time. This blog post will explore a framework for pricing your services, along with some considerations to take in the process.

The Good-Better-Best (G-B-B) pricing model is a framework that helps define a multitier pricing approach. This model involves engaging new customers with limited “good” services, maintaining happy customers with standard “better” services, and enhancing the customer experience with select “best” services. As you would expect, prices increase from Good to Best.

G-B-B incorporates the concept of service bundling, which combines multiple services into one offering. It increases value for customers by providing convenient, cost-effective options. Rather than selecting from dozens of services, a customer can simply choose from a few distinct bundles. 

This multitier pricing approach expedites the consumer decision-making process so homeowners and property managers can spend less time trying to distinguish between services and more time selecting the option that is best for them. It also provides a clear path for new and existing customers to progress from one level to the next as their needs and budgets grow. 

As a lawn care company, you have the challenge of deciding how to separate your Good, Better, and Best service offerings. These distinctions allow you to customize the model to your business and target market. Start with the basic services that most of your customers purchase, and go from there. Below is an example of how the G-B-B model could work for a lawn care company. 

  • Good: mechanical services (mowing, aeration, dethatching)
  • Better: Good + fertilization services (N-P-K, micros, others)
  • Best: Better + chemical services (herbicides, insecticides, fungicides)

Once you have defined your service tiers, price them accordingly. Calculate your costs, determine the markup that will make your business sustainable, and compare prices of similar services in your area. Careful pricing now will enable your company to meet the differing expectations of both new and existing customers in the coming year.

Beth Berry
Vice President of Turf and Ornamental Sales