Air Apparent

Chuck McIntire, southern regional director, Scotts LawnService, Norcross, Ga., says the road to developing a successful aeration service begins with a few essential elements. "You basically need three things – a marketing plan to develop the customer base, the personnel to do the work and the equipment necessary to do the job," he explains.

According to McIntire, aeration has been a part of Scotts LawnService in most of their markets since the beginning of their lawn division in 1997. "Aeration is a key ingredient in the overall lawn benefits that our program provides," he says, adding that aeration is a natural fit for any high-end lawn service program.

Initiating aeration as an add-on is not as involved as branching out in to some other, more equipment-heavy lawn services, according to McIntire. "The equipment is minimal outside of an aerator machine," he explains. "There are several different types that work in different ways and that may be more desirable for different soil types. The costs can range from $1,000 to $3,000 or more depending on the machine type."

While this type of equipment purchase is fairly minor, picking the proper aerator to suit a company’s purposes is fundamentally important. Cost, reliability and availability of service and parts are the primary factors to consider when purchasing an aerator, according to McIntire. "Some brands have been available for some time, so their performance capabilities and reliability are well known," he says. "We didn’t buy the cheapest aerators because we were willing to pay more for a model that we knew was reliable and durable and that had a reliable parts distribution network already set up."

"In addition to an aerator, it will be necessary to have some type of vehicle to transport the aerators to the job site," McIntire continues, adding that pick-up trucks, vans or pull-behind or enclosed trailers equipped with a ramp for loading or unloading usually do the trick. The expense of ramps can range between a few hundred dollars to more than $1,000 for more complicated systems, he points out.

"The entry dollars into the market for equipment are minimal based on the potential returns," McIntire says. "The only continuous expenses are for parts and maintenance to keep the equipment running. Labor is normally a reasonable expense because aeration doesn’t necessarily require a highly-trained representative."

McIntire says that most employees hired to perform aerator duties were added as seasonal employees. "We acquired personnel in every way possible – ads in the paper, word of mouth, employee referrals – any way we could," he says. "Aeration is more of a physical job than a cerebral one so a few hours of on-the-job training for operation and maintenance of the equipment is all that’s normally required."

From a marketing perspective, McIntire says there are a few distinctions between companies offering aeration as a new addition to their business plans compared to the marketing done by companies that have always offered the service. "Companies that have aeration from the beginning commonly market the service along with their regular programs as an integral ingredient for the lawn’s success," he says. "Companies that add it later can utilize their existing customer base to market it as an additional service and quickly support a productive and profitable service line."

In either case, McIntire explains that markets with summer drought can translate aeration into an exceptional marketing opportunity. "Aeration can be done as a substitute to regularly scheduled fertilization treatments when drought becomes extreme," he says. "It’s a highly beneficial service that reduces soil compaction to allow irrigation and any other possible rainfall to achieve the best possible effects."

When relevant, points like these should always be included in marketing materials, McIntire adds.

McIntire says that marketing is the most challenging aspect of adding an aeration service, but not without offering some advice: "The best way to market aeration is through a coordinated program of brochures and leave-behind information during regular visits, notes left for customers by their territory service representatives explaining the benefits and need for the service and marketing calls by territory service representatives, office staff or marketing team members."

Many aerator manufacturers provide brochures on aeration benefits that contractors can use to develop marketing materials, McIntire adds.

Noting all the considerations above, McIntire says that LCOs can generally expect aeration service gross profit margins to approach 65 to 75 percent, depending on specific pricing of services and labor costs. "Regular services typically have gross margins of 45 to 55 percent," he adds. "At Scotts, we have profit margins of 65 to 75 percent for aeration."

McIntire also points out that as a service, aeration is securely attached to the growth of the entire business. "It’s an equal percentage of the overall growth and that can vary from market to market from as little as 5 percent to as much as 50 percent or more," he explains. "The equipment, labor and scheduling challenges need to be forecast and met to maximize revenues. This means having a clear plan put together with a timetable for the services, number of people, vehicles and machines necessary, and any other special needs the season requires."

Aeration is an important part of Scott’s profitability and growth, McIntire says, adding, "You could always live without it, but it could mean the loss of a highly profitable service line that, depending on the market, may contribute 3 to 7 percent of a company’s gross revenues."

The author is assistant editor of Lawn & Landscape magazine and can be reached at wnepper@lawnandlandscape.com. Chuck McIntire can be reached at 770/840-0114 or chuck.mcintire@scotts.com.