In Minor's League: Feb. 2000

Editor’s Note:
One of the most popular speakers at the 1999 Lawn & Landscape School of Management was David Minor, founder and former president of Minor’s Landscape Services, a $12-million company in Fort Worth, Texas, that Minor sold to TruGreen-ChemLawn in 1998. David will share his thoughts and suggestions for managing a lawn and landscape business with readers via this monthly column.

In addition to serving the industry as a consultant and speaker, Minor is professor and director of The Entrepreneurship Center at The M.J. Neeley School of Business at Texas Christian University. Readers with questions they would like to ask David can do so by e-mailing them to bwest@lawnandlandscape.com or faxing them to Lawn & Landscape at 216/961-0364.

QUESTION: I own a small landscape service business with about 25 accounts. Larger landscape companies have been coming into the area and grabbing up all of the big commercial accounts. What can I do? – Ormond Beach, Fla.

ANSWER: Animosity toward "the big guy" is an all to familiar scenario in our industry. Believe me, I’ve lived it from both sides of the spectrum.

The first area to address in my mind is your attitude toward the larger companies. Remember that they too were startups at one time and in the same position as you are in now. Their challenges were the same as yours. Successful companies address these challenges. Set goals on an intelligent plan of action and eventually succeed. Focus on what you can do to get where you need to be.

My best advice would be to concentrate on developing a niche where you are competitive with the big guys or are getting the projects that these larger companies are not interested in maintaining.

Very possibly, the big account is not included in that niche. Understand that prospective clients with large projects and who contract landscape services are usually not going to pick the small company unless a personal relationship exists between the owner or key employee and the landscape contractor. Oftentimes, they have to justify their decision to their senior manager and hence go with the safe choice. The safe choice is the contractor that has been in business for a long time, has significant technical expertise in-house and maintains projects of comparable size or quality.

Instead, market your services to those projects where this specific criteria is not as critical to the customer. Many folks who contract landscape services would prefer to do business with "the small guy" rather than "the big guy."

Small commercial sites, small homeowner associations, many apartment communities and certainly residential projects fit in this category. Build your résumé by satisfying these clients, many of whom are out there. Get them by promising personal service and deliver on that promise. Develop history and experience with these folks and then work hard to get on the "elite projects" bid list. There is a possibility – a very good possibility – that one of your satisfied customers will get promoted to that elite project and take you with them.

Some other thoughts on this subject: When you finally get an appointment with the elite project manager, do whatever it takes to get the job. Just because you may not be a big company doesn’t mean you can’t be as professional as one.

Little things, such as marketing your technical expertise even if you subcontract much of these services or keeping a professional appearance in the pre-bid meeting or sales call, is important. For example, a suit and tie should always be worn during each and every sales call. These folks want industry professionals, so looking the part is important. Make sure your marketing package is also professional and that you have numerous testimonials, references and pictures. Remember, the decision-maker may be someone you have never spoken with.

Lastly, a word on pricing. If you want the job bad enough and it will open doors for you down the road, then be aggressive in your pricing.

Can you do the job for cost? And, if so, what will doing a few jobs at cost mean to the future growth of your company?

Obviously, having all projects priced at cost would be an incredibly huge mistake. Unfortunately, too many folks in this industry do that all too often, but being a loss leader every now and then never hurts.

In summary, to get where you can compete for the elite projects, understand that you have to pay your dues, build your résumé and develop a company that delivers quality and responsive service. Work hard to get on the bid list and market like you’ve never marketed before. Best of luck.

February 2000
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