In Minor's League: Sept. 2000

Q: What can I do when my landscape maintenance customers constantly expect services that are not within the parameters of their contract?

A: This is more likely to happen if you are operating under a specification-based contract as opposed to a performance-based contract. In every contract there are written parameters you have to follow. However, in a specification-based contract you typically perform services based on an agreed upon schedule. For example, if you specify that you are going to mow 34 times then anything over and above that would be considered an extra.

EDITOR'S NOTE:

    David Minor was founder and former president of Minor's Landscape Services, a $12-million company in Fort Worth, Texas, that he sold to TruGreen-ChemLawn in 1998.

    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 Minor can e-mail them to bwest@lawnandlandscape.com or fax them to Lawn & Landscape at 216/961-0364.

In a performance-based contract, the agreement typically states that the landscape will look good at all times regardless of the time it takes to perform the various services.

I suspect the scenario you refer to relates to specification-based contracts and is a result of the customer’s desire to increase the number of intervals in the contract. For example, the customer might want additional mowings or trimmings, or even additional services like irrigation repairs or spray applications. The key here is managing your customer’s expectations. Doing that is the responsibility of the customer’s account manager.

Such situations can occur because customers often judge our performance when negative things happen in the landscape that are either beyond our control or are not covered in the scope of the contract. You or your manager needs to proactively address these issues with the client before they are addressed with you. Additionally, document your position in writing and keep copies of all correspondence, such as quality control reports signed by the customer, letters, faxes or e-mails.

And remember that many people that you deal with on a daily basis either did not negotiate their contract or may not know what is in the contract. You have to diplomatically address these issues in a positive light to satisfy the customer. Understand that their goal is to have a beautiful landscape at all times regardless of the cost. But they may be at a disadvantage because their supervisor may not be willing to spend the money it takes to achieve their goal. Empathy is critical here. You have to make them believe you are part of their team and that you want to give them the best value for their landscape investment.

Then you need to get them to empathize with you and your company. Let them know you would love to have unlimited specifications and funds to always have a clean, green and weed-free property. Citing examples of other high-profile properties with seemingly unlimited budgets who achieve these goals often helps. Then give them ways to solve their problem.

  • If the problem is an interval-related issue, communicate up front when their service is due. If you always know there is a particular problem, jot the customer a reminder each month about the problem or at least let them know during your quality control visits. In effect, you are managing the customer’s expectations by doing this.
  • Offer additional services for the client with a bid. Again, be proactive. Depending on the situation you might be able to offer a discount for this service. Make sure you put the bid in writing so your clients can share it with their supervisors. Remember, their goal is to look good to their bosses or clients. Having a proposal on file shows that they’re on top of things.
  • Trade out some services that have less impact on the property. Experience will allow you to determine what is needed and what is not needed.
  • As a last resort, you could give the service away. Be careful in doing this, however, because you can create future expectations of the same. However, if you are dealing with an important client or you think you can "make it up" in other areas, this is an option.

Ultimately, if you know your customer, understand their needs, empathize with them and proactively manage their expectations, this problem can be minimized.

September 2000
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