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Offer Varied Mulch Options and Pricing

4:25
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How To Bid Mulch

What happens here

The final step involves adapting the pricing model for various mulch qualities beyond the standard type, such as colored or premium mulches, which typically have higher material costs. For example, if colored mulch costs $35.00 per cubic yard, its material cost per square foot (at 3 inches deep) becomes $0.35. Keep the delivery fee ($0.15) and underlayment cost ($0.10) constant, leading to a new total material cost of $0.60 per square foot. When the labor cost ($1.50) is added, the new total installed price per square foot for colored mulch becomes $2.10. Similarly, adjust for premium mulches. When presenting options to customers, the presenter advises limiting choices to a maximum of three (e.g., standard, colored, and premium mulch) to avoid overwhelming or confusing them, ensuring a clear decision-making process.

Goal: Provide customers with clear, systematically priced options for different mulch types.

Tools and materials

  • Calculator — Performing mathematical calculations
  • Colored Mulch Unspecified — Aesthetic landscaping with specific color requirements
  • Premium Mulch Unspecified — High-end landscaping, potentially with better durability or specific wood types (e.g., cypress)

What they say

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customer feels equal they tend not to question your cost when you lick and stick they're gonna go how did that guy come up with that number think about going into Walmart everybody pays the same for milk bread eggs everything when they go to this store would you go to Walmart if you didn't know what it was going to cost you or if you didn't know if you're going to pay the same rate that somebody else was paying no but because you have in this formula given the customer the knowledge that this is our rate $2.00 per square foot for mulch with fabric they know that they feel and know that everybody else is being treated the same way you have an advantage there so the next question you should have is what if they don't want just your standard double shorted hardwood mulch and they want colored mulch which costs a little bit more well go back to the formula the formula is the material cost divided by a hundred and that gives you three inches deep if the material costs of colored mulch is $35 per cubic yard divide it by 100 that gives you 35 cents a square foot for the muck mulch your delivery stays the same at 15 cents a square foot and so does the fabric nothing else has changed but now instead of your material costing you a total of 50 cents per square foot it costs you 60 cents per square foot you can modify your numbers quickly and easily and you can go up and down the scale but I want to caution you don't give them too many options it's been proven that when you give too many options you confuse the customer I like to stick with three maximum I use a double shredded hardwood mulch as my face then I use a colored mulch as an option and then I'll go with like a tsipras for a premium quality mulch my average install cost price are two dollars for double shredded hardwood mulch material and labor two dollars and fifty cents I like to make it even and easy for my customers for colored mulch and three dollars per square foot for the high end mulch then that gives them enough choice that they feel like they're in control but not too much where you confuse them

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