One of the ZIP codes we serve is 28226. I was talking with a client recently, and they mentioned how frustrating it is to pay 30% more for home services simply because of where they live. That got me thinking about our own pricing model and how tree companies determine what to charge.
At Cost vs. Market Price
Let’s say we’re looking at a single tree removal. There are really two ways I think about pricing:
1. What does it cost us to do the job?
2. What is the market price for this tree removal?
Market price is influenced by many factors—weather, seasonality, how busy contractors are, local demand, and more. It’s not an exact science, but experienced tree companies can usually look at a job and estimate what the market will bear.
For example, I may look at a tree and think, “That’s a $4,000 tree.”
What I mean is that if you collect ten quotes from reputable tree companies, most will probably come in around $4,000. Sure, you might find someone at $3,000, but after doing your homework you may find they’re cutting corners, underinsured, or simply not very experienced. On the other end, a few companies may quote $5,000 or more. But if the majority of qualified bids are around $4,000, then that’s the market price.
That’s generally what we aim to charge.
What We Can Afford to Do It For
There’s also the question of what we can afford to do the job for.
Sometimes that’s still $4,000. Other times it may be less. For example, if we could complete that same job for $3,500 and still make a fair profit, we might bid $3,500—especially during a slower period.
That definitely happens.
The challenge is that finding that lower price from a reputable company often requires collecting a lot of quotes. If your time is valuable, spending hours meeting with eight or ten contractors may not be worth the savings.
For many homeowners, the better strategy is simply to find a tree company you trust and stick with them. We’d love to be that company for you, and fortunately there are many reputable tree companies throughout the Charlotte area.
Customers Looking for the Lowest Price
Every year, especially during the slower winter months (January and February), we get calls from homeowners who are shopping for the absolute lowest price on large, hazardous tree removals.
Those generally aren’t the customers we target.
We’ll still provide a fair quote—sometimes even a seasonal discount—but endless price negotiations usually aren’t productive for either side.
Over time, I’ve settled on a simple approach: quote a fair market price, be honest and transparent, answer questions, and move on to the next estimate.
We also try to make doing business with us as easy as possible. We communicate efficiently and offer convenient payment options, including Apple Pay, so many customers can literally pay with one click.
People are often surprised when they ask if there’s a discount for paying cash. We absolutely accept cash, but from our perspective it’s actually more work. Someone has to count it, secure it, drive to the bank, and make the deposit.
Electronic payments are simply faster, easier, and more efficient for both us and our customers.
Can a Tree Company be “Great” and “Cheap” at the same time?
One thing I’ve noticed is that some companies market themselves as both the highest-quality tree service and the lowest-priced option. In my experience, those two goals are difficult to achieve at the same time over the long run.
Running a professional tree company isn’t cheap. Proper insurance, well-maintained equipment, trained employees, continuing education, quality trucks, and safe work practices all cost money. Companies that consistently invest in those things usually can’t also be the lowest-priced bidder on every job.
That’s not to say you can’t occasionally find a great company at a great price. It happens, especially during slower times of the year when a company has an opening in its schedule. But if a company claims to always be the best and always be the cheapest, I’d encourage homeowners to ask a few more questions and understand how they’re able to do that.
Our goal isn’t to be the cheapest tree company in Charlotte. Our goal is to provide professional tree work at a fair market price, communicate well, show up when we say we will, and leave customers feeling they received excellent value for what they paid.
MTM Tree Services LLC is an owner / operator led tree service team in Charlotte NC. Text or call 704-965-3589 for a free quote. Licensed & insured. Certified arborist on staff.
