How long will pressure washing remain lucrative?

[FCPWLLC 233]

Daniel, A whole lot of what you think is negative or a bad economy just isn't true. It is coming through in your presentations most likely. Understand that recession proof customers don't look at things the way that you do. You see doom and despair. I see opportunity. My local phone book just delivered has 1/2 the cleaners in it that it did last year. Most of those 'technicians' saw the sky falling while Business owners like myself bought more equipment and spent on more advertising. It really is about how YOU are thinking that will hold you back. Not the customers. Our customers are the folks that are buying up the forclosed houses and getting them cleaned. They are of a different mentality than the folks that can't afford to clean the house BEFORE trying to sell it in this market.

If you think it is a sin to be wealthy, you won't become wealthy. That simple. You see bad when you should be seeing opportunity. I raised prices AGAIN this year and am closing 80%+ on $400+ simple house washes. Less competition. Already being told that they tried calling others in last years directory and phones disconnected.

I love it.

[Tegrey 121]

Terry - either times are real bad, or New Englanders are real cheap - but I think it's fair to say that the painting trade got flushed down the toilet. I mean let's face it, painting, especially exterior painting is about the most expensive trade to break into. And I see evidence - how many painters deny themselves the 'basics' in safety equipment - just so they can compete. Like a rack full of ladders, that are all at best 200lb test - and just real beat up looking. So if this trade can get flushed - why not pressure washing? Heck I even read about roofers in the midwest - that will rip up 2 layers of old roofing and put down new roofing - materials included for $200 per 'square'. The hacks are there too!

Dan,

I believe you missed my point. Painting is along way from flushed down the toilet. Of course there are lowballers. We have them here, called WalMart! Any type of business requires the proper equipment. Would you start a PWing business with a HD PWer? Putting out 3/4 gpm.? You might, but it's going to be a slow climb to the top. The equipment in your business is what will grow you. If you cannot afford the equipment don't do it. If your selling to Forbs 500 Cos. and cannot afford a suit, do something else or borrow a suit till you can afford one. The painters you refer to that cannot afford a decent ladder will not be in business long, unless they progress. We bought our equipment one piece at a time. We sold our jobs based on what we had to work with and so on. Growing your business is what it is all about. Most of all, the low baller is not our competition anyways. They are not in the same category and skills we provide or can give Value to the customer as we do. Sorry, I'm off the topic. The pressure washing industry is very powerful. There are many companys making large sums of money and growing there business. They are driving the caddies and hummers. They have all the latest equipment and the best employees. You don't see them or hear of them, but they are there. The rest of the industry needs to work together to grow. No one company can do this. Just like the RT's popping up everywhere. Not one has all the answers. Not one can make your business grow. You need to decide which is offering you the most education and bang for your buck. The pressure washing industry is better then before. It is growing and will continue to grow. There are serious problems and need to be addressed. If you or any one else feels the end is near, they should do something else quickly. Don't drag the good contractors trying to build their business into the mud. If anyone doesn't feel positive, why are they here? Thank You.

[plainpainter 217]

I can assure you guys about confidence being low or anything like that wasn't a factor. I've sold many jobs over the phone last year - this was a cheapie.

[James 624]

Terry, there is one thing I've noticed over the years. The guy's who do well in Biz or who have a good reputation all end up at the same houses. A little food for thought ? Network ?

[plainpainter 217]

I found out these homeowners bought their home for $192,000 ten years ago. The present value of the home according to zillow's is now $450,000. So the wealth of their home has increased dramatically. So on paper everything looks good - but then again they didn't pay that much 10 years ago either.

[bigchaz 157]

Ughh here we go again...

I've said it before but ill say it again...this business obviously ain't for you Dan. Maybe you need to move somewhere else and try a new career. I tell everyone that you cant go wrong with welding or diesel repair from a trade school.

Why do you pressure wash? Is it for a quick buck? Probably not the best mindset for building a business. If you don't believe this industry will hold up why are you still working it? Come up with an exit soon before the sky in poor ole new england comes crashing down on you.

Lemme give you an example. Look at rick petrys post earlier today. There's a guy that loves his job and shows all his customers how much he cares about restoring their wood. Customers see that in him. Do you get excited about waking up each day to close jobs and do high quality work for people? I know I and many others do. Forgetting about the "bad" economy, jerk customers, bounced checks, quiet phone, and everything else, at the end of the day do you truly enjoy PWing and or running your business? If the answer is "no" or followed by any ifs ands or buts I suggest you run as fast as you can from this business and never look back.

Hundreds of people have met long term success in the PWing industry. Built up a clientele that expects and receives good quality work and receives great service from those companies.

Truthfully I find it insulting that because your business has failed to meet whatever dreams you have that you come on here day in and day out to complain and place blame on the economy instead of figuring ways around it or making the decision to move along to greener pastures.

Edited July 11, 2008 by bigchaz

[bigchaz 157]

Sorry if that comes across harsh and I honestly do wish you the best Dan. You've certainly tried just as hard as anyone else on here. But just for once I would love to see you post something about a job you did where you felt excited about the results, you enjoyed the customer, you made good money, and you had a great day. I really would love to see that but unfortunately I don't imagine that ever happening because in your mind PWing is a cheap and expendable service and every person you meet is a "cheapie" out to screw you. Take a week off man. For you. For all of us.

[bigchaz 157]

Sorry double post...doesn't let me delete it???

I was typing on the phone and i didn't think it loaded so I must have sent it twice

Edited July 11, 2008 by bigchaz

[Scott Stone 604]

Dan,

I am with those that say your posts are depressing. You always are down on things, whether it is your pricing, other peoples pricing, what needs to be done, it is always negative. Maybe potential customers are feeding off of that. I have an unusual target market that took me forever to break into. Once I did, it was about pushing our reliability, and willingness to correct problems, even if they are not there. On many of my jobs, I may not make $100 an hour, but, I can assure you that I am running a pretty successful business by most standards. Ron can probably easily verify that I am doing okay.

I think that even in down times there are things people can do to romote themselves and their business. The problem is, you need to learn where the horses are, and not just the hats. There are a lot of cowboys out there with big hats, i.e BMW's, Mercedes, huge houses, etc, and no horses, living paycheck to paycheck, struggling making their daily bills and trying to keep up with the Jones's.

And I know a LOT of people that, though they make over $100k a year, would balk at $275 for a house wash becaus ehtey do not have the extra cash.

[plainpainter 217]

Charlie - all my customers this year have been exceptional - I don't like to brag, because I believe in the 'Evil' Eye. I have increased my sales this year along with my marketing skills. It's just that this year was a real late start due to inclement weather, and everyone thought that contractors were willing to '*****' themselves out this year due to all the media attention. I have managed to find good customers - people willing to pay for a 'service' and not view me as some $25/hr cheapo handyman. My problems have been that everyone has jumped into the trades in the last couple of years - and their heads up their you know what when it comes to pricing. Sometimes I am as much as 4x as expensive - and some folks have gotten down right nasty with me - to the point I was literally freaked out. I run into 'mommy' washers now that will pressure wash a home for $220 - and do up to 8 hours of work for that price - of course they are using a 5.5hp pressure washer. And no they won't clean go up a ladder to clean up the gutters, like they promise, only because they are kind of clueless as to what that really means - and think a 'o' tips constitutes that service.

I have had my run in with loads of yahoos - and marketing and beefing up my sales skills as been an effective 'weapon' to those ends. I was wishing for a more 'typical' economy. As well - I will be supplementing my income with more commercial work - so as not to depend on the whims of the residential markets.

[Beth n Rod 1,279]

Here's my take on the duration of this industry...

There are 5 reasons that people will continue to use a pressure washing contractor.

The property owner:

1. doesn't know how to do it themselves
   
2. knows how but does not have the time to do it themself
   
3. is physically incapable of doing it
   
4. has the money and would rather pay someone else to do it
   
5. has done it before and was not satisfied with the results
   

Now, considering the contractor factor...

There are several reasons why companies will come and go and the demand will remain strong. There are surely more reasons than I will outline here but the most common will be found among them.

The contractor:

1. started up but found out they could not handle the physical labor
   
2. did not do their research and lost to the competition
   
3. lacked the business skills necessary to sustain the business
   
4. did not manage their revenue correctly
   
5. lacked the ability to train/maintain employees
   
6. lacked the personal discipline
   
7. the market was too saturated with other established suppliers of the service
   
8. sold to another company for varied reasons
   
9. moved out of state
   

These and many other reasons play into the appearance and disappearance of so many businesses. We in our own time have heard time and again that someone was used before but they are no longer in business. Although the review of the previous contractor may have been favorable, circumstances provided that the business ended for whatever reason.

In some areas, there may be some saturation of the market whereas demand is less than the number of service providers which is the nature of the beast in business. Businesses either change and adapt or close as a result.

The one factor that can influence this and many other service industry businesses in general is the economy. Since it plays a significant part in the spending habits or even abilities of those who would make the choice of using a service provider or doing it themselves, it is fair to say that when economic times are tough, the industry will suffer.

One other major factor to influence pressure washing is government regulation in the scope of environmental control measures and product technology adaptation to restrictions. For example; in the wood restoration facet we have noticed a tremendous shift in sealer technology to water based formulations.

While this may not mean anything to flatwork, building washing, K.E.C., roof cleaning or fleetwashing, it has been a road of trial and error where durability and quality has been concerned. With such short notice for the changes and no reasonable field testing of the products in actual life bearing installation situations, it has set up a flux in the market of consumers who are jumping from one contractor to another looking for someone who actually has a product that lives up to the hype.

For some companies, this could be disastrous while for others it only is a temporary set back. It depends considerably on how informed the company is and how well they can roll with the changes and this may depend on inventory levels as well. All things considered, it is a factor that can upset some businesses. The extent is relative in scope.

Lucrative is subjective in the basis of profit margins and there may come a time for some when it falls below a threshold. At that time, the business will become subject to change, but the change is completely up to the management and will reflect the experience of it.

Not a bad poll by the way. I think it gives some food for thought and others a wake up call possibly to look into any factors that could influence their business or even threaten it. Time will tell and we can talk about it then too.

Rod!~

[James 624]

Rod , if you added one more you could of done a" Lettermen" Top Ten Reasons ? U couldn't think of one more? And the Top reason is " he got KILLED " while mixing the wrong chemicals !!!! BYE ! BYE!

Edited September 9, 2008 by James

[AllAmerican 14]

I've been doing pressure cleaning for over 18 years. I've watched the schmucks (guys buying a Home Depot pressure cleaner and now they're in business) come and go. Unfortunately, it seems there is getting to be more and more of them every year as manufacturing jobs go away.

I do mainly big commercial properties. All I know is that I can't raise my prices, yet all my costs keep going through the roof. I've kept my same pricing on buildings for the last 10 years. I was able to do that through efficiency. I am now as efficient as I can get.

Every time I raise my prices, I don't get the job. I just lost 4 LARGE accounts in the last month because I got under-bid "by a few thousand dollars" per job. Different clients, different jobs. I had to come down $4,000 on an $11,000 job just to get it. It's KILLIN ME!!!!

I'm starting to look around and see what else there is to do.......

[plainpainter 217]

This guy calls me for a house washing estimate - and luckily he gave me his address early on in the conversation: 27 Brookside rd. Topsfield, ma. So I plug away into zillow.com. And I look at the house and figure it's about $425-$475 dollar range - so I let him know that - his response was somewhat positive, but somewhat confusing - almost like he would be happy if I stuck to that range even if I went out there. Then he started to slip in the mildew on the deck - and before I could answer him - he started talking about the moss and mildew problem on the roof facing the road - the north side. So I say look - you have mildew problem on your roof, that's dangerous work - I offer a no pressure solution and a ground guy to keep your vegetation watered - but you have a $525 to $575 roof job. He was like 'oh' - I got another estimate to do the house wash and the roof for a total of $500. And he hangs up the phone! I have a hard time believing that someone that is legitimate could offer all those services for a paltry $500 - but I run into it all the time. I use to hate these homeowners - but really it's contractors that ***** themselves out that present homeowners with the cheaper option - because they never fully understand what's involved. I spent approximately $100 in chems on a roof similar in size! Add to that drive time - employee costs - part of the job I had to invest back into fixing the front end - how do you make money at such pricing? These are $1,000 jobs that guys are whoring themselves out - but what is the catch - is that these annoying homeowners still shop for even cheaper and cheaper pricing - putting even these lowballers out of business. I love it.....

[Danny Bates 14]

There are new people coming into this business that were used to working 50-60 hours per week to make $40,000 on their previous job. Now they run down to Home Depot and buy a $200.00 pressure washer and here they come. Those are the people who will work 8 hours on one job and only make $200.00. Hell thats a raise to them, they are on track to make $50,000. Those are the ones we need to educate. They will eventually be gone because they don't have a clue what they are doing. But in the mean time they are hurting the industry.

[James 624]

I've been doing pressure cleaning for over 18 years. I've watched the schmucks (guys buying a Home Depot pressure cleaner and now they're in business) come and go. Unfortunately, it seems there is getting to be more and more of them every year as manufacturing jobs go away.

I do mainly big commercial properties. All I know is that I can't raise my prices, yet all my costs keep going through the roof. I've kept my same pricing on buildings for the last 10 years. I was able to do that through efficiency. I am now as efficient as I can get.

Every time I raise my prices, I don't get the job. I just lost 4 LARGE accounts in the last month because I got under-bid "by a few thousand dollars" per job. Different clients, different jobs. I had to come down $4,000 on an $11,000 job just to get it. It's KILLIN ME!!!!

I'm starting to look around and see what else there is to do.......

I also have not changed my General type Pwashing prices in 10 years. I got better Money for washing a house and I did Roofs before it became a Soft wash Ten years ago. I'm Lucky for my Woodcare Niche.

A couple of weeks ago I got a call for a quote to Power wash a house. I new the area and you can't quote the houses over the phone. I was $600. I got the job and how fast can I due it. The house was on a House tour for a Charity event. I fit it in and it has led to an interesting relationship with the owner. But what I did not know other Pressure Washers failed to show up and one left the job ? Quotes were in the 250 range. This house also was pressure cleaned the year before for a cheap price.

The owner goes on how they can't believe the difference in what a Professional job took to complete and the Quality and knowledge that came with it. I could not believe the house had been washed the year before !!

I don't compete with my competition !! I try and have separated myself by becoming an expert in different areas. One way or another I will make a living because of the failure of others or because of what I know in other areas that lead to Pressure Cleaning Jobs.

This job has lead to referrals for wood and stone jobs already and anybody in the area that needs a House wash.

Edited October 16, 2008 by James

[plainpainter 217]

James - I too have turned a few customers around, after the fact. It's the homeowners that never end up hiring me that end up never knowing the difference. I too will forge ahead with my good customers and keep them close - eventually I will have a sizeable database - and folks that can attest that I am worth the extra money! My neighbor's home was cleaned back in May - a home I had painted 3 years prior{new homeowners - don't know me} And now it's October and the house is totally recovered in Mildew in the span of 6 months! Now I don't put any additive such as insecticide or fungicide to my mixes that could have a longer staying power. I assume the day after I leave a home - the whole process of infestation starts all over again. But that being said - my homes still look great after 2 years. I feel I do a more thorough and complete job - let the hacks F up folks homes for a few years - I will be poised to swipe them up.

[topcoat 14]

PW-ing is an established discipline. It will be just fine. Sure there are bad practitioners, but same can be said of any group. Any profession will have its top performers who will succeed no matter what the obstacles, its middle who does just fine, and its bottom of the barrel that, well...you know. Like any business, its a matter of building yourself a ship that can withstand whatever kind of a hit comes along.

[Ron Musgraves 240]

PW-ing is an established discipline. It will be just fine. Sure there are bad practitioners, but same can be said of any group. Any profession will have its top performers who will succeed no matter what the obstacles, its middle who does just fine, and its bottom of the barrel that, well...you know. Like any business, its a matter of building yourself a ship that can withstand whatever kind of a hit comes along.

Nice Post Scott...

[tonyshelton 112]

Dan

Don't get down on yourself so much. We have now been in the Pressure Washing service business 18 years, and I'm most of the time the highest bidded and usually get the work. Marketing-Honest- Dependable-Quality-Staying In Touch-Do special Things. Have compassion with your employees and customers. These are the formulas that make it work for us. No B.S. and never lie and never promise something you can not deliver on. Return calls asap. Top customer service is what works! Because you are in the service business.

All of the above is not just for the Pressure Washing Industry success its any business, even if you are a coat hander salesman. You must be better than your competition, what are their pitfalls? then capitalize on them.

Tony

Tony, that is great stuff.

BTW, call me when you get a chance, (for some reason it won't let me PM you here) I'm working on something in your area and need to get with you about it. Thanks Tony. 702-358-7477

Edited January 18, 2010 by tonyshelton

[Jim Gamble 20]

In tough times i have increased my business three times over 24 years.

I can assure you we are growing even in a bad economy.

Likewise here. We are bless to be booked over 80% for the next 5 years. Going strong for 21 years in Parking Garage Cleaning!

Edited February 24, 2010 by Jim Gamble

[Ron Musgraves 240]

Likewise here. We are bless to be booked over 80% for the next 5 years. Going strong for 21 years in Parking Garage Cleaning!

Some said you moved to a trailer? LOL

[Ron Musgraves 240]

So, Ron, I am to assume you don't think the profitability will end in the next 5 years? I just want a solid 15 years - I have seen so many of my careers toppled by the whims of the economy - I just need this career to hold out long enough that I can make some money.

No I think it has only gotten to be a larger market, with a larger market comes more competition.

Of course the economy has a effect on all of us, the future needs to get better.

I'm still moving along but you cant have a blind eye to whats been happening and the trickle down effects.

[Jim Gamble 20]

Now thats funny !!!