A Quick Guide to Pricing Interiorscape Jobs

Pricing is an ambiguous topic that often goes unspoken among interiorscapers because of its vast variables. However, the bottom line should always prioritize actual profit over potential. We provide a service; we are professionals. To undervalue or question our worth and the worth of our service undermines the entire interiorscaping industry. Recognizing the complexity of our work, let’s delve into the aspects that contribute to our unique challenges and opportunities.

The Power of Knowledge

Education is always key. Taking a moment to enlighten your audience—property managers, facility managers, building owners, interior designers, architects, or anyone else interested—is an important step. The origin of tropical plants, the costs of freight, and the training and knowledge of your staff all add significant value. Add up the experience you and your employees bring to the table—likely an accumulative 30+ years of both interior and exterior plant knowledge. That’s quite impressive! Offering a short course or a private lunch and learn session might help to bridge any understanding gaps if you’re feeling frustrated or misunderstood.

Navigating Our Yes Culture

We are a rare breed, an industry of “yes” people. Admit it, we seldom turn down requests. We’re the kind of people who thrive on the joy of uniting plants and people. If you’re anything like me, you like a good challenge, too, but beware. In the early days, when you’re trying to get established, you might find yourself in some bizarre situations. I remember 2 am teardowns of short-term rentals, navigating absurd heights with electric lifts during the holidays, and making barter deals. Speaking from experience, steer clear of bartering. There’s a local chiropractor who still owes $1,000 for our services, and I have not had the chance—or the inclination—to visit and collect. Needless to say, they’re on their own with plant care now. It’s likely we all have a story or two like this that causes us to cringe.

Avoiding the Overwhelm in Interiorscaping

Embrace the “work smarter, not harder” approach. Taking on too many little “projects” usually leads to feeling overwhelmed and resentful, and we may unfairly label clients as “needy” or “difficult,” even though we’re the ones who accepted the work in the first place. Have you ever crunched the numbers to figure out the minimum dollar amount you need to make it worth leaving your office? Open up an Excel sheet and calculate everything—rent, utilities, gas, plants, containers, installation supplies, insurance, labor wages, and so on. Determine that baseline amount, stick to it, and use it as a foundation to grow. Essentially, stop spinning your wheels and wasting precious time and money.

The Art of Pricing

Here is my “nitty gritty,” but by no means definitive, guideline to pricing:

Market Strategy

Aim to charge as high as the market allows, being careful not to drive customers away by appearing to gouge them, and avoid making yourself vulnerable to undercutting through competitive bids. This is where the value of exceptional service is most fully realized—customers stick with you despite lower offers elsewhere.

Markup Considerations

Markups are determined regionally. Consider factors like climate, logistics, your client base (including whether to offer short-term rentals), and the range of services you provide, from events and high-end residential to commercial office spaces, hotels, restaurants, and more. The availability of skilled labor in your area plays a significant role in pricing, too.

Freight Costs

Shipping plants isn’t cheap. Some suppliers charge a whopping 30% for freight, plus an additional $180 for oversized items. Factoring these costs into the bid is crucial.

Monthly Maintenance Charges

Monthly maintenance fees consist of two components: the cost of replacements and the labor involved in both maintenance and replacements.

• Replacement Allowance
  To figure out the replacement allowance, start with the retail price of your plants, then apply a markup of 30-50% or more, depending on what plant material you use and the turnover rate. Divide this by 12 to spread this cost over a year. This allowance is also determined by your knowledgeable salesperson, the selection of plants, the plant care specialists on the account, and your quality standard.
• Labor Costs
  For maintenance, spot checks, and occasional replacement work, estimate the average time spent per visit in minutes and convert this to hours for the calculation. Then, use the following equation to determine labor costs: (average time per visit in hours) x (hourly rate) x (number of visits per month).
  • Example using a 45-minute visit, a $30 hourly rate, and 5 visits per month: 0.75 hours x $30/hour x 5 visits/month = $112.50 per month

Leasing Strategy

If you are leasing plants and containers, apply a similar formula, basing it on the retail price of the plants marked up by 1.5 times or more, divided over 12 months. Don’t forget to add the replacement allowance and maintenance fees. On lease accounts, it’s wise to secure them for at least a year, with upfront payment for the first and last months.

Securing Your Interiorscaping Investments

Only you can gauge what pricing your particular market can handle, understand your operational costs, and determine your commitment to maintaining the industry’s quality standards. Practices like underpricing, neglecting to replace guaranteed sickly plants, offering poor customer service, or coercing clients into contracts without ensuring high-quality work and care not only give our industry a black eye but also diminish the value of our profession.

This is not an easy profession. No matter the size of our operations, we all share common hurdles. We can easily sell plants all day long, but maintaining high-quality service is where the real challenge lies. Finding the balance between retaining talented employees and managing the growth of your account base deserves a closer look. Good Luck!