Page 16 - OPE MARCH 2019

INSIGHT
Lawn & Garden Contractors
Contracting – between a rock and a hard place?
It’s not exaggerating to say that many lawn mowing contractors are between a rock and a hard place. What’s the outlook? We also look at a team of professionals who bit the bullet and went all-electric. Steve Bohling reports.
LAST YEAR, FORMER Jim’s Mowing franchisee, Graham Watson and the New Zealand arm
of the Australasian Express Lawn Mowing operation were the “new kids on the block”.
One year on, and Graham and partner Effie are the head franchisors of Express Lawn Mowing NZ, which is now 100% NZ-owned and operating 21 franchisees.
With a flat structure, Express prides itself on making quick decisions and actioning them rapidly.
“You know, to say we are dynamic is probably an understatement, because we only have two people making the decisions...
“That, I think, is a massive advantage
moving forward.”
With more work than they can service,
including some national contracts, time is spent making sure that the Express operators who have capacity are getting work and the ones who haven’t are being supported as much as possible.
All of which means that the Regional Masters, people like Graham himself, have been picking up “a helluva lot more work” to keep both the customers and the franchisees happy.
“So yeah we’re good,” says Graham.
Clearly chuffed at having to some extent at least rarked up the other franchises with Express’ low cost of entry, no lead fees or marketing fees, Graham Watson wants none of the top-down nonsense that we’ve been hearing about elsewhere.
“There is a helluva lot of shaking up going on out there,” he confirms.
Now boasting 21 franchisees – all “A-graders”, the “D-graders” having been weeded out – Express Lawn Mowing NZ’s number one goal is “looking after the franchisees”.
“We’re not about being a factory, where for every 10 [franchisees] you bring in you end up with four good ones...”
What about the non-franchised contractors?
“Independents don’t see how people can invest in their business by paying franchise fees,” says Graham.
“Yet to everyone I have phoning to buy lawns off me I say if you join our group we could get where you want to get to in three months [but] it’s going to take you two and a half years [on your own].”
Having said that, he’ll admit that a franchise isn’t for everyone: “You know, you’re never going to convince a privateer to join a franchise group – they’re privateers for a reason. And do I think they’re crazy? Absolutely!
“If they think they know it all, then they shouldn’t be with a franchise anyway because with a franchise group the biggest thing you get is knowledge.
“We can talk about our brands but the biggest thing you get [being part of the franchise set-up] is knowledge, ongoing support and ongoing knowledge – that’s what makes you money – and obviously any decent franchise group generates work but if you’re not skilled in converting them, what’s the point?”
Graham Watson says his best franchisees
achieve an 80% conversion rate...
The repair shop’s point of view
It’s a fact that lawn mowing contractors
are not only super-busy with demand far exceeding supply, but they’re also trying to deal with issues of cost, faced with cut-price competition.
West Auckland Mower & Chainsaw Repairs’ Rod Brain is another who knows experienced lawn contractors who have simply walked away from the franchise sector and are now “finding they’re making money”.
That’s not just about franchise fees but also competition from experienced, top quality independent contractors as well as from lower cost, part-timers who are getting just enough work for their purposes, often through Facebook.
And both camps are hurting franchise contractors“bigtime”,saysRod.
“The numbers of contractors we’re servicing has decreased as guys have retired and just got out of it because the money’s not there. I’m talking guys who have
been doing it for 20 years [who quit their franchise] because the money’s not there.”
On a regular basis we’re hearing tell of
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