In the competitive lawn care industry, attracting and retaining skilled technicians is crucial for business success. For LawnAmerica in Tulsa, Oklahoma, and many other companies, simply offering an hourly wage isn’t enough to motivate employees to excel and deliver exceptional service. To address this, innovative lawn care businesses are turning to commission, bonus, and incentive programs to drive production rates, enhance service quality, and foster a more engaged workforce. This article delves into the successful incentive programs employed by LawnAmerica and other leading lawn care companies in 2018, demonstrating how these strategies can create a win-win scenario for both businesses and their employees.
A hand holding cash representing financial incentives for lawn care programs
The LawnAmerica Approach: Shared Ownership and Quality-Driven Commissions
LawnAmerica, an $8.6 million company with a strong focus on residential lawn care services, has been a long-time proponent of technician commission systems. Benjamin Allen, COO of LawnAmerica, emphasizes that these programs foster a sense of “shared ownership” among employees. Unlike hourly pay, where productivity isn’t directly linked to earnings, commission-based systems incentivize technicians to perform at their best.
Dual Commission Structure: LawnAmerica’s program features two key commission components:
- Production Commission: Technicians earn a base commission of 5% on all the services they deliver daily. This direct link between output and income motivates them to maximize efficiency and complete more jobs effectively.
- Sales Commission: Going beyond service delivery, technicians can also earn a 2.5% commission on any sales they generate. This includes acquiring new customers or selling add-on services to existing clients, encouraging them to proactively contribute to business growth.
Incentivizing Sales and Service Excellence: By combining production and sales commissions, LawnAmerica creates a powerful incentive structure. Technicians who excel in both service delivery and sales can elevate their commission rate to an impressive 7.5%, directly rewarding their multifaceted contributions.
Team-Based Incentives for Peak Performance: To further amplify motivation and foster teamwork, LawnAmerica implements team-based incentives. Crews are set annual revenue goals, and once a crew surpasses its target (e.g., $200,000 per regular walking route in 2018), their standard 5% production commission doubles to 10% for the remainder of the year. This “10-percent money” incentive provides a significant end-of-year bonus, driving teams to finish strong and rewarding exceptional performance.
Quality Control as a Cornerstone: LawnAmerica understands that incentivizing production alone can be detrimental if quality suffers. Therefore, their commission programs are intrinsically linked to quality metrics. The company meticulously tracks key indicators such as:
- Call Backs: Minimizing repeat service requests due to unsatisfactory initial work.
- Cancellations: Maintaining customer satisfaction to reduce service terminations.
- Customer Retention Rates: Building long-term customer relationships through consistent quality service.
- Net Promoter Score (NPS): Utilizing a management tool to gauge customer loyalty and satisfaction with individual technicians.
By monitoring these quality metrics alongside production, LawnAmerica ensures a balanced approach. Technicians are incentivized to be productive without compromising service quality, fostering sustainable customer satisfaction and business growth. A high net promoter score coupled with strong production rates signifies a truly high-performing technician, demonstrating the program’s effectiveness in driving well-rounded employee performance.
Arbor-Nomics Turf: Rewarding Hustle and Maximizing Route Value
Arbor-Nomics Turf in Atlanta, a $10 million company specializing in residential lawn and tree/shrub care, has successfully employed commission and incentive systems for over 15 years. CEO Richard Bare believes that many technicians are inherently “money motivated” and thrive in environments where hard work directly translates to higher earnings. Their system is designed to empower technicians to control their income based on their daily effort and efficiency.
Weekly Goal Exceedance Bonus: Arbor-Nomics motivates technicians by offering a bonus for exceeding weekly production goals. For every dollar of production beyond their set weekly target, technicians receive 10% of that extra revenue. This weekly incentive provides immediate and tangible rewards for exceeding expectations.
Sales Incentives and Earning Potential: Similar to LawnAmerica, Arbor-Nomics also incentivizes sales, offering technicians 5% commission on any sales they generate. Combined with overtime pay eligibility, these incentives create a significant earning potential. Richard Bare notes that technicians who “really hustle and work their route” can earn between $50,000 and $80,000 annually, demonstrating the lucrative opportunities within their commission-based system.
Maximizing Revenue Per Stop: Arbor-Nomics’ philosophy centers around maximizing revenue from each service stop. The commission structure encourages technicians to identify opportunities to upsell or add services during their routes, increasing the overall value of each customer interaction and boosting their earnings.
The Importance of a Bulletproof Plan: Richard Bare emphasizes the critical need for a meticulously designed and rigorously enforced commission system. Ambiguities or loopholes can be exploited by technicians, undermining the program’s intended benefits. He advises companies to implement commission systems gradually, ensuring clear rules and guidelines are in place to prevent misunderstandings and potential misuse. A well-structured system becomes a “win-win” for both the company and its technicians, but a poorly designed one can lead to complications.
Spring Touch Lawn & Pest Control: Simplicity and Tangible Goals
Spring Touch Lawn & Pest Control in St. Peter, Minnesota, implemented a technician commission program to provide clear, attainable goals for their workforce, particularly newer employees. Nathan Newlands, VP of Franchising, reports a significant 30% average increase in technician production rates since implementing the system. This demonstrates the power of even simpler incentive structures in driving efficiency.
Tiered Technician Levels and Performance-Based Bonuses: Spring Touch utilizes a tiered system with six technician levels, each defined by experience, daily square footage requirements, and certifications. Technicians are incentivized to advance through these levels by exceeding their current level’s production requirements. If a technician outperforms their designated level in terms of monthly square footage, they receive 50% of the hourly wage difference between their current level and the level they achieved. This creates a clear path for advancement and earning growth.
Flat-Fee Bonuses for Add-ons and Acquisitions: To simplify their incentive structure and ensure tangible rewards, Spring Touch moved away from percentage-based commissions for add-on sales and new client acquisitions. Instead, they implemented flat-fee bonuses for these activities. Nathan Newlands found that flat fees were more easily understood and perceived as more meaningful by technicians compared to vague percentages.
Weekly Progress Reviews for Continuous Engagement: Recognizing that monthly goal reviews were insufficient for maintaining consistent motivation, Spring Touch transitioned to weekly progress reviews. Office managers now meet with technicians weekly to discuss their performance against goals. These frequent check-ins keep technicians informed of their progress and provide timely encouragement to stay on track or push harder to reach bonus thresholds. This consistent feedback loop has proven highly effective in maintaining technician engagement and driving performance.
Keeping it Simple for Maximum Impact: Spring Touch’s experience highlights the value of simplicity in incentive programs. They streamlined their commission system from seven to six levels and opted for flat-fee bonuses to enhance clarity and technician understanding. Nathan Newlands emphasizes that keeping the system straightforward is crucial for technician engagement and program success.
Conclusion: Incentivizing Success in Lawn Care
The experiences of LawnAmerica, Arbor-Nomics Turf, and Spring Touch Lawn & Pest Control in 2018 underscore the effectiveness of commission and incentive programs in the lawn care industry. These companies, each with their unique approach, have demonstrated that moving beyond simple hourly wages to reward performance and sales directly can significantly boost technician productivity, enhance service quality, and improve employee engagement.
Whether it’s LawnAmerica’s comprehensive system balancing production and quality, Arbor-Nomics Turf’s focus on rewarding hustle and maximizing route value, or Spring Touch’s emphasis on simplicity and tangible goals, the core principle remains the same: incentivizing technicians to take ownership of their performance and contribute directly to the success of the business leads to a more motivated, productive, and ultimately more profitable lawn care operation. For lawn care businesses seeking to elevate their performance in today’s competitive market, exploring and implementing well-designed incentive programs, tailored to their specific needs and business goals, is a strategy worth serious consideration.
