The Case for FREE in the Twenty-First Century Economy

The debate over whether or not to charge for a landscape plan could rage on forever. Why? Because the primary arguments from each side are perfectly valid.

They go something like this (over simplified):

Landscape design/build contractor: "Why would I charge for design when it means I could lose installation work? I make money on installation." That's a valid argument.

Landscape designer: "Homeowners don't value landscape design like they should because so many companies give it away for free. How am I supposed to compete with that?" This is also a valid point.

It's time for the Green Industry to embrace Free. But a new kind of Free, not your grandmother's Free.

As Chris Anderson so brilliantly explains in his book, Free, "Twenty-first century Free is different from twentieth-century Free. The Free that emerged over the past decade is different from the Free that came before. Today's Free is full of apparent contradictions: you can make money giving things away. There really is a free lunch. Sometimes you get more than you pay for."

To sum it up--"The new form of Free is not a gimmick, a trick to shift money from one pocket to another. While the last century's Free was a powerful marketing method, this century's Free is an entirely new economic model", writes Anderson.

With that said, I'll explain why the debate over design fees should have remained in the twentieth-century and why we need to look at the situation with a focus on the new twenty-first century economic model.

When you give something away as a "loss leader", such as a free landscape plan, that fits the twentieth-century Free model. You give away the plan in hopes of getting the more lucrative landscape installation contract.

This is similar to Gillette giving away razors to sell high-profit razor blades and phone companies giving away cell phones to sell expensive monthly service plans.

The problem with this approach is that there are typically strings attached to your Free. Consumers today, especially those under the age of 30, don't want strings attached!

Sure, your landscape plan may be Free but your client doesn't get to keep it unless they hire you to install the design. Or, the design is Free if your client pays a $400 retainer which you'll happily refund if they hire you to install the plan. That's attaching strings. And that's twentieth-century thinking.

The landscape designer who proclaims, "Homeowners don't value free landscape design", is right--they don't value twentieth-century Free landscape design that attaches certain stipulations and is an obvious foot-in-the-door sales tool.

The successful landscape design/build companies and landscape designers of the future will figure out how to offer Free with no expectations or strings attached and still profit.

How to offer Free and still profit

When you provide consumers something they actually want with no strings attached, they do value it. And they are starting to expect it.

You see this trend everyday online where digital goods and services require minimal cost to produce and maintain. The "Freemium" business model is popular because the 5% of "premium" customers pay the bills and the other 95% of "free" customers are perfectly satisfied using the free version, of say Flickr, without any expectation of having to upgrade.

In 2008, Google made more in profit than all of America's airlines and car companies combined (from Free). This for a company who gives away all of their services for free.

With more and more people expecting everything to be free online, there is no doubt this mentality is moving offline.

Green Industry professionals need to be prepared to meet this expectation.

So, how can Green Industry professionals provide Free with no strings attached and still profit?

Here are some ideas:

Offer a "freemium" model for services

Could a landscape design/build company offer clients a free landscape design service and a premium, paid design service? Why not? An inexperienced designer could prepare free plans for most clients while others would be willing to pay a premium fee for the privilege to work with an experienced, award-winning designer on staff.

Could an irrigation company offer annual start-ups and blow-outs for free while charging a monthly fee for a premium package that includes extra services? I think so.

In each case, the 5% of "premium" customers would pay for the 95% of Free customers (generalization, but you get the point).

Offer Free information

This is where Green Industry companies can really offer value and Free at the same time.

There is very little cost in creating information intended for digital distribution. You could provide valuable information by blogging. You can create short "how to" videos for YouTube. You can send weekly maintenance tips via email. You can allow customers to download step-by-step planting instructions, pruning instructions or mulching instructions from your website.

Not everything you do has to be online. If you're an independent landscape designer, why not present free lectures or seminars at local garden centers, botanical gardens or garden clubs?

If you think, "I can't give away all of that information for free. Why would anyone hire me then?", that's twentieth-century thinking.

Follow Google

Here's my way-out-there idea: Could you provide clients with free landscape plans that are subsidized by advertisers and sponsors? Why couldn't you sell advertising space on a 24"x36" landscape plan?

The successful landscape design/build companies and landscape designers of the future will figure out how to offer Free with no expectations or strings attached and still profit.

We need to adapt to twenty-first century thinking. Consumers will continue to expect Free. We either need to provide our own Free or learn to compete with Free.

What are your feelings on offering Free? Share your comments below.

On another note, I'm experimenting with offering my own Free. I'm now letting Green Industry professionals try LandscapeLeadership for 30 days--for Free! No obligation or commitment to stay on as a member. Take advantage of the site and all of our resources for 30 days by going here.