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Last year, Rob Diaz and Jack McClary owned and operated their own companies in Las Vegas. Rob was at the controls of Yards “R” Us, a J.R. LandCare Group Company, and Jack ran ABC Landscape. Today, they are partners in a relatively new venture, Land Care, Inc., located in North Las Vegas. Founded in January 2004, Land Care employs approximately 50 people and provides full-service landscape management services to commercial and residential properties.

As the partners explain, they knew each other from being members in the Nevada Landscape Association (NLA). Both of their companies were about the same size, and they were both at the point when they were spending too many hours working and not enough hours with their families. Following the wisdom, “Two heads are better than one,” they joined forces.

The new relationship brought some immediate benefits. In addition to certain economies of scale, McClary says he now realizes how important it is to have someone to share in the decision-making process. Diaz, for his part, knew that McClary’s roots in Las Vegas would benefit the new business. McClary spent 15 years in the banking business, and ABC Landscape had provided landscape services to commercial properties in the city for 17 years. Diaz spent 12 years in the Air Force before starting Yards “R” Us 10 years ago.

Las Vegas is not your ordinary market for landscape contracting. The desert environment and water restrictions are challenging in their own right, but there are other obstacles as well. The market is extremely competitive, labor is in high demand because of all the construction, and despite the glitz and glitter and airplanes and cars bringing visitors in 24/7, the town is relatively small. As McClary points out, many of the business relationships have been long established, and getting work is not as simple as being the low bidder on a job or promising to provide excellent service. To make it even more interesting and competitive, the owners say that on average per week, Vegas is home to at least three new contractors, whose only competitive advantage may be a low price.

So how does Land Care expect to compete in the Vegas market?  “We have to effectively and convincingly sell ourselves,” says Diaz. “We have to create a niche, and we have to do a better job than our competitors.” He adds, “Our job is not unlike that of a car salesman who tries to sell a customer a Lexus instead of a Toyota. You have to demonstrate value.”

The two partners are doing just that. From the customer service point of view, they provide commercial customers with an annual landscape plan and monthly property audits. The company also takes advantage of new technology by allowing customers to e-mail service requests and other inquiries directly to the office. The interactive format facilitates communication with clients and helps build a stronger relationship.

“One of our goals is to build long-term relationships with our customers,” Diaz emphasizes. “A business partnership should be like a good marriage. It should provide stability and be beneficial to both parties, and the partners should grow together over time. We strive to grow our relationships by educating our customers and keeping them informed.”

He continues, “The annual landscape plan and monthly audits are part of the education process. As contractors, we are in the business of putting plant material in a totally inhospitable environment. We have to help our customers understand this and realize that their landscapes will not have the longevity and will require more attention than they would in another environment.”

The education process extends to the company’s labor force, too. Like most successful companies, Land Care does its share of training, but it also continually educates its employees about why they should stay in landscaping when a construction job on the Strip or elsewhere in town may offer several dollars more per hour.

“We cannot compete with construction companies on pay,” Diaz explains. “But we offer something those companies cannot; we offer stability and year-round employment. Work with a construction company usually ends when the job is finished. Getting this point across to our employees is important for them, for us, and for our customers who like to see familiar faces on their properties every week.”

Both Diaz and McClary say they are up to the challenges ahead. In fact, they are very excited about their new company and the prospect of growing in a dynamic, albeit sometimes difficult, market. What does the future hold? The owners are thinking about adding a tree service and focusing in tighter on the community association market for maintenance services. More than anything, though, they want to fine-tune what they already have established.

“You know, when I look around and see some of the big companies that have achieved great success here, I see a common denominator,” McClary emphasizes. “I see companies that have formed strong bonds with their customers. Here, like in all markets, companies come and go, and price is an issue. Yet, if you can develop trusting and lasting relationships, no matter where you are, you will be a success.” Diaz and McClary are betting on that, and they have no doubt that the odds are in their favor.

11/04

By Rod Dickens, ALCA Contributing Writer