How to Bid Christmas Light Installation and Win More Work
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- How to Bid Christmas Light Installation
If you’re a business transitioning from seasonal work like snow removal or landscaping, starting a Christmas light installation business is a great way to keep your crew busy and add a profitable revenue stream during the slower winter months.
It also helps reduce turnover by keeping your crew employed. And best of all, you can spread some holiday cheer and build your reputation in your community year-round.
In this guide, you’ll learn how to bid Christmas light installation jobs, find the right projects, price your services, and present professional bids to your clients.
Here’s how to bid on Christmas light installation:
1. Pick the right jobs
Before bidding on a job, make sure the project aligns with your business capabilities and goals.
Keep your current resources in mind, like your experience level, equipment, and team size. Focus on jobs that are a good fit to improve your chances of winning more work.
Here are the different project types you’ll want to consider:
Residential
Residential jobs are a great place to start, especially for newer businesses. Homeowners often look for a professional installer who can create festive displays without the hassle of doing it themselves.
These projects tend to be smaller, making them manageable for beginners without much equipment. However, they can come with tighter deadlines, as many homeowners want their lights up right after Thanksgiving.
Commercial
Commercial properties—such as office buildings, hotels, and shopping centers—offer larger-scale projects. These jobs require more planning and often involve installing complex light displays.
Clients in the commercial space may have different needs, such as having the lights complement the business’s branding or creating a display to attract foot traffic.
While these projects require more investment in materials and labor, they have the potential to be quite profitable. Businesses may be willing to pay a premium for eye-catching, professional Christmas light installations.
High-end and luxury
Another category worth considering is high-end residential and luxury properties, such as:
- Estate homes
- Mansions
- Gated communities
- Luxury condominiums and penthouses
- Vacation homes
These clients will likely have large budgets and be willing to invest in elaborate, custom designs to make their homes stand out. If you bid on these jobs, be prepared to offer more creative and personalized installation services.
Government
Lastly, some municipalities and local government offices may put out requests for bids to install holiday lights in public spaces (parks, downtown areas, etc.).
These contracts can be lucrative but might require specialized equipment, insurance, or certifications to meet safety and installation regulations.
Project Type | Description | Pros | Cons |
---|---|---|---|
Residential | Homeowners looking for festive lighting displays without the hassle of doing it themselves | Great for beginners Smaller, manageable projects Lower equipment costs | Tighter deadlines (many want lights up around Thanksgiving) |
Commercial | Larger-scale projects for businesses like offices, hotels, and shopping centers | Higher profit potential Opportunity for premium pricing | Requires more planning Larger investment in materials and labor May need to match business branding |
High-end and luxury | Estate homes, mansions, and luxury properties | Large budgets | Requires more time for intricate designs Larger investment in materials and labor |
Government | Public spaces like parks and downtown areas | Lucrative contracts High visibility and good for reputation | May require special certifications and equipment Must comply with government safety regulations |
2. Know the pricing models
Before bidding on Christmas light installation, it’s important to understand the different models you can use to price your services. Choosing the right model can help you win more jobs and maximize your profits.
As a Christmas light installer, you can either sell or lease the lights to your customers.
In the leasing model, you’re responsible for installing, maintaining, dismantling, and storing all lighting and accessories. If a light goes out mid-season, you’ll be expected to provide the repair.
This model also gives your customers greater flexibility in their holiday lighting designs. When they lease the lights, they can change from red to green or multicolor without making another investment.
The selling model is a much more hands-off approach. Once the lights are installed, it’s your customer’s responsibility to maintain or replace any damaged strands.
This can lead to more hidden fees for your customers. For example, if a light goes out during the holiday season, you’ll have to charge the customer for the replacement.
When deciding between leasing and selling, think about what works best for your business and the clients you’re targeting. For example, if you’re working with homeowners, they might prefer the flexibility of buying their own lights and leaning on you for the holiday light installation.
On the other hand, businesses and high-end clients may prefer the hassle-free experience of leasing. This is a more convenient option if they want a new holiday light display every year or don’t have enough storage space.
READ MORE: Service pricing strategies for your business
3. Conduct site assessments
Conducting a thorough site assessment is essential for understanding the project and accurately bidding Christmas light installation. This helps you evaluate the property so you can plan for a smooth installation.
During your assessment, do the following:
Evaluate the property layout
Every home or business is different, and the property’s layout greatly impacts how you install Christmas lights. To determine the best areas to decorate, look at the building:
- Size
- Rooflines
- Windows
- Gutters
- Landscaping
For example, a large home with steep roofs may require more time and equipment compared to a flat-roofed commercial building. Consider how these features affect both the complexity of the design and the materials you’ll need.
Find the power sources and outlets
Check if outdoor outlets are easily accessible or if you’ll need to run extension cords from inside the building. If the property doesn’t have enough outdoor power, this might limit the size of the display. Or you may need to include additional things like power strips and timers in your proposal.
For commercial properties, you’ll probably need to determine if the electrical infrastructure can handle large-scale holiday lighting.
Assess any challenges or safety concerns
Safety should be a top priority for any Christmas lights installation. During the site assessment, identify any hazards that could pose a risk to your team or the property.
You’ll need ladders or lifts for steep roofs, tall trees, and uneven ground. Consider whether there are any obstacles (such as overhanging branches) that could make the job more difficult.
Discuss the client’s preferences
Talk with the client about their goals for the display. Do they want a simple, elegant look? Or a bold, eye-catching design?
Knowing what they want will help you customize the installation to meet their expectations. Having a conversation is an opportunity to set expectations, ensuring that your quote reflects both the client’s vision and the reality of the job.
4. Price your equipment and materials
Price all your equipment and materials accurately so your bid covers the full installation cost of the job while protecting your profits. Start by listing everything you’ll need to complete the project, from the lights to the necessary tools.
Things to consider when pricing:
Lights and decorations
The biggest expense is usually the lights and holiday decorations. Whether you’re selling or leasing lights, make sure you know the cost of each type of bulb, light strands, or decoration you’ll be using.
LED lights, for example, may cost more upfront than incandescent bulbs. But they can be a selling point for saving energy and lasting longer. Then, factor in any extras like timers, extension cords, and connectors, which can add up quickly.Pro Tip: To get the best deals, consider buying new inventory at the end of the festive season. Most vendors offer preorders in February to get a more accurate count of what they’ll be selling next season. The closer you wait until Christmas, the more you’ll pay.
LISTEN: Learn how to make money as a professional Christmas light installer
Professional installation tools
You’ll need reliable tools to install Christmas lights safely and efficiently. These might include ladders, lifts, roof clips, and light hangers. If you don’t already own some of this equipment, you can rent it. But be sure to include the rental costs in your bid.
For higher-end or larger projects, such as commercial buildings or tall homes, you may even need specialized equipment like cherry pickers or scaffolding.
Maintenance and replacement costs
At any given time of the season, lights can go out. Or other maintenance issues might pop up. If you’re offering maintenance as part of your service, factor in those potential costs when pricing the job.
Pro Tip: Keep a small stock of replacement bulbs and parts on hand (in your truck) to avoid delays and unexpected expenses while at a job site.
Shipping and storage
If you’re providing custom decorations or specific lighting the client asked for, don’t forget to factor in shipping costs.
And if you’re offering a leasing model, you’ll need to store the lights once the season is over. Include the cost of storage in your pricing model—especially if you need to rent space.
5. Calculate your hourly rate
The next step for pricing your installation service is to calculate your labor costs.
If you’re new to professional Christmas light installation, time yourself installing lights on a one-story house, two-story house, and trees or bushes.
Then, use a labor cost calculator to add up your hourly salary, direct costs, and desired profit amount to determine the hourly rate you’ll charge your customers.
Pro Tip: Consider the difficulty of the job and add premiums for installations involving high or steep roofs, difficult trees, etc.
6. Add your overhead and markup
Overhead costs are the ongoing expenses needed to run your business, and they play a role in determining how to price your services. You’ll need to account for these overhead expenses:
- Employee wages for your crew
- Equipment, such as ladders, roof clips, safety gear, and any tools or equipment rentals necessary for the job, are part of your overhead
- Vehicle expenses, such as gas, maintenance, and mileage
- Insurance to cover accidents or damage
- Business software for invoicing, scheduling, and project management
- Marketing and advertising costs
To calculate your overhead rate, total all these costs for a given month and divide by your total sales for the same month. Multiply by 100 to get a percentage.
For example, if your monthly overhead is $1,500 and you make $12,000 in sales, the formula looks like this:
($1,500 ÷ $12,000) x 100 = 12.5% overhead rate
Markup is the additional amount you charge on top of your costs so you make a profit. The percentage you add for markup helps determine your profit margin.
For example, if your goal is a 30% profit margin, the costs you calculate for labor, materials, and overhead should account for 70% of the total price you charge.
Here’s how the formula works:
Labor + materials + overhead + markup = total price for the job
Let’s say your labor, materials, and overhead add up to $2,000. And you want a 30% profit margin. To calculate the total price, you would use this formula:
Total price = $2,000 ÷ (1 – 0.30) = $2,857
This means you should charge $2,857 for the job to cover your costs and earn a 30% profit.
7. Create a professional estimate
Quickly pricing jobs and sending estimates will help you secure more work for the holiday season. Try these tips to get started:
Create an estimate template
Creating estimates from scratch takes a great deal of time, and a short Christmas season means you have no time to waste.
Using a free estimate template is one way to speed up your quoting process. Simply fill in the blanks to create and send a professional-looking estimate to prospective clients in minutes.
Your estimate template should include:
- Your company name, logo, and contact information
- Your customer’s name, phone number, and email address
- A breakdown of your services (installing lights, holiday decorating, etc.)
- Estimate expiry date
- Total cost to complete the job – including labor, materials, and sales tax
- Terms and conditions
- Space for the customer’s signature
Add optional line items
You can also use job quoting software to create estimates that include images and optional line items (like timers, wreaths, or other decor) to help you win more jobs worth more money.
8. Follow up with the client
After you’ve submitted your bid for Christmas light installation, don’t forget to follow up. A quick quote follow-up email or phone call can remind the client of your offer and increase your chances of winning the job.
In your follow-up, address any concerns or questions the client may have. For example, they might want to know how you handle tricky spots like rooftops or trees. Or they might ask about what safety measures you take.
Reassure them that you have the right tools and experience to install Christmas lights safely and efficiently on their property.
Clients may also want to negotiate the price or adjust the scope of work. So, be prepared to discuss flexible options, like offering different types of lighting packages or adjusting the amount of décor for a lower price.
For example, let’s say they’re excited to work with you, but they have a low budget. You could suggest fewer lights or focus on just the high-visibility areas, like the roofline or front door and walkway.
Try using a personalized follow-up template like this:
Email subject line: Quick question about your holiday light installation
Hi [customer name],
[Ask a question about something specific to the customer. For example, “How was your son’s Thanksgiving football game?” Or refer to something the client said when you spoke to them—maybe they mentioned they have a tight deadline.]
Just wanted to follow up on the quote we sent you a few days ago.
We’re excited to start this project. If you’re happy with the quote, please click this link [link to quote] to sign and approve it.
And if you have any questions, feel free to reply to this email or call me directly at [phone number].
I’m always available to help.
Cheers,
[Email signature, including your name, company name, phone number, and email address]
Pro Tip: If you use software like Jobber, you can automate your quote follow-ups to send texts or emails to customers you haven’t heard back from. You can use built-in follow-up templates or prompt Jobber Copilot to write your follow-up emails for you.
Frequently Asked Questions
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Assess the property’s size and complexity. Estimate labor hours and factor in the cost of lights, materials, and any equipment needed. Include your overhead and markup for profit.
Total price = labor + materials + overhead + markup
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Estimate the number of lights you need for a project by measuring key areas like rooflines, trees, and walkways. Multiply the linear feet by the recommended number of lights per foot (usually 25–50). Add extra for dense coverage or large features.
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Yes, installing Christmas lights can be very profitable, especially in high-demand areas. With optimal pricing and effective marketing, you can earn solid seasonal income by charging for installation, maintenance, and takedown services.
Our service pros say you can average $3-$4,000 per day for new installs, and the great thing is it’s a recurring business model, so you can earn an average of $2-$2,500 per day for repeat customers after your lighting costs are covered. -
Start advertising in early fall (September or October) to secure clients before the holiday rush. Many homeowners like to book early to avoid last-minute stress. A great tip is to book next year’s service at the takedown at the end of the season.
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