Mike AndesFounder, Augusta Lawn Care and Homeworks · Founder of Homeworks and Augusta Lawn Care

TRIPLE Your Profit w/ This Supply & Demand Hack 📈

13 Dec 2025 · 0 min

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0:28

This is a short transcript excerpt from a YouTube video by Mike Andes about using supply-and-demand dynamics to increase profits. Andes advises keeping supply constrained while raising prices to reduce close rates but increase long-term profit; he gives a numerical example claiming that a 20% price increase when last year's profit margin was 10% will triple profits.

Questions this video answers

20% price increase.

10% profit margin (last year).

Whenever you move demand really high and supply stays low, prices go up. All these customers want our service, Demand is high. The supply, the amount of employees that we have and the amount of trucks that we have, the amount of work that we can get done doesn't move up. You do not go out and increase supply and get more employees and get more trucks. Instead you simply raise prices, reduce your close rate, but make way more profit in the long term. Because if you raise your prices by just 20% and last year made 10% on profit, you will triple your profits.