We put a pool in Jan. 2008. Except for January when I filled the pool, my water bill has been substantially lower every month compared to the previous year. I had no idea that watering my back yard lawn and landscaping was using so much water. We are now using a drip system in the back with only one small section still using the original sprinklers.
I conclude that the drip system is the way to go. And definitely cutting back on the size of your lawn will help any one interested in saving water and lowering your water bill!