Posted by Mark Paskell on Mon, Jan 19, 2009 @ 12:20 AM
With the winter upon us, now is the perfect time to work on your business. With a down economy and the normal slowdown of remodeling work during the winter, now is the time to be reviewing and analyzing our entire business. We can be proactive and use this time to make changes to our business to be in a competitive position when the slowdown is over. The economy will turn around and those companies who are prepared for the inevitable increase in leads and business, will be ready to take advantage of a new and ever demanding customer. They will be anxious to catch up on long delayed projects. Many people are holding off on desired projects due to the uncertainty in the economy. This pent up demand will be released and the professional improved companies will be ready to take advantage of the opportunity. If you are not prepared you will miss out.
So what should you do to be prepared;
1. When is the last time you updated your website? (if you don't have one you may want to consider making it your top priority). Review your website pictures and text and make sure they reflect the company image you want to portray. Is your contact landing page complete with fields that are designed to acquire the right information from your prospects? Do you have a call to action on your pages? Do you have testimonials? Have you optimized the pages for SEO (Search Engine Optimization).
2. Customer retention programs; send out letters to all of your customers and strategic alliances. It is recommended that contractors should contact their customer base at least 6 times a year. If you have less than 100 clients why not send a special mailing once a month. If you have your client's e-mail addresses send out a monthly letter every month. Also, if you have any projects ongoing have you sent radius mailing to the neighbors? There are many on line services that will do this for you for less than $100.00.
3. Review your contract paperwork and make sure it is professional and compliant with local laws and ordinances.
4. Purchase an easy to remember phone vanity number.
5. Prepare for home shows.
6. Cut back on unnecessary overhead, review insurance, vehicle expense, and any other associated cost items.
7. Take a class on sales training.
8. Take a class on marketing.
9. Fine tune your business plan assuming you did one at the end of 2008.
10. Write a marketing plan and schedule your marketing programs.
11. Take your best clients out to dinner and thank them for their support.
12. Call all your past clients and let them know your still around and that you are offering new smaller cost effective services.
13. Read positive books, listen to positive Cd's, read industry related publications.
14. Join an association like NARI or your local builders association.
15. Join a networking group and attend every chamber networking event in your area.
Don't wait for the phone to ring or the snow to melt. Go for it now!
mark the coach
Posted by Mark Paskell on Sun, Jan 11, 2009 @ 05:57 PM
We always hear about the bad stuff, like poor service and unfriendly people, how about something different for a change?
This past week I was the recipient of outstanding customer service twice!
On Wednesday I received a call from my tenant who said she had no hot water for a shower and the heat was off. The problem, I changed oil accounts and ran out of oil (my fault). It was 20 degrees with a house full of mostly women tenants! Boy, was I in trouble. I called my oil company (CK SMITH) and got the operator. I explained the situation and she sent me immediately to dispatch, who took my call right away. Within five minutes, with me on the phone hearing every word, she was speaking to an oil delivery man. She said they would have me up and running within a few hours. After the oil was delivered and heat was restored they called me to let me know everything was OK and that they should have known better to arrange a delivery earlier. I said wow, it was my fault and they took the blame.
On Saturday, we had an afternoon appointment for our digital box from the cable company (Comcast). The young man came, on time, wiped his feet, installed the box, answered all my questions, gave me some great advice on options to consider, (and I might buy them) was polite and knowledgeable. He coached me how to operate the new toy and made sure I was completely satisfied. After he left, I received a call from the company regarding was I satisfied with the service. They asked 4 or 5 questions and thanked me for my time.
When your homeowner client calls and needs customer service, how do you handle their situation? Do you have a process that will lead to outstanding customer satisfaction and happiness? When your customer calls do they get a pleasant knowledgeable person answering the phone or at least a pleasant voice mail? Do you return the call right away?
In this current market no one can afford not to deliver excellent service to their customers. With less leads, residential contractors need to make sure that existing customers are promptly serviced so they will stay with you. In our contractor coaching customer service program contractors learn how to provide great service and also get more work while they are there.
Will your customer right a blog post to brag about you and how blown away they are with your service?
mark the coach
Posted by Mark Paskell on Thu, Jan 08, 2009 @ 07:56 AM
We don't have to look hard to know that our world is experiencing some challenging times. All we have to do is turn on the TV news or weather and we are quickly bombarded with the realities around us. Things that blow up, crash, burn, crimes, job losses, scams, war all lead the news and dominate the broadcasts. We can protect ourselves from these programs easily by turning the channel or hitting the off button on the remote control.
What do you do when you are around negative people? You know the ones who are always complaining, bitching and moaning about how everything around them isn't their fault? Do you tell them to shut up, walk away, say nothing and nod, give them a smack?
Positive associations
I was at a NARI residential contractor networking dinner last night and was invigorated to be around professionals who were staying positive and upbeat in spite of the obvious economic realities. The weather was poor as we had another round of ice and snow in the New England. This didn't stop over 100 people from coming to the event. Their conscious choice was to be around other successful people and keep their outlook and attitude in check. Many commented that they are excited to be with positive people where they can share and learn from others how to improve their business. Many were sharing ideas on how to improve in spite off the challenges. Strategic alliances were forming before my eyes between contractors, subcontractors, professional services and suppliers supporting the contractors. Several guests decided to join our association. One said this is the place to be, with positive professional people.
On Tuesday, I went to my Corridor Nine Chamber of Commerce Referral Group meeting and heard some of my teammates say that because of the referral group members, last year was the best year they ever had. The members were upbeat and enthusiastic about the prospects and opportunity that lie ahead in 2009.
There is no question that the associations formed and purposely selected by these attendeees have a huge effect on their outlook and attitude. You can see it in the results achieved.
In 2009 challenge yourself to associate with positive people and avoid situations and conversations with negative people. Seek out positive people and associations and protect your attitude. Determine to be enthusiastic about the opportunities that lie ahead and strive to only allow positive thoughts in your mind as you encounter others. You will be someone others want to be with.
What are you doing to protect your attitude?
mark the coach
Posted by Mark Paskell on Sun, Jan 04, 2009 @ 06:41 PM
After the holidays, homeowners in the market for home improvement services, start calling residential contractors to set up work for the spring. Do you have a procedure for the inbound lead call and a form to capture vital prospect information about them and their requests? Or do you use any available scrap paper, post it notes or the proverbial napkin to write down the information and struggle retrieving and reading the chicken scratch later? Who will answer the phone, talk to your potential client and will they know what to do to make a professional first impression?
Your chance to make a positive first impression is achieved in the first couple of minutes. This is your opportunity to show your professionalism, educate, and bond with the prospect.
Create and use a client intake form or lead sheet that is set up to capture vital information about your prospect. Also prepare questions designed to encourage your prospect to talk as much as possible about their needs, wants and concerns. The quality of these questions are your opportunity to show your professionalism, set yourself apart from the competition and garner valuable insight into the mindset of the prospect.
This form should be ready every time you or a trained employee are about to speak to a potential client. Information needed should include date, time of call, person taking the information, address, home and work phone numbers, e-mail address, work requested, all owners names properly spelled and pronounced, best time to contact, when do they want to do the project and age of home. Questions should be on the form so that you don't leave it to memory to remember what to ask.
Another thought to think about, will you or your employee be able to give this phone call your undivided attention? Or will you or your employee be multitasking while you are on the phone with your potential customer? This conversation should take precedence over any other work going on in the office. The risk of missing something is too great to chance. Allow yourself to listen intently to the prospect and don't rush if they are talking. The more they say the more information you will learn about them.
Do you have a lead form ready if a prospect calls?
mark the coach
Posted by Mark Paskell on Thu, Jan 01, 2009 @ 03:58 PM
2008 was a challenging year for contractors in the residential remodeling industry. With declining home values, tightened credit, lack luster new home construction, smaller remodeling projects and erosion of consumer confidence many contractors are facing uncertain futures. The time and need for change has never been more apparent than now. We need to analyze our businesses and make sure that we are able to deliver outstanding products and services to the Next Level Consumer.
Here are 11 obstacles that if not addressed, may prevent residential contractors from succeeding in the new economy.
1. Writing an accurate and effective business plan based on a defined strategy and goals consistent with best practices in the industry.
2. Developing a marketing plan that generates leads (your target customer) consistently.
3. Defining a sales process and learning how to sell on purpose, solutions to meet the needs of your customer and your company.
4. Learning how to develop and use the right markup to cover all your direct and indirect costs, materials, labor and overhead, and then leave your company a fair profit after all the bills are paid.
5. Learning how to develop and maintain consistent cash flow. Poor cash flow kills businesses.
6. Learning how to define roles and responsibilities and delegate to the appropriate trained employee. Contractors who wear too many hats cannot do it all.
7. Learning how to develop, train and use systems in line with industry best practices. Consumers are expecting educated and trained contractors who are experts in their field.
8. Learning how to manage expectations of the Next Level Consumer.
9. Learning how to attract, hire and compensate the right employees and not accepting high turnover.
10. Developing professional proposals, differentiation and deciding to set up and do business legally (licensing, OSHA compliance, the proper insurance coverages and classifications of employees, W-2 employment).
11. Decision to not accept work from the wrong client and performing work outside core competencies. Trying times can influence the decision to work for the wrong client and take work you are not set up to do.
What other obstacles impact the success of residential contractors?
mark the coach
Posted by Mark Paskell on Thu, Jan 01, 2009 @ 03:23 PM
To all our readers, friends, residential contractor clients and business associates we hope your New Year is filled with prosperity and happiness.
mark the coach