Sloooow start 2006

[Rfitz 14]

WOW, at least where I live the weather is more like winter than spring, I guess that is causing a very very slooooow start to kick off the 2006 Season we have over 60 bids out and hardly any customers scheduling, I guess due to the cold weather, they are just putting off outside work, and then as soon as the weather breaks they will all want their stuff done ASAP, although they should know, first come first serve, as always, and even though we always tell our customers we should be able to start their job in 1-2 weeks it actually turns out to be 3-5 weeks, becasue if you tell them that most likely they will go elsewhere, unfortunately in this business you cannot schedule customers 3-4 months out they are impulsive and want it done yesterday, yet if it would be a kitchen or bath remodeling job they would understand and wait 3-6 months no problem, I dont understand why they dont understand our business is the same as any other, we have a schedule and cannot change that schedule just for them...?

Hopefully warmer weather will get here soon, so the jobs start lining up...

[JFife 14]

Rob--

Your posts usually seem negative, maybe it is just me, perhaps it is your writing style?? I am not being critical--rather, what if your customers percieve you that way?? Customers respond to upbeat, excited.....do you come off pessimistic, saying things like, "you better schedule today, if you don't we won't get to you until the fall. Everyone is thinking like you are, and are gonna start schuduling once the weather breaks."

While that may seem realistic as opposed to negative, it is very similar to using fear-based marketing. It will work, but probably not on the type of customer you'd like to get (and hold on to).

Regarding scheduling-out, this becomes more acceptable the higher you ticket prices are. For instance, if you want a remodeler to do your kitchen for 50K, you don't mind waiting six months--you don't expect him to start the day after the bid. One the other end of the spectrum, if you call in to schedule an oilchange, you wouldn't accept them saying, "we can probably lock you in a spot for October." With low/medium tickets like, say, decks, I'd say no more than a month is acceptable, the exception being a one-man crew that gets all referrals and is known for superior craftsmanship, and has a long track record. For something like housewashing, I'd say less than two weeks, maybe less than one week.

[Rfitz 14]

Hi Jon,

Not being negative, just realistic the weather does play a big part in our business and the spring is a very important time of year for our business and people in general, it sets the tone for the year, and as far as being negative to my customers, no I cant say that I am because I never meet them in person at least until the job is started, unfortunately most Homeowners man and wife both work full time jobs and nobody is usually home when the bid is done, most at least 80-90% are at work, and they usually recieve the estimate / bid 2-4 days after they call by mail, I then according to the price of the bid follow up with a call 2-5 days after they recieve it, I never follow up on jobs less than $500 Just dont have the time, I usually am out working in the field 10-12 hours a day, and do not have the time to meet them at nite when they get home, I would have to work 16 hours a day 7 days a week to do that and that is not going to happen, I have done it both ways meeting them and mailing them and see no advantage in meeting them, unless it is a $5- $10 K job then I will meet with them.. This works for me but maybe not for everyone

[JFife 14]

I understand you point--sounds to me like you need some help. Whether it be for sales or for labor, I think you need to farm out something. Sixty bids sounds like a lot to me, if you don't have at least 30 of those jobs, then I think you need to start meeting them, otherwise you are wasting your time doing so many bids. Honestly, you sound like a prime case for "burn out" to me. I go to a Business Coach once a week, it helps me keep my head on straight, helps me prioritize, plan for the future, etc. Money well spent for me, really has helped me in both personal and professional matters. I could get her to refer me someone in STL if you'd like to try this,

[Jarrod 22]

Business coach? Sounds interesting.

[CCPC 26]

That does sound interesting.

[BigPete 14]

slow down, take a deep breath and mix in a period once in a while. :lgwave:

[Barry M 73]

I have done it both ways meeting them and mailing them and see no advantage in meeting them.

If you don't see the advantage I will tell you in my opinion. Traditional marketing says close the sale do the job and your work is done, on to the next new customer. If you want to increase your bottom line, then you need to meet your customers and start to build a relationship with them. If your best interests are meeting people, building relationships with them, and offering a solution to their problems your business will soar. By building trust and confidence with your clients your biz will evenually live off of repeat and referral business, your advertising costs will decrease, and your profits will increase.

If your best interest is making money from people you really don't need to meet or even see then your only shooting yourself in the foot. You will always have to search for new customers and your advertising costs will always be high.

I try to never do an estimate without meeting the prospect. I want to start building that relationship ASAP. I always listen to what they have to say, I get to know them. By the time I am finished with the job I should know quite a bit about them. This is NOT the end of the job, it's the beginning of a relationship. I will keep in touch with them in person, by phone, or usually by mail at least 4-5 times a year, starting with a thank you card and asking them for referrals. Send them a promotional item with your logo on it, send a newsletter, latter in the year send them a postcard offering a discount only available to repeat customers, I try to learn their birth date by sending them a questionaire once I find that out I send them a b-day card when it's their b-day, x-mas cards, anything I just try to keep in contact with them. People like to feel important, not like their trying to be sold. Make them feel like you care and in return they will refer you without even thinking about it.

I might get 1-3 referral jobs from 1 customer. Those referrals give referrals and so on and so on. Lets say we both can only advertise one time. We both land one job each. You go do your job and briefly meet the people for the first time while collecting your check. Now what, you can only advertise once remember, you MIGHT get a referral if you do quality work but probably not since the people really don't know you. So your done! Now I go do my job and build a relationship with my client, and collect my check. I send the customer a thank you card and nicely ask for referrals. After awhile I land another job from someone my first customer knows, without doing anymore advertising. I do that job in the same manner and land a few more referrals, it snowballs from there and I work all summer while you've been sitting at home living off your one check. That's the advantage!!

Just my .02 cents

[PressurePros 249]

BRAVO! Well said, Barry. I knew there had to people that understood business, you are definitely one of them.

[Beth n Rod 1,279]

Heck, we're busy. Been busy and getting busier. It's not hard to schedule work in the winter for spring...at least we don't hava a problem doing it.

Beth

p.s. Barry - great post, right on the money...no pun intended!

[CCPC 26]

Just like the statistics show, on average, it can cost ten times as much to find new customers then keeping customers you already have.

[seymore 90]

Too busy here staining wood working 7 days a week...:lgmoneyey

It was a picture perfect day here in Houston 70's and no humidity not a cloud in the sky...:cool:

Sorry to hear you are having a bad start in 06 Rob...hope ya'll thaw out soon!

[Jarrod 22]

I'm sending out 7500 post cards on Mon. I can already hear that sweet sound - ring, ring, ring.

Don't worry riftz, as soon as the weather breaks, you're gonna have to go shopping for a straight jacket - IT'S GONNA BE BUSY!! :lgmoneyey

[Jeff 232]

Rfitz,I have to agree with Jon you do quite often sound negative, last year I had residential waiting up to 2+months, thats becase I would do all the condo work 3 out of the 4 weeks in a month & I kept 1 week open for residential, we'd do 20-40 homes in that week. I just explained that its a busy time of year and 98% of the people waited, I lost a few but that it. Now if someone said there having a special event or selling their home I'd fit it in. As I've got busier with the commercial Ive been doing more over the phone estimates for residential, but I still like to as often as possible meet with the homeowner and form a relationship, it has paid off for me so many times with referalls. You never know who a homeowner is, they might own a business, know a PM etc etc and that one little house job could lead to something bigger.

I think if you were more positive it might show to your customers even over the phone.

I like to have the customer work for me residential & commercial, the more they like me and my work the more referalls and the better chance the referall will wait the month or 2 for you to do the job.

I've seen what relationship building can do, I have several PM's that recommend me to other PM's & properties and to residential also. You've said PM's dont give a damn about us, I have to say in some cases maybe, but I have tons of PM's that try as hard as possible to get us on their projects and its because Ive worked on building a relationship, I have commercial projects well into May and they dont mind, some know to call ahead and ask to reserve a spot on my schedule.

I know its easier for us Southern PW companies because of the waether than you guys up in northern areas, but I hope the weather gets better for you and I hope you go meet some of these people and let them know in a positive way that you want their business and how you will get to them asap

Good luck everybody this year

JL

[JFife 14]

Rfitz,

I am seeing my counselor/coach tomorrow, pm me in the next day if you want me to find someone in STL, and I'll ask her. Where you are at in your biz, I think it would be priceless.

[Rfitz 14]

Jon, That sounds very interesting, and I would be more than willing to see someone like that.. If your coach has someone in this area I would enjoy talking with them..

I try and not be too negative, but I tried having a salesman last year, great person, very professional, very articulate and never tried to close anyone, just wrote up the bid and met with them maybe 50% of the time, problem was I didnt see any difference in doing that as opposed to just mailing the bid, although the year before when I was doing the selling, I ususally got 40-60% of bids to sales, but now we are too busy.. I cant do both do all the work, babysit and then go and sell all night,..? that will get someone burnt out, but out of 8-10 employees I have hired in the last few years, I have never been able to just let someone go on their own, I tried and in all cases I usually averaged 60-75% call backs (mistakes) which cost's a company alot of money so it is better in my opinion in this biz to stay small to control quality, with that being said I have to be at every job it is kind of a catch 22 deal, I know maybe in grass cutting or roofing, something very simple you could let your people go on their own, but I have found this trade way too complicated for most laborers to do own their own, which may be a good thing keeps out the competetion.. when they realize how much is really involved with our industry we could easily have a 4-5 year apprenticeship, and that may still not be enough...? Oh well, enough complaining..

Have a Great weekend

[Mike Williamson 198]

If you don't see the advantage I will tell you in my opinion. Traditional marketing says close the sale do the job and your work is done, on to the next new customer. If you want to increase your bottom line, then you need to meet your customers and start to build a relationship with them. If your best interests are meeting people, building relationships with them, and offering a solution to their problems your business will soar. By building trust and confidence with your clients your biz will evenually live off of repeat and referral business, your advertising costs will decrease, and your profits will increase.

If your best interest is making money from people you really don't need to meet or even see then your only shooting yourself in the foot. You will always have to search for new customers and your advertising costs will always be high.

I try to never do an estimate without meeting the prospect. I want to start building that relationship ASAP. I always listen to what they have to say, I get to know them. By the time I am finished with the job I should know quite a bit about them. This is NOT the end of the job, it's the beginning of a relationship. I will keep in touch with them in person, by phone, or usually by mail at least 4-5 times a year, starting with a thank you card and asking them for referrals. Send them a promotional item with your logo on it, send a newsletter, latter in the year send them a postcard offering a discount only available to repeat customers, I try to learn their birth date by sending them a questionaire once I find that out I send them a b-day card when it's their b-day, x-mas cards, anything I just try to keep in contact with them. People like to feel important, not like their trying to be sold. Make them feel like you care and in return they will refer you without even thinking about it.

I might get 1-3 referral jobs from 1 customer. Those referrals give referrals and so on and so on. Lets say we both can only advertise one time. We both land one job each. You go do your job and briefly meet the people for the first time while collecting your check. Now what, you can only advertise once remember, you MIGHT get a referral if you do quality work but probably not since the people really don't know you. So your done! Now I go do my job and build a relationship with my client, and collect my check. I send the customer a thank you card and nicely ask for referrals. After awhile I land another job from someone my first customer knows, without doing anymore advertising. I do that job in the same manner and land a few more referrals, it snowballs from there and I work all summer while you've been sitting at home living off your one check. That's the advantage!!

Just my .02 cents

Excellent!!! And you were worried about making it??? You have NOTHING to worry about!

I think that for some of us, the reason we lean towards not meeting the customer is that we're weak in the sales area, or in the one-on-one communication thing. I prefer to estimate a job when no one is home...My introverted shy self can just write up the proposal and stick it on the door and that's it! easy! If they call, great! But I know you're correct, from my own experiences. The customers that I most often get referrals and repeat business from are the ones with whom I have built a relationship. The ones that I was able to walk around and just chat with, either before or after the job.

I realize that some jobs are just going to be almost impossible to meet with the homeowner, but I think I will be working harder to do so. Thanks for the nudge in the right direction!

[Rfitz 14]

I almost forgot, to mention so that we are all on the same page, and dealing with apples to apples, we do on average 30-50 bids a week during the season 7-8 months a year and get at least 4-6 decks a week and 5-10 houses a week 2-3 people including myself doing the work, now maybe some can see how coluld I possibly do everything... Maybe If I didnt have to sleep or eat...?

[JFife 14]

Rfitz,

Those numbers seem askew to me. Seems like you are doing waaaaay too many estimates for the number you are closing. Hey, you give me 20% of anything I close, schedule me 10 bids a day, and I'll be up there tomorrow!!:) You can blast/strip until your hearts content, I'll blab about the Cardinals and sell deck jobs. Another thing--in the interim between now and finding a biz coach, read, "The E-Myth revisited", and the newer, "The E-Myth: Contractors Version" (I've not read the latter, but the former changed the way I work). In my opinion, you are at a very unstable and sensitive time for your business. From what you are saying, if I were to be honest, I'd say that within the next two years you will either be really thriving or you'll burn out, and quit. I don't think there is going to be a middle ground. You'll either have to fight through these growing pains and succeed, or buckle (not for lack of success, but burn-out). You are in an enviable position, you just need help!!!

[Rfitz 14]

You are right on Jon, that is why this past year we got into remodeling homes and rehabbing then selling, and it has been awesome, to say the least.. we are now at job sites 4-8 + weeks not making as much hourly but more steady work than pressure washing at least in the 5-6 BAD months (WINTER) and I see a much brighter future especially with remodeling in the OFF months, I still love pressure washing, but I run the biggest ad in the yellow pages and thats is why so many calls and bids, however that just opens the door for bigger longer jobs in the future, I see more and more with each customer they are looking for 1 Guy / Gal to handle all their Home Improvements,

and thats where I see my future, Diversification, Power washing opens the doors to so much more opportunity in the long term, People hate hiring 10 companies for 10 different projects,

[JFife 14]

Interesting point Rob, regarding not wanting to hire 10 people/10 tasks.......

Ken Fenner and I have been debating this for awhile now. I am curious, what is the main demographic you are servicing?? I.E., suburban, below 400K, above 400K, etc?? Are you working mainly Clayton, Chesterfield, etc., or are you on another side of town?

Ken was the first to bring it to my attention that people like to hire a one-stop-shop.......I was of the opinion that maybe upper-middle class felt that way, but the true UPPER class liked specialists, i.e. lawn guy, deck guy, wash guy, painter, handyman, etc. Recent events have me questioning my stance on this subject. I'd like to hear what your demographic is, and what has you believing that your customers would like to one-stop-shop with you.

[JFife 14]

I've had people pm me regarding the "coach" thing--the person I deal with mainly does phone consultation, so it might work nicely for some of you guys. Send a personal email to my acct: jonathanmarkfife@hotmail.com

I'll get you her info right away. I'll wait a couple days for everyone to email me, so I can send a bulk mail.

[Jim Carroll 14]

I deal mainly with contractors and many of them like the least amount of subcontractors as possible. it is less people that they have to look after and less paper work for them. some of the contractors that I clean brick for, I now go back and clean their flatwork and exterior windows and any masonry sealing that has to be done. for contractors they can sometimes get a better price from their subs if they give them more than just one project on a job. I have a friend that is a general contractor and he will call me for oddball stuff because 9 times out of 10 if its something that I can not handle I can get someone to do it for me and still make a few bucks off of it. I clean for him and do minor waterproofing and concrete repair for him and he pays me good. I like to stick with my specialty of masonry cleaning but if someone is standing there wanting to give me money I am going to take it if it is something I can handle and fit into my schedule. I still do a small bit of residential but I give my price and tell them when I can do it. Due to scheduling with some of my contractors often with residential I will tell them I have a two week lead time but if I can fit them in sooner I will. that has not been a problem.

fife I like the sound of your coach.

I do however like meeting people and talking with them. You just never know how that person can help you out.