Plumb Dumb Sales Crumbs

Maybe my plumbing system is paying me back.

A previous editorial about "How Not to Sell Plumbing" got tons of response from every contractor type. Most of you "saw" your techs or knew of others just like that: a mild aversion to selling a customer, even one who virtually handed them a Visa card, with upselling hints as subtle as Paris Hilton's nightie.

Apparently, other parts of my plumbing system were getting jealous.
The toilet in my children's bathroom started making some sort of gurgling noise. Mostly at night, when I was the only one awake, just to be creepy. I'd be blissfully reading my Road & Track, when at 1 a.m. the sound of someone strangling a Bullfrog would emerge through the walls. Most unsettling.

The toilet in their bathroom was from the "Pre-Stupid-Era" when men were men and toilets were resource-wasting ceramic cyclones. You could flush a full grown Coconut Tree – nuts and all - down this thing without a whimper.

Yet yesterday morning, telltale leakage spelled the end. The whimpering was mine.
So, we called a DIFFERENT plumbing company this time, hoping for a dose of professionalism and long-term concern. (HINT 1).

The appointment was painless enough. The CSR's lack of enthusiasm had me imagine she was past president of the insomniac's club, but she got the facts right. (HINT 2.) Oversights: Didn't ask if we had an account. Nor if we were "Agreement" members. (Both 'yes' to our commercial property, but NOT at home. I'd have thought this important.)

Plumber arrives an hour after stated appointment window, sans apology or explanation. Didn't ruin my wife's day or anything, but during Christmas, schedules are tight. (HINT 3)

After a brief description followed by three grunt-filled responses, he skulks upstairs to survey the problem. Seems the whole company has a "Let's Have a Lethargy Contest!" attitude. (HINTS 4 and 5). Question: How enthused are you in the face of full-fledged sourness? Just a thought.

Finally, after pondering the situation, he utters a gravely misleading comment that he THINKS is doing us a favor. It isn't.

He says, "Yeah, this thing is worn out. We can replace it. I'd recommend a to replace it." So far so good. My wife is nodding in acceptance. Then he says it:

"You could go to Lowe's or something and get it cheaper. Then we can reschedule for next week and put it in."

My wife, queen of budgetary sense, thought this was a "nice" thing to do. I, however, staggered for words. Still am if you can believe it.

I speak with contractors every week who "wonder" what happens on jobs, what happens with the CSR, the upsell, the Agreement program, customers leaving… and they never know stuff like this goes on. They never know the risks being taken, the words being said, the sales being given away.

Undeniable Truth: The tech thought he was doing me a favor to save some money. That's how he buys. Ever had a waitress at a 5 Star restaurant say "You can get that steak cheaper if you cooked it yourself"? Please tell me the difference.

The point is to DELIVER on the request. My request, the company's mission, the solving of the problem.

The lead and the job was theirs. It was "in the bank". A referral source.

If I'd wanted the ultimate in money-savings, I'd have gone to "Big Box Enemy of Mankind" myself, and called "Larry the Halfwit" to install it. Four bolts and a wax seal. I get it.

If I'd wanted to go to mountains of trouble to save $50 or $100 or whatever, would I have called a legitimate service company?

Oh, and let's not forget… there are other plumbers who actually install toilets.

Since I was already going to Lowe's, I stopped to see the stunning array of toilets. After seeing 47 variations on waste evacuation - fully expecting to find one that'd turn the magazine page for you – I asked the very helpful Lowe's Lady for her opinion. She had one by golly.

She was clear, concise, informed. Talked me "out" of a more expensive one, and actually chose the EXACT same model as Mr. "Please Don't Make Me Sell You Something". Then she asked, "Are you putting this in yourself?" After turning around to see who she was talking to, I answered, "You can't bet your rear I'm not." Guess where this conversation is going.

Smiling she said, "I've got a list of plumbers here who'd be glad to get the work, all qualified, all reasonable."

And therein lies the trouble. Not only did I try to give my money and my business to them, they willingly referred me to the jaws of the competition. Lots of them. All to "do me a favor." I don't want a favor. I want a toilet. (HINTS 6-10. At least.)

The dramatic conclusion to My Toilet Saga will be coming to an ezine near you soon.

Questions for you:

1. How do you train YOUR techs to handle a situation like this where the equipment isn't "on the truck"? Are they actually doing it?
2. Have you ever asked your techs if THEY offer "Money saving options" to customers?
3. Do you have a "policy" on selling what you sell… and not what others sell?

Send any responses to this article to mailto:questions@hudsonink.com

Forward this editorial as much as you darn well feel like it.

The Timing and Training of Market Leadership

"Black Friday” sounds rather ominous to me. Though retail in-store sales were “only” up 5.1-7.2% over last year, depending on which horrifically negative expert you choose to fear, this was to be followed by a booming “Cyber Monday” for online retailers.

No matter the outcome, this’ll be followed by “Identity Theft Tuesday”. There’ll be the traditional day of rest to filter your personal data, and then it’ll be “Male Enhancement Offer Thursday.” There’s nothing like Spam for the Holidays.

True as this is, there’s much to be learned from the onslaught. “Congruence” with the season matters, as does incremental timing within the season. (You wonder why we put “Holidays” instead of “Christmas” on our Card offerings? It ain’t for being PC boys and girls – my stance there is well-known – it’s so ‘your’ card has a chance of staying relevant ‘til New Year’s.)

Likewise, we’ve all heard the lazily disregarded radio ads that tout “Summer’s almost here!” in September or “School’s just around the corner” in November. Sadly, we’ll continue to hear Christmas references until it becomes an utter embarrassment to all Wise Men.

The money spent on being perceived as “late, lazy, and/or irrelevant” undoes most any claim you’d have to being fast or efficient. Your example trumps your words, sort of like parenting, but with faster public humiliation. (Spears and Hilton families may beg to differ on this point.)

The antidote for the perception of being behind is of course, to lead. You may ask, “Lead what? Lead how? And what ever happened to your request for submissions on the not-so-sharp non-salesperson who missed 3 sales opportunities while he was replacing your water heater?” Talk about timing!

Leading is an even more fearful concept in a time of great hand-wringing, “holding back” and “Let’s just wait and see what happens.” I’ve long persisted that the last one is more correctly stated as “Waiting to see what the leaders in my market do first, so I can make sure it’s safe to do something.” The leaders lead. The followers follow.

Most would say they would unfearfully lead if they only “knew” what was coming. Let me remind you I’m not talking about going into battle. Or before a Grand Jury. I’m only talking about marketing leadership, or in the case of the current economy, a marketing presence while others retreat. An unrisky strategy if ever there was one.

So, “marketing leadership” becomes easier when a bunch of “me too’s” falls from existence. The marginal contractor, made moreso by his marketing invisibility, will likely fail in 2009. There’s not enough excess to support the invisible. The corollary of “visibility” holds true and can easily be deemed as leadership. Would you rather run a race against 25 competitors or 10? The timid’s response is “Depends on who’s competing!” And the answer will always be, “The leaders”. I presume you’d like to be included.

Yet this year, marketing visibility with efficiency will be our push at Hudson Ink. There will be no “street wise” example overlooked, no tightwad’s angle cast aside. Likewise, though I’ve been saying it for 5 years, your bloated YP budget has got to go. Now. Your resistance to lead before the need arises, cannot wait any longer. A healthy market is forgiving to slackers in the pack; a tight market grants no leniency. Same goes for us.

I’m in this thing with you. (I won’t bore you with our plans, but suffice to say they’re identical to the ones suggested for you.) I’ve joined another Coaching Group, helping create an entirely “different” Coaching Group (more about this in upcoming months) and am staunchly encouraging readers to join in their own. Why?

A mastermind group’s input is potentially the most efficient system on earth. Problems get sliced, diced, repackaged, solved by example, and focused upon with laser-like intensity. You don’t feel like your market’s only pioneer (the ‘arrows in back’ analogy coined by followers no doubt) when you hear a gaggle of “Go for its” from those who’ve been there, done that.

Yes, we offer Coaching Groups but I’m not trying to “sell” you ours (Platinum is sold out anyway) yet I urge you to get involved in one filled with a leadership mentality. You rise – or fall – to a bracketed level of performance and attitude.

NOTE: We are having a F*R*E*E ACCESS Teleseminar for ALL SMI READERS on December 10, 2008. I’m putting 6 of the highest paid Contractor Coaches on the phone for ONE HOUR. All are required to share a strategy or tool worth at least $10,000 to you. I cannot accept more than 500 attendees. You must register here.

Quick Report on a couple of Groups to Avoid and Embrace here.

Now, this finally brings me to the smorgasbord of “Group Think” support by listing the answers to a question posed two issues of SMI back.

The Missed Sales Opportunities

Sometimes I think I have all the answers, and just then God laughs at me and makes me trip over something. Like the other week, I asked for “three ‘missed’ sales opportunities" from the plumber who was at my house. From a DELUGE of reader emails, it appears he missed FIVE opportunities. Counted ‘em myself. Here you go…

1. The Sump Pump. This was so obvious Stevie Wonder and Estaban both wrote in with the right answer. Of course, I told the plumber that I wanted him to look at it before he left and let me know. He didn't. I still have the problem and will call another to solve it. Sorry.
2. The “Tankless” water heater. Ugh. He actually told ME about this option, to which my wife, also known as, “What’s a budget and why would you want one?” expressed interest. Never told me the price, availability, installation time, benefits… nothing. Me and my “budget” are secretly relieved.
3. The Maintenance Agreement. Talk about a softball. I’m standing there in 4” of mud on a Sunday, faced with Emergency OverTime Double Secret Upcharges with hints of gas fumes in the background… and not ONCE did the word “Agreement” emerge. (This company DOES offer them. I guess you have to beg them for it, along with certain quotes.)

Nearly all of the respondents got those right, for example:

“I would recommend our Maintenance Plan or complete home plumbing inspection – this reduces the chance of another one if these last minute, Sunday afternoon issues and maybe save water,” said Tim Bruce, General Air Conditioning, Inc.

“He missed the upsell on the water heater (tankless or high efficiency), cost to bring gas installation to code, and replacement/repair sump pump. Not to mention a service agreement on the new unit,” explained Garth Hepler, Roth Heating & Cooling.

Yet the real “thinkers” added the following….

Paul Guzman of O'Connell Plumbing, Inc. wisely suggested a Flood Detector/Alarm.

And Tom Hawkinson of Air-Tech Services saw another angle when he suggested, “Hey, Ronnie turned off the water heater for you so you wouldn’t die from carbon monoxide poisoning. Good move on Ronnie’s part (maybe the only one). But wait…how do you prevent carbon monoxide poisoning in the future? Well, sell the customer a carbon monoxide sensor, of course.”

So there you have it. Timing, success, and mastermind thinking all rolled into one. Makes you think there might be a connection among them. Hope you’ll join us on our F*R*E*E* Coaching Teleseminar on December 10. I may not ever invite these people back here again, so you’d better go register and see what the heck’s going on. You might learn something from us, and almost certainly, we’ll learn something from you.

Have fun,

Adams Hudson

Marketing MapQuest

Last issue’s editorial, about how to “NOT” sell things to customers in need set a record. It achieved the highest click through rate of any editorial in 2008. (If you don’t know about “click through rate” it has nothing to do with how fast Dorothy and her Ruby Slippers get back to Kansas. Nothing.)

Why do I tell you this?

1. To brag. Look, I’m a marketer; we live for stuff like this.
2. To let you know that your customer’s response is a vital measurement of your message relevance.
3. Measure anything you want to improve.

None of the above affected the story’s popularity of course. (Read here if you were one of the 3 people who missed it.) The above list is merely the outcome, the result, and the trailing indicator of what to do next.

Wall Street is full of trailing indicators that give forecasters the upper hand (and lower GI issues) in picking what to do next with the money... if anything. Equally in marketing, trailing indicators help you spot rising trends, products on plateau, those in decline.

Trailing, Forecasting, Surprising Results

In these pages and in coaching groups, we’ve long been pushing “down” in YP expenditures. Seems illogical since we design ads for a fee, indicating either business idiocy or inability to cite profit as a sole reason to recommend.

Results are generally a huge savings, with either no discernable lead drop (provided the ad is improved) or an increase in lead count.

Though certainly not due to contractor’s insistence for better cost per lead, yesterday’s Wall Street Journal cited that the Yellow Pages print and online are in serious financial straits. Shares of R.H. Donnelley and Idearc (top publishers) have plummeted 99% in the past year. Looks like the world realized the decline of relevance all at once.

Though there are a couple dogs in this next media, we’ve pushed way “up” in targeted direct mail, meaning a higher quality list at a lesser quantity of mailing. Our real push started in June 07 as the new construction fallout was apparent and markets were poised to be flooded with low-cost competitors. The higher- than-expected results help launch what we now call “Cluster Control” (Entire Seminar devoted to this winning strategy at the ACCA National Conference, February 24-26 in Fort Worth, Texas.)

Conversely, we’ve advised “down” for broad mailings – Card decks, blind “occupant” mailings, and others chosen primarily for volume. Bad idea. Let your competition be fooled after a huge mailing has him saying, “Why isn’t the phone ringing?” Hear me: Frequency over reach.

As the economy worsened through Spring 08, contractors began reporting better than average returns on a proven cash producer.

Customer Retention got a large, unintended boost this year. Seems if “asset protection” is wise in a downturn, it’s hard to name an asset more valuable than customers. (If you shout “Money!” please recall the source of that money.)

What’s Working Now

When you read the above, you can sense the leading indicators. Though I’m a little shy to project too far out, there’s broad insight from contractors who’ve shared healthy results.

Example from Real contractors…

Bill Stribling at Sullivan Service Company is a great guy. Very well-liked by customers; but, like many contractors, sort of “overlooked” Customer Retention. He got more serious about it last year. He said, “To say things have been slow is putting it mildly – we were almost to the point of calling our own numbers just to make sure the phone still rings! Then the newsletter you did for us went out. Suddenly it’s all anyone is talking about – church members, friends, and thankfully, customers!”

Jimmy Eanes, another contractor friend of ours told us “I sent out 6800 issues to my customer base and during the next 4 weeks, over 124 calls came in. Some of them we hadn’t spoken to in 3 years! We sold $169 tune-ups (great idea) yet normally have trouble selling them at $79! Plus we sold 12 complete systems for $62,728. Basically, my customers love the newsletter… and we do too!”

Juan Cardona in West Virginia noted, “Though I sure don’t tell my wailing competitors, we just had our best October ever. It feels good to be able to serve more people.” Main factors: Good hire from summer; Fleet-wide truck wrap; “Clustered” Direct Response; Newsletter.

What’s clear from the above – Decisiveness. Action (largely resistant to over analysis or needing approval), Willingness to change and track. Not easy in turbulent times. Maybe you need.…

Your Marketing Map for the Next 90 Days

To help all of you move forward, we’ve launched the most ambitious schedule of our lives, with 2 upcoming events in December, another TBA in January -

1. Marketing Map – Webinar on December 3 hosted by ACCA for ComfortU members. Go here to join or register.
2. First Time Ever. No plans to repeat. Coaching Club Bonus Meeting – December 10. Six of this nation’s hottest (and most expensive!) contractor consultants will be in my office visiting. I figured, “Why not put ‘em to work!” Basically, there’ll be $35,000 a day worth of talent on the phone for those who register soon. Sales, Hiring, Customer Service, and Marketing topics covered. Require each expert to “GIVE AWAY” a tool or idea worth a minimum of $10,000 on the call. Thought about making you pay for this one ($1000? $500?) but it’s a no-cost event. Limited to 500 lines. Am not buying any more than that. Register or miss out, your choice. A surprise announcement may be made.

“Hey, Let’s Lose Some Sales! Blame it on the Economy and Cheap Customers!”

A True Story (much as I hate to admit it.)

It happens. I was nervously preparing a speech to my church, (for BOTH services, 2500 members or so) and as you might guess, I’m “just a tad behind” getting ready. I decide to take a shower at the last possible second, since its considered bad form to reek at the lectern. Then, since I have remarkably sensitive powers of discernment, I notice….

NO HOT WATER!

That’s right. Go ahead and laugh. I took a shower that would give a Penguin hypothermia. As a result, I complete the entire cleansing process in 2.8 seconds. Possibly God’s way of making sure I wasn’t late.

Anyway, the water heater was in the home when we moved, 11 years ago. Figured it’d be “on the list” soon enough. We did the roof three years ago (no, I don’t remember by whom, haven’t heard back) and paint the next summer. (I referred him ONE $11,000 job, never acknowledged, never got re-contacted. Oh well. Guess I can’t remember him to refer for the neighbors across the street.) Since we’re now contemplating a kitchen remodel, the water heater must’ve gotten jealous.

When I swung open the basement door, I though I heard, “FIX ME, FIX ME! I’m gross and underappreciated!” in a rusty little voice. So by golly, we did. Called the plumbing company that also does our heating and air. Things went downhill from there.

The rest of this story might be a tiny bit painful. Please know I don’t do individual consulting any more (except for Platinum members) but thought you might find this valuable. Also realize that most homeowners would just be happy to get hot water again. They’re not even THINKING of telling you where they might be “sellable”. This story reveals the other side of the sale...

The answering service on Sunday had no idea who I was. Understandable actually. Told her everything again. Tech calls me back. “HAY!” he says at Volume 12 “CAIN’T GIT THERE FOR TWO HEURRS.” Understood. What he lacked in couth he made up for in conversational economy. He said he was busy, but his timing bore a remarkable resemblance to the NASCAR race. Ten minutes after the final lap, the doorbell rang.

“HAY! I’M RONNIE WITH and…” since I refuse to put the rest of this article in capital letters for fear of grammatically-correct hate mail, just know that Ronnie doesn’t have an “inside voice”. People two blocks away became startled when he spoke.

He did a good job telling me of his “trip charge” for a Sunday visit. Understood. Said it had gone up from $69 to $80 recently due to fuel prices. However, my wife promptly pointed out that fuel prices had “dropped dramatically… so was the trip charge going back down?” For the first time in our 87 year marriage (rounding up), I actually gave her “the look”.

I gave Ronnie an out by complacently saying, “It’s a moving average, so…” but Ronnie interrupted, feeling compelled to defend it anyway.

For 5 minutes he discussed the $11 rise. He told of customers who were mad about it, didn’t understand it, and the problems the CSRs were having with explaining it. Frankly, this sounded more like “their” problem than mine, so guess who wasn’t interested?

Sales mistake: Ronnie forgot that my “real” problem was no hot water. NEVER confuse your customer’s problem for a reason to vent your own or to create a problem that clearly wasn’t. It got worse.

Ronnie and I ventured indoors, he stopped. “HAY! I GOTTA PUT ON THESE!” Sorry. He put on his Shoe Covers, but instead of “GOTTA” he should’ve said, “At , these are required to protect your property.”

Small Sales Infraction: “Justify” your behavior, habits, and practices as your “difference” on every opportunity. Otherwise, is it a burden… or branding?

As we walked toward the Neolithic Water Heater, just past the dinosaur bones, I pointed to my sump pump, which had worked overtime scavenging the water produced by the erupting heater. “HAY!” I said just to get him back, “After you finish with the water heater, my sump pump is very erratic. Works when it feels like it.”

“Will do” Ronnie said as he fondled the water heater. “OH man, this is gonna be a problem…” and his voice trailed off. I left the basement, Ronnie, and the heater to work things out.

Eventually, Ronnie tells me he “can’t” get a gas water heater down there like I had. Said the last plumber fouled things up. Said it was too dangerous, code wouldn’t let him, plus if he did (though he’d already said he “couldn’t”) he’d have to move it way away, run more gas lines, lots of cost. Recommended full electric, but said there was another option for “instant” hot water, no tank, a bit more cost. Would get us the estimate on both. Stop right there.

Two sales mistakes: Told me everything he couldn’t do, compounded this with “bad history”. Sometimes this is done to support the upsell, but in this case, he told me what a mess things were, how the last plumber was an idiot, “code violator”, etc. Failed to mention why his company had stood inches from this area repairing a sink drain, but never mentioned my water heater was a Saturn V rocket, spewing Carbon Monoxide.

Ronnie had unwittingly entered the Serious Risk Zone: What if I had put the water heater in? Or my beloved, well-meaning, but now-deceased relative? Or an ill-guided representative from this company? Is Ronnie psychic, or just regularly prone to insert shoe cover in overly loud mouth? A brief detour…

In top automotive sales-training curriculum, you NEVER say or agree that the clapped out trade-in is “junk” even if the owner uses that word. You are to say, “Well, you’ve certainly extracted lots of miles out of that one…” or “You must be pretty good with maintenance to have nursed it this long” but you NEVER agree or suggest that it’s junk, or that “their mechanic” must be an idiot. Same thing here. It gains nothing.

Ronnie tells us he can’t finish the job that day, but has shut things off to be safe, which we appreciate. Says his supervisor will get with us early Monday to report and suggest. He does. Says to remove the old one (a job and a half) and install a new 50 gallon “low boy” all electric heater will be $850.

Two more mistakes: First, the “exact” number of $850 is too round, imprecise. Prices weren’t broken down. Since I don’t browse the water heather section often, how am I to know if or how this compares? Is the labor $50? Or $500?

Second is worse: Fails to quote us the “other” option that my wife was honestly interested in. We then would’ve had comparative value instead of mild sticker shock, and actually gotten to choose. In terms of the kitchen remodel we’re planning, this might’ve been worthy. Did he ask? Too late now. Ronnie needs to cancel his Psychic Friends membership.

Though very shaky in his sales presentation, we half-reluctantly bought from the company. (A lesson in there by the way. They mail us several times a year, call us for reminders, thank you’s, treat us very well on the HVAC side, and have an “agreement” with them. I’d call myself a “tentative” customer on this side. We’ll see.)

Would others have done so? Overlooked the missteps? Checked around? Bought more if asked?

Epilogue: Those of you convinced the economy is solely to blame for hurting sales; look inside to see if a little training investment mightn’t be well spent. Anyone in touch with customers needs it. (Hint: your CSRs commit even more sales infractions.)

If you think this is the “end” of the story because it was the “end” of the sale, then you’re definitely a candidate for improvement. Why?

Because some who were reading closely figured out that Ronnie also missed three, rock-solid, nearly guaranteed sales. But he didn’t even try. Send me your answers here: askadams@hudsonink.com

Questions:

1. How can you raise your average transaction size on every call, starting now?
2. Do you believe that great Customer Service Skills also sell?If so, what are you doing about it? (If not, please hand the reins of management to someone else, immediately.)
3. What are you doing to be remembered and referred that is different from “all the others”?

Simple Choices

Article and text NOT by Joe the Plumber

(I did this only for the Google rankings. A marketing lesson already.)

My teenage son just got an earful (perhaps two) about having good judgment. “We’re just a product of our choices,” I said, trying not to call attention to any of mine.

He’s driving now, which causes me to squirm even as I write the line. We gave him a Driving Contract, which is required for modern day “with-it” parents. He signed it with slightly less enthusiasm than putting a Bic lighter to his own flesh. Somewhere in there, the topic turned to friends, influences, news.

I’m as sick of the economic non-news as you are. (Part of the reason its called “NEWS” is something in it should “NEW”.) I’ll go so far as to say the following, which could cause a flurry of hate-mail being sent my way.

I’m not crying about the Economic news, especially if....

1. We start looking at what’s more important in life than money. How can it be bad to return focus on family, simplicity, and doing without meaningless clutter? Gosh, we might read a book instead of forking over $50 to go to the movies. Which one could “enrich” you in two ways?
2. We remember that if we weren’t selling our stocks or homes when they were “up”, why in the world would we become anxious in contemplation of doing so when they’re down?
3. We recognize that the “value” of our gains was merely “potential” value, only becoming realistic if sold. Big difference between “potentially” and “realistically”. Potentially your service van can compete in the Indy 500. Realistically, you’d be better off on foot.
4. Embrace the “C” word. I’ve yet to see homeowners go without heat, or plumbing, or electricity. Be very thankful you’re in your field of work, and that commodity is not a four-letter word. And more importantly....
5. Just be thankful, period. You’ve got health, or the hope of improvement, plus family, friends, and faith in better days ahead. Even what Americans call “poverty” materially dwarfs 70% of the rest of the world. We need to show less attitude, more gratitude.
6. All this stuff is God’s anyway. We’re just renting it. (Some of us a little behind on the payments perhaps.) Regardless of your faith or belief, there’s a pretty decent chance you believe someone other than man made the earth, its resources, its glory. Further, I’ll imagine you’ve yet to figure out a way to take it with you when you’re gone. Want what you have.

If THIS is what the economic turmoil brings us, bring it on. It’s here anyway; neither you nor I caused it; we can only control how we respond.

A choice, as I see it.

By this time, my teenage son had passed out, bored into a slobbering heap. I hope some of it got through, and those are my hopes for you too. Now go share some good news. There’s plenty enough to go around.

Thoughts and considerations –

1. Do you have ONE PERSON you’d like to thank? I bet more than one. Why not ‘pay out’ with some thanks to somebody who could use it? Pretty darn easy, too. Click here to get started.
2. Do you have a whole BUNCH of people you’d like to thank at one time? Like, um, maybe YOUR CUSTOMERS? Take a look at Holiday Cards ANYWHERE YOU WANT. Ours are here.…
3. Would you like to triple your market penetration for pennies? Let us send you the Radius Marketing report, click here.

Recession Proof Your Business Now

From BusinessBuilder.com - "There are some businesses that continue to thrive during economic down times, mostly because they offer products and services that are always necessary or in demand. These businesses are recession-proof. But many make missteps that cause even their own decline…”

As a contractor, you’re taught to almost hate the word “commodity”. It reeks of sameness, lowest-common denominator, “price is the only differentiation” type mentality.

Yet, in contractor marketing, we do all in our feeble power to create distance between you and “that” word. We promote uniqueness, value-driven benefits, creating an iron-cage of loyalty and referrals because of the service you provide.

In all of this, we know a damaging truth: the skill sets and products don’t vary tremendously among other contractors who call themselves “good”. The variance is how you market your particular company to create differentiation. Now, in the grips of an economic downturn, there is a word that has a sweet ring all its own:

Commodity.

If you and I were selling luxury yachts, or waterfront condos as a 2nd home, or any of a zillion businesses even remotely “optional” we’d be scanning the classifieds for work right now. Yet, in the contracting world of keeping homes comfortable and safe, with running water and a dry roof overhead, there is a silent word of thanks that this is our calling. Oddly, to offer a “necessity” becomes its own luxury. Yet, many contractors will do something that – as humans – gives us all reason to shake our heads in near disbelief.

They’ll go silent. They’ll hide. Presumably, they’re wondering if becoming invisible will make them visible. Sorry, I can’t figure it out either.

At the very point on the economically-dictated map when stepping into the light of availability would make the most sense, many contractors play hide and seek. The customer would prefer not to seek, but to find. Instantly, if possible. Thus, the cowering contractor who was “waiting to see how bad it really is” becomes his predictor of fate.

Yet the corollary to this assessment is where my best clients would rather I’d chosen to silence myself. It is that if enough contractors think invisibility is a good idea, then that throws the door open wide for them. It’s almost as if half, or more, of the competition has suddenly left the market.... which in true service terms, hasn’t diminished at all.

The HVAC system doesn’t read the newspaper, and will thus fail if it feels like it. In fact, more readily if unmaintained. The water heater is neither Republican nor Democrat, and will collect sludge at the same rate as always, choosing to rot at its normally scheduled time. My breaker box is just as old and crusty as most of Congress (yet more agreeable) and doesn’t change its rate of corrosion for anyone.

So, the service business is the same now as ever. Only difference is the fearful contractors are leaving it wide open, walking away as if the home’s systems are doing exercises at night to prevent failure. There’s even a sound argument that the service business will expand due to more “cocooning” (marketing speak for more time indoors, at home) resultant from the too-expensive off site vacations, restaurants, and entertainment. I for one agree, but don’t want to take you too far too fast, on the assumption that I somehow benefit from a “pro-marketing” push.

Oh, sure, we marketers always think marketing is “the” answer, and in my not-so-jaded reality voice, I contend it usually is the answer. But only to a problem that is related to generating phone calls, building image, recognition, RETENTION, and referrals. If you happened to notice one word in there more prominent than the others, there’s a reason.

I get paid most of my money to generate phone calls. So be it. You find this proclivity “mystical” but I find your ability to detect a leak you can’t see “other worldly”, so we’re even. So, my reverence and strongest advice is for retention right now. (You can call us to get your phone to ringing, but it’ll be a lot more expensive and quite honestly less productive than the following.)

See, “your” business economy is not currency. It’s customers. So, to go one alliterative step further, customers are your currency. They’re cash. They’re gold reserves. They’re your oil pipeline. And if any of those were in your physical possession, you’d do all in your power to “protect” those, right? Same thing here. Your focus upon your most valuable asset – customers – is premiere, right now, like no other time.

And for those of you who might slip into “fear-think” mode and say, “Hey, they already call me when they need me so I’ll just do nothing” are woefully misguided. I don’t know who told you that customers have 100% recall, 100% loyalty, and that all 100% have you on speed-dial, but sorry to let you know: they don’t. You think the American public doesn’t know and remember who Coca-Cola is? Then why-oh-why do they continue to remind us? Perhaps to continue building and maintaining their position of 65 year uninterrupted dominance in our brains, that’s why.

Your job is to service customers, not to disappear on them. So, if you want a marketing tip or two, be a good steward of both your resources and your customers by.…

1. Reach out. It’s not all about you – at least to your customers it isn’t. So when you make it about them you score every time. This is one reason why your newsletter is so important (ask for a free sample if you haven’t yet done yours for this season). You get to reach out to your customers about more than just their contracting needs – but you reinforce the relationship and their loyalty for when they do need you.
2. Remind. Do you remember everything that you’re supposed to do? Didn’t think so. So why would you think your customers remember every time their equipment needs to be serviced? Or who serviced it for that matter? Remind them that you can handle both for them with your branding and TOMA campaigns (call us if you don’t have one and we’ll get you started before more of your customers forget that they’re your customers).
3. Reward. If your customers repeatedly choose to buy from and refer you, why not make sure they’re getting something out if it? Use discounts, “bonus dollars” towards future services, or small gifts to reward them for their loyalty.
4. Respond. Your customers want to know that they’re being heard. That means when they call with questions, concerns, or outright complaints, you respond. When they know that you’re paying attention and not just ignoring them, they’ll know you really care – which strengthens the relationship and their loyalty to you.
5. Reap referrals. There’s no better way to gain automatic trust than through a referral. You’re covered under the umbrella of whoever referred you. And if you’re not asking for referrals, you’re missing one of the most valuable – and least effort – revenue streams available to your business. Not such a great idea with this economic forecast, eh? Call us for a free Endless Referrals report and start mining this high quality group now.

Before you say “why bother”, you may want to consider these cold hard facts:

• It costs more to find a new customer than to keep an existing customer. It’s estimated that landing a new customer costs 5 to 20 times more than selling into an existing relationship. (Source: http://www.salesresources.com/)
• Just a 10% improvement in customer retention results in a 30% increase in the value of the company: That’s absolutely huge, and although effort is involved, the process of implementing a sound customer retention strategy isn’t hard. (Source: Bain & Co.)
• The probability of selling to an existing customer is 60-70%: And there’s only a 5-20% probability that you will sell to a new prospect. (Source: Marketing Metrics)
• 80% of your sales come from 20% of your customers. (Source: http://www.marketing.about.com/)
• A 5% increase in customer retention can increase business profits by 25% to 125%: Read it again if you have to, because those increases again, are huge! (Source: Gartner Group and “Leading on the Edge of Chaos”, Emmett C. Murphy and Mark A. Murphy, 2003)

Neither of us can “change” the news. All we’re able to control is our reaction to it. Thus, the choices are to do nothing and cause that exact outcome in our business or to market prudently from a true stance of fearless invulnerability. I assure you, either choice will make a tremendous difference in your confidence, business and future.

The Great Email Backlash

I hate it. We all hate it.

Email has turned into the digital telemarketer during dinner. It's too much, too often, and - in my lowly estimation – too cheap. I wish they'd charge for it so the spammers, slammers, and scammers could just go bother someone else.

In the meantime, you and I nearly dread the return from a vacation, finding inboxes crammed with promised millions, Viagra offers, male "enhancements" and some scandalous promise from the marketing world. (Yes, probably even me on occasion.)

So, the legitimate emailers of the world are sort of trapped by association. This very e-newslettter goes through massive filtration to keep out of the trash (though we lose a few some every issue) and has gotten 'dressed up' mightily over the years to maintain a credible presence. We've taken steps to greatly increase readership, get by the "wrong" filters though.

Many of you have ezines for clients who visit your website. Yahoo! Great move, that's an awesome babystep toward the relationship. But it cannot stop there, or in fact, it WILL stop there…. then retreat.

MarketingSherpa – an online marketing training company - conducted a study of 4,000 email/ezine publishers and found some startling news about email backlash. If you ONLY use email as a customer contact, they found that "Credibility and readership" were most at risk. Seems those might be important.

Shocker 2: They found many online, solely digital based businesses "finally" resorted to postal mail to drive customers to portal and commerce sites with resounding results. One seminar company ($40million in sales) that teaches how to make money on the internet found its biggest response to seminar attendance was from – gulp – postal mail.

Re-read the first 3 sentences of this article. Now read the rest of this article and the strategies you should consider now to grab your customer's attention while your competition is looking for the "cheap" way to drive them to boredom…

Bottom Line: Postal mail is back, in a big way.

Almost immediately, we launched a paper and ink newsletter mailed to our top clients (CRC and MegaMarketer members receive The Contractor MegaMarketer every month.) We've been bugging you about this trend, feeling it would only get worse. We were half right.

It got worse, but for two different reasons: "Distraction and interruption".

Whereas postal mail can be read at leisure, and other media can chosen or not, email continues to relentlessly 'bling' into place, ever heightening the stack of "unopened" mail, each begging for attention.… while some legitimate email lands in the SPAM folder for no discernable reason. (Case in Point: I'm doing a product exchange with a man I've communicated with for a couple months; today, without warning I see his proposal is in my SPAM folder…. and has been for 2 weeks. Why? He had a "dollar sign" in his email.)

It's Not A Youth Thing, Mega-Byte Breath

I was sure I was on the "other side" of the age group attempting to form a "Let's Kill the Sender of the Next Email I Didn't Request" party. But no, not by a rather long shot. And the "target" audience that contractors are after hate email more than you do!

So, here's where I admit I was half-wrong, twice in one article. Quoted from Vertis Communications study on readership habits and advertising response:

"Despite the rise of website, email and other electronically based advertisements, printed direct-mail marketing pieces are still widely read, especially by women ages 25 to 44.

"Eighty-five percent of women ages 25 to 44 (with email accounts) said they read printed direct-mail pieces compared to just 53 percent who read email advertisements. The percentage of young women who read email advertisements has not changed from 2005, when 54 percent indicated they viewed this type of marketing. Numbers for women 45-65 were 94% and 45%, increasing the email to postal gap markedly."

Double oops. Your "target" group prefers postal mail, and email readership hasn't gone up at all in 3 years. (Remember, the prediction was that the US Post Office would be nearly shut down by now!)

After a year of our print plus email versions, results have been astounding. We "point" from one to the other, engaging people at the level they prefer. Likewise, we point from email to web, web to phone, and mail to both. Email alone could never accomplish this. Also.…

Ever try finding 'that' email you so enjoyed 4 months ago? Sure, I can print it out and save it, but who does? But with "real" mail, I can keep up with it in one location quite handily. Mark it up, dog ear, write on it, rip a coupon and put it in my wallet.

Your strategy in a limping economy –

1. Build a huge, impenetrable fence around your customer base starting yesterday using a variety of media. Primary means is Direct Mail. Secondary means is Telephone (as thank you to every service visit, follow up to request referrals). Third means is email identified clearly as from you and NOT a solicitation.
2. Postal Mail contact frequency per customer: 4-12 times per year with at least 4 contacts as "soft sell" and/or educational pieces (newsletters, reminders, or other). Two to four more can be "celebratory" (birthday, anniversary, holiday, etc.) The remainder Direct Response offers.
3. IN ADDITION to above, you can email up to twice as often (since delivery rates are so pathetic) making sure every contact is run through a SPAM filter. More trigger words are added daily. CLICK HERE to get the most current list.

Remember, your credibility is contained in how you contact your customers. If YOU ONLY communicate in a way that's cheap and grossly overused, don't be surprised if you're "associated" thereby. Combine your contact methods. Let Postal mail "drive" customers to the phone and to your website; pound your name into their recall for their friends and neighbors.

Adams Hudson

P.S. Do you want credibility and readership from your customers? Click here to receive a free Customer Retention report and customer newsletter sample.

The Concept of the Common Villain, and the Ugliest Yellow Page Ad I Ever Saw in My Life

Headline too lengthy? At 17 words, it's 3 over the "expert's" limit, but since you've now read this sentence, apparently "they" are wrong. Again. The problem with experts, policy, rules is that it is no sooner created than refuted in the area of human psychology and persuasion.

Yes, I list "rules" in my seminars and writings. I do this to keep it simple, clear, relatively concise – and I'll defend to the death that there is a place for such. The pie crust recipe on the box is just fine for "standard"; it's your mama who made it better. She made it hers.

So far, I've hinted at two marketing lessons relative to the headline. The first is the elusive "they", a band of mysterious experts that most would like to see beat up somewhere. The second is "standard", which although representative of the majority, virtually no one claims to be a member!

Both, as it turns out, are rather subtle "enemies". You identify with each on some level, desirous of stepping aside while they pass.

Then there are the flagrant enemies, worthy of banning together and bashing against the tyranny.

All good movies and books have them. All super-heroes have them. All fascinating lives have them. And I have mine in marketing: Thank Heaven for the villainous Yellow Pages.

I applaud their sales nastiness, their cunning, marginally deceptive strong-armed tactics. I adore their awful, underperforming ads, dripping with world-class creative incompetence. I love that they're a really big, really expensive, and – in the realm of ad creation – an easily beaten foe. A Goliath needs a David. I have been happy to accept the role, however poorly, crudely, or undeservedly.

The ad agencies told me, not so politely, that I was insane to "charge" for a YP ad that the publisher would do for free. We started doing these because we knew we could do a better job than the schlock "they" did. And we could guarantee them. (Currently a 97% "keeper" rate! Something MUST be working!) We were paid, and the ads worked.

Oddly, that wasn't the main value.

Whenever I mentioned the Yellow Pages in a seminar or article, we found a near-rabid, froth-at-the-mouth, "Let's storm Frankenstein's castle!" type of rage toward the Yellow Pages. Contractors were livid, impassioned with stories of, well "un-nice" things. I'd stumbled upon "the enemy". Hallelujah.

Over the years, you've supported helping us take Goliath if not to his knees, at least a couple well placed shots to the shins. Thousands of you have gotten better ads (mine and your customer's opinions.… not always yours!) that saved you money, generated more leads, and got you to consider investing some of those saving with this "crazy marketing guy". It's been an honor.

You too have enemies to flail in front of your customers.

A few in our PowerPack in case you missed them, but whether you have that product of ours, take a gander at the "enemy" line up that causes your customer to sit up, take notice, and hopefully take out a pen to sign the "Bid Acceptance" form….

The Government – We yelled at them for the 1.6 gallon toilets (in the Plumbing PowerPack) and for their handling of the 10-12 SEER efficiency change. We did the "end around" for the efficiency rebates. (Greg Gill did over $2million is sales by himself with that promo. Showed that ad to a combination of applause and shock at two conferences. Mega Members have it.) We've used the Government as a "friend" when needed to support facts and figures. It's all marketing.

The Utility - If you can't make these guys enemies, you're WAY too nice. The rate shifts, profit gouging (perceived), and the assumption that all energy bills are going up, all the time, even while you sleep. Showing an ROI on energy – NOT PAYBACK! – is easier than my daughter's 9th grade math homework, by far.

The Competition – Be careful here. What you want is a "General" acceptance that "many" contractors make you wait too long, or don't show up at all, or "seem" to disappear when there's a warranty claim. That's easy because it's true. But customers need reminding. And many contractors don't drug test, or train beyond the "can you please walk upright" test, but YOU do drug test, and you send your techs/CSRs to school regularly. Plus, "others" may confuse the homeowner (undoubtedly) but you show prices up-front, and explain what you're doing. Guarantees separate you even farther.

The "Business As Usual" Approach – This is the "Whatever happened to Customer Service?" that McD and others have so ungraciously numbed us to. Making a point of follow-up, sending newsletters, thank you cards, and appointment reminders are not just me trying to 'sell' you something, it's for you to be a standout in a sea of Customer Disservice. Heck, I just spent a year on a CSR package because this industry needs to step out of the shadows. Making an 'enemy' out of sorry service is easier than Michael Phelps kicking rear in Marco Polo. You're different from the "norm"; make that thoroughly obvious.

Yourself – Funny one to pick, but you're different.… remember? You bought too many, you bought too late, you understaffed for the season, you forgot there was a price-increase coming ("so act before I change the price books"), you over-allowed/under-allowed for the mild weather. Oh, you can't "admit" a mistake to your adoring public? Then please show us the X-rays of the printed circuitry where your brain is supposed to be. We make mistakes; humans admit them; customers accept them.… and raise their trust of you while they buy accordingly.

If you're not employing enemies in your work, you're failing at the "contrast" customers use when they buy. Check your PowerPack for more, or call us to get you started.

QUESTIONS:

1. How can I make an obvious 'differentiation' in my business in every phone call? Every ad? Every form? Every customer contact?
2. 
   Do my techs and CSRs know how we're different? Do they regularly "position" us favorably against the enemies and threats customers face?
3. 
   WHAT IS THE UGLIEST YELLOW PAGE AD ever in the history of the universe? (Okay, it's not the ugliest, but it IS the one we chose for the Free Yellow Page Ad Makeover to be given away at Comfortech! Come by EXHIBIT 132 to see all the critiques! Or you can "CLICK HERE" to get the full report when it's published. This should be a hoot!

Is Your Business Enhanced with Each Job?

Oops, I did it again. (Apologies to Ms. Spears, perhaps the only one she’s gotten in awhile.) But I – well, “we” since my wife is an accomplice – bought another project. It’s an old, dilapidated, run-down house, exactly the condition we like. Seems to be a theme with me: “HEY LOOK! There’s a project where I’ll need contractors in my work life AND nonexistent spare time! I’ll take it!”

Basically, I take all the money I earn from contractors and then give it right back to contractors. It’s one big circle of love. Or is it a slow moving drain?

The Realtor, attempting encouragement of said house, “Adams, you could do part of it and just leave the rest as it is.” This is like saying, “Michelangelo, if you get tired of doing that ceiling, you could just sheet rock over the rest of it.”

In an attempt to appear prudent, we hired a real architect and a real contractor.

Electrical – Complete rewiring. The old box had been painted shut in the 80’s, apparently just after the wiring was “upgraded” by Medusa’s hair stylist. It looked like a nest of light green snakes. Some switches in the house worked; I think a few of them were merely decorative to cover up the fist holes.

Plumbing – There were two bathrooms, sort of. One of the toilets was dated 1965, and worked, but it’s “per flush” volume was enough to cause area lakes to shift slightly. The other one swayed like a drunken Frat boy, and was about as presentable. My wife looked at each plumbing item and labeled them all with the technical term: “Gross”.

HVAC – Far as I could tell, there wasn’t an “H”, “V”, “A” or “C” worth keeping. Some contraption had been installed about 2” beneath the deck, whereupon its hot humid blower had rotted a 3 foot hole in the deck. One peek under the house revealed “ductwork” apparently engineered by Dr. Seuss of “Whoville Air Conditioning.” It had more kinkiness and joints than a backstage Hip Hop party.

Roofing – The most amazing thing: It didn’t leak, but it gave you that false sense of confidence of wearing, say, paper pants in a windstorm. Things could go bad wrong, quickly. You’ve heard of 20-year shingles? These were the slightly less reliable 90 minute version.

Aside from this, the house was perfect. So, why’d we do this project? Three reasons, only one of them makes any sense at all….

Item 1: Insanity in the face of a historical artifact. Item 2: Hoping to make what house flippers call a “profit” to fund a kitchen renovation at our “real” house. Since my wife and I timed this perfectly, we’ve invented a new term called “House Floppers”, where profit exists only in theory right before you buy it. Then there was Item 3.

The house is a 1,700 foot, late Victorian cottage, probably a 1920’s build date which makes it one of the oldest on this calm cul-de-sac across from a small but well-regarded college. It’s also about 300 feet from my city’s oldest Country Club. Property values – even in this “Chicken Little Real Estate” market – have remained healthy.

So we jumped in, blithely disregarding that item known as “logic”. Couple notes from the files - -
Plumbing – They did an awesome job. This was a well-respected company (not a one-horse sub like we’d expected) and it showed. They came when they said, did their work neatly, and got out of there. Very fair. I’d call ‘em for my home, no doubt. You think they knew about my kitchen renovation?

Electrical – Not so good. He was cheap, but we “paid” for expensive in many ways. One example: he made way too many return trips, each causing a Domino effect delay in the process. He’d walk right past dead outlets, never suggesting he replace them. The problem is his cheap subconscious: “If it sounds like I’m ‘selling’ they won’t like me.” My subconscious to his: “Oh shut up – be a pro and suggest what you know is correct and let me decide.” He had two minor flirts with dementia. First, he put the plug for the microwave/stove vent IN FRONT OF THE VENT. This makes access mighty difficult. Second, he mounted the doorbell chime SIDEWAYS. My 14-year old daughter didn’t even know what it was and asked me, “Why is that thing mounted sideways?”

If this person were our city’s only electrician, demand for candles would skyrocket. I wonder if he knows there are other electricians in town. Nah, he’s blaming his woes on the economy.

HVAC – This is the same company that did the plumbing. They did a great job, but unwisely failed to ask me if I wanted a higher SEER option on the original quote. Probably figured I’d be romanced by the low bid (understandable in the circumstances, but offering an upsell “option” is wise.) Had a refrigerant leak, they came and swapped out compressors instantly, no hassle. I’d call ‘em again. In fact, I already did.

Roofing – We went ahead and bit the asphalt bullet on this one. Just ripped the old one off and started over. Good thing too. Decking was a bigger sponge than Arsenio Hall’s entourage. Now it’s level, sound, firm, warranted, and a boost to buyer’s confidence. Plus, I hate complainers, and didn’t want to hear some buyer boo-hooing about the roof later. I’d use him again. Oh wait, already did.

One costly upgrade: My wife wanted Cedar Shakes on the front porch of the house. It looked great but added about $2grand to the $7,600 quote. My cheap gene over-reacted to her decision in a somewhat notable fashion. (More later.)

Finally, after roughly 700 contractors had done their work, the house was about 90% complete, and a prospect peered through the window with the very same Realtor® who sold us the house. They call me, locate the key, and go through the house with the cell phone on. I hear gasps of excitement about the hardwood floors, the refinished mantles, gorgeous ceramic tile work, and good paint colors.

After a few minutes of questions, the phone is handed to the purchaser who has been through the house and tells me “it’s just what I’m looking for.”

He wants to just look at it from the outside, “Oh my gosh!” he exclaims, which I thought meant he saw a cloud of termites emerge from the chimney. “Look at the cedar shakes over the porch. They make this house the best looking one on the street.” Forty minutes later, he makes a thoroughly acceptable offer.

And I make a thoroughly sheepish apology to my wife. (Guys, do this about 4 times a year, whether you need to or not. On second thought, you need to.)

Laughably, there won’t be any profit on this house, other than lessons learned and the “joy” of resurrecting an old house. We spent about $90,000 in renovation, and I figure about $40,000 of that was spent among 6 contractors I’ll never use again. The painter was over-exposed to solvents; the tile guy had one speed, known as “idle”; the cabinet guys had the collective IQ of a stapler. And so it went. Unbeknownst to them, their business suffers with each job. Think that through. Word of mouth does have a reverse feature.

Yet the others proved themselves to be worthy of the term “contractor”. Their business is enhanced with each job. How about yours?

For those worthy of the Contractor title, I’d like you to have a poster for your workplace. It’s called “The Contractors Code of Profession” and you can go grab yours here, under one condition – You promise to read it through, and if you agree, display it to remind you of your true work. And if you want to be a standout from the competition, get a sample of our custom newsletter here.

Take Nothing For Granted

Woe is me. Seems my last editorial about a laparoscopy which was really a “colonoscopy” but who cares?) didn’t go over that well with some of the more “delicate” readers, one of whom simply wrote “GROSS!” on her re-faxed copy. How’d I know it was from a female? Because guys think burping and making noises with their armpits is hilarious; we don’t gauge gross…. we ARE gross!

Thus my apologies for mentioning the word “spleen” in an editorial. So today, in an effort to seek editorial “balance” we’re going to talk about ingrown toenails. JUST KIDDING.
Today, we’re going to talk about family stuff. (There’s a marketing lesson in case you were wondering.)

I’m a father of two teenagers. A few years back, they both thought I contained all the knowledge in the universe and could uproot trees bare-handed. I was protector, professor, and pro-wrestler in one package.

My, how times have changed.

Now they look at me in amazement if I can complete an actual sentence. I’ve determined that they see the world divided into two camps —

1. Teenagers = Cool beyond description, smarter than all other humanoids; highly adept and thoroughly relevant.
2. Parents = None of the above.

Almost as painful in print as at dinner. Yet, they cannot argue the following point: We’ve been teenagers.

We’ve been equally sure as we were ‘un’; equal parts child and adult, madly flip-flopping like a decked mackerel on any of a thousand points. We escaped into our music, our hair, our clothes, and whatever gadgets, authors, or movements supported our call to independence. We failed to see the irony that we were “being different” all together. Silly us. And then there were drugs.

Our contrarian, thrill-seeking, independent rebellion couldn’t be more “individualized” than taking our own personal vacation from reality. Yet what was once fringe element is now mainstream. And then there was sex.

What was once shameful and stigmatized, now called courageous and bold. What once was cleaned-up pornography in the brown wrapper behind the gruff man at the convenience store is now two clicks away from anywhere. (Such as wherever they are right this second.) Oh, and it’s not cleaned up. And then there were my children. And your children.

Time Together, Time Alone

This summer, I decided to take a week off every month. (Some may recall that I took off every Friday and Monday last summer. Just experimenting here. Next year I’m contemplating taking a month off every week.)

In June, we took a real-live, old-fashioned, “Are We There Yet” car trip through various states. In each state, I did what all of you do to commemorate the visit: Flailing my arm in the back seat area while driving to swat the first person I could reach, proclaiming, “YOU’RE BOTH WRONG BECAUSE YOU’RE DRIVING ME INSANE.” This of course was said in a loving sort of way. Ah yes, car trips.

We learned far more about each other than we did about geography.

In July, I took my daughter to JH Ranch (http://www.jhranch.com/) for a week, as I did with my son last year. This is a Christian-based adventure camp, where dumb dads help figure out different strategies with their children, or have “fun” dangling 60 feet in the air suspended by wires, or raft down a river screaming “PLEASE DO NOT HIT THAT ROCK”. Stuff like that.

The staff is remarkably well-trained, safe and courteous. They cook, clean, guide and care-take all summer with a service attitude that’d rival a 5 star resort. This is made more remarkable by two little facts: 1) They’re college-age students and 2) They’re 90% volunteer. Translation: No pay. They work for smiles and a higher calling. If they actually represented the majority youth of America, then America’s youth is just fine. Yet if they only serve as examples to my children, that’s great too.

This trip was of life long value. So you may be asking….

Did I buy a “camp experience”? A Christian experience? Did I buy rafting, tower climbing, rock jumping, and learning to sleep in an un-air conditioned cabin with 9 other dads? Yes, some of all. But mostly, I bought time with my little girl.

We got time alone, and time together. This is in precious, rare supply while at home. I’m usually doing the Dagwood Bumstead off to work; she’s doing whatever 14 year-olds do that don’t involve Dad. During this week, we found out that each of us are people, bred of the stock they call family, unified through a gift as miraculous as it is taken for granted. Its called time. We enjoyed each other’s company enough to make more time to be together.

My advice: Take nothing for granted. The time you get with your children and anyone else you consider “valuable” is a gift we don’t get to re-wrap and open again. Some of you are into grandchildren, and that message is truer than ever.

Relationships CAN’T flourish through reduced contact. Even dumb ol’ dads know this.

QUESTIONS to consider:

Who are you NOT in contact with enough? What can you do to change that right now?
Do you think your customers KNOW you’re their contractor? If ‘no’, is this because you don’t contact them? How can you change that?

Organ Music

Each year, near my birthday (which now comes at alarmingly short intervals) I schedule a physical. This year, I was told my blood pressure was low (good) and I didn’t appear to have any parasites living with me (my children don’t count).

Yet, during the most demeaning moment of this annual ritual, my doctor said words that strike fear into all males nearing my age: “Your credit card was declined.” Wait, no, that’s not it, it was…

“We need to schedule a laparoscopy.”

Doctors often say the word “we” which generally only means “you”, because I don’t really think he wants to get the “Two for one” Laparoscopy special with me. Same with their receptionists who often say, “…and how do we want to take care of the co-pay today?” in a kind, kindergarten teacher’s voice. Next time I’m tempted to say, “I’m going to pay mine in Candy Land tokens; how about your part?” It won’t be the first office I’ve been kicked out of.

My doctor – whom I truly like – began to describe the Laparoscopy process. He said a Gastroenterologist (Latin for “Your spleen is showing”) will schedule me to come in on a Friday. I already interrupt: “Why Friday?” (I’m thinking it’s to celebrate.)

“Well,” he looks at me over his reading glasses, “because you might need the weekend to rest…” and his voice trailed off like a horror film just before the commercial break. He continued, while sweat formed on my lip.

“On Thursday, you’ll be drinking a mixture of liquid to ‘cleanse’ you completely.” He looked over his glasses again. I could almost hear the organ music. (HA! Get it? Organ music! You don’t get quality humor like this just anywhere.) At this point, I felt it would be inappropriate to ask if by “cleansing liquid” he meant that I would drink a liter of Sprite and shake myself violently until it shot out my nose. (Not that I have any personal experience with that method.) I compose myself.

For the next few minutes, he described the process. What I gathered – and I’m doing my best not to be graphic or technical – is that I would be drinking about 400 gallons of LiquidPlum’r. After this, my organs would be buffed and detailed using a Shop Vac and Orbital buffer. Some of them might need re-chroming. Then, dozens of doctors would recommend an RFP for my EKG hoping I wasn’t NSF.

Okay, that’s what it sounded like to me. I was feeling weak and almost dropped a platelet. After this description, he takes off his serious glasses and asks,

“Does this sound okay with you?”

I immediately wonder, “What happened to the us part?” but decide to ask two important questions instead: 1) Will insurance pay for it? And 2) Will insurance pay for it? My second question was actually, “And what is the purpose of this little procedure?”

He answers solemnly. “It’s to help keep you alive and healthy and loving life for as long as we can.” A bit of silence. Now the insurance question didn’t even rank.

My doctor is no salesman, but he’d clearly crossed the “cost versus benefit” line. Deal closed.

Oh No! My Car Has a Hanging Chad

It seemed like a good idea to get new tools. I mean, it was Saturday, there were a ton of Father’s Day specials going on. Plus, it was my birthday. For those of you who keep up with such things, this means I’m a Gemini, which as I understand it means that I’m tall, handsome, and smarter than most Nobel winners, but too humble to admit it. So these things are eerily accurate.

Earlier that day, I’d taken one of my old cars to my favorite shop for a little transaxle leak. Okay, it was gushing enough oil to have triggered an alert to Green Peace. So I drove my trusty truck to what USED TO BE “Where America Shops” and began shopping for tools, atypically clutching coupons and door buster specials. (My wife was proud of my shopping prowess. All of it was her idea.)

A red-vested “Product Specialist” appears, sensing a valid Visa card, “Can I help you find something special today?” he asks. “Well, lucky you,” I responded, “I need a new tool chest, some shiny things to go in it, and it’s my birthday.” Smiling he responds, “That’s a good start!” Things went downhill from there.

Oh, we found the deals. We fondled the socket sets (not together mind you, that would’ve been just weird) and I even selected a lighted work bench, with a drawer and external plug. All was well, and then my cell phone rang.

“Uh, Mr. Hudson” said my normally confident mechanic in a voice that sounded apologetic, “I’ve got some bad news.” I braced, “Hit me,” I said.

“Seems we already did. My dad backed into your car. I am so sorry.”

Wishing Reality was a Dream

Wow. My car is 34 years old, wearing totally original paint. In fact, it is a totally original car other than stuff I couldn’t leave alone. If you’re a car nut, this matters. If you’re not, there’s no help for you.

I finally mustered a response, knowing his dad to be an ageing, very well-meaning supporter of his son’s struggling enterprise…

“I can’t get mad enough to make that dent pop out, so that won’t do us much good. Tell your dad I’m sorry it happened and I’ll deal with it Monday,” I said.

With sincerity that true remorse brings he said, “Hey, we’ve called the insurance company, they’ll be out here Monday. I’ve taken pictures of it. It’s honestly not that bad, but that probably doesn’t make you feel any better.”

His attitude made the difference. He didn’t cause it – which is why they’re called “accidents” – and he’d taken the steps to prove responsibility. No amount of teeth-gnashing, blood-vessel swelling, or name-calling ever helps in these situations, though many attempt this course. All I could say was, “It’s okay. Just a car. No one was hurt. It’ll be fine. Thanks.”

I snapped the cell phone shut, in suspended disbelief, and was snapped into reality by my new best-vested friend, “I’ve got your total rung up for you!” he said beaming. And then the second car wreck of the day ensued.

Wishing a Dream Was Reality

I figured I’d be outa there by noon. It was just 11:40 am. Keep that in mind.

Mr. Red Vest developed a puzzled look on his face as he repeatedly pushed secret buttons on his magic computer. Apparently, the life-ruling computer was changing the rules. “We don’t have any more of that 5-drawer tool chest, even though the computer says I have two.”

The computer lied.

“Can I get the floor model?” I queried, sensing bargains-a-plenty. “Sure,” he responded, “for another 10% off!” I go to inspect for major dents or chewing gum in the drawers. Looks fine. “Ooops, no keys,” he says, “I’ll just throw this lock and key set in with the deal. Is that okay?” I’m slightly less enthused, but he was trying, “Sure thing.”

So we walk back to the check-out and the computer won’t let us check out with this new discount. Ten minutes elapse, and a frowning gray-vested managerial person appeared. He had quiet but stern words with my comrade, whose body language seemed defensive.

Another few minutes pass and he informs me, “Uh, I can’t give you the lock and keys. You’ll have to buy those.” He did the old eyeball glance at the non-speaking manager to let me know why. I felt the value-over-ride switch in my brain click. This switch also bypasses my better judgment, so without thinking I turned to gray vest…

“Are you the manager?” He nods. “Did you just tell him that I am to pay for the locks in this purchase?” He nods. “Do you have any proof that I’m the one who lost them?”

“No,” he utters his first word, and appears to be scanning the store for security.

Stopping point. Note his attitude. Note his cowardly nature. Note his inability to see that his “Product Specialist” has rung up a sizeable total yet believes the $7 lockset is recklessly gratuitous. Note the short guy assessing a marketing meltdown…

I collect my thoughts, sort of. “Since I didn’t lose the keys, can you see any real reason that I should have to pay for them? And before you answer, please notice the $580 of merchandise that will easily fit back on your shelves.”

Need an Attitude Check on Aisle 4

With this, he takes his little official card-swiping necklace thing and swipes it into a machine, allegedly giving me “credit” for the $7 lock in question and turns around. At this moment, I was torn. I didn’t know whether to cancel the sale to teach Worm Man a lesson (ripping the commission away from a man who earned it) or to let his terminal customer service defect go unchecked.

Fortunately, Worm Man catches that I’m staring a $580 hole in the back of his vest. He turns and says, “I really do appreciate your business; we’ve just been under a heck of a lot of pressure lately. I hope you enjoy your purchase.”

Smiles all around. It’s 12:05. I pull my truck to the loading door where I’m told it’ll take “5 minutes” to go get my stuff off the floor. Make that ten. Okay, it’s 12:20, no tool chest. Apparently, the computer never told the loading fellows that it was on the floor. (Funny, the computer never asked me anything.)

They eventually locate the runaway chest and load almost everything in the truck. “You’ll need to go to the warehouse to get the workbench. Just show them this receipt.” It’s not far, but my teeth are grinding to the point of expelling little teeth chards and the guy thinks I’m choking on a Trisket. It’s 12:30. I stuff my wad of receipts in the console. As I’m driving away, it hits me: “Why do I have a wad of receipts?” (This is the male shopping gene. Females look at receipts and say, “I don’t have NEARLY enough!”)

In the warehouse parking lot, I unroll said wad to see I was charged twice for my tool chest. I briefly consider redelivering my entire purchase through their front door.

I’m staring at the warehouse entrance. A big bay door is open, and one lone worker stands at the loading dock. I have a partial order in my truck, an overcharge in my hand, and have spent a full hour trying to give this store $580 of business. Above the door, in faded paint, I see the tagline, “…Where America Shops”, and think, “Not any more.”

Points to Ponder –

What is your customer process?
Why would anyone recommend you? What do you do to encourage referrals?
How hard are you to do business with? What one thing would make it easier?

Both Are Right, Both Are Wrong

“I’m not getting the leads” says one contractor. “I’ve got too many leads” says another. Both are right, both are wrong.

Not getting leads sounds like the bigger problem, so we’ll attack it first. The questions I go through with each call like this are: What have you done to build leads and keep customers for the last 3 months? (You’ll note the question is NOT “what have you done this morning”.)

If that answer includes adherence to a marketing plan with a good supply of response-oriented ads sifted into the market with a portion of every sales dollar earmarked for retention, then that’s really good.

I’ve spoken with only 4 people this year (out of 400) who have legitimately done this and NOT seen their market results flourish. That’s a pretty decent “hit rate” on results, understandably resultant from strategy, not panic. It’s that old “pro-active vs. reactive” argument, for the 100th time. Those who have done MOST of the right stuff have faltered somewhere in the “monkeying” around with otherwise proven ads, or “sort of forgot” to do customer retention. That party has a way of coming to an abrupt halt, which brings me to this —

Those with “too many leads” sometimes short-circuit their success by saying, “I’m so busy, I don’t really need to market anything.” Had a guy call and cancel his summer newsletter for this very reason. So the very things that got him busy, he’s willing to cut off in the busy season, not recalling that “all this business” will not be there in the Fall, or in the winter without an attempt of retaining them.

As I’ve oft repeated, marketing is a mix of math and behavioral psychology. If one of those doesn’t “hit”, then they both fail. Often the “hits” are made in combinations of efforts, such as we’ve discussed.

The killer newspaper ad – if not followed up with good sales skills, timely installers or techs, service reminders and newsletters – is no better than a LOUSY newspaper ad because the “bottom line results” don’t really change. Remember, keeping a customer costs 1/6 of getting him. Generally his referrals are free.

Get a plan. Work the plan. If you’re successful with it – like most of those of you who do follow the strategies we advise – then let it continue to pull customers, rather than leaving you in the unenviable position of having to push yourself on them later.

Forget The Politics Of The Following

This editorial has nothing to do with Global Warming (or that my 430 horsepower car is contributing to it, so just BACK OFF!), or Health Care issues, or even hanging chads. It has everything to do with presentation of your message. Whew. I bet I still get hate mail, sued, or potentially both.

McCain won New Hampshire. Romney came in second. McCain is the best speaker and presenter. Romney is second best. Please notice the parallel. No, this isn't always the case, but for a job in which your presentation can override presumption, it is of tremendous, far-reaching consequence.

I have blabbed to you frequently about "image" and "relationship building," which I realize are weenie and conceptual topics for this contracting audience. I knew that then; I know it now. But it doesn't mean the value is diminished. Quite the contrary. Here we are talking about the Presidency of the United States, where everything is measured, weighed, and scrutinized including whether there's an over-abundance of ear hair before entering the voting booth. And yet "we the contractors" feel the public turns a blind eye when inviting a "trustworthy, reliable, and honest" person into their home.

It's "packaging," boys and girls. And if I don't like yours, I'm not calling. If I KNOW that "Toothless and T-shirted Larry" can frame a wall or unstop a drain or bang in shingles better than you, then he's proven himself. But if I don't know that as 100% of his hopeful "acquisition market" does NOT, then he's not getting the call. Doesn't matter how cheap he is, and it sure doesn't matter how good he is because I'm never going to find out.

The market has moved. The retailization of Contractors isn't just here, it's being modified as we speak.

The bar has moved. "Fast Service" is a sad threshold to tout, as nullified as saying "Color TV!" on your Hotel Marquis. Quantify your service speed and excellence to me.

The sales environment has moved. When Og heated his cave with a stick fire, that was "good enough" for Ug. Sadly, Og's commodity-thinking is still pervasive (with commensurate image) in product, solution, and presentation. Homeowner's are 3 clicks, 1 cell phone call, or 0.2 seconds from specific, personal, adaptive, custom solutions for virtually every whim they have. When your online florist reminds you of your anniversary AND your wife's preference AND suggests a complimentary gift for your receptionist (strategy right there), it'd be reasonable that your contractor could remind, schedule, and professionally upsell with appreciated services, too. All automated, by the way. Og'll never know what hit him.

The credibility quotient has moved. You think I need to read another story about elder rip-offs, break-ins, child abduction, or assorted scams to think "just any contractor" is fine in my house with my wife and children? Sorry, welcome to the millennia of unquenchable skepticism countered only by burden of proof, most of it yours. Did we mention your image and relationship building yet?

3 Strategies to Differentiate in 2008

Effective "packaging" and presentation strategies are well-known. We've been pushing a few, worth re-mentioning (and more detail in the links below) but make your move toward: 1) Customer Retention with a referral campaign linked inside it. This has moved way beyond newsletters: live or electronic follow ups, automated reminders, website involvement. 2) Publicity and PR. Huge this year. The ACCA Conference has an entire seminar devoted to it; some of the strategies revealed have NOT been popular with everyone! 3) Cluster Control of neighborhoods. Sequential surround mail, door hangers, thank you's, all intertwined.

These are exciting times. Made more exciting by the contractor willing to change his or her thinking to embrace. Know that the marketing methods we squawk about are less about lining my pocket and more about you raising your company's image and "attractor factor" now. More than ever, 2008 is poised to surge contractor choices in your market, thus "distancing" your company from the other candidates will never be more important.

Regardless of who provides your marketing solutions, make sure your "Differentiate in 2008" campaign cry is well-known. Let the "voters" choose you. The attraction to great packaging is not "debatable" nor is it new...

Post-debate television interviews, for the first time ever, were able to calculate millions of voters who "instantly" shifted their Presidential preference to a well-packaged candidate named John F. Kennedy in late September of 1960. All due to their admitted bias that "He just looked and sounded so good."

I'm voting for you to do the same.

Steps to Counter the Economic Slide

Please choose the one that most accurately describes your feelings about the Contracting Service Profession:

1. "It's a pure commodity. My prices are too low and I still can't sell a job. No one will pay more for a job than the lowest going rate. In fact, I'm thinking about losing money on every job but making it up in sheer volume. It would be great if the phone would ring soon. Ooops, I have to go now, Judge Judy is on.
2. "It's a price-elastic commodity, with a tremendous upline. In the leanest times, my services are still required. Preventive maintenance is even more important to avoid or eliminate costly 'surprises'. If my fearful competition pulls back, I can win customers even more easily (including his). I can aggressively attract customers, turn them into clients, and hold them for years, simply and strategically.

During a recession, many business owners wish their services were commoditized. Though the recent boom created more millionaires than any period in history (who can still spend according to their created lifestyle) many "optional" services will be crippled or eliminated.

Yet, the contracting service businesses will likely see little real downturn in need. Many contractors will perceive a downturn, largely of their own making, and "choose" to pull back in their marketing, customer retention, training, and acquisition strategies. This will doubtless prove them "right" in their gloomy economic outlook.

Fearfully, these contractors will cut back on marketing and advertising. They'll quit contacting their customers as often, choose not to restripe the truck, or update the website, and pull their presence to a shadow of its former self. This creates an interesting scenario...

• How much would you pay RIGHT NOW to PROHIBIT HALF or more of your competition from advertising? I mean, consider the possibilities. Looks like that’s on the verge of happening. Or this…
• Remember how you were all worried about the shortage of ‘good technicians’ out there? Not for long. Due to construction cut-backs, they’ll be applying to work so often you may want to consider selling tickets. Choice hires are coming.
• Since customers may rightly cut back on some ‘big ticket’ purchases, preventive maintenance will be bigger than ever. Get ready.
• Likewise, they’ll be “cocooning” more, meaning in-home comfort and services to improve health and energy savings will be in bigger demand. This opens the door to…
• Set up additional income streams through alternative products and services. IAQ analysis, humidity controls, water purification and filtration, home security measures - - basically whatever services you can offer that improve the ‘at home’ experience for your customers, go for it… with a vengeance because you can.

Remember that the fearful contractor is NOT advertising, is NOT hiring, and is likely losing customers to the non-fearful contractor, who kept his head and refused to be intimidated.

Also understand that the flood of job-seekers has two potential downsides: 1) More low ball bidding, and 2) More ‘scam’ stories headed our way. (Desperate people do desperate things.) My point: Separate yourself NOW.

Rigidly control your customer base, enhancing the relationship, step-up credibility measures, increase your request for ‘ratings’ by your customers at sites that allow AND for testimonials on your website, to use in your other marketing. If anything, now more than ever is time to PROVE you’re the contractor of choice for even more reasons.

It’s time to choose. Will you participate and support the natural economic lemons of life… or will you make lemonade? Your reaction is your future.

Leadership In Readership

Whoo boy, changes everywhere. After my last speaking gig - which are always fun while being nearly permanently exhausting - the variety of questions and personalities interesting...

One contractor would be in line, looking downward, asking me to sign a copy of his book but admitting, "Looks like this is going to be a slow year; I've got to cut back on Yellow Pages; I've got to get the phone to ringing; I've got to..." and it was all a bunch of painful, if not overwhelming, demands placed on himself by .

The NEXT guy in line would say, "Oh man, I am SO fired up! I can't wait to cut my YP budget down to size; but first to clobber the doomsdayers with that service postcard from the PowerPack and put some money in the bank! Plus, I'm starting on the Cluster Control campaign in May! Awesome!"

And there I'd be, meeting person after person at the same event, in the same business, facing the same opportunities, with MOSTLY the same need... and approaching them as differently as if they were alternate species.

“Hello, Sad Sack Contracting, how may I make your day somewhat miserable?”

Those with the ‘downtrodden, victimized, woe is me’ syndrome are usually like that in everything. Their success rate corresponds, as does their circle of friends. Further, the corporate “personality” likely borders on marginal bitterness, though others in the company might do their best to combat. Yet it’s hard to remain sweet living in a Pickle jar.

Sales and referrals probably parallel the mood, in mildly dirty environs – from trucks to office to warehouse. I have a hard time seeing slap-happy company picnics in this crowd. Overall, the owner feels a little “alone” in his misery, though sharing it subconsciously.

“Thanks for calling Contrarian Contracting, where our biggest differentiation is you!”

The more upbeat companies have an attitude of not just surviving, but thriving. New days bring new challenges, and even in trouble, an opportunity exists. A missed sale is a reason not to “sigh” but to ask “Why” and gather seeds for the next one. Their attitude is also magnetic.

I am thinking of two cases of very positive contractors, who are also friends… who are also competitors in the same town. They work off each other, sharing and mutually referring jobs they do not or cannot perform. They figure, “Hey, if I can’t get the job, he may as well.” They have streams of worthy job applicants, keeping the current staff not only thankful but feeling mildly on the button. A good thing. The upbeat never feel alone, seeking help, companionship, sharing, like-mindedness.

Can a contractor go from being one to the other? I know of several cases, but none where the contractor didn’t a) Admit he couldn’t do everything himself. b) Accept help from others, even if he initially disagreed. c) Was finally willing to let a+b mean he MUST share the credit for the success with others; take only the blame of failure.

In other words, a leader. And the one thing all leaders have in common, regardless of background or personality is followers.

It's All About Balance

This is a year of adjustment. And a good one at that. Yes, I used the word "good." There are times that competition is just too thick (real estate) or the money too easy (sub-prime mortgages) and the result is a watershed. Natural ebb and flow. Don't expect this editorial to be a regular face-washing of fearsome facts; expect instead practical responses, techniques, and adaptive recourses. Strength required.

Fortunately, the strong will get stronger. Had a teleconference last week with 88 of the strongest students/fellow marketers (but posing as contractors!) I could've ever wanted. The 11 "Gold" members had questions, one after another, about doing better this year than last, news be torpedoed along with those silly enough to cower as a result. Amen to their commitments, and happy to stride together on that.

Yet, no matter WHAT time of ANY year, I hear this all the time: "I NEED MORE LEADS!"

Thus, most all contractors would contend, the more leads you get the better. True to a point but keep a couple things in mind, oh ye of hyper-aggressive tendencies...

• A flood of leads that creates diminishing service thereto is the easiest way I know to screw up a good reputation... with great unlikeliness of gaining it back easily.
• Pushing the "BUY ME NOW" coercion button with your trusted, coveted customer base, is an excellent way to force loss of same. You have any friends you can do that with? You have any EX-friends who used to try to sell you something every time they saw you?
• Having a "Best Offer Ever! No, I Really Mean It This Time" every other week is a fantastic method of credibility destruction.

Yes, I'm a Direct Response copywriter, paid decently for the craft, which I dearly love. Yet, a realist. I'm concerned with ANYONE attempting to put an arm around a customer relationship while regularly shoving the other hand into their back pocket to extract a Visa card.

If you want to see your customers again and again (THE GOAL of in-home service contracting, by the way), this method is better reserved for late night infomercials. It also happens to be an excellent way to be targeted in your local news' next contractor sting. Just a thought.

It's about balance. And right now, working to generate a ton of leads, while working to build a real customer relationship with each of them is the far wiser path. Leads to more referrals, more upsells, less stress over "where are my sales coming from?" Hey, they overwhelmingly come from warm prospects and customers, far more rarely from complete strangers.

Many upcoming opportunities to move into "known" realm among your market exist.

• The Guerilla marketing tactics for being 'known' (TOMA) are in your PowerPack.
• Home Show results are actually stronger this year, so far. (Could it be the "Chicken Little" theory already in place?) Your TradeShow Secrets book is full of info on that. (If you don't have a PowerPack, half of what I suggest may sound daunting to recreate, or like gibberish. Sorry. I assume "customership" for most of you. A tactic you'd be wise to emulate when speaking to 'your' market.)
• Gold-plated opportunities for the aggressive Retention expert abound. Thank you cards, requests for testimonials, requests for referrals, movie passes, fruit or chocolate gifts will endear and differentiate you. I will be playing heavily upon the "work your customer base" theme for the next 90 days. Either take notes and take action or take offense and look elsewhere.
• AutoResponder sophistication on your website - More 'easy' ways to sign up, better communication thereafter, relationship building throughout. THIS IS NOT A REPLACEMENT for REAL MAIL follow- up, by the way. That backlash has already occurred. Advanced Tip: Your website is a way to calm and educate customers about "real" ways to save and stay comfortable that have NOTHING TO DO with anything you sell. You get creds for that, my friend.

Right and Wrong, Can’t We All Get Along?

No need to worry – I won’t be a contractor anytime soon. So, you can take me off the list of wanna-be competitors.

I got the opportunity to work alongside a real contractor and subs for a day and half helping build a home for a family who lost their’s during Katrina.

Yes, two and one-half years later, they’ve suffered the ravages of homelessness not of their doing, the sufferings of living inside a cramped trailer not of their choosing, and the sufferings of getting formaldehyde poisoning as a result. Life hasn’t dealt them an easy hand, and yet this describes many. The story of this project (taken on by our Novus Sunday School Class) is told here. It has ABSOLUTELY NOTHING to do with marketing. But this does…

The General Contractor is busy. Most of his competitors are not. He’s got 2 commercial renovations underway, another one scheduled (mine), a handful of residential projects going, and is “completely leaned out” in his overhead. He got lean about a year ago, sensing both a construction decline and a general disdain for supporting “dependents” that don’t share his last name.

The GC’s I know who are not busy have had bid after bid fall away, a few reliable employees have left (in search of a paycheck) and overhead continues to munch away at non-existent cashflow. One contractor I called to do a residential renovation last September told me, “I’m not taking on any more work; call me later if you can’t get anyone else. I’m just too busy.” He never got my name, but remembered our mutual contact. A week ago he called, almost begging for work, any work. Although I told him my job was being handled, I neglected to tell him the person that got it is also getting two other referred jobs for acting like he cared. A lesson in relationships.

My question for them and for you: What are you doing today that’ll impact your pipeline in 6 months? If the answer is nothing, generally so is the outcome.

The subcontractors were busy… for now. Most of their competitors are not. One of them follows the lead of the GC, shadowing his work, making himself regularly available for bids. His quality is quite high and though his competitors have dropped prices to “get the job”, he hasn’t had to resort to such shenanigans. Why? “Because I don’t need to” came the simple answer, which lead to this...

“Most of the time I remind them of how picky their clients are, and that ‘cheap’ and ‘quality’ are rarely the same… just like these contractors.” A pretty good line, that just happens to be true AND resonate with those who consider themselves quality.

The reason I put “for now” with the sub is that he’s got too many eggs in one basket; way too much dependence on a singular contractor’s current fortune.

Reliance on many potential income streams would be advised. That is, multiply the efforts of one with many.

The subs I know who are not busy tend to “think” its price but since they have no relationship to fall back upon, they’re partly right. They don’t “shadow”, they wait. They don’t stay in touch, they assume. Thus their “reason” to not get a job MUST be price.

My question for him and for you: In what areas are you overly dependent on business? (What happens if that dries up?) How can you maintain the current level of sales with the “one” yet leverage that for several others? (There are many methods, discussed in these pages often.)