Virginia-based marketing consultant David Alan Yoho thinks too many home-improvement professionals have their business plans all wrong. Too little attention is given to product selection. Seasons impact sales pushes. Pricing is a crapshoot.
Market conditions may fluctuate for those in the remodeling industry, but Yoho believes a more intentional marketing strategy can be a huge difference-maker. This week, he shared five great marketing tips with Professional Remodeler, but here we have just a few snippets we think really stand out:
The Right Product
“This is more than selecting quality, environmentally sound products with great warranties from manufacturers with excellent support. Remodelers need to sell products that allow your firm to establish some unique position, some element of differentiation (i.e. quality, unusual durability, design, appearance, etc.) that can be justified value-wise.”
The Right Time
“Too many remodeling contractors rely on the seasonality of their markets and on traditional sources of lead generation. The right time is every day. Few contractors work the neighborhoods around their jobs, establish presence at congruent events, sell up to people who love their work, or understand how to solicit and ask for referrals.”
The Right Price
“…I’m still amazed at how many remodeling contractors don’t know how to calculate the right price. Your price should not be based on what your competition is charging because the average remodeling contractor undercharges and earns insufficient profits … If you don’t know your exact costs and then structure your price accordingly, your formula will deceive you even if the formula itself provides an accurate method of mark-up. More so, you need to consider the amount of cash required to operate your business, including needed deposits in order to sustain the many costs you pay in advance of receiving money.”