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Key Differences Between Carpenters and Great Lead Carpenters: Part 2

Posted by Shawn McCadden on Thu, Jul 09,2015 @ 06:00 AM

Key Differences Between Carpenters and Great Lead Carpenters: Part 2

Skills to be a lead carpenterAs I pointed out in part one of this article skilled carpenters are assumed to have the trade skills needed to do the work at hand and to understand construction. But just because a carpenter has these skills doesn’t necessarily also mean he or she has the rest of what it takes to be a successful Lead Carpenter. In the first article I listed the basic skills and thinking skills a carpenter must possess to be eligible to become a Lead Carpenter. Below is the second half of a list of key skills a carpenter should have or will need to acquire to become a great Lead Carpenter. We will be covering these topics and others at our Lead Carpenter System Workshop for business owners coming this summer.

 

This second list describes the people skills and personal qualities a carpenter must possess before becoming a great Lead Carpenter. These are skills that can be learned and mastered while working as a carpenter. Training, supervision, mentoring and coaching by the business owner and or other leaders in the business can help the right carpenters acquire these very important skills. Before investing in a carpenter in these areas make sure your Lead Carpenter to be has the demonstrated cognitive ability and willingness to learn and apply such skills.

 

People Skills needed to be a Lead Carpenter

  • Social: Has a natural ability to show understanding, friendliness, and respect for the feelings of others, but at the same time is able to assert oneself when appropriate. Also takes genuine interest in what people say and why they think and act the way they do.
  • Negotiation: Ability to assess and identify common goals among different parties and at the same time clearly present their and the company’s position. Can also examine possible options and make reasonable compromises.Lead Carpenter skills
  • Leadership: Can appropriately communicate thoughts and feelings to justify a position. Can also encourage or convince while making positive use of rules or values. Demonstrates the ability to have others believe in and trust in them because of demonstrated competence and honesty.
  • Teamwork: Contributes to the team offering ideas and effort, but also does his or her share of the work to be done. Has the ability to encourage other team members and can resolve differences for the benefit of the team. At the same time can responsibly and appropriately challenge existing procedures, policies, or authorities for constructive purposes.
  • Cultural Diversity: Works well with people having different ethnic, social, or educational backgrounds and understands the cultural differences of different groups. Can also help the people in different groups make and embrace cultural adjustments when necessary.

 

Happy_lead_carpenter-wrPersonal qualities needed to be a Lead Carpenter

  • Self-Esteem: Understands how beliefs affect how others feel and act. Can identify irrational or harmful beliefs they may have and understand how to change and or adjust them when needed.
  • Self-Management: Honestly assesses his or her knowledge and skills accurately. Proactively sets specific and realistic personal as well as professional goals and can self monitor progress toward those goals.
  • Responsibility: Works hard to reach goals, even if the task is unpleasant. Will consistently do quality work and maintains a high standard of attendance, honesty, energy, and optimism.

 

Click here to see a Job Description for a Lead carpenter

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Click here to read part one of this article

 

Other articles to help contractors and construction business owners choose and grow the right carpenters into Lead Carpenters

Helping Lead Carpenters Become Managers Benefits Them and The Business

Is He Or She Really A Lead Carpenter?  Probably Not!

Interesting Considerations For Putting The Right Employee On The Right Job

Getting Employees to Think Like Owners

 

Topics: Hiring and Firing, Worker Training, Careers in Construction, Recruting, Team Building, Production Considerations, Lead Carpenter System, Mentoring/Coaching, Culture, Leadership

Key Differences Between Carpenters and Great Lead Carpenters: Part 1

Posted by Shawn McCadden on Tue, Jul 07,2015 @ 06:00 AM

Key Differences Between Carpenters and Great Lead Carpenters: Part 1

Creating lead carpentersSkilled Carpenters are assumed to have the trade skills needed to do the work at hand and to understand construction. But just because a carpenter has these skills doesn’t necessarily also mean he or she has the rest of what it takes to be a successful Lead Carpenter. Below is the first half of a list of key skills a carpenter should have or will need to acquire to become a great Lead Carpenter. I created this list to help carpenters and construction business owners improve their chances of success developing Lead Carpenters and a true Lead Carpenter System.  

 

Skills to be a lead carpenter

 

This first list describes the basic skills and thinking skills a carpenter must possess to be eligible to become a Lead Carpenter. These are skills that should be inherent to the carpenter already, learned from an early age through schooling and practical application as a person evolves from childhood to adulthood.   If a carpenter does not already possess these skills the chances of success as a Lead Carpenter will be greatly compromised.

In my next article I will discuss the people skills and personal qualities a great Lead Carpenter must learn and develop.

 

Basic skills needed to be a Lead Carpenter:

  • Math skills for a lead carpenterSpeaking: Ability to speak clearly including selecting language, tone of voice, and gestures appropriate to a specific audience.
  • Listening: Listens carefully to what people say, noting tone of voice and their body language, then can respond in a way that shows a true understanding of what is said.
  • Reading: Ability to identify relevant facts and locate information in books or manuals. Ability to find the meanings of unknown words and use computers to find information.
  • Writing: Ability to write ideas completely and accurately with proper grammar, spelling, and punctuation. Also able to use computers to communicate information in writing.
  • Mathematics: Ability to use numbers, fractions, and percentages to solve problems and communicate solutions.

 

Thinking skills needed to be a Lead Carpenter

  • Carpenter_framing-wrCreative Thinking: Has the ability and is not afraid to use imagination freely to combine ideas or information in new ways. Can easily make connections between ideas that seem unrelated to others.
  • Problem-Solving: Can easily recognize a problem, identify why it is a problem, create and implement a solution, and naturally watches to see how well attempted solutions work so they can be revise as needed.
  • Decision Making: Can identify goals, suggest alternatives and gather information about them. Can identify and weigh pros/cons and choose the best alternative along with a plan to follow through.
  • Visualization: The ability to imagine, strategize and sequence the construction of a building, object or system by looking at a blueprint or drawing.

 

Don't miss Part-2 of the list

Subscribe to the Design/Builders Blog Be sure to come back here to find the second half of this checklist to learn about people skills and personal qualities a great Lead Carpenter must learn and develop. It will be published in a few days.   To be automatically notified via email when new blogs are published simply subscribe to the Design/Builders Blog.

 

Click here to see a Job Description for a Lead carpenter

Other articles to help contractors and construction business owners choose and grow the right carpenters into Lead Carpenters

Evolve From Being A Contractor To Being A Construction Business Owner

Afraid To Hire Production Employees For Fear I Would Run Out Of Work For Them

A lead-carpenter system helps both the business and the employees to grow

Compliance Checklist: Will You Be Ready If OSHA Visits Your Job Site?

 

Topics: Worker Training, Careers in Construction, Recruting, Employee Advancement, Production Considerations, Lead Carpenter System, Mentoring/Coaching

You Built It: Happy Independance Day!

Posted by Shawn McCadden on Thu, Jul 02,2015 @ 06:30 AM

You Built It:  Happy Independence Day!

Contractors build AmericaThe plaque below is for every contractor and construction business owner who has built their business from the ground up. Only those who have done it know what it takes and have experienced the joys, challenges and pride that come with small business ownership.   This 4th of July be sure to once again recognize and celebrate the rights we have as Americans to stand erect and proud of our personal accomplishments. 

I found the plaque below at a yard sale in the "Live Free or Die" state of NH.  I proudly hang it in my office where I can see it everyday.  I hope you and yours have a great 4th of July Holiday with friends and family.  Thanks for building and remodeling the American Dream!

 

 

 

Inspirations for contractors

Happy 4th of July 2015!

Topics: Fun Stuff

Checklist for Getting Ready to Hire Your First Remodeling Salesperson

Posted by Shawn McCadden on Tue, Jun 30,2015 @ 07:00 AM

Checklist for Getting Ready to Hire Your First Remodeling Salesperson

checklist-wrOne of the very important things that hands-on contractors who seek to become construction business owners need to get ready for is bringing on sales staff to help the owner sell an adequate volume of work as the business grows.   Below is a 10 item checklist contractors can use to help them get ready for this critical step in the growth of their businesses. From my own experience of hiring my first remodeling salesperson many years ago number 10 is the most important.

 

Contractor’s Checklist: Getting Ready To Hire Your First Remodeling Salesperson

  1. Make sure you already have a Marketing System already in place that generates enough quality leads for you and your new salesperson before you hire.
  2. Make sure you have decided on and have already implemented a Standardized and Documented Sales Process so previous customers and their referrals will enjoy a consistent experience and you can manage your new salesperson’s use of your system.
  3. Make sure you do a budget to determine the Markup and Margin you will need to sell and produce at to cover the cost of your new salesperson as well as the additional business overhead that comes with the changes.
  4. Hire a remodeling salespersonEstablish Sales Goals and a Performance Based Compensation Strategy you can share with candidates as you interview them and your business will use once they are hired.
  5. Make sure your financial system is setup as needed so you can accurately measure produced gross profit margins on sold jobs. It should also be set up to help you and your new salesperson accurately calculate sales commissions earned.
  6. Make sure you have the ability to perform Estimated to Actual Job Costing so you can be sure jobs are being properly estimated by or for your new sales person. Commission based sales compensations plans are impossible without this ability.
  7. Be clear on who will do the Estimating and how it will and needs to be done (formatted) so your production team gets what they need to build sold jobs on their own.
  8. After you do all of the above write a detailed and clearly explained Job Description for your new salesperson position so you can use it to attract, evaluate and manage your new hire.
  9. Have Quality Audit Forms ready to go that you can use to capture feedback about your new salesperson’s performance from the prospects who do not buy as well as the customers who do buy.
  10. Establish the “Go-No Go Criteria” you will use so you have predetermined how as well as when you will make the absolute decision to keep or replace your new hire.

 

As I indicated above I decided number 10 proved to be the most important consideration after debriefing my learning experiences with hiring a first salesperson. As one sales seminar speaker once quoted at a seminar I attended early in my career:

“Never carry an employee longer than his/her mother did!”

 

 

Topics: Sales, Remodeler Education, Success Strategies, Recruting, Business Growth, Sales Considerations, Breaking $1Million

What Happened When I Stopped Providing Free Estimates

Posted by Shawn McCadden on Sun, Jun 28,2015 @ 07:00 AM

Guest Blog: What Happened When I Stopped Providing Free Estimates

Mouse_trap_free_bait-wrIf you are still running free estimates and playing a numbers game of leads to appointments to sales then I have something valuable to share. In the past I believed that if I did not actively pursue new clients, and provide free estimates, I would have no income. It was a numbers game; 5 leads - 3 appointments  -1 sale. Sound familiar? In this article I share my lesson in letting go; finding the faith to trust a system to qualify prospects, and the positive impact it can make for your business as well as your cash flow.

 

How I discovered the solution that worked for me

For me, it was getting increasingly difficult to find and schedule client meetings with my increasing responsibilities of being a Mom with a terminal illness. Running from lead to lead was taking up the time I needed to run my business and finish the contracts that we already had in the pipeline. Holding on to how I always did things was holding us back. I needed a temporary solution to what was a temporary situation.

Then, one late fall morning while catching up with reading emails and industry updates, I came upon an article about a remodeling business joining with another remodeling business to create a winning partnership.

Inspired by that article I decided that if I could temporarily give up running the leads to create the sales opportunity I would then be able to concentrate on design, closing the deal and project execution.   Doing so would be the temporary solution I needed to solve my current challenges. It worked. I found a design firm with a great front end sales system and at the same time was struggling with project management and finding responsive sub contractors. And, fortunately there would be no conflict, as they only needed to temporarily fill this need as they were relocating out of the area in six months, one year max. It was a good fit, they were looking to hire a per contract designer/project manager. The fact that I already had a top notch construction team in place sealed the deal.

 

The results

How contractors can stop giving free estimatesAs a result of that temporary relationship I learned how to create a trained support staff at my own business and secured steady work for my team. By learning how to use and sell paid consultations our leads turned into project development retainers which then turned into profitable construction contracts. That temporary relationship was also a big success for the partnering firm; they had a record earning year and made a lot of money.

When I stepped out of my business and worked within a sales process for another firm it forced me to stop chasing down those leads that after too much investment of my time proved to be unqualified. As an owner, I would not have had the faith that charging for estimates would actually provide a constant flow of better customers. I was too invested in my previous training and experience as a sales person. I was dead wrong.

 

The change was an emotional one; here is how I did it

First I had to stop thinking of my role as being an in-home salesperson. Second, I had to better and fully understand why our clients were actually hiring us.  Finally, I had to set up a marketing and sales system that could drive value and was not contingent upon my making it through the prospect’s front door to get the “opportunity to do an estimate".

 

Here are the steps I took and worked for me:

Step 1. I optimize my online profiles to convey value; value to my target prospects.
Step 2. We made it easy to see reviews and then contact us.
Step 3. The first phone call replaced the in-home appointment.
Step 4. We added “homework" for the prospect to do and the use of a “paid consultation"
Step 5. We offered prospects a retainer to act as their very own personal consultant and helped them develop “their project”.

 

The result of adopting this system has been life changing

How to stop giving free estimatesI no longer run around from appointment to appointment. I now have the time to focus on creating more ways to provide paying prospects with value early in the process. Our business is running with more consistency and cash flow has increased. For every consultation I go on now we have a 70% close rate to a full construction contract, a 20% conversion to a design/material contract and about 10% of our prospects don’t move forward.  

Since returning to concentrate in full on my business and my new sales role gross sales have increased over the last twelve months by more than 75%. This is because we now focus on our ideal client. We actively seek clients that have budgets that match our business model and refer the other prospects to contractors that are better suited for them. Cash flow problems have all but disappeared.

It starts with faith. It took trusting a system, knowing who our client is, and having the time to create opportunities to provide value.

 

Cynthia MurphyGuest Blogger: Cynthia Murphy, CKBR, is a Certified Kitchen and Bath Remodeler and co-owner of Murphy’s Design, LLC. She operates a Design Studio in Fairfax Virginia. She will be launching her blog called “Home Design Labs” in June and hosting an industry specific interview podcast called “The Social Home Pro” this summer on iTunes and Stitcher radio. If you would like to connect with Cynthia you can contact her via her website, blog or you can email her at cynthia@murphysdesignllc.com.


Topics: Business Management, Estimating, Differentiating your Business, Earning More Money, Lead Generation, Guest Blogs, Prequalifying, Opinions from Contractors, Estimating Considerations, Customer Relations

Comparing Contractor Markups Can Be Pointless and Very Risky

Posted by Shawn McCadden on Sun, Jun 21,2015 @ 07:00 AM

Comparing Contractor Markups Can Be Pointless and Very Risky

What contractor markup to useMany remodelers determine their pricing structure by copying what other businesses do rather than figure out what markup their business actually needs to use. Comparing or copying markups or margins is pointless and very risky without knowing how they were determined.   The decision about what costs or expenses go above or below the gross profit line can be different at different remodeling companies.   Therefore the markup each company will need to use to cover overhead costs and planned net profit will be different. Let me explain and clarify.

 

Sample Contractor Profit and LossFirst, here are the terms you need to know

Above the line = direct project costs (materials, labor -including burdens, subs and equipment costs)

Below the line = overhead related expenses

Indirect costs = overhead expenses plus net profit added together

 

Here is the simple mathematical formula for determining your markup

The businesses’ total indirect costs divided by the expected direct costs for an anticipated volume of work equals the required markup % to add to estimated direct costs.

This assumes profit is a required expense of doing business!

 

Let’s do an example:

The setup:
Assuming a remodeler is running a $900,000.00 a year business with the following above and below the line expenses:
$300,000.00 (Of indirect cost: overhead + net profit) ÷ $600,000.00 (Of direct cost: materials, labor and subs) = 50% markup

Proving the math works:
So, $600,000.00 of estimate direct job costs marked up by 50% = $900,000.00 (Provides a sell price that includes $300,000.00 of gross profit to cover the indirect costs of overhead and net profit)

Therefore:
One contractor can put something like vehicle expenses or worker’s compensation insurance related to field staff above the line.   Another might put the same items below the line. These two contractors may get to the same exact selling price but will be using different markups to get there.

 

Other important considerations to be aware of

How contractors decide what markup to useIt also important to know that fewer than 20% of remodelers actually know the true costs of being in business.  That means that 80% or more are using what has been referred to as the WAG or “Wild Ass Guess” method when it comes to deciding what markup they use to price the projects they sell. I call that “Contractor Roulette”

If that isn’t shocking enough for you keep in mind that about 9 out of 10 remodelers go out of business within ten years. Your chances of copying a successful remodeler’s markup are therefore about one out of ten. And the odds of copying the wrong markup get even greater if you don't know how, or even if, that remodeler actually calculated his required markup or did the WAG.

 

So here’s the bottom line regarding markup

You need to do the math or you won't know whether you are buying or selling jobs! Your ultimate success hinges on knowing the true costs of being in business and how to profitably price the work you sell.

 

Contractor markupsSo, what about you and your business?

The choice is yours. You can get the help you need to figure out what you need to charge for your work so you can be successful. Or, you can continue using the Wild Ass Guess Method and go to bed every night wondering if and when you will join the 90% who go out of business.

 

Other related articles:

Self Quiz To See If A Properly Setup Financial System Can Help You:

10 Causes of Construction Business Owner Financial Anxiety

Don't Put Your Business at Risk by Guessing At What Markup to Use

Don’t Confuse Bad Cash Flow with Under-Pricing

The Five Biggest Financial Mistakes Contractors Make

 

Topics: Business Financials, Margin and Markup, Financial Related Topics

The Latest Construction Innovations That Should Be on Your Radar

Posted by Shawn McCadden on Fri, Jun 19,2015 @ 06:00 AM

The Latest Construction Innovations That Should Be on Your Radar

Construction innovations for remodelersWhen it comes to your remodeling business, you want to be the best and stand leagues above your competition. But in a crowded field, this can be tough to do. Your customers expect professionalism and a job well done, which is what most of your peers are aiming to deliver as well. So if you’re seeking that extra edge with your business, you need to also do this – and then some. One of the best ways to impress your customers is by staying abreast of industry trends, and the newest innovations that can save them money and improve their results. Here are a couple of the ones worth watching, in commercial and residential remodeling, along with some tips for keeping yourself in the loop.

 

Pristine Aesthetics in Commercial Remodeling

As any commercial remodeler knows, one of the biggest challenges in the field is executing significant structural changes without killing the aesthetics of the space. One of the most common needs in commercial remodels is the addition of roof opening frames that provide structural support for HVAC units, coolers, roof turbines, skylights, roof drains, roof hatches and other rooftop equipment. The problem many remodelers have found is that the traditional way of installing such frames required welding, which created a mess and often left the area damaged and unsightly.

A new innovation has come on the scene, called QuickFrames, which takes care of this problem. The bolt-on, adjustable, pre-engineered roof opening frames only require a wrench or impact driver during installation, so there’s no need for the dangerous or ugly effects of on-site welding. Also, many warehouses are trending toward a white bottom deck (which welding would turn black) so using QuickFrames is an easy way to preserve the deck’s clean white appearance. Keeping customers informed about the benefits of using an innovative approach like this will show your vast expertise in the field and that you’re dialed in to their needs, which will ultimately help you win more business.

This video shows how easy QuickFrames can be installed, even as a retrofit

 

Personalization in Residential Remodeling

Differentiate remodeling designsJust as marketing techniques have all been swept up in the concept of personalization recently, remodeling is not exempt from this trend. In fact, it’s arguable that being adaptable to your customers’ wish lists is the only way you’ll succeed. You might be thinking – wait, isn’t the practice of remodeling personalized already? Yes and no. Yes, because when you remodel a home, you renovate the areas your customer has specified. But it’s not extensively personalized, since many remodeling companies don’t take it a step further and find out how to tailor every bit of construction to the customers’ wants.

For example, a hot craze this year is around making your home kitchen more like the commercial kitchens you’d find in a five-star restaurant. You may have a customer come to you and ask for a kitchen remodel, and they’ll ask for everything from granite countertops to a modern backsplash, upgraded appliances and maybe space for a wood-burning stove. They’ll think they’ve covered all the bases, but it’s your job to share with them what more they can do. Show them how their built-in refrigerator and freezer can be customized to their preferences, and how they can even request a butcher block island countertop that allows for multiple workspace heights. The goal is to go beyond the usual suspects in every area of the home, and offer new and personalized changes that you can bet the customer would love.

Stay in the Know

Beyond the latest tactics and greatest new products, your success in the remodeling field also depends on how connected you are in the industry and how up-to-date you are with new information. The two best ways to flex these muscles are by attending relevant tradeshows and by reading important industry publications. Many large manufacturing firms participate in several events year to year, where they debut their latest developments. By attending pertinent conferences, you can gain new insight and make important connections. You may also have the chance to meet people who work in industry press, who could later turn into valuable resources when it comes to getting your company exposure in remodeling publications. And even if PR isn’t on your agenda, simply reading all the big industry magazines can go a long way in educating you further about the field.

 

Rebecca HasulakGuest Blogger: Rebecca Hasulak is a prolific writer and dangerous dreamer. She sharpened her skill with the written word while she was an Associate Editor of a beauty and pop culture magazine, and further during her time as a Public Relations Executive. Rebecca now writes and delivers PR services under her business Quotable PR, and is happiest when with her daughter and loved ones. Follow her @BecksChristine.

 

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Topics: Differentiating your Business, Design Trends, Guest Blogs, Design Options

Now Might Be a Good Time to Remodel How and Why You Do Marketing

Posted by Shawn McCadden on Tue, Jun 16,2015 @ 10:03 AM

Now Might Be a Good Time to Remodel How and Why You Do Marketing

marketing ideas for remodelersOn April 2nd, 2015 I presented a half day marketing workshop titled "Choosing and Targeting the Right Customers and Projects Types for Your Business". The workshop was billed as the keynote session for the Builders Association of the Twin Cities (BATC) annual trade show in Minneapolis.   At the workshop I shared new ways contractors can think about and do their marketing so they can attract their desired customer and job types. It’s what I call strategic marketing.   For those of you who missed the workshop here are some of the key points we discussed at the workshop.

 

BATC Builders and Remodelers Show information Take advantage of the timing 

The economy and residential construction are both picking up.  At the same time the majority of attendees agreed with me in that we are not yet confident that the pace of the current surge will be sustainable considering the uncertainties businesses and consumers still have about the economy.  With that in mind this is however a good time to take advantage of the surge to concentrate on developing market share in a strategic way.  It’s my opinion that most contractors would benefit from becoming a specialist in what they do and how they do it.  After all specialists typically command higher prices than generalists.  And, true specialists are always in demand, even in down economic times. Now is a good time to specialize, as long as you also work on branding to establish and maintain your position as a specialist in your desired market areas.

 

Here are some specific tactics contractors can consider and use to strategically build market share

Pick your customers, don't let them pick you:

marketing strategies for remodelersStop taking just any customers and jobs.  Be selective about who you will let become your customers.  For example why not only work with people who would say they are "working with" you, not those who would say you are "working for them".   Also, be selective about the project types you go after.   For example why not attract people who want high quality products.  If you sell using one markup across all cost categories the gross profit dollars earned on material intensive projects due to higher price point products is an easier way to meet overhead and net profit goals, both now and in the future, particularly when compared to selling and producing labor intensive projects.

Stop competing, differentiate:

I don't understand why contractors think they have to compete and or be competitive.   For most construction business owners competing means bidding. Home owners who seek bids are typically like auctioneers, except they are looking for the lowest price, not the highest.  And, rather than try to be better than your competition, why not seek to be different from your competition.  Being different attracts attention and consumers who want different also know they have to pay more to get different.  
One key to being different and attracting positive recognition for it is to concentrate on how you do what you do to demonstrate your difference, rather than work on what you do to differentiate.  One example of potential differentiation could include offering true Design/Build as an alternative to the traditional design-bid-redesign and bid again game. Another example would be helping prospects develop project specifications with the agreement that you will come back to present your proposal and solutions, but you will not leave them behind unless they sign your proposal and give you the required deposit.  

 

Being different comes with pros and cons

If you decide to use these example strategies many prospects will go away.  However, the ones that see value in your differences will become cogs in your new referral generating machine and will pre-sell the value of your differences to their referrals so you won't have to.  I call those types of referrals "layups".

 

Think of how you do marketing in a new way

marketing for remodelersThe old traditional marketing methods of trying to find prospects who want your services now and interrupting them to get their attention no longer work.  Today consumers are the ones deciding how they will find and qualify their project ideas as well as the contractor they will work with.  Instead use inbound marketing tactics that help consumers find your business.  This should be one of the two primary purposes of your marketing and can be accomplished on your web site using SEO tactics and good content on your site’s pages as well as your blog.  The other primary purpose of your marketing, particularly at your web site, should be to help prospects decide if what you offer and how you do business are right for them.  In other words your marketing should help them prequalify themselves so they either want to contact you or know they shouldn't.

 

Final Thought- Marketing shouldn't just be limited to creating leads

At the workshop I also shared one more new way to use your marketing; to advance the sales process.  Consumers want to gather information and ideas about their project, but they want to be sure they are getting accurate and useful information.  Savvy contractors are now using the content at their web sites to educate consumers before they call to setup an appointment with a contractor.  This saves both the prospect and the contractor a lot of valuable time.  In addition to offering project and product related information, you can also educate them about how and why you do business the way you do. Sign up to join our mailing list  This can not only speed up the sales process, it can also help clearly differentiate your business and therefore improve the quality of your leads.

 

 

Topics: New Business Realities, Contractor Training, Success Strategies, Sales Considerations, Differentiating your Business, Marketing Ideas, Web Site Related, Marketing Considerations, Customer Relations, Business Planning

Three Reasons I’ll Be Attending The Professional Remodeler Leadership Tour

Posted by Shawn McCadden on Mon, Jun 01,2015 @ 12:35 PM

Three Reasons I’ll Be Attending The Professional Remodeler Leadership Tour

Eastern MA NARI MeetingMy Local NARI Chapter, Eastern MA NARI, will be hosting Professional Remodeler Magazine’s Leadership Tour this Wednesday night in Natick MA at the VERVE Crowne Plaza Hotel.   Always a good event with great food, this year’s tour is under the new leadership of Sal Alfano, the magazine’s new Editorial Director. Below are the three reasons I’ll be going again this year. I hope you will join me Wednesday night.

 

PR-LeadershipTour-logo-wr

 

Reason #1: Great food, door prizes and networking all at a great price

Attending the event is only $15. There will be some great door prizes and the food alone will be worth the price to register. However the networking might be the biggest value. This event attracts remodeling industry leaders from the area. It’s a great opportunity to hang out and chat with other remodeling industry professionals including contractors, trade partners and vendors. By networking with other attendees you can find the information and resources your business needs to stay ahead as a leader in the marketplace. Depending on who you are, you can find other people and business to buy from or sell to.   I find it is a great way for me to spend time with my current clients and get introduced to their referrals.

 

Reason #2: Great Education

In addition to vendor displays, where you can see new products and speak with the manufacturers, the event this year will include two speakers and timely topics.  

David Mayer, Director of Marketing for Houzz will share how new tools, like Houzz, have changed the way homeowners find and choose professionals and vendors, and how you can use Houzz more effectively to market and build your business. I for one am curious on how Houzz defines a “professional” and how they keep non-professionals off their site.

Mark Richardson, well know industry speaker will present "Creating a World Class Team" Covering such topics as: People are your greatest assets; Culture eats strategy for lunch; Know when to hold 'em and when to fold 'em; Become a magnet for talent; and Great businesses begin with great leaders.

 

Reason #3: Recognizing Remodeling Industry Leaders.

Sal Alfano

 

After some food, drinks, education and networking a good friend of mine, Sal Alfano, will be recognizing the local winners of the Professional Remodeler Market Leaders Awards which identifies the top remodelers in the major markets in the nation. Winners are selected through a combination of research by Professional Remodeler staff, publicly available data, and information provided by the remodeling firms.

 

 

Topics: Remodeler Education, Contractor Training, Trade Associations, Leadership

Checklist: Is Your Remodeling Business at Risk of Becoming Mediocre?

Posted by Shawn McCadden on Thu, May 21,2015 @ 10:12 AM

Checklist: Is Your Remodeling Business at Risk of Becoming Mediocre?

Improving a remodeling businessAs you grow your business day to day management and leadership considerations can quickly creep up on construction business owners.  Profitably growing a remodeling business to any volume, but in particular growing past the $1M threshold in produced work, definitely requires advanced business skills.   Growing and running your business by the seat of your pants is a sure way to create a mediocre business that will never generate maximum profits. This article offers several ways business owners can determine if they and their businesses are headed for mediocrity.  It also offers options to help you and your business get back on track.

 

Mediocrity Definition

 

Here is a checklist of indicators that your business is becoming mediocre:

  • Your business lacks written policies and procedures.
  • Even if you have policies you do not have predetermined consequences for violating them and or you do not enforce them.
  • You complain about things customers and or employees do or don't do; but then do nothing about them.
  • Concerned employees point certain concerning things out and you do nothing to address and or correct things.
  • Your employees point things out to you and you actually make them feel guilty for doing so or that they are annoying you by pointing them out.
  • Your customers offer feedback or complaints and you make excuses for why things happened, rather than embrace their help and use what they share with you to make improvements or corrections.
  • Long term customers stop doing business with you and you don’t bother to ask them why.
  • You create artificial harmony by ignoring culture deficiencies and or tension between team members and pretend everything is OK.
  • When something happens you always find a way to make it someone else's fault rather than take responsibility as the leader.

 

If these things are happening at your business you have two options

Construction employee complaintThe first is to let them keep happening.   If you allow things to continue you will likely lose customers, compromise your brand, have high employee turnover and you will never fully achieve creating a successful and profitable business.   Eventually, when your family and others ask you why you never really succeeded in business, you will again have to resort to rationalizing why it was someone else's fault.

Your other option is to recognize these things are happening and start addressing why they are happening.  Only until you know and recognize why they are happening will you be able to work on preventing them from happening.  

 

Preventing these things from happening may require two different solutions

The first is to stop certain things from happening all together by no longer tolerating them.   Put your big boy or girl pants on and be the leader you should be.   To hold others accountable make sure you create and follow through on consequences.

The other is to change how you do things so they just don't happen anymore.  Put policies in place and make sure they are enforced.   Those policies should also include clear consequences for violating them.

Lots of remodeling businesses are becoming mediocre as they try to grow in this improving economy. Will you join them or will you stand out from the crowd by becoming the reference standard for what it means to be a professional contractor in your marketplace?

 

Topics: Employee Relations, Business Management, Success Strategies, Business Growth, Sage Advice, Business Considerations, Breaking $1Million