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Contractors: How To Work With Generation Y From One Of Them

Posted by Shawn McCadden on Sun, Feb 17,2013 @ 06:00 AM

Mark Brown

 

Guest Blogger: Mark Brown is a student at BYU-Idaho where he studies Construction Management. He currently lives in Spokane, WA, working as a carpenter and studying online while his wife finishes her Bachelor’s degree in nursing. This article is a shortened version of an essay titled “Is Generation Y learning how to learn?” written by Mark for a research writing class. It has been revised to help contractors working with Gen Y employees.

 

Advice For Contractors On How To Work With Generation Y From One Of Them

Generation Y in construction“Things just aren’t the way they used to be” is a lament often heard from aging generations. However nostalgic and skeptical this observation may be, it is definitely true. Generation Y (those born between 1980 and 2000) is growing up in a world completely different than their parents. Today we are surrounded throughout our waking hours by new technologies and devices that feed us steady and seemingly infinite flows of information, providing us with instant connection to knowledge that used to be much more difficult to acquire. Obviously, things are not the way they used to be. One can’t help but wonder; how do these changes affect our daily lives?  The way we work?  Our relationships with others?  The way we see ourselves?  How we learn?  

Contractors today face an especially daunting task trying to teach the business to a generation that learns completely different than the average hard-knocks PhD. Understanding these differences is essential to utilizing the huge talent Gen Y possesses and snuffing your own doubts of any hope for the future. 

The way Gen Y learns is fundamentally different than their parents.

Hiring Generation Y

 

They process information about ten times faster, they expect free and instant access to all this information, and they wonder what everyone else thinks about it all. Most have grown up learning on a computer from the time they were in grade school. Google is their main professor and they’ve learned to research as fast and efficient as possible. Capitalize on this. Gen Y can sail through tasks you find yourself poring over for hours like learning new scheduling software, Google Sketchup, or computer networking. They love to share what they’ve learned and can help you learn faster.

 

 

They can learn fast and perform consistently

Like a Southern California piece-work carpenter, Gen Y loves to have their work lined out and ready to tackle. This may be frustrating to those who value someone who can see what needs to be done and figure out how to do it, but think of the value of someone who can learn fast and perform consistently. Gen Y is also extremely adaptable, so they can learn how to be the leader who takes charge. They just need a better reason than, “Because that’s how it’s done you idiot!”

Can, will you give them what they want?

Contractors hiring generation YGen Y has often been accused of wanting everything right now that their parents spent 25 years earning. However fair the accusation may be, it definitely reveals something about Gen Y. You’ll be hard pressed to find a more ambitious bunch. If they know that you can give them something they really want, they will follow whatever path you draw for them to get it. You can build them in ways that you never could with a burnt out 50 year old carpenter who’s been swinging a hammer the same way since he was 18.

The construction industry has seen some dismal days as of lately and those who have spent nearly a lifetime in it may not wish others the same. But, I hope they can see the promise that exists in the younger generation and take some time to be coaches and mentors to those who are ready and more than capable of taking the industry to the next level.

 

Topics: Hiring and Firing, Success Strategies, Worker Training, Careers in Construction, Recruting, Mentoring/Coaching, Guest Blogs, Opinions from Contractors, Generation Y

Reading ROI For Contractors: Maximize Results Reading Business Books

Posted by Shawn McCadden on Sun, Feb 03,2013 @ 06:00 AM

Jim Lex, Better Homes and Remodeling

 

Guest Blogger: Jim Lex is the owner of Better Homes and Remodeling, a Design/Build firm serving the greater Atlanta area. His passion is to make homes better by designing and building spaces that serve better!  As a full service remodeler, he also offers home maintenance and handyman services. On the national level, Jim supports the construction industry by teaching classes on lead, mold and radon.  I ran into Jim on LinkedIn.  He participated in a discussion I had started about great business books for remodelers.  I liked some of the comments he added to discussion regarding his approach to reading and asked him to do a guest blog.


Reading ROI For Contractors: How To Maximize Results When Reading Business Books

Reading for a Positive Change

Reading for remodelersReading can be a powerful tool to help grow your remodeling business. However, reading is of little benefit when it is done casually. Casual reading works fine for the news, novels, and entertainment.  But with business, casual reading isn’t enough because it brings only casual results. As contractors, we need great results with measurable change.  If you haven’t been getting that from your reading, then perhaps it’s time for a reading pathway.

Reading for a Positive Change is a reading pathway involving several key steps that culminate in both personal and business growth.


Read wisely and widely

A wise king once said, “You can get anything by either wisdom or money, but being wise has many advantages.” So be sure to read wisely and widely to get all the advantages.

  • lots of books for remodelersRead wisely – Identify industry movers and shakers, ask for their referrals and check online book reviews. Starting with the right book ensures you are getting the best answers and insights.  It will save you time and money.
  • Read widely – Remodelers tend to be strong on technical skills and product knowledge.  But your positive change might be elsewhere like your presentation, office, or running your business. Read widely to improve your skills in other vital areas such as selling, design, marketing, managing, communicating, finances, technical/computer, building processes, and so on. Your width and depth in reading supports you like the width and depth of a foundation supports a home.

Great reads don’t always cost a lot.  With Amazon used books, I recently obtained several excellent business classics ($20 and up new) for as low as $1 each.


Read actively

To get the most from any read, begin with a posture that is open minded, disciplined and focused. Avoid early judgments of new ideas as you may miss the very thing you need most. Be sure to notate and contemplate:

  • Reading pathwayNotate – Use 1, 2 or 3 stars for anything you MUST remember or implement.  Highlight key concepts and paragraphs. Underline key industry words, phrases and clauses.
  • Contemplate – Review your learning notations.  Think about how and when you should be using your underlines.  Review your highlights and stars.  I often use times away from a book, such as driving, to process how challenges can be solved.  Questions I might ask myself include, how could I have closed that missed sale? What more could I be doing to obtain customer loyalty? How can I better manage customers expectations? After asking yourself insightful questions, talk it over with someone. It’s extremely beneficial to hear yourself processing it.  


Implement for a positive change

At the end of the day, if you don’t learn something new, understand it in your own words, and then implement it for a positive change, nothing happened! So don’t wait. Do something now while it is fresh in your mind.

  • Reding ROI For RemodelersBegin using the underlined words immediately.  It will increase your communication and professionalism.    
  • Create a one-page summary of takeaways as bullet points. It will help “nail down” what you learned.  At the bottom, write page #’s with “future” points to revisit.
  • Write implementation goals with start and finish dates. Work it and track your progress.  The success of your implementation is your return on investment.  And who doesn’t love a good ROI.

If your reading hasn’t been bringing great results with measurable change, then perhaps it’s time for a reading change.  A reading pathway can make a big difference and bring immediate results in your remodeling business!

** Quotes are proverbs from the wisdom literature.

Topics: Fun Stuff, Success Strategies, Guest Blogs, Opinions from Design/Builders

General Contracting Starts With a Good Construction Contract

Posted by Shawn McCadden on Sun, Dec 30,2012 @ 06:00 AM

General Contracting Starts With a Good Construction Contract

Diane Menke and Tamara Myers

 

Guest Blogger: Diane Menke, VP/Operations Manager of Myers Constructs, Inc.  Diane Menke (left) and Tamara Myers (right) are the co-owners and principals of Myers Constructs, Inc., an award-winning design to build firm serving the greater Philadelphia region. A certified Women Business Enterprise, Myers Constructs is also a member of the U.S. Green Building Council, NARI, and NKBA.

 

 

General Contracting Starts With a Good Construction Contract

Construction ContractOver the years, I have heard from many contractors — some of them with very big companies — about how they handle drafting their business contracts. Many times, these documents consist of a collection of "stuff some guys I know have in their contracts" cobbled together. It doesn't even occur to these business owners that laws vary by state, or that they might need an expert to customize contracts to fit their own business's unique needs. By not having a professional create legal documents that fit a clear sales procedure and overall company goals, they are putting their company at serious risk. I know because we learned the hard way, too. 

When we first started our business, we used "homemade" and very simple carbon copy contracts that Tamara put together over the many years she was a carpenter working for herself.  Basically, it stated: "Seller will do X for Buyer for $Y." Like most carpenters and trades people, Tamara loved working with her hands and helping people. Carpentry was a joyous creative outlet for her. At that time, if a customer didn't pay, Tamara would "make nice" in order to "keep the peace and her good name" and move on to the next project. Lucky for Tamara, most of her customers were good people, the projects were small, and she probably didn't lose as much as she could have. 

What motivated us

Remodeling ContractIn 1998, we incorporated as Myers Constructs, Inc., because we had taken on a huge and complicated renovations project. We knew we needed serious business structures in place to protect us, so in 2001 we asked Dana Priesing, an attorney who is now our office manager, to read our contracts to look for problems. (She had us sign a contract before she did so!) Dana interviewed Tamara to better understand how she sells, and how our customers buy, and then gave us a few recommendations right off the bat:

  1. Don't give away design work. That was a huge lost income stream. It drained endless hours of Tamara's time, and sometimes we didn't even get the project. Dana advised us to bill for it, and she created a contract just for design work. We can now use the same contract if a customer with an architect needs consulting work during the design phase. 
  2. Our income streams should be separated out, and clear and simple contracts should be created for each one. We now have one for fixed price contracts and one for time and materials contracts, which are typically smaller, simpler projects.
  3. Don't use "softening statements" EVER in contracts. By softening the rules, boundaries and regulations of our agreements, and by being vague about price, payment schedules, and customer expectations, we had unintentionally created confusion. Our customers didn't know what we needed from them in order to do a good job, so Dana created a contract for us that clearly and separately identifies buyer's and seller's responsibilities, rights, and remedies.

 Protecting our investments

Contract Clauses for construction contracts

 

Our company supports a lot of people. We have invested decades into it, and we are depending on it to help us retire. It deserves great contracts to protect those objectives. And great contracts mean we can sleep soundly at night because we know we are doing what we agreed to do at the right price, and we are protected against any possible issues that may arise.

 

Liked this guest blog?   You might like this one too:

What Happens In Vagueness Stays In Vagueness!

 

Topics: Legal Related, Contracts, Guest Blogs, Legal Considerations, Opinions from Design/Builders, Design Options

What Happens In Vagueness Stays In Vagueness!

Posted by Shawn McCadden on Fri, Dec 28,2012 @ 12:23 PM

Guest Blog: What Happens In Vagueness Stays In Vagueness!

Reva Kussmaul, remodel coach

 Guest Blogger: Reva Kussmaul, owner of Remodel411.  Reva began her practice as a remodeling coach in 1998.  Reva believes that remodeling should be a 50/50 relationship and if it wasn’t cultivated as such - nightmares can occur.  According to Reva, those nightmares are typically caused by a gap in communication and it could come from either side.  For Reva it became quite obvious that someone who knew about and cared about both sides was a missing piece to the puzzle of remodeling nightmares.   So, she decided that both homeowners and contractors could use a coach when it came to their relationship - the remodeling relationship that is.  In this guest blog Reva talks about the difference between an designer and a decorator.  Check out her book: Remodel 411: Secrets to a Successful Remodeling Relationship

 

What Happens In Vagueness Stays In Vagueness!

The risk of low price remodeling

 

I'm constantly running into consumers who, not only used the lowest priced proposal and bidder, they also want me to offer the lowest proposal to fix the work “done wrong” and yet provide the highest quality work.

I've looked at three "done wrong" electrical jobs in the past four months and one shower installed incorrectly as well. When I advise the homeowners about exactly what’s wrong and what it will take to fix it, they're blown away at my pricing.

I get very clear about what the costs are and why, even to the smallest details;  like "materials don't just appear - someone has to go to the store, wait in line, load the truck, use the gas to go to and from then get the materials to the job-site - all of which is part of the cost."  

If it’s too good to be true…

I understand home owners’  “wishin' and hopin” aspect of wanting the lowest price to work out; plus get high-quality work and having no change orders.   But much research has to be done by the contractor to know if such WILL be the case.  I always give my potential clients a possible change-order scenario regarding something that just isn't visible when going out to look at a project.  Plus, I usually have my sub go in the attic and under the house to check joists, plumbing, electrical to see just what might be change-order possibilities waiting to happen.

If he finds something questionable, the beauty of technology these days is - he takes a picture and shows it to the homeowner immediately, along with an explanation of the problem.

So, it's not accepting the lowest price that is the homeowner's challenge. It's "hoping" it will turn out the best and everything will work out as intended. Again, as I state all the time, it's a 50/50 relationship, not a one side is wrong all the time scenario. It's about clarity of communication on both sides. And, until both parties know and recognize this we'll keep hearing the stories and there will be a constant need of fixing the "jobs done wrong!"

Contractors must stop under-bidding. 

under bidding remodeling jobs

 

They should be honest about what things cost.  Being in business as a contractor is not a hobby, it's how we earn a living.   Homeowners must be willing to do the research it takes to find out why things cost what they do and stop wanting to get things "on-the-cheap".     I have found many homeowners who get it and, unfortunately, many who don't. Contractors can separate themselves and their businesses by helping them.

Solving this problem should also include a “how is your relationship with money” conversation; both about the giving and the receiving.  If either party is vague about their discussions about money think of it this way: 

“What happens in vagueness stays in vagueness!”

Welcome to Vagueness wr

Love this industry and I will continue to move toward win/win rather than making either side wrong!

Making everything that goes or has gone wrong one-sided is to live in the problem and not become part of the solution.  I've had “homeowners from hell" and, on bad days and during some tough years, I’ve probably been thought of as a “contractor from hell".  For many of us it’s simply being human and bringing our personal “stuff” into our work.  Happens in every area of life and, truly, that is where the work lies.

Remodeling customer from hellI know there may be some web sites out there focused on making the contractor wrong but please keep the above in mind.   It’s a relationship and absolutely not a one-sided affair.  It’s a 50/50 and must be treated as such.

Let’s get out of vagueness!

Happy Remodeling!

 

Topics: Differentiating your Business, Guest Blogs, Customer Relations, Plans and Specifications, Opinions from Design/Builders

How Remodelers and Their Customers Can Both Make Money Being Green

Posted by Shawn McCadden on Fri, Sep 28,2012 @ 06:00 AM

Direct Marketing and Analysis

Guest Blogger: Jason Dickerson is a freelance writer for Direct Marketing and Analysis who focuses on ways people can make their home's more energy efficient and green.  When Jason isn't writing he enjoys mountain biking and spending time with his wife Marissa.

How Remodelers and Their Customers Can Both Make Money Being Green

Green energy remodeling

 

 

So you have a client that has decided to remodel their home. Considering that they’ve decided to make a serious investment in their home, it’s easy to suggest that they should also think about investing in something that can pay them dividends.


The value of adding green energy infrastructure to a home is threefold. Not only will residents save money in the long run by decreasing the amount of energy they purchase from their retailer, they’ll be helping reduce America’s dependence on foreign energy, and they might even make money by selling the energy they don’t consume to others.
Here in Texas, there are plenty of energy retailers that offer special plans for homeowners with green energy technologies installed on their property. If your clients need to find out which retailers have the best offers, tell them to visit energyproviderstexas.com to explore their options.


What is green energy?

Green energy is a big buzzword in politics these days, but it’s rare that someone actually explains what it is. Green energy generally refers to energy produced through means that are not dependent on fossil fuels. Instead, renewable resources drive the production of energy. Some of the most recognizable forms of green energy are hydroelectric energy, wind energy and solar energy.


Hydroelectric energy

Hydroelectric energyHydroelectric energy is one of the most developed forms of green energy across the country. For generations, American engineers have been developing dams for many of our nation’s rivers. Once a river has been dammed, engineers can control how much water passes through at any given time. As that water flows, it rotates a series of turbines thus creating energy.
Unfortunately, if you don’t live close to a major water source, this form of green energy probably isn’t available to you, and it’s definitely not something a single homeowner can implement on their own property. That said, hydroelectric energy is collectively one of the largest sources of renewable energy in the country.


Wind energy

Wind energy In order to turn wind into electricity, a new type of windmill has been developed. Often these windmills are installed in large groups referred to as wind farms. All throughout West Texas, there are thousands of new windmills that have been built over the past decade, and wind-generated power is becoming an increasingly substantial source of energy for the Texas grid.


Individual homeowners can harness the wind to produce energy on a small scale, or if they’d rather not make that sort of an investment, many energy retailers offer products that are comprised of energy derived solely from wind farms in Texas. Either way, utilizing wind energy is one of the most effective ways for Texans to support green energy.


Solar energy

solar energy remodelingHarnessing the energy of the sun’s rays requires the use of solar panel technology. While solar panels were once extremely pricey, prices have come down as technology has advanced. Now, many people in sunny regions, including many areas of Texas, are installing their own personal solar arrays in order to capitalize on the most abundant energy resource in our solar system.


If one of your clients is interested in pursuing a green energy solution during the remodeling process, be sure to suggest they install their own solar array. Solar energy in particular can really pay off in the long run, especially when homeowners elect to sell the energy they do not use to other consumers on the grid.


If a client is interested in adding a solar array to their home, but isn’t sure if they can afford it, there are still options for them to consider. Some energy providers in Texas subsidize solar arrays, by offering to lease them to homeowners.


Green energy and remodeling go hand in hand

Green remodeling

 

Considering how volatile the energy market has been in Texas over the past few years, it’s easy to make the case to many clients that green energy infrastructure is a worthwhile investment. Consider adding green energy installation to your skillset in order to capitalize on the current trends in the market!

 



Topics: Success Strategies, Differentiating your Business, Earning More Money, Guest Blogs, Definitions

Two Ways Remodelers Can Predict and Measure Good Cash Flow

Posted by Shawn McCadden on Fri, Sep 14,2012 @ 06:00 AM

 

Judith Miller

 

 

 

Guest Blogger: Judith Miller has worked with remodelers nearly 30 years; she writes for Remodeling Magazine, facilitates for Remodelers Advantage and consults with remodelers around the country with particular focus on the importance of good financials!  Visit her website at www.remodelservices.com

 

Two Ways To Predict and Measure Good Cash Flow

In his excellent blog post on cash flow, Shawn mentioned direct costs, overhead and net profit as all potentially contributing to good cash flow.  And, as he so rightly pointed out, the potential for good cash flow begins with accurate pricing for the job.  Shawn also mentioned the importance of working on ‘accrual’ accounting rather than cash.  When you’ve got these important elements of good construction accounting in place, you can lay out a couple metrics which will be useful in understanding cash flow.

First, get all your costs in the right place on the Profit/Loss:

Income = revenue from construction projects

Direct Costs = expenses, including ALL labor (even that production manager who doesn’t keep a time card) AND associated labor burden, related to jobs for which you receive the income.  Don’t include work on your own house or you Mom’s in this category because you’ll skew (and screw) the numbers.

Overhead = all costs it takes to run an office, including a construction office, but not related to jobs – those costs go into Direct.  This includes marketing expenses, rent, office supplies, professional fees, owner and admin salaries and related burden, general insurance – not liability or workers comp which go into Direct.

(List of Typical Accounting Terms and Definitions)

 

Second, establish a good system for job cost analysis

 A good system for job cost analysis lays out the true estimated cost of the job – no SWAGs or ‘guesstimates’ – and allows you to post costs against the estimate as they are incurred.  Remember that a cost is incurred WHEN THE WORK IS DONE not when the bill is received.

 

Third, reliable reports are accurate, complete and timely

Prior to calculating these metrics, be sure to review all reports for reliability. 

 

Now you’re ready to develop these two useful metrics:

slippage1: Slippage/Grippage:  this metric calculates the difference between your estimated gross profit and the produced gross profit.  Slippage is negative, grippage is positive.    This is of critical importance because if you’ve got slippage either your estimating is wrong or your production is not working up to expected efficiency.  And if you’ve got grippage, you might be leaving money on the table from estimating too high.  Control of production allows for profits which can then be managed to ensure good cash flow.
    • The calculation is: Estimated gross profit margin MINUS Produced gross profit margin
    • The goal should be no more than 2 percentage points slippage – or grippage.

slippage vs grippage

AR Turnover2: AR/AP Turnover Net: this metric calculates the difference between the number of days it takes to RECEIVE your cash from customer’s invoices (AR Turnover) and to PAY your customer’s expenses (AP Turnover).  If you receive money from your customers in 10 days and pay your expenses in 15, you’d have 5 days “float” – a good thing!  However, if the reverse is true, you might have to borrow to pay the bills.

The calculation is three part:

 AP/AR Turnover calculation

Once your accounting system is set up correctly, information is entered accurately, timely and consistently, you’ll be able to see where the money comes from, where it goes and how to control the all important cash flow!  This is a set of gears which all work together to produce profits and protects cash!

 

Topics: Business Financials, Job Costing Considerations, Financial Related Topics, Earning More Money, Cash Flow, Guest Blogs, Estimating Considerations, Business Planning, Definitions

Benefits of Rethinking Your Estimating and Job Costing Approach

Posted by Shawn McCadden on Tue, Jun 19,2012 @ 05:00 AM

Melanie Hodgdon, Business Systems Management

 

 

Guest Blogger: Melanie Hodgdon is a Certified QuickBooks ProAdvisor who has been providing financial analysis and QuickBooks training for contractors since 1994. She’s the author of A Simple Guide to Turning a Profit as a Contractor.  Melanie and Shawn often coordinate their efforts when helping remodelers develop financial systems for their businesses so they serve the contractor, not just their accountant.


Benefits of Rethinking Your Estimating and Job Costing Approach 

What functions should an estimate serve on a fixed/contract price job?

Estimating for remodelers

 

Pricing
The cost of the job determines the price of the job, so knowing the costs allows you to generate a sale price.

Job Costing
The estimate can function like a budget for both time and costs.


In order to price and job cost accurately, the estimate needs a lot of detail. If you (oops!) forget to include windows or a toilet, your only choices are (a) go back to the customer, admit your mistake, and hope he accepts the revised price or (b) eat the cost.

Also, sharing a highly detailed estimate with the project’s lead carpenter can help limit questions from the field back to the office.

But the same high level of detail that can save you when pricing and producing the job can get in your way if you attempt to job cost at that same level of detail. As a QuickBooks ProAdvisor working with literally hundreds of contractors, I have seen two common categories of errors:

 

Job costing at too high a level of detail can be a problem

Job costing methodsContractors who try to job cost inside QuickBooks at the level of 2x6’s and specific products (Kohler faucet K-13490-CP) produce three problems:

  1. Your project manager and bookkeeper will waste time coding out every little line item on a vendor’s bill.
  2. The more opportunity for choice, the more likelihood of misclassifying things. Highly detailed job cost reports actually have a greater chance of being inaccurate on a category-by-category basis.
  3. Your job cost reports will be so lengthy and complex that you’ll lose the forest for the trees.

 

Job costing using apples and oranges?

Accurate job costingContractors who continually add job-specific line items in QuickBooks invoices (ex: “repair Jones front porch step”, “Replace damaged shower tile”, “Add backsplash”) produce these two problems:

  1. They create a disconnect between the categories used for estimating (apples) and those use for job costing (oranges), making it virtually impossible to compare common estimated and actual categories
  2. They create an ever-increasing list of job-specific categories inside QuickBooks with single-use history   

 

How to do it right

Instead, estimate at a high level of detail but create a way to subtotal these into categories that you use consistently, will be relatively simple to code, and will produce reports that allow you to perform a side-by-side comparison of estimated and actual costs.

For those using a customized spreadsheet for estimating, the process might look like this:

Estimating categories for job costing

The summarized categories with costs can then be entered in your accounting software and job costed using the same categories. Doing this will keep your cost categories consistent and provide apples to apples comparison.

 

Topics: Business Financials, Job Costing Considerations, Success Strategies, Financial Related Topics, Production Considerations, Guest Blogs, Estimating Considerations

How Your Website Can Get You Involved in the Homeowner's Sales Cycle

Posted by Shawn McCadden on Thu, Jun 14,2012 @ 05:00 AM

Spencer Powell, TMR DirectGuest Blogger: Spencer Powell, Inbound Marketing Director at TMR Direct.  Spencer joined TMR Direct to spearhead their social media marketing efforts and to assist clients who want to implement social media marketing campaigns.  He also specializes in helping builders and remodelers who are frustrated with the lack of leads they are getting from their current websites.  Recently Shawn and Spencer have teamed up to help several of Shawn’s consulting clients.  First, Shawn helps remodelers strategically identify and decide their target customer(s), project type(s) and niche(s).   As an Inbound Marketing Certified Professional, Spencer and his team then help remodelers get found by their targeted prospects on the web. 

 

How Your Website Can Get You Involved in the Homeowner's Sales Cycle

Remodelers using google search

 

 

Just think about it for a second.  That's how you find EVERYTHING today.  Yes, I'm talking about Google.  If you're looking for a product or service, there's a good chance the first place you'll go is the web.  This is where your research process begins.  Well, it's the same for homeowners who are looking to remodel their kitchen, bathroom or any other part of their home.


Helpful information is key

So, how can you ensure that you'll be a part of their research process...and how can your website help you do that?  There are a few factors that we want to look at.  First, your website needs to have lots of helpful information that your prospect might be looking for.  This could be information on the process of going through the design phase.  It could be warning signs to look out for when selecting a contractor.  It could be information on cost and why certain things cost more or less.  It could be information on change orders.  Think about it.  The more information you can provide to your prospects, the fewer questions they'll have when they contact you. 

BUT...most importantly you'll position yourself as a trusted advisor in your industry because you're the one helping them make an important decision.

Google LOVES content

SEO for remodelersIn addition to becoming a trusted advisor, the more content you create on your website, the more chances you have to actually get found in search engines like Google.  Google LOVES content, so the more you create, the more you'll be found.  Just think of your website like a planet.  The more pages and articles you create, the bigger the planet gets, and the more gravitational pull it has.  So, you'll be pulling in more web visitors. 

Once you have more prospects coming to your website because of the content, you'll notice that your website actually helps you get heavily involved in the homeowner sales cycle because you're helping them with their research.  In addition, your information doesn't all have to be readily available.  It's a good idea to have and offer much more in-depth information that a visitor can download.  This might be in the form of an eBook like "10 Kitchen Design Trends for 2012".  However, in exchange for being able to download it, they need to provide their Name, Email, Phone Number and Zip Code.

Once captured, nurture those leads!

Lead Nuturing for remodelersNow you're in great position to solidify your company as one of their options for helping them achieve their goal.  This is where lead nurturing comes into play.  Lead nurturing is simply sending out helpful emails with more information that helps your prospect do research.  These emails allow you to stay in touch with the prospect all the way through the sales cycle.  How to execute a lead nurturing campaign is the topic for another post, but are you starting to see how your website can really get you involved in the homeowner sales cycle?

What are YOUR thoughts on this?  Are any of you using your websites to participate in your prospects’ sales cycles?

 

Topics: Success Strategies, Sales Considerations, Marketing, Guest Blogs, Marketing Considerations

Designer or Decorator – Know and Manage the Difference

Posted by Shawn McCadden on Tue, Jun 12,2012 @ 05:00 AM

Designer or Decorator – Know and Manage the Difference

Reva Kussmaul, remodel coach

 Guest Blogger: Reva Kussmaul, owner of Remodel411.  Reva began her practice as a remodeling coach in 1998.  Reva believes that remodeling should be a 50/50 relationship and if it wasn’t cultivated as such - nightmares can occur.  According to Reva, those nightmares are typically caused by a gap in communication and it could come from either side.  For Reva it became quite obvious that someone who knew about and cared about both sides was a missing piece to the puzzle of remodeling nightmares.   So, she decided that both homeowners and contractors could use a coach when it came to their relationship - the remodeling relationship that is.  In this guest blog Reva talks about the difference between an designer and a decorator.  Check out her book: Remodel 411: Secrets to a Successful Remodeling Relationship

 

COMMUNICATE TO CREATE AN AMAZING REMODELING EXPERIENCE

IT’S ALL ABOUT THE TEAM-WORK!

 

Designer or decorator, whats the difference

 

Contractors & Homeowners:  There is a distinct difference between someone who chooses pretty things for the home (see the definition for decorator below) and someone who knows what choosing pretty as well as designing for the building/installation of pretty is (see definition of designer below).

Designer:  A person who plans the form, look, or workings of something before its being made or built; a creator, planner, inventor; maker, architect, builder.

Decorator:  A person who decorates, in particular a person whose job is to decorate the interior of someone's home, by choosing colors, carpets and furnishings.

 

Many decorators call themselves designers and they are far from it

I’ve worked with them, so I know.  Now, I’m not making them wrong for what they do, I’m saying how they define themselves is incorrect.

Perhaps it’s easier to sell one’s services if called a designer as opposed to a decorator - maybe more money can be charged?!  However, there is a very important difference.  When a decorator, who sometimes has no true knowledge about building, has a plan B with possible change orders for “unforeseens”, etc.; the project suffers UNLESS they have consulted with the contractor and are willing to refer to their expertise.  Then, we have what is called “a team” and an experience is created.

Design/Builders can offer the full service option

This is also part of the remodeling relationship I write about in Remodel 411: Secrets to a Successful Remodeling Relationship. My advice to homeowners - choose a design-build firm that is full-service and if you feel a need to have someone help you decorate with pretty, simply ask if their company is staffed for that service as well.  Save yourself time, money as well as emotional fall-out.  In the long run, this is what will create a great remodeling relationship.

difference between a decorator and a designerMy suggestion to design/build firms is to have a decorator either on staff or one you’ve built a good relationship with available to you, that is willing to work in conjunction with the designer and/or contractor as far as the pretty aspect of such things as tile lay-out, mirror and sconce placement goes.  This is where creating a team comes into play.  When all parties are able to communicate clearly with one another and work together everyone wins.  That’s the whole point - everyone does what they’re good at, has a good time and works together so more business is forth-coming.

It’s about clear communication and teamwork

A great team, which includes quality craftsmanship, is what creates a win/win experience for all involved. It’s not about anyone being right or wrong, it’s about creating an amazing experience.

 

Topics: Guest Blogs, Plans and Specifications, Opinions from Design/Builders, Definitions, Design Options, Working with Design Professionals

Thoughts On Design/Build From a Remodel Coach for Homeowners

Posted by Shawn McCadden on Fri, Mar 16,2012 @ 05:00 AM

Thoughts On Design/Build From a Remodel Coach for Homeowners

Reva Kussmaul, remodel coach

 Guest Blogger: Reva Kussmaul, owner of Remodel411.  Reva began her practice as a remodeling coach in 1998.  Reva believes that remodeling should be a 50/50 relationship and if it wasn’t cultivated as such - nightmares can occur.  According to Reva, those nightmares are typically caused by a gap in communication and it could come from either side.  For Reva it became quite obvious that someone who knew about and cared about both sides was a missing piece to the puzzle of remodeling nightmares.   So, she decided that both homeowners and contractors could use a coach when it came to their relationship - the remodeling relationship that is.  Check out her book: Remodel 411: Secrets to a Successful Remodeling Relationship

 

Thoughts On Design/Build From a Remodel Coach for Homeowners

Design build team

 

 As a remodel coach, I recommend homeowners work with a design/build firm when they’re undertaking larger projects because I find it to be quite beneficial and all-inclusive in that you have a designer who knows how to build and create plans from that knowing and you’re working with a contractor who has their hands on the design process and is in communication around that process at all times.

The beauty of a design/build firm is - it’s beneficial to all parties. It’s much easier for the contractor to be involved with a team so they’re not shouldering all of the work themselves, thereby opening up time for discussions with the client about possible challenges or changes.  It’s beneficial for the client because I’ve found they feel like the contractor has more time to actually listen to their needs.  That’s the purpose of a great team - creating win/win scenarios.

Success with Design/BuildI find it is quite challenging when working with a designer/architect who isn’t part of the contractor’s team and, really, isn’t necessarily on the homeowner’s team either. It’s not that they’re against either of those entities but if they’re working individually they’re about creating a plan for a job and they are simply not always up on the cost impact of possible changes/designs they’re suggesting. OR, they give a very low-ball cost and then the homeowner is blown away when the contractor costs it out accordingly.  I suggest homeowners work with a firm that is going to have all of their team members on the same page, at the same time, in the same place.  

The other suggestion is there be a separate dedicated project manager on a large project as well.  This works well because when someone’s job is project managing that is what he or she is doing all day.  It makes such a difference to have that liaison between the contractor, designer and homeowner.

Advantages of Design/BuildI’ve worked with designers who charge $3,000 for a bathroom design including tile lay-out and then want me to make the decisions about the actual lay-out, correct measurements, etc.  They were charging money for something they really weren’t that knowledgeable about and didn’t feel confident in.  When it’s a design/build firm that’s all inclusive, when one member of the team completes the initial design, the person actually drawing plans steps in and it progresses from there in an orderly fashion.

I don’t feel it’s as necessary to work with a design/build firm when doing smaller projects, however, if a home owner has used a larger firm for a long-term project, had an amazing experience and already trusts them with their home, I always recommend loyalty.

Topics: Advantages of Design/Build, Design/Build Process, Guest Blogs