Recession Proof Your Restoration Business

1. Recession Proof Your Restoration Business Phillip Rosebrook, JR Certified Restorer Phillip@businessmentors.net

2. Introduction • History and esteem • Success stories - 10&5 and no clue • Prospecting and relationships

3. Agenda • Marketing Myths • Marketing truths • Planning • Activities, roles and responsibilities • Tips for success • Trends and realities

4. Expectations • Provide take away ideas that you can implement tomorrow and dramatically impact your bottom line • New understanding of company culture • A changed paradigm for your company • Foundation for profitable growth

5. Profile in Success • 2 county population 100,000 - 4 hour drive • 3 employees • $324,000 revenue • Several minor competitors • 12+% unemployment • Few skilled workers

6. Opportunity Knocks • 12 employees • $1,200,000 revenue for 5+ years • Competitors out of business

7. How • Relationships • Delivered every estimate • Solved problems • Dependable & consistent • Legendary customer service • Performed on every job or made it right • Provided reasons to call not just work with us

8. Start up • 200,000 population • Branch office established company • Flood cleanup but no new revenue

9. Progress • 2nd month - $300,000 revenue • 4+ months consistent $300,000 revenue - unknown after that

10. How • Education • Agents • Adjusters • Problem solvers • Dependable and consistent • Exceptional customer service • Performed on every job • Provided reasons to call

11. Top Marketing Misconceptions • If everyone else is doing it • It worked in the past • “If I just recover the cost” • All work is the same • I cannot get on vendor programs because I am not a franchise

12. 10 Marketing Truths • It is easy to get on a program the first time • You need to have production and marketing balance • Marketing is not the sole responsibility of the marketing department • Market all the time to prevent peaks and valleys in work • Marketing should be proactive and planned

13. 10 Marketing Truths • Marketing results need to be measured • Closing ratios are as important as a good idea • The industry is changing and today’s marketing ideas are different • The marketing budget is finite • Easiest strategy is to increase work from existing clients

14. Proactive Marketing • What are your company strengths • Start with company goals • Why? • Define marketing goals

15. Marketing Goal Ex • Total Revenue of $2 million • Water damage sales $500K • Get on 2 new vendor accounts by December • Average 30 calls per month in the first quarter

16. Strategies • Prospecting • Diversifies contacts and goal driven • Relationship building • Builds volume

17. Budgeting • Includes • Wages, vehicle, burden, expenses • Advertising and promotion • Events and activities • 2.5-7% of revenue • 2.5% maintain sales and volume • 4.5% aggressive growth • 5+% blow the doors off

18. Prospecting • Route marketing • Agents, property managers, plumbers, risk managers facilities • Most every 30 days - some 60 or 90 • Ask for one job • Frequency and repetition • Associations • Events

19. Digital Advertising Ideas • Website • Web optimization • Pay per click • Yodle.com • Use site to drive traffic and accept work • Social Media • Linkedin.com • Facebook.com • Twitter.com • Email newsletters • ConstantContact.com

20. Prospecting & Relationship • Association Membership and Involvement • Sponsorships • Golf, picnics open house, Lobsterfest or other seafood, boat cruises • Trade show

21. Proven • Education • Puts you in the position as the expert • If you or staff is not a speaker then bring one in • Brings people to your facility or hosted by you • No commercials • Have managers attend and visit during lunch and breaks • Agents and adjusters • Obtain CE Through state Insurance office • Be credible and crowds will build • Outside groups to bring info and professionalism

22. Further discussion • Television • Yellow pages • Opportunity cost • Return on investment • Expectations and fit

23. Relationship Building • Responsibility of all managers • Ask for work • People do business with people they like • Be a problem solver and give people a reason • Daily activity

24. PM Marketing • 5-5-5 Plan • Be relevant and helpful • Easier the more work you have • Association involvement • Hire sales oriented people • Compensation plan that drives activity • Celebrate and reward

25. Owner Activity • Schedule and be committed • Weekly activity • Community involvement • Associations attended by executives

26. More Owner Activity • Key account activity • Business owners • Claims managers • Large agencies • Vendor review • Key metrics • Client satisfaction • Vendor performance

27. Marketing/Sales Tip • Create a sales-based culture • Set individual goals and Measure every week • Have financial rewards as well as recognition • Hold challenges • At least monthly or even weekly meetings

28. Marketing Staffing • Follow your budget • Involve your existing management staff • When hiring, match fit to goals • Test for fit • Training is essential • Measure activities and outcomes

29. Carpet Cleaner’s Advantage • Client database • Magnets - refrigerator and water heater • Post cards and email • Develop a relationship • Provide incentives • Partner with construction only • Most clients not price conscious • Value in numbers for database • An extreme case study

30. Vendor Program Placement • Not every program is equal • Persistence • Relationship • Agents • Push-Pull • Every job is a trial • Can’t beat em? Join em.

31. Vendor Program Expectations • Competency is essential and required • Dates and numbers • Consistency • Communication • Program expectations posted and reviewed - be in the top 10%

32. Market to Your Staff • Subcontractors and staff can be very effective in pospecting • Business cards for all • Staff meetings • Builds moral • Decreases turnover • Improves performance • Increases discretionary efforts

33. Industry Trends • Consolidation • Increased documentation • TPA’s and vendor programs • Color blind environment • Program expectations and increased professionalism • Margin deflation

34. Summary • Restoration still a good business • Increasing professionalism & barriers to entry • Marketing focus required • Start with goals and build activities • Be proactive • Sales and service culture

35. Closing • Effective communication • Involve your team • Be proactive • Balance sales with production capacity