I have been in thousands of cabinet shops, kitchen dealers, remodelers, etc
since 1970. I started selling design software in 1988.
I have always been in marketing beginning when I was 13 working with
my father. So I have a unique perspective on this
business. If you follow these guidelines you will make money.
Six of the tips deal with turning the job you are on, into an other
job or several more jobs. Working on a job is also prime sales
time for getting that next job. See tips 3,4,5,6,7 and 8.
| 1. I am always amazed that the majority of small
businesses start a business without any thought to marketing
and do not even have a marketing budget.
I believe every quote should cover all your expenses
including marketing and overhead. A good rule of thumb
is 33% Materials, 33% Labor, 33% Overhead then mark it up
30%. If you are starting a new cabinet business this
is a good formula to start with. You will make money
with it. |
| 2. I have had many customers come up to me at trade
shows and tell me that the software I sold them the year
before doubled their sales. I hear this all the time
from customers. The other day Sarel van der Linde in South
Africa told me that before he had Pro100 the first thing out
of the customers mouths was "What will this kitchen cost?"
Now he shows them the presentation he created using Pro100
and most of the talk is about the design not about price.
He says he gets more for his jobs now that he is using
Pro100. Use B (11X17) or Metric A3 (297X420 mm ) size paper for
your presentations along with Microsoft Publisher or some other
desktop publishing program. This way you can put your
presentation on one piece of paper. Salespeople that
do this tell me they close more sales and close them faster because
they are not fumbling with a lot of papers. Everything
is well organized.
View a B size presentation. Troy at
Redline Garage Gear told me that they have all their dealers use B size
paper for their presentations because it works. You can
send your files to Staples or other printing companies so you do not
have to own a large printer. These services are not expensive, usually
under $2.00 per page. Eleven Inch printers are not that
expensive if you are looking for a new printer. Top |
| 3. Get yourself a web site.
It will save you
advertising dollars. Think of a web site as a Live
Brochure. Printed Brochures are expensive and they are
out of date the day you print them. You save
money by listing your web site in the yellow pages in a
small ad. The smaller ad
saves you money and does a better job than a larger more
expensive phone book ad. Also:
newspapers, billboards and other advertisements cost less
because the advertisements do not have to be as large due to
the fact that you are promoting your web site where all the
up to date information about
your company is located. Let us create your web site.
We specializes in web sites for Kitchen Dealers, Custom
Cabinet Shops, Remodelers, The Trades etc.
www.Craftsmendesigners.com |
| 4. Put signs on all your vehicles. This is
so obvious that I do not understand why all companies do not do
it. You should have your name, phone number, and web site on
your all of your vehicles. I have been told by many
businesses of the sales that come from the signs on their vehicles. Top |
| 5. Have yard signs in the yards of all your jobs.
I have a really hard time understanding why companies do not
do this all the time because they work. If you are
doing work for a home owner there is a very good chance that
other homes in the area have the same problem and may need
you expertise, so put a sign out with your name, phone
number, and web site. You will get business from that sign. Top |
| 6. Door Hangers also work for the same reasons
that yard signs work. There is someone in the same
neighborhood that has the same problem that you can fix for
them. Or someone may ask, "I see you do this can you
fix my problem?" You can purchase blank door
hangers
here and print what you want on them. Even the
address of where you are working.
Door Hangers Top |
| 7. You and your employees
should wear Logo Shirts, Jackets and Hats.
I have had several customers tell me stories of them having
lunch in some fast food place and being approached by
prospects that see their logo clothing. It happens all
the time and it is not costly so do it. Top |
| 8. Make sure you and your employees carry plenty of business
cards. Not only should you carry cards but a small tablet
and a pen. If you are wearing your logo clothing you will be approached so have those cards handy. Cards
are cheap but you have to make it a habit to see that you
and everyone carries them. Top |
| 9. Have a business phone number and phone line
with call forwarding to your cell or a good voice mail
system. This is important for several reasons.
Number one it puts you in the yellow pages. Number two
it says you are a legitimate business not a fly by night
company. You do not need a big ad, just list your
number and web site. See three above. Top |
| 10. Do not have your voice mail go to a system that
only repeats your phone number or have a child answer the
phone. This is a big no no. If a referral calls
and gets what does not sound like a business, they may think
it is a wrong number and discard it. You have lost a
sale. If your are going to be a business act like a
business. Top |
| 11. I am always taken back a little when I run
across a business that uses their home checking account for
their business. I can see how it happens because they
started out making cabinets for a family member, the next job
was for a friend of the family member, and so on.
Before they know it they have a full fledged business and no
business checking account. There are several problems.
One is your business credit. If you want to get a
business loan or you want to lease some equipment, having no
business checking account holds you up, and may disqualify
you. Also you need a business checking account if you
apply for a merchant account so you can accept credit cards. If you get audited by the IRS you will have a
nightmare. Enough said. Top |
| 12. I met Larion Suartzendruber when he was just
getting started in about 1973. He has one of the few
custom furniture companies that I know of that make money. A lot of
people try making custom furniture but almost all of them
fail. One reason I believe he has done so well is that
he told me about a deal he made with a professional
photographer when he started his business. The deal was that the photographer would
photograph all his jobs for a fixed fee. The advantage
for the photographer was that he has a nice steady fill-in
job that he could do when he was not taking care of his
regular clients. It worked out well for both of them
over the years. You can see the results of this arrangement.
Swartzendruber Hardwood Creations.
If
someone comes into your shop with a picture of a hutch or
some other piece of furniture and asks you to build one
like it, but with different dimensions, call me. I can tell you
how to price it so you make money and what to say
to justify the cost and close the sale.
If you do your own
photography you need a camera with changeable lenses so you
can get a
wide angle lens. The camera should have a
removable flash and a way to plug in additional flashes.
You will also need a tripod. Look at the pictures of
kitchens or what ever you are photographing to learn how to
stage what your are photographing.
Wikipedia - Lenses
Staging is very important if you want great photographs.
One friend of mine hired a photographer to teach him to
photograph his products. You could put together a
photo staging kit so you will be ready to play photographer
when a job is finished. Keep adding props to the kit
as you run across them.
Large photographs of your products and jobs on your walls
adds value that you can not get any other way. A
large photo makes your projects and products larger then
life. Top |
| 13. Yellow
page ads are one of the most discussed topics I know of when
it comes to advertising. At one time you had to have a
Yellow Page Ad. It was the most important advertising
media for the retail trade there was. Today it is
different because of the Internet and other factors. Even
when the Yellow Pages were king of the hill, not all were
that sold on it. I do not ever remember anyone telling
me that they got most of their sales from the Yellow Pages.
In fact most people selling kitchens kept reducing their ads
each year. Today you should have a small Yellow Page
Ad selling the prospect on going to your web site.
That is where you will have room to tell your story. I
can not even remember the last time I have used the Yellow
Pages, it has been years. I just Google it. Top |
| 14. I have been asked several times. "I am looking for a Sales Person, any ideas?".
I have given this advice to several people and some have
reported back to me that it works. In every town there
is someone that has gone to school to become an Interior
Decorator or an Interior designer. The majority of the time
there are no jobs for them and their services are hard to
sell. It takes a large market area to support them.
I have suggested that Custom Cabinet Shops, Kitchen Dealers
and Remodelers put out help wanted advertisements for an
Interior Decorator or Interior Designer. They make
good sales people for Kitchens, Baths and other types of
Remodeling. They have the design training but most have not
even thought of selling these services. Give it a try. Top |
| 15. Home Shows, Mall Shows and Fairs.
One company in Florida I was talking to the other day
said they sold two kitchen jobs at their local Home Show
this year. He reported that their local show has
always attracted a good clientele of prospects.
What has been your experience?
Please let us know so we can share your experience with others..
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My Opinions... Ted Knudson |