Potential customers will not call your company if they do not know you exist. And they won’t know you unless you make your existence known. The simplest method for making yourself known is signage.
Whether you are driving to the job, or parked in the driveway, vehicle signage becomes a rolling billboard. No matter where you go or what you are doing, your vehicle lets people know who you are and what you do. A vehicle sign can be seen by hundreds, if not thousands, of people each day.
Signage can be as simple as a magnetic sign or as elaborate as custom, permanent lettering. Regardless which method you use, signage is an important part of making your name known.
Job site signs are equally important. Many people are not home during the day. They may see that a neighbor is having his house painted but they never see your vehicle. Who is painting the Smith’s house, they may wonder. A job site sign will answer that question.
While your signage may be relatively simple (particularly job site signs) they should be neat and professionally produced. A crude, hand painted sign is likely to convey the message that your work is crude and unprofessional.
A recognizable logo helps tremendously on signage. A logo helps create recognizability and can brand your name into the minds of potential customers. Again, a professionally designed logo is well worth the money.
If you want people to call, they must know who you are. Show them a sign that you want them to know. Show them a sign.
© BEP Enterprises Incorporated 2008
Sunday, March 30, 2008
Saturday, March 29, 2008
Charlatans, Plagarism, and Moral Courage
Yesterday morning the owner of a forum for painting contractors stated that he had visited a blog written by a “so called professional”. He went on to write that the author of the blog “has pretty much copied what I have written about why we can't price by the square foot floor area!” He further claimed that the author had copied the work of another individual. He called the author “a low life crumb”.
To the best of my knowledge, I am the only person who has a blog who has written on square foot pricing. To the best of my knowledge, I am the only person with a blog who has knowledge of the other individual whose work was “copied”.
I contacted the owner of the forum and bluntly asked if he was referring to me. He refused to answer. However, someone from his IP address visited my blog yesterday less than an hour before his post. While that is not absolute evidence that he is referring to me, it is highly circumstantial.
The following is my response (with certain names changed):
You have taken it upon yourself to publicly attack me, without the courage to identify me by name. You have refused to tell me if your post refers to me. However, given that an IP address matching yours visited my blog shortly before your post, the evidence is rather conclusive.
You claim that I have copied you and John. While I am uncertain what you mean exactly by “copied”, your intent is pretty clear when you refer to me as “a low life crumb”.
Such a claim is at best an exhibition of paranoia, and at worse outright dishonesty. Certainly I have learned things from you and John. I have also learned from hundreds, if not thousands, of others.
You imply that I should cite the source for every idea I express. This would be an exercise in absurdity. But if there is one thing I have learned about you, absurdity is to be expected.
Interestingly, I do not recall you citing the sources of your ideas. Are we to believe that every idea you express is of your own thinking? Are we to believe that you have not learned from others? Are we to believe that every statement you make is entirely original?
You claim that I copied your ideas on square foot pricing. I learned geometry in the eighth grade. I did not need you to figure out the fallacies of that estimating method. Are you so full of yourself that you think you are the only person who could reach that conclusion? And where did you learn it? Why don’t you give that person credit? And more to the point, why do you not give Euclid credit whenever you use geometry?
You claim that I copied John’s ideas. I paid his organization more than $25,000 over 3.5 years to attend conferences, send my people to book camps, etc. Would you expect that I didn’t pick up some ideas from that? What the hell was I spending the money for if it wasn’t to get ideas? Does that mean that I should cite John every time I use his ideas or express them?
Over the past 10 years I have written thousands of posts. I have written tens of thousands of words. I have written published articles on subjects far removed from paint contracting—child care, history, entreprenuerism, property rights, and much more. For you to claim that I am pretending to be creative flies in the face of the facts. But I would not expect the facts to get in the way of your opinion.
You have made a very grievous mistake. You have attacked my honest and integrity. You have attacked me on numerous occasions in the past, but your attacks were so pathetic that they did not warrant a response. I dismiss childish comments for what they are—evidence of the speaker’s ignorance. I will not dismiss this.
I will not speculate as to your motivation. I do not know if it is jealousy, simmering anger, wanton irrationality, or something else. I do know that it is ugly.
You may not have the courage to accuse me publicly. I however, will not shy away from making your accusations known. I do not fear the judgment of rational people. The judgment of the irrational, and you, means nothing to me.
© BEP Enterprises Incorporated
To the best of my knowledge, I am the only person who has a blog who has written on square foot pricing. To the best of my knowledge, I am the only person with a blog who has knowledge of the other individual whose work was “copied”.
I contacted the owner of the forum and bluntly asked if he was referring to me. He refused to answer. However, someone from his IP address visited my blog yesterday less than an hour before his post. While that is not absolute evidence that he is referring to me, it is highly circumstantial.
The following is my response (with certain names changed):
You have taken it upon yourself to publicly attack me, without the courage to identify me by name. You have refused to tell me if your post refers to me. However, given that an IP address matching yours visited my blog shortly before your post, the evidence is rather conclusive.
You claim that I have copied you and John. While I am uncertain what you mean exactly by “copied”, your intent is pretty clear when you refer to me as “a low life crumb”.
Such a claim is at best an exhibition of paranoia, and at worse outright dishonesty. Certainly I have learned things from you and John. I have also learned from hundreds, if not thousands, of others.
You imply that I should cite the source for every idea I express. This would be an exercise in absurdity. But if there is one thing I have learned about you, absurdity is to be expected.
Interestingly, I do not recall you citing the sources of your ideas. Are we to believe that every idea you express is of your own thinking? Are we to believe that you have not learned from others? Are we to believe that every statement you make is entirely original?
You claim that I copied your ideas on square foot pricing. I learned geometry in the eighth grade. I did not need you to figure out the fallacies of that estimating method. Are you so full of yourself that you think you are the only person who could reach that conclusion? And where did you learn it? Why don’t you give that person credit? And more to the point, why do you not give Euclid credit whenever you use geometry?
You claim that I copied John’s ideas. I paid his organization more than $25,000 over 3.5 years to attend conferences, send my people to book camps, etc. Would you expect that I didn’t pick up some ideas from that? What the hell was I spending the money for if it wasn’t to get ideas? Does that mean that I should cite John every time I use his ideas or express them?
Over the past 10 years I have written thousands of posts. I have written tens of thousands of words. I have written published articles on subjects far removed from paint contracting—child care, history, entreprenuerism, property rights, and much more. For you to claim that I am pretending to be creative flies in the face of the facts. But I would not expect the facts to get in the way of your opinion.
You have made a very grievous mistake. You have attacked my honest and integrity. You have attacked me on numerous occasions in the past, but your attacks were so pathetic that they did not warrant a response. I dismiss childish comments for what they are—evidence of the speaker’s ignorance. I will not dismiss this.
I will not speculate as to your motivation. I do not know if it is jealousy, simmering anger, wanton irrationality, or something else. I do know that it is ugly.
You may not have the courage to accuse me publicly. I however, will not shy away from making your accusations known. I do not fear the judgment of rational people. The judgment of the irrational, and you, means nothing to me.
© BEP Enterprises Incorporated
Thursday, March 27, 2008
I Ain’t Got No Overhead
Many painting contractors believe that they have no overhead. They are simply wrong. To claim that one has no overhead means:
1. There is no advertising
2. There is no insurance
3. There is no equipment
4. There are no vehicles
5. There are no phones
6. There are no salaries
7. There are no office supplies
8. There are no accounting or legal expenses
9. And the list could go on
All of the above items are overhead. I’ve spoken to hundreds of contractors over the years, and I’ve yet to meet one who doesn’t have most of these expenses. And anyone who truly doesn’t have any overhead doesn’t have a business. They have a job and a delusional fantasy.
What is perhaps most interesting is the fact that for the typical small painting contractor, overhead comprises nearly 50% of the selling price. How then can a contractor overlook such a large part of his expenses and brazenly state “I ain’t got no overhead”?
I think the primary reason is financial ignorance—they simply don’t know what they don’t know. They don’t understand what overhead is. They don’t understand that overhead is an inescapable fact of owning a business.
The sad thing is, this ignorance is also a primary reason for the failure rate among painting contractors. After all, if you are not recovering half of your expenses, it is pretty hard to pay the bills, draw a reasonable salary, and make a profit. The money to pay overhead has to come from somewhere, and it is usually the owner’s pocket.
The truth is, if someone truly ain’t got no overhead, they ain’t got no business either.
© BEP Enterprises Incorporated 2008
1. There is no advertising
2. There is no insurance
3. There is no equipment
4. There are no vehicles
5. There are no phones
6. There are no salaries
7. There are no office supplies
8. There are no accounting or legal expenses
9. And the list could go on
All of the above items are overhead. I’ve spoken to hundreds of contractors over the years, and I’ve yet to meet one who doesn’t have most of these expenses. And anyone who truly doesn’t have any overhead doesn’t have a business. They have a job and a delusional fantasy.
What is perhaps most interesting is the fact that for the typical small painting contractor, overhead comprises nearly 50% of the selling price. How then can a contractor overlook such a large part of his expenses and brazenly state “I ain’t got no overhead”?
I think the primary reason is financial ignorance—they simply don’t know what they don’t know. They don’t understand what overhead is. They don’t understand that overhead is an inescapable fact of owning a business.
The sad thing is, this ignorance is also a primary reason for the failure rate among painting contractors. After all, if you are not recovering half of your expenses, it is pretty hard to pay the bills, draw a reasonable salary, and make a profit. The money to pay overhead has to come from somewhere, and it is usually the owner’s pocket.
The truth is, if someone truly ain’t got no overhead, they ain’t got no business either.
© BEP Enterprises Incorporated 2008
Wednesday, March 26, 2008
If You Choose Not to Decide
Life happens. The world moves on, whether we want it to or not. The seasons change, the tides rise and fall, and Presidential politics nauseate us. These are events that occur, despite our wishes, hopes, or desires.
As painting contractors, we face other inevitable events. Low priced contractors compete for business. The economy fluctuates. Customers don’t understand what is required to produce a professional paint job. While these too are inevitable, we have some control over their outcome.
As business owners we have many options: the market we serve, the prices we charge, the image of our company, our sales process, our company culture, and much, much more. And the options we select will ultimately determine the results of our efforts.
But a funny thing often happens on the way to the Forum. As we are being drug before the lions, we forget that we have a choice. We forget that the business we own, and virtually every aspect of it, is something that we create. And that creation is the result of our choices.
Too many painting contractors plod along, year after year, repeating the actions of previous years. I know, I’ve been there and done that. It is probably not a huge surprise, but if you do the same thing year after year, you should expect the same results year after year.
Aristotle identified the fact that all humans are born tabula rasa (literally, blank slate). We possess no knowledge at birth. Everything we know is learned. And what we learn is a matter of choice.
The information required to build a better business is readily available. It is up to you to seek out that knowledge and implement it. That is a choice that each of us has. But if you choose not to decide, you still have made a choice.
© BEP Enterprises Incorporated 2008
As painting contractors, we face other inevitable events. Low priced contractors compete for business. The economy fluctuates. Customers don’t understand what is required to produce a professional paint job. While these too are inevitable, we have some control over their outcome.
As business owners we have many options: the market we serve, the prices we charge, the image of our company, our sales process, our company culture, and much, much more. And the options we select will ultimately determine the results of our efforts.
But a funny thing often happens on the way to the Forum. As we are being drug before the lions, we forget that we have a choice. We forget that the business we own, and virtually every aspect of it, is something that we create. And that creation is the result of our choices.
Too many painting contractors plod along, year after year, repeating the actions of previous years. I know, I’ve been there and done that. It is probably not a huge surprise, but if you do the same thing year after year, you should expect the same results year after year.
Aristotle identified the fact that all humans are born tabula rasa (literally, blank slate). We possess no knowledge at birth. Everything we know is learned. And what we learn is a matter of choice.
The information required to build a better business is readily available. It is up to you to seek out that knowledge and implement it. That is a choice that each of us has. But if you choose not to decide, you still have made a choice.
© BEP Enterprises Incorporated 2008
Tuesday, March 25, 2008
Something for Nothing
About a year ago a painting contractor posted on several forums asking for a spreadsheet to track certain information. He received several responses that basically suggested he learn Excel so that he could create his own spreadsheets. The original poster didn’t take kindly to the suggestions, and said that he had little interest in learning Excel.
Over the years I’ve used a lot of different pieces of software, and Excel ranks as one of the easiest to learn. I probably could have constructed a spreadsheet to meet the above request in 10 minutes or so. The contractor would have what he wanted and all would be fine in the world. Or would it be?
The contractor would have invested no effort, no time, nothing. When he inevitably messed up the spreadsheet he’d be right back where he started—begging for someone to bail him out. And he likely would have cried like a little girl if nobody did so.
Part of the problem with this attitude is the sense of entitlement that underlies it. One believes he is entitled to something simply because he wants it. It’s up to others to provide that something, and if they don’t he will stomp his little feet and hold his breath.
Running a successful paint contracting company requires a breadth of knowledge. To demand the results—in this case a spreadsheet—while ignoring the cause—knowledge—is to demand something for nothing. And in the end, those who desire something for nothing will get exactly that—nothing.
© BEP Enterprises Incorporated 2008
Over the years I’ve used a lot of different pieces of software, and Excel ranks as one of the easiest to learn. I probably could have constructed a spreadsheet to meet the above request in 10 minutes or so. The contractor would have what he wanted and all would be fine in the world. Or would it be?
The contractor would have invested no effort, no time, nothing. When he inevitably messed up the spreadsheet he’d be right back where he started—begging for someone to bail him out. And he likely would have cried like a little girl if nobody did so.
Part of the problem with this attitude is the sense of entitlement that underlies it. One believes he is entitled to something simply because he wants it. It’s up to others to provide that something, and if they don’t he will stomp his little feet and hold his breath.
Running a successful paint contracting company requires a breadth of knowledge. To demand the results—in this case a spreadsheet—while ignoring the cause—knowledge—is to demand something for nothing. And in the end, those who desire something for nothing will get exactly that—nothing.
© BEP Enterprises Incorporated 2008
Saturday, March 22, 2008
The Sky is Falling
It seems that everywhere we turn we hear news about how bad the economy is doing. Gas prices are at record levels, foreclosures are soaring, and the financial markets are in turmoil. Depending on who you listen to, we are either in a recession or on the brink of one. The problem is, the latter is simply not true.
A recession is defined as 2 consecutive quarters of negative growth. The fact is, the economy is still growing, albeit at a slower rate. But why should the pundits let the facts get in the way—they have an agenda to push.
The state of the economy is a big concern for many painting contractors. New construction is slowing, and many contractors are turning to repaints. This puts additional pressure on those contractors in the repaint market. With greater frequency I am being asked what a contractor should do to survive this recession.
The first thing to do is to get a firm grip on reality, which is always sage advice. We are not in a recession. We may be heading towards one, but we aren’t there yet. So don’t panic. Take a deep breath and step away from the television set.
The second thing to do is to build a strong business, that is, do the things I’ve been talking about for years. Develop a strong marketing program, learn to sell more effectively, empower your workers, etc. Of course, these things take time. So if you have concerns you better get busy—starting yesterday.
Each year I am amazed at the number of contractors who start asking how to survive the winter slow down. They act surprised that winter has arrived, though even a casual glance at a calendar would have warned them. Mired in myopia, they plod along, ignoring the inevitable. Sadly, even birds and squirrels do a better job of preparing for the winter than many painting contractors.
Such contractors are in a constant reactive mode. Rather than build a strong business and be proactive, they respond to events as they occur. They constantly shift direction, zig zagging their way to the precipice. And when they reach the edge they start shouting for help.
I suppose that there will always be such contractors. I imagine that there will always be those who are happy that they have a job for today and give little thought to what happens next. For them, sooner or later, the sky really will be falling.
© BEP Enterprises Incorporated 2008
A recession is defined as 2 consecutive quarters of negative growth. The fact is, the economy is still growing, albeit at a slower rate. But why should the pundits let the facts get in the way—they have an agenda to push.
The state of the economy is a big concern for many painting contractors. New construction is slowing, and many contractors are turning to repaints. This puts additional pressure on those contractors in the repaint market. With greater frequency I am being asked what a contractor should do to survive this recession.
The first thing to do is to get a firm grip on reality, which is always sage advice. We are not in a recession. We may be heading towards one, but we aren’t there yet. So don’t panic. Take a deep breath and step away from the television set.
The second thing to do is to build a strong business, that is, do the things I’ve been talking about for years. Develop a strong marketing program, learn to sell more effectively, empower your workers, etc. Of course, these things take time. So if you have concerns you better get busy—starting yesterday.
Each year I am amazed at the number of contractors who start asking how to survive the winter slow down. They act surprised that winter has arrived, though even a casual glance at a calendar would have warned them. Mired in myopia, they plod along, ignoring the inevitable. Sadly, even birds and squirrels do a better job of preparing for the winter than many painting contractors.
Such contractors are in a constant reactive mode. Rather than build a strong business and be proactive, they respond to events as they occur. They constantly shift direction, zig zagging their way to the precipice. And when they reach the edge they start shouting for help.
I suppose that there will always be such contractors. I imagine that there will always be those who are happy that they have a job for today and give little thought to what happens next. For them, sooner or later, the sky really will be falling.
© BEP Enterprises Incorporated 2008
Wednesday, March 19, 2008
All Roads Don’t Lead to Rome
During their heyday, the Romans built such an elaborate system of roads that it seemed every road eventually led to Rome. In time the cliché “all roads lead to Rome” came to mean that whatever path you take will ultimately get you to your destination. In other words, all actions produce the same results.
This is hooey in the Nth degree.
Consider the implications within your painting business. If all roads lead to Rome, the level of prep really doesn’t matter. The type of paint you use really doesn’t matter. Obviously this is not true. But the issue goes deeper than that.
If all roads lead to Rome, showing up on time really doesn’t matter. Respecting the customer and his property really doesn’t matter. Doing the agreed upon work really doesn’t matter. Again, this is obviously not true.
If all roads lead to Rome, having systems doesn’t really matter. Having a marketing plan really doesn’t matter. Budgeting and planning really doesn’t matter. Once again, these items do matter.
In short, all roads don’t lead to Rome. The actions you take have a direct bearing on the results you achieve. And if you don’t believe me, try spitting in the face of the next customer you meet for an estimate.
© BEP Enterprises Incorporated 2008
This is hooey in the Nth degree.
Consider the implications within your painting business. If all roads lead to Rome, the level of prep really doesn’t matter. The type of paint you use really doesn’t matter. Obviously this is not true. But the issue goes deeper than that.
If all roads lead to Rome, showing up on time really doesn’t matter. Respecting the customer and his property really doesn’t matter. Doing the agreed upon work really doesn’t matter. Again, this is obviously not true.
If all roads lead to Rome, having systems doesn’t really matter. Having a marketing plan really doesn’t matter. Budgeting and planning really doesn’t matter. Once again, these items do matter.
In short, all roads don’t lead to Rome. The actions you take have a direct bearing on the results you achieve. And if you don’t believe me, try spitting in the face of the next customer you meet for an estimate.
© BEP Enterprises Incorporated 2008
Tuesday, March 18, 2008
Dancing with the Stars
Dancing with the Stars has become one of televisions most popular programs. And for very good reason.
The program shows a group of celebrities competing in a dance contest. Each celebrity is paired with a professional dancer. Each week they must learn a new dance, and they practice up to 6 hours a day to prepare.
The celebrities are usually very clearly out of their comfort zone. Many look like they have never danced before, but they approach their task with the same zeal and passion that made them stars in their chosen profession. Witnessing someone get out of his comfort zone is both fascinating and inspiring.
But there is more to the show than that. Unlike some reality shows, there is a tremendous camaraderie among the contestants. They share a common value—learning a new skill—and support and encourage one another. They demonstrate, in words and actions, that individuals can compete against one another while remaining friendly and considerate.
The entire spirit of the show is one of benevolence and enjoyment of life. The judges provide expert critiques of each dance, but do so with humor and grace. They openly voice their admiration for the challenge undertaken by the celebrities.
In an era when depravity and decadence fills the airwaves, Dancing with the Stars presents a refreshing change. The participants act with civility and respect. They share their excitement and celebrate their achievements. If that is not worth watching, I don’t know what is.
© BEP Enterprises Incorporated 2008
The program shows a group of celebrities competing in a dance contest. Each celebrity is paired with a professional dancer. Each week they must learn a new dance, and they practice up to 6 hours a day to prepare.
The celebrities are usually very clearly out of their comfort zone. Many look like they have never danced before, but they approach their task with the same zeal and passion that made them stars in their chosen profession. Witnessing someone get out of his comfort zone is both fascinating and inspiring.
But there is more to the show than that. Unlike some reality shows, there is a tremendous camaraderie among the contestants. They share a common value—learning a new skill—and support and encourage one another. They demonstrate, in words and actions, that individuals can compete against one another while remaining friendly and considerate.
The entire spirit of the show is one of benevolence and enjoyment of life. The judges provide expert critiques of each dance, but do so with humor and grace. They openly voice their admiration for the challenge undertaken by the celebrities.
In an era when depravity and decadence fills the airwaves, Dancing with the Stars presents a refreshing change. The participants act with civility and respect. They share their excitement and celebrate their achievements. If that is not worth watching, I don’t know what is.
© BEP Enterprises Incorporated 2008
Monday, March 17, 2008
The More Things Change
I’ve been active on various paint contractor forums for 8+ years. During that time I’ve seen changes within the industry. And I’ve also witnessed several constants.
The most glaring constant has been resistance to sound business practices. The resistance is expressed in numerous ways—“You don’t understand my market”, “That won’t work in a small town”, “Nobody around here does it that way”. All of these claims have the same hidden meaning: The principles that successful businesses use all around the world simply do not apply in a given town.
This is akin to claiming that the law of gravity doesn’t apply in Topeka, that supply and demand only works on Wall Street, or the sun sets in the east in Laredo. Despite the absurdity of such claims, they persist year after year.
Another constant through the years has been the parade of names associated with these claims. Refusing to embrace sound business practices, the claimants invariably go out of business, only to be replaced by a new group of ostriches.
I can only shake my head when I see someone start making claims like the above. I’ve seen where that attitude leads. I’ve seen the outcome for those who refuse to learn business skills. I’ve seen it every year this decade, and I will continue to see it. The more things change, the more they stay the same. Plus ca change, plus c’est la meme chose.
© BEP Enterprises Incorporated 2008
The most glaring constant has been resistance to sound business practices. The resistance is expressed in numerous ways—“You don’t understand my market”, “That won’t work in a small town”, “Nobody around here does it that way”. All of these claims have the same hidden meaning: The principles that successful businesses use all around the world simply do not apply in a given town.
This is akin to claiming that the law of gravity doesn’t apply in Topeka, that supply and demand only works on Wall Street, or the sun sets in the east in Laredo. Despite the absurdity of such claims, they persist year after year.
Another constant through the years has been the parade of names associated with these claims. Refusing to embrace sound business practices, the claimants invariably go out of business, only to be replaced by a new group of ostriches.
I can only shake my head when I see someone start making claims like the above. I’ve seen where that attitude leads. I’ve seen the outcome for those who refuse to learn business skills. I’ve seen it every year this decade, and I will continue to see it. The more things change, the more they stay the same. Plus ca change, plus c’est la meme chose.
© BEP Enterprises Incorporated 2008
Friday, March 14, 2008
Marketing for Painting Contractors
Marketing your paint contracting business does not need to be complicated. It doesn’t need to be expensive. But it does need to be consistent.
Marketing should occur year round, rain or shine, in busy times and in slow times. Leads are the lifeblood of a contracting company. Without leads you cannot sell jobs. Without jobs you can’t bring in money. Without money you can’t eat (or market).
I hear many painting contractors claim that they don’t need to market. They say that they stay busy just through referrals. This may be true, but I believe that they are fooling themselves.
Referrals are certainly a good source for leads. But referrals can also be a bane. They can create a false sense of security.
Most referrals are of a passive nature—they depend on the actions of others, and can therefore be inconsistent. If one depends entirely on one source for leads, the business can be vulnerable when that source dries up. This is even more true when that source is passive.
Insufficient leads can have many consequences beyond the obvious. When leads become precious desperation can set in. Each lead can mean the difference between eating or not. The contractor becomes tempted to lower his price or take on jobs outside of his core competency. The results are often worse than simply passing on the job.
As with any activity, consistent marketing will create consistent results. Inconsistent actions create inconsistent, and unpredictable results.
© BEP Enterprises Incorporated 2008
Marketing should occur year round, rain or shine, in busy times and in slow times. Leads are the lifeblood of a contracting company. Without leads you cannot sell jobs. Without jobs you can’t bring in money. Without money you can’t eat (or market).
I hear many painting contractors claim that they don’t need to market. They say that they stay busy just through referrals. This may be true, but I believe that they are fooling themselves.
Referrals are certainly a good source for leads. But referrals can also be a bane. They can create a false sense of security.
Most referrals are of a passive nature—they depend on the actions of others, and can therefore be inconsistent. If one depends entirely on one source for leads, the business can be vulnerable when that source dries up. This is even more true when that source is passive.
Insufficient leads can have many consequences beyond the obvious. When leads become precious desperation can set in. Each lead can mean the difference between eating or not. The contractor becomes tempted to lower his price or take on jobs outside of his core competency. The results are often worse than simply passing on the job.
As with any activity, consistent marketing will create consistent results. Inconsistent actions create inconsistent, and unpredictable results.
© BEP Enterprises Incorporated 2008
Sunday, March 2, 2008
One Bad Apple (Don’t Spoil the Whole Bunch)
I know this will date me, and perhaps raise a few eye brows, but I once saw the Osmond Brothers live, in concert. And I enjoyed it. (I was only about 10 years old, and it was the first “rock” concert I ever attended.) Their hit song at the time was One Bad Apple.
As Donnie so eloquently sang, “One bad apple don’t spoil the whole bunch girl.” (Lest I be accused of some kind of sexism, the same applies to boys. But I doubt Donnie would have had thousands of young girls screaming his name if he sounded like he was singing to another boy.)
I don’t generally look to Donnie Osmond for intellectual inspiration, but there is truth in those words. Simply because one apple is bad doesn’t tell us anything about the other apples in the bunch. Tossing them all out is potentially a waste of a lot of apples.
You may wonder what this has to do with painting. Since you asked I will tell you.
Many painting contractors like to categorize an entire group of people by the actions of a few members of that group. For example, they declare that lawyers are bad customers, or Asians hire only on price. In effect, they declare the whole bunch bad because of one (or maybe several) rotten apple. They are wasting a lot of apples that aren’t rotten.
Sure, you could “save” a lot of time by tossing out the whole bunch of apples. You wouldn’t have to go through them and identify which are good and which aren’t. If you toss them all, you won’t have to go through this effort. But how will you make a pie? You’ll have to go to the store and buy another bunch of apples. That takes time and money, so how much are you really saving?
Certainly some customers are rotten. But there are also some rotten contractors. We don’t like it when customers make blanket judgments about contractors, and it’s no better when contractors do it to customers.
© BEP Enterprises Incorporated 2008
As Donnie so eloquently sang, “One bad apple don’t spoil the whole bunch girl.” (Lest I be accused of some kind of sexism, the same applies to boys. But I doubt Donnie would have had thousands of young girls screaming his name if he sounded like he was singing to another boy.)
I don’t generally look to Donnie Osmond for intellectual inspiration, but there is truth in those words. Simply because one apple is bad doesn’t tell us anything about the other apples in the bunch. Tossing them all out is potentially a waste of a lot of apples.
You may wonder what this has to do with painting. Since you asked I will tell you.
Many painting contractors like to categorize an entire group of people by the actions of a few members of that group. For example, they declare that lawyers are bad customers, or Asians hire only on price. In effect, they declare the whole bunch bad because of one (or maybe several) rotten apple. They are wasting a lot of apples that aren’t rotten.
Sure, you could “save” a lot of time by tossing out the whole bunch of apples. You wouldn’t have to go through them and identify which are good and which aren’t. If you toss them all, you won’t have to go through this effort. But how will you make a pie? You’ll have to go to the store and buy another bunch of apples. That takes time and money, so how much are you really saving?
Certainly some customers are rotten. But there are also some rotten contractors. We don’t like it when customers make blanket judgments about contractors, and it’s no better when contractors do it to customers.
© BEP Enterprises Incorporated 2008
Saturday, March 1, 2008
Fun with Numbers, Epilogue
During the past week I have looked at several key numbers we can use in managing our paint contracting business. There are certainly other numbers that we can and should utilize.
The importance of knowing your numbers cannot be overstated. Numbers provide us with objective measurements of past performance, and a means for making realistic projections about future performance.
It is certainly possible to run a successful business without a comprehensive grasp of one’s numbers. But it is also possible to paint the entire interior of a house with a 2” brush. The fact that something is possible does not mean that it is efficient or wise. If you were going to paint an interior you would use the tools that provide the greatest efficiency. You should do the same in operating your company.
Effectively understanding and using our numbers requires that we capture specific data. The greater the amount of that data the more accurate our numbers become. Small samplings can be very misleading due to aberrations. Numbers do fluctuate, sometimes significantly. Large samplings even out these fluctuations.
For example, a particular piece of marketing may not generate any leads one week and 5 leads the next. If we looked at each of these weeks independently we would draw vastly different conclusions.
It takes time to collect sufficient data. The sooner you begin collecting that data, the sooner you can make meaningful evaluations. It is also possible to reconstruct data by reviewing your records.
Developing a system for collecting data will make the process efficient and more useful. A simple written form can suffice. A simple spreadsheet can be used to compile and analyze the data. In other words, this does not need to be a complicated process.
If you do not have the necessary data, the time to start collecting it is now. The future will arrive. Your numbers will tell you how you got there.
© BEP Enterprises Incorporated 2008
The importance of knowing your numbers cannot be overstated. Numbers provide us with objective measurements of past performance, and a means for making realistic projections about future performance.
It is certainly possible to run a successful business without a comprehensive grasp of one’s numbers. But it is also possible to paint the entire interior of a house with a 2” brush. The fact that something is possible does not mean that it is efficient or wise. If you were going to paint an interior you would use the tools that provide the greatest efficiency. You should do the same in operating your company.
Effectively understanding and using our numbers requires that we capture specific data. The greater the amount of that data the more accurate our numbers become. Small samplings can be very misleading due to aberrations. Numbers do fluctuate, sometimes significantly. Large samplings even out these fluctuations.
For example, a particular piece of marketing may not generate any leads one week and 5 leads the next. If we looked at each of these weeks independently we would draw vastly different conclusions.
It takes time to collect sufficient data. The sooner you begin collecting that data, the sooner you can make meaningful evaluations. It is also possible to reconstruct data by reviewing your records.
Developing a system for collecting data will make the process efficient and more useful. A simple written form can suffice. A simple spreadsheet can be used to compile and analyze the data. In other words, this does not need to be a complicated process.
If you do not have the necessary data, the time to start collecting it is now. The future will arrive. Your numbers will tell you how you got there.
© BEP Enterprises Incorporated 2008
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