Part 6 – Stop Putting Up with Low Profits
Some contractors approve a budget and cut us loose to do our work … others want to understand every detail …
what follows is for the “every detail type A personality”
Our programs are designed to get your company to 22+% net profit.
Imagine if you save half or even a third of that profits
This means that for you the next recession or economic downturn becomes a buying opportunity.
Unfortunately, the vast majority of contactors now under 5% net profit will be forced to sell their company at 10 cents on the dollar or even cash in on their home’s equity.
During recession they will not only be losing money but likely shunned by lenders.
Your company will be in a position to consolidate them into your company, buy their customers for $7 each… then hire the former owners and their best people for free.
And if a recession never happens again, then you just have more for retirement
The secret recipe …11 steps to 20%+ Net profit
First check this link… For video and written testimonials from organization presidents… and successful contractors… click http://www.contractor2020.com/testimonials
We work with contractors from one truck to over one hundred
You can test our system for just $200….. Get $2000 to $10,000 in sales, then have all the money you need to move forward!
3 Goals …the 22% net Profit Plan … Controllable Growth with high quality control, Protection & building esteem for your Brand,
Timely important services 1) Employee recruitment and training systems for continued growth 2) Light telemarketing to recue inactive 13 to 16 month customers from the 18mo federal do not call rules penalties cliff
Your Fast Track… Low Risk … Path to High Profits
Check out this link… http://www.contractor2020.com/uploads/power-pricing-brochure.pdf
Most contractors we study have
1) Profit goals that are too low
2) great customer retention,
3) Very low number of quality complaints.
The Fast Track to High Profits
1) Increase sales and customer retention by 5 to 10% by mailing 1/3 of the customer base each month.
2) Also gets 8 to $16 in sales for every dollar invested and
3) Saves $10,000 in replacement cost per 1000 customers. (100 x $100).
We Have the proof … Contractor’s brands are safe and sustainable when their customer retention is over 75%,
But … It’s also a fact, most low profit contractors we study have over 85% retention, the cure
1) A 10% price increase will drop their retention to 80%. (Proven by a retention survey in 60 days)
2) Another 10% increase will drop their retention to 75%. (Proven by a retention survey in 60 days)
The result … now over your 20% profit in just 120 days and still in the safety zone
Ready for more success? Then consider the potential;
Unsold time is a great resource for additional profit.
How much more work could you do with the trucks and the techs that you already have?
This reserve of unsold time can quickly be turned into cash by promotion to both your existing customer base,
Then add the 10% of the general public most likely to buy from you based on your brand and their personality profiles.
How much extra sales could be produced with better targeting and better sales training?
When average tickets go up, drive time goes down, billed hours go up, profits skyrocket.
How much will your overhead be reduced with proper CSR training. The increasing profits from this training is enormous.
Once on track, stay on track. Our “Executive Dashboard” system will show you what the 9 key profit indicators (KPIs) are.
KPIs you should keep track of monthly, to identify if, how, and why you got off the high profit track
so you can identify problems and easily get on track again.