To win more work at higher margins against less competition, you first have to identify the customer and project targets you want to attack. Then you can go out and offer what these potential customers want to win their work. Each type of customer hires contractors for different reasons. In your construction business, selling to high-end homeowners is much different than selling to design-build general contractors, public works entities, major national corporations or real estate developers. Each requires a unique selling and marketing strategy to be successful. Let’s look at what different types of customers want from your company:
What Your Customers Want
- Public Works Contractors
- Lowest price possible
- Reliability
- Large crew=fast schedule
- Performance under pressure
- Design-Build General Contractors
- Fair and competitive open book pricing
- Technical and engineering expertise
- Professional presentation skills
- Trained crews and quality work
- Real Estate/Property Owners
- Fair and honest low competitive pricing
- Reliability and trust
- Quality full-value workmanship
- Fast, full-service 24-7
- National Corporations
- Financial strength and reputation
- Fair and competitive pricing
- Safety and quality programs
- Trained crews and excellent work
- Custom Homebuilders
- Fair and competitive open book pricing
- Experience in similar work
- References and reputation
- Quality workmanship and service
To successfully attack your desired customer targets, determine what you can offer based on what they want and how you can help them. For example, national retail chains want to hire full-service contractors they can trust, get work finished promptly without disruptions to their operations, and know will keep their property clean during renovations. Retail owners also want to hire contractors who offer a full line of services, perform design-build and permit processing, don’t require much supervision, are willing to work during non-business hours, and can perform repairs immediately when the need occurs. Can you add this type of work to your construction business?
Create Your Ticket Sales Strategy!
First determine who you want to sell tickets to. Then decide what each specific customer target wants so you can offer them the right services. And lastly, you must have a sales system that will deliver the revenue results you want. Effective sales is not just bidding more work. It involves proactively attacking customer targets to get them to give you more work at your price. Each of your targets requires a different selling strategy. The high-end ticket buyers need the personal touch while low-end buyers just want low prices.
Start Your Ticket Sales Program!
The next step is to contact customer targets to determine how to qualify to get onto their approved contractor list. Referrals are your best source of getting a meeting with the right person. Look at your target’s website to see if you know anyone on the board of directors or management team. If you do, call them and ask for a referral to the decision maker you want to see. If you know someone who has done business with your targeted customer, also ask them for referrals.
Now use your referral to get an appointment, or cold call the decision maker you need to see. Call the target customer and explain the purpose for your call is to become a preferred provider of services. Tell them you have similar long-time customers and have an ongoing relationship with many other companies. Ask them for a short meeting so they can explain the process to get on their approved list and determine what they need. Follow-up with a thank-you letter and a small photo filled brochure showing what your company can do for them. If they won’t return your call, revert to sending them a formal request for information on what it takes to be a preferred provider.
Remember, don’t give up. Most sales people give up after the first or second rejection. But those who persevere will win. Most sales don’t occur until after the sixth or seventh try. If you dedicate time to selling in a consistent, diligent manner, you can keep your revenue flowing. By attempting to get at least two to four customer meetings every week with targeted customers, you will attack at least 48 to 96 customers every quarter. Not an impossible task. But the key to sales success is to commit and do it.
After the first meeting, your job is to stay in touch. Send them something every month like a postcard, article, job photo, birthday gift, 10-tips guide, trade magazine or business book. To deepen the relationship, stop by or see them at least every three months. Take them to lunch, industry dinner, ball game or golfing. Ask if you can give a “lunch and learn” seminar for their company on a topic you know will help their people do a better job. When you meet one-on-one, ask them how you can do a better job or what else you can do for them to increase your service offerings.
Sales is not easy. Most business owners are good at it but don’t like to make the effort. If you are confident in what you do, selling comes naturally. Just tell customers how much you care about doing a good job and taking care of customer’s needs. Your excitement will permeate and infect customers with enthusiasm. You can grow your business in any economy. All you have to do is go out and start selling tickets to the game. Stop waiting and start selling.
George Hedley, CSP, CPBC, helps contractors grow and profit as a professional business coach, popular speaker and peer group leader. He is the author of “Get Your Construction Business to Always Make a Profit!” and “Hardhat BIZSCHOOL Online University,” available on his website. Visit www.hardhatbizschool.com for more information.
