Remodeling: We Do It Every Day

Archive for September, 2008

Creating Raving Fans

Tuesday, September 9th, 2008

Raving Fans- we all want every client to be happy with their finished project, but how do you get to them to the next level? What’s the difference between satisfied and ecstatic? What makes someone become an advocate for your company?

As I was thinking about this topic, I used my own personal experience. I’m a raving (and most would say “rabid”) fan of everything Apple. Whether it’s a Macintosh, iPod, the iPhone, or their portfolio of software products I’m an evangelist for this company.

I’ve tried to analyze why I feel this way and it all came down to one thing: they care about my experience. From the beautifully designed stores, to the artful packaging to the elegance of the operating system, everything matters. When I use an Apple product it feels like someone carefully thought through the user perspective and then pushed it just a little further to make it better. I appreciate that.

One of our companies “themes” is that Remodeling is an experience, not a product. I truly believe we create Raving Fans by not only building amazing projects but by doing all of the other stuff. We treat our clients and their homes with respect, we have empathy for their situation, we communicate good news and bad, we build trust by doing what we said we would do and a million other things. Everything matters.

That’s what I think- how about you? What does your company do to create Raving Fans? What makes you a Raving Fan?

The Dollar Based Business

Tuesday, September 9th, 2008

Welcome to Case Institute of Remodeling’s blog! I’m Bruce and I’m the Chief Operating Office here at Case. I hope this blog becomes a hub for sharing best practices – so that they are codified and shared by all. Let’s keep the dialogue flowing and take the world of remodeling to the next level together!

In early September, I had the opportunity to speak at the 2008 Remodeling Show about a number of subjects – but one that seemed to spark the most interest related to cash flow. In home remodeling, we typically get paid and then do our work/provide our service – this is relatively unique in the business world. Most businesses don’t get paid until AFTER they have provided the product or service (think buying a pair of shoes, getting your taxes done, etc.). I believe this is the single greatest reason remodeling ranks near the top (if not at the top) of consumer complaint lists:

  • Consumers lack trust because they pay and then “hope” the project will be finished.
  • It makes the business very easy entry – yet that is deceiving because it takes capital to sustain the business
  • If the cash flow is not effectively tracked, it is easy for remodelers to think they have more cash than they actually do – which can spell disaster if the money is spent before all the bills arrive.

How do you effectively manage your cash inflow and outflows?

Public Relations For Remodelers

Tuesday, September 9th, 2008

I must confess that it drives me nuts every time I hear about the terrible reputation that remodelers have as an industry. I guess because I feel very strongly that a little bit of effort can change our industry’s perception considerably.

True story – About two months ago the head of our Design/Build division stops in my office and says, “get ready- we’re going to be on the evening news tonight”. My first reaction was “that’s awesome”; until he said it would be for a bad incident. Apparently, a lady was playing ball with her dog at a neighborhood creek and when the dog came out of the water his legs were covered in polyurethane (as later discovered by her vet). Being the good citizen she is, she called the EPA as well as the fire department. These great agencies initiated an investigation by confirming that in fact there was a substantial amount of polyurethane in the water. They then proceeded to determine the source. They followed the sewer up the neighborhood a few blocks up and came to a drain which was stained.

Here’s where the story took an ugly turn. The drain was in front of a house (with our job sign) and one of our subcontractors had just finished the hard wood floors! Apparently our flooring sub dumped it down the drain. All this happened in one of the best neighborhoods we work in. In my opinion, these ugly situations are what separates great remodelers from the rest and where great PR is key.

Our project manager took control of the situation and immediately pin-pointed called the dog owner and paid for the vet bill. He also ordered a gourmet basket of dog treats and personally delivered them to the dog’s owner expressing his sincere apology and explaining the entire situation. He also went on to contact the EPA and even got a hazardous material crew in (the same day) to clean it up. We then went on to alert the president of the HOA of the situation explaining what happened and every measure we had taken. Lastly, we had the EPA come back to test the creek and receive a clean bill.

Everyone involved was extremely impressed with our responsiveness. In fact, the president of the HOA allowed us to post what happened on their website along with every measure we took as well as our clean bill from the EPA.

Bad situations are an opportunity for bad PR or good PR. We can all complain that the media bashes our industry, but I think we are in full control of our reputation.

By the way, the dog is OK and still loves playing ball at the creek!

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