Culture Corner January/February 2019August 4th, 2021 by Bryan
Grow Your Business with Residential
By Matt Darienzo
Residential flat glass film is a great business many of us forget to focus on when trying to grow. According to WINDOW FILM magazine, many of the larger companies sell mostly commercial because that’s where the big dollars are. But don’t sleep on residential. A solid residential business can be very helpful in diversifying your offerings. Yes, it may not be as sexy or give you bragging rights to big projects, but slow and steady always wins the race. A more consistent stream of revenue is always beneficial.
Here are some major advantages of residential selling.
1 Products Don’t Matter
By this I don’t mean quality brands can’t help you sell a job. On typical commercial jobs, there’s a product spec and if you don’t carry that product you’re out of luck. The great part about residential is most of the time customers have no idea or preference about products, so whether you sell ABC Window Film or another brand, if you can sell better than the next guy you’ll win.
2 Get Paid Right Away
As many of us in the commercial world know, getting paid on time can be a challenge. With residential typically you’ll get paid on the job’s completion. This can help dramatically with cash flow, which is a critical component in businesses.
3 No Contracts
Commercial work can be time consuming because there are often lengthy contracts and prevailing wage pay required. These items take time and manpower to facilitate and can eat up your profits at the end of the day.
4 Lots of Customers
Although we’ve seen a bit of a slowdown in the economy we’re still in a good place and homeowners have money to spend. There are unlimited numbers of houses that aren’t tinted that can benefit from our service.
The more volume you do the more opportunity you have to build your reviews and establish your reputation and brand within the community. Selling lots of residential film gives you chances to build your review count, which can be a key component to growing your business.
6 Better Margins
Last but not least is my favorite–Better Margins! If you’ve ever bid commercial work or even auto dealership work, most of the time it’s the lowest price that wins. Whether you have better films, high quality service, or more experience, like it or not sometimes it just doesn’t matter in the end. This drives down your profit margins. With residential you have more of an opportunity to sell the customer on your company and often times you’ll win residential projects even if you are more expensive and that’s a great feeling!
Overall a steady residential business can be a great way to diversify your business and keep your sales strong at any point throughout the year.
Matthew Darienzo is the CEO of Solar Art in Irvine, Calif.
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