Diversify or Die: Profitable & Practical Strategies for HVAC and Insulation Contractors Who Want to Grow
Recorded Thursday, July 26, 2012 11:00am-12:30pm Pacific (2:00-3:30pm Eastern)
Contracting companies tend to be very focused in what they do, often concentrating on niche markets where they know what they’re doing and can make a name for themselves. If more than 70 percent of your income derives from one product or service, that’s a scary place to be. Diversification could be the step toward making your business more sustainable. This means finding other, alternative markets for your services like whole house contracting. If your typical work is HVAC replacement and repair, for example, consider expanding your reach to include envelope measures. Find out how to differentiate your company by offering more or partnering up. Discover the advantage of stronger, more frequent relationships with customers as well as multiple income channels.
- Whole house opportunities can provide diversification for your business, expand your customer base, and increase your margins
- Establishing strong relationships with other businesses that can provide expertise in areas that complement yours can be a key component to your sustainability
- Expanding into whole house services can increase your market share and increase your referral network
Trent Johnson has over 20 years of construction industry experience. During the 1990’s, Trent’s experience ranged from outside sales to company president of a privately held insulation & fireplace company in Virginia. He was diversified products experience in all levels of insulation, spray applied foam, fireplaces, and surrounds. As well as product experience in shelving, mirrors, shower doors, locks, seamless gutters and garage doors. In 2000, he became Chief Operating Officer of United Contractors, a Service Partners company that ultimately consisted of 54 diversified insulation contracting companies across the country with revenues that exceeded $220 million.
Wayne Toler entered the insulation industry as a sales representative with a family owned and operated company. He gained learned the insulation business from the trials and errors of an experienced company. In 1994, Wayne started the Toler Insulation Company. He has continuously diversified his business throughout the years and became certified with in Commercial Building Insulation, ABAA Spray Form Insulation, BPI, and RESNET.
Mike Henson is Director of Strategic Alliances for Goodman Manufacturing. He manages contractor consolidations and alliances, along with vendor rebate programs and contractor sales training. Goodman started its operations in 1982 founded by a heating and air conditioning contractor in Houston, TX. Goodman Manufacturing is one of the largest manufacturers of heating and air conditioning products in North America and the fastest growing manufacturer in the HVAC industry.