Are you interested in growing your construction business and landing more projects?
There are proven strategies that every successful contractor executes to grow their business. Below we reveal the best ones:
1. Invest in Creating a Lead Generation System
Lead generation for construction companies is one of the most overlooked parts of running a construction company.
Construction Lead Generation Resources:
It is very simple concept, leads become sales, sales become projects, and projects produce revenue and profit.
Not all leads are created equal. You can obtain several leads but if they are not tailored to meet your preferred criteria then it will most likely end up in wasted resources and time. The right quality leads do not come for free; there is always some sort of investment required. Whether it’s investing your time towards a potential client in order to develop a relationship or investing in a construction lead generation service, some form of investment will be required.
If you want to know which specific lead generation service to invest in, our favorite is theBluebook. They can instantly give you access to thousands of projects in your area and can really help you begin to fine tune your lead search.
2. Invest in Your Estimating Department
While having an in-house estimator is usually the best way to price your jobs, the reality is that not all construction companies can afford the additional payroll expenses.
The estimating portion of the construction process is the most tedious and crucial task in the lifecycle of any construction project. It requires time, precision, and expertise.
That is where we come in. With over 30 years of combined construction estimating expertise I AM Builders can provide you with the most accurate and competitive estimate for your job.
3. Set Up a Follow-Up Schedule
It has been found that the best way to secure a client is by successfully completing 9-12 touchpoints. A customer touchpoint is any interaction between your business and a customer. That means 9-12 emails, visits, texts, calls, ads, etc. These interactions are crucial to the overall customer experience and should be targeted and precise but most importantly pleasant.
Hiring a seasoned salesperson to assist with this task can help you achieve this and will pay off in the long run.
Additionally, you can create a follow-up schedule to assist in tracking the touchpoints and communication with the potential client.
Here is a sample follow up system:
a) Day 1 – Ask to get on a bid list
b) Day 7 – Call and ask for upcoming projects
c) Day 10 – Personal drop by meeting “I’m going to start bidding for you guys and I wanted to meet your team”
d) Day 14 – Submit your bid
e) Day 14 – Call and confirm they received your bid
f) Day 16 – Ask for feedback on pricing and status of job
g) Day 25 – Pass by and visit with the excuse “I was in the area, what else do you have coming up?
h) Day 32 – Follow up on the project and ask for more projects
i) Day 40 – Send an update email and request a meeting with the Owner
j) Day 47 – Text the PM and/or Estimators (texting changes the dynamic to more friendly and informal which wins you jobs)
4. Be on Time and Do What You Say!
First impressions are crucial to the customer’s overall experience. It is important to stick to deadlines and promised dates.
Contractors are notorious for not showing up on time, not showing up at all, etc. By being the exception to the rule you will immediately stand out from the crowd. Your clients will take notice and will appreciate it.
5. Invest in Branding
Branding is important because it sets you apart as a professional company compared to other contractors that appear as they “work from the back of their truck”. While there is nothing wrong with that at all, your image is a reflection of your perceived value and that’s how you can charge premium rates.
Here are some of the easiest and most effective ways to improve your overall brand:
1. Create your logo
2. Proposal template (here is one we give to our clients as a perk of working with us, just sign up)
3. Make a basic professional looking website
4. Create the following professional documents:
5. Request for Information
8. Change Order Forms
9. Make professional business cards
10. Make branded polos with embroidered logo
We are big believers in sticking to what you know. We don’t expect you to know how to create digital designs and branding items. Luckily, there are so many websites, such as Fiverr, that you can use to hire freelancers and digital designers to assist you with these branding tasks.
6. Don’t Stress Too Much About Non-Revenue Producing Activities
We recommend that the first order of business to kickstart or grow your construction company is to focus on sales, customer satisfaction, and retention. Construction is a complex industry requiring many administrative tasks such as licenses and insurances which, while important to the day to day operations, are non-revenue producing tasks.
Because there is always a result and deliverable product, construction companies tend to focus on the actual build itself. They often overlook the sales, marketing, and service portion of the business. It has been our experience that the companies who have managed to invest their energy and focus on their sales strategy and customer-centric issues tend to increase their projects and revenue exponentially. We believe that by following our tips you will see in an increase and improvement in your sales and we are here to answer questions you may have.