New Ways to Market and Sell Replacement windows may not evolve at the same pace in the near future, butthe techniques that replacement contractors use for marketing and selling themmay have to. The methods home improvement contractors use to develop cost-effectivelead sources have already changed and are rapidly evolving atmany companies.
“Five years ago we used to put our ads in the Yellow Pages and wait forsomeone to call,” says Dave Gordon, CEO of Regency Windows in Twinsburg, Ohio. “Now, wehave multilevel marketing going on — couponads, lawn signs, perimeter mailers, Who’s Calling [a lead identificationand tracking service], and it’s become much more expensive.”
Regency recently conducted focus groups, which, Gordon says, “reinforcedthe idea that people turn to the Internet to gather information and as partof the process of figuring out who to call.”
Other contractors have yet to be convinced of the Web’s value as a lead source. SvenKramer, of Stanek Windows in Cleveland, reports getting some 1,000 Internetleads a week, “but I don’t know if they’ve changed our volumeother than replacing some leads [lost by] telemarketing,” hesays.
Ron Ayers calls prospects resulting from Internet referral service leads “tirekickers,” a common perception. “Probably one in 25 willhave a valid interest,” he says.
Regency’s focus groups also uncovered an important, largely unmet consumer need: Homeowners, mystifiedby so much price advertising, want to see a clear, directcorrelation of price and value, and more product and project informationavailable on the Web and in print. “They didn’t understand howto think about those prices, how to think about their overall projects, andhow to compare different vendors,” Gordon explains.
Changing media and lifestyles are making the in-home sales environment morechallenging and complex. That in turn makes refined sales skills more essentialthan ever. “‘Don’t waste my time,’ is an increasing priorityfor a lot of consumers,” Gordon says. “We’re continuously workingwith the salespeople to improve their skills as listeners, problem solvers, andsolution providers,” he says, so they can accurately determinehow to tailor the presentation to that consumer’s specific needs.
While contractors acknowledge that the Internet, new technology, and changinglifestyles will all continue to affect their businesses, most also believethat in-home presentation will continue to be the cornerstone of replacementwindow selling. Windows are complex. Selling and installing them requiresgetting the right information from homeowners, as well as educating thosehomeowners on features and benefits.
This is one reason contractors don’t expect “big box” retailersto pose a serious competitive threat. In similar fashion, contractors don’texpect to lose customers to direct Internet sales, either. Imports — aflood of low-cost knockoffs from China — could be more of a problem, butmost contractors say it’s unlikely that imports will dent the businessfor high-quality, energy-efficient windows. Window manufacturers are morewary.
“Imports are considered a very serious threat, yet they seem concentratedin components and parts rather than in finished fenestration products,” saysRich Walker, executive vice president of the American ArchitecturalManufacturers Association (AAMA). “Manufacturers of hardware, aluminumand vinyl extrusion are all adapting to this very low-cost completion,” headds.
But whether for components or complete product, one manufacturer says, “theChinese have plants over there that are opening every day.” They’rebig, have the cash to get the finest technology and a virtually unlimitedlaborforce. “They’re coming,” he says.