Road signs?

Blogger Craig Rentmeester likes the way Ames Construction of Burnsville, MN handles its road signs. They have a pretty effective website as well.

Crisis resolved (and the virtues of back-up)
Our first day of vacation almost turned into a business crisis. We had planned our route to Israel with an overnight in Boston before transiting on Alitalia to Milan and Tel Aviv. Before leaving, I had set out the editorial content and advertising feature files, zipped them, and sent them to our production co-ordinator. But he hadn't looked at these files because of the surge in last-minute ads which kept him busy through the weekend.
Tonight, I was just about to turn off the computer (after spending a couple of hours resolving how to download our trip pictures), when he told me he was missing some files and stories. As it turned out, he was missing MOST of the critical content for our July issues. And, foolishly, I had failed to back up the files on my laptop.
Fortunately, I also have some human back-up, a good friend with a key to our house and its security password. I didn't expect to need his services; but tonight he came to the rescue, heading to my home office and retrieving the files. Phew. If this problem had been discovered 24 hours later we would have had major delays in our publications; if he wasn't there, we would have probably 'lost' the papers for a month!
Backup, backup, backup. I cannot express the importance of this too highly. If you don't have an organized backup system for your business -- both technical and human -- beware; you could be caught in an unresolvable crisis.
We got through this one okay. But it could have turned out very different, indeed.
P.S. Now that the comparatively minor camera problem is resolved, watch for images on http://www.exploringisrael.blogspot.com; again I will use this blog only for stories and observations of business interest, so entries will be limited for the next month.

Vacation break
Our bags are mostly packed, and I am finishing up the last bit of work, before our family sets off for a month-long visit to Israel.
With the travel schedule, this blog will be less-than-active. I will keep in touch with the business and home through the cellphone and hopefully the Internet, but I will only blog here in the next few weeks if I come across a specific issue or insight of relevance.
I have started a travel blog at http://www.exploringisrael.blogspot.com to report on our family's journey.

The end of the (conventional) Yellow Pages

For most business-to-business and full-service residential contractors, Yellow Pages have always been a dubious investment. Besides the cost, you don't really get the clients you wish -- you find price-shopping bargain hunters, inviting many proposals; often when they really know in their heart (from previous relationships or referrals) who they want to use.

But in some businesses, the Yellow Pages have been vital and essential -- especially in emergency situations -- plumbers, roofers and other infrequently used but urgently required trades have found the listings to be central to their marketing process.

You'll notice that I am using the past tense here, because the Internet is rapidly eroding these traditional advertising models and, even where directory-type advertising remains valid, soon you won't have to deal with the biggest weakness of the conventional printed Yellow Page advertisement.

It is this -- you are stuck with a sometimes huge monthly bill, regardless of results, for a fixed format ad that you can't change or modify during the directory cycle, no matter what.

This is okay, I suppose, if the ad is working for you, but wouldn't it be much better to be able to control the volume of response and pay only for leads -- or even better -- actions that result in profitable business.

Online search engine advertising is powerful and effective for these reasons. Post the ad in the appropriate keywords, and pay only when advertisers click on your message. Great. Google will soon offer some advertisers another option -- pay for your ad only when they buy! But this will likely be available for items you can order and pay for online, and I don't think most plumbers or roofers will ever work this way.

As well, while the online model is effective and the search engines are improving localization, it is still relatively hard to fine-tune your geographic interests so that you only attract interest and response within your local service area on the Internet, especially if that area is quite small.

However, the final nail in the coffin for traditional Yellow Pages advertising may soon be on its way. New services allow publishers to offer a 'pay per call' service where advertisers only pay for their printed directory listings if customers actually call the special number (which ultimately rings through to your regular business line) when they see a directory ad relevant to them.

In other words, this model is like the 'pay per click' on the Internet, but here callers use the phone, just like the Yellow Pages.

Wow. No more wasted print advertising, and you have immediate traceability and accountability. And while I wouldn't recommend you turn the line off, if you get too busy I suppose you could disconnect without too much trouble.

While this service is new and is only experimentally available in some areas, I would really reconsider your Yellow Pages costs. One idea: Take 1/3 or even 1/2 of your Yellow Pages advertising budget, and allocate that money to the Internet with a high quality website, and good keyword search term selection. I think you will be impressed with the results.

Trade show creativity

Marketing guru Seth Godin outlines a creative use of T-shirts to create trade show buzz in his blog. See here: http://sethgodin.typepad.com/seths_blog/2007/06/trade_show_tact.html

This is a interesting idea you may be able to adapt for your own trade show marketing. I'll think about applying a variation at our next show.

Profitable Sales -- A Contractor's Guide

I am reading consultant Michael Stone's new book, geared primarily for the residential contractor. It certainly is one of the most thorough books I've seen and will provide some worthwhile guidance for the renovation contractor, small company selling siding, and smaller new home builder.

I'm not so sure how scalable the bulk of his ideas are to the ICI market, or, for that matter, to the point where you are ready to move from a "do it yourself" business model to one where you hire third-party salespeople; and ultimately a sales manager. The reason: Stone advocates 100 per cent commission sales and, after some years of experience with this, my perspective on the commission vs salary approach have changed.

Beneath the material is a tone (though he denies it) of the old high pressure style of pushing people for decisions. Of course Stone is right about ethics -- it is always wise to get it right with the client before starting the job -- and he is especially correct in insisting that you know your numbers, and ensure you are making a proper 'markup' and return on your work. Finally, you will find his closing ratios/lead tracking guidelines useful, especially if you are trying to see how well you are doing.

But I wouldn't follow his model on recruiting, hiring and compensating salespeople, with a paradoxical twist -- the quality of salespeople we should aim to high should be just as good as he advocates.

I've detailed earlier my system for finding sales reps. It works in Canada but may not apply so well in the U.S. We start off with a decent but not overwhelming salary offer, and then screen heavily using a systematized process minimizing the need for direct contact with bozos or people 'just looking for a job." At the very end of the process, after using third-party sales aptitude/orientation tests and a phone interview, we give our new sales representatives between a day and a week's paid work to see how they do in real life. They need to pass all the tests -- and a reference check -- before we hire them.

While sales are on a salary base, we pay commissions if they go beyond their salary; and the representatives know that consistently falling below their 'salary' is not a good thing. (I am learning a sustainable employee review/evaluation system and will introduce this once I've proven it in practice.)

Finally, since Stone is writing a sales book, he focuses on the sales process with lesser emphasis on the main issue -- developing and maintaining current client relationships. This of course, in my opinion is where most future sales originate, and should be the centrepiece of your selling and marketing strategy.

Would I buy Stone's book? Absolutely, certainly, if are a residential contractor with sales to the general public; we might not agree on everything, but you'll still find many useful ideas in its pages.

Vision and Uniqueness

Today, I visited Toronto to interview people at two very different companies, who will be profiled in the next issue of Ontario Construction Report.
Because these interviews were conducted as advertising features -- in which the profiled business an review and approve the interview contents before publication -- I am bound not to report on the interviews, even positively, until I have their permission.
But I can address something important; the fact that both of the businesses I interviewed have successfully developed unique niches, and connected the dots in surprisingly creative ways.
One is a developer -- but its source of funds are largely pension funds of unionized businesses. So it conducts its affairs with an exceptional degree of respect for workers, 'ordinary people' and the labour movement. Yet don't think these guys are push-overs. They still require their projects to meet the highest competitive standards and they must ultimately operate within the open, free market for products, services, and clients.
I walked a few blocks to an entirely different business -- an architect that combines two very distinctive, but unrelated specialties. The result is an intriguingly eclectic international practice -- one that competes on the highest levels, and in fact sets the standards for its industry segment.
Both of these businesses, of course, practice the 'standards' of business discipline -- they get the basics right (something I failed to appreciate as we expanded carelessly a few years ago). But they combine the normal processes with the exceptional creativity of building their businesses within well defined niches, creatively diversified, but always within their core values.
Once I have their permission, I'll disclose more. Of course the stories I was writing are part of our own niche, which allows us to be truly viable as print publishers in the Internet era.

Craigs list?

This is a really interesting post from Brian of Singer Construction in Orange County, CA on the Contractortalk.com forum.

Tricks for Craigs list.
Craigslist is great, but of course, like anything else it takes practice. When I place an ad, the phone starts ringing usually within 30 minutes. I get so many phone calls I have to eventually stop answering the phone.(FYI, I'm advertising for handyman services in the So Cal area.) 1) The #1 trick to using Craigs list is writing a GREAT ad. The search feature on craigs list works just like google. You need to have lots of relevant keywords in your ad. Example, if you are a Roofing Contractor, include in your ad, roofing contractor, roofer, roof, shingles, tile roofs, etc. and anything else relevant to what you are selling. A person looking for a roofer, might search for "Spanish tile".Also, take the time to write a really good compelling ad. Just because it's free, doesn't mean you shouldn't devote some time to it. Before placing an ad, sit down and write 1 or 2 paragraphs about your company and what you are selling. If you browse through the ads that are similar to yours, you will get a really good idea of who is serious about it and who the flakes are. The flakes usually have 1 or 2 sentences and a phone number. For example, here is an ad I looked up under "roofing" :ROOF REPAIRS. 23 YEARS EXP IN THE ROOFING TRADE. I WILL FIX THOSE PROBLEMS. CALL DAN 714 XXX-XXXXWould you call this guy? He obviously doesn't care enough to sit down and write a decent ad for his company, so why should I call him? Take the time to write a decent ad, and don't write IN ALL CAPS.Also, a well written ad with links to your web site and relevant keywords will help Google find your web site. Even with no calls, that benefit makes it worth your time.2) Next, write a really good Title. Something like this, !! ROOFER - best in the business - Licensed Roofing Contractor !!This step will take some practice. Try a new title each week until you find the right one.3) I never include my email address. I always keep it anonymous so I can still receive emails from customers, but they can not see my email. It will help minimize spam. Also, I always include my phone number. I'd rather have people call me. People that take the time to call are generally more serious. If someone does email me and asks for a price, I will email them back and ask for there phone number, or I will reply with general info and my phone number and ask them to call me. I rarely quote a price via email, unless Im certain I DON'T want the job.4) Scams... it's usually pretty easy to sniff out a scam on the internet. Unless someone is willing to go about the traditional means of conducting business... it's probably a scam. a) Never accept Western Union, b) Never respond to an "Urgent" message, unless it is one where you physically show up to the job site. c) Never give out personal information, d) Most scammers operate outside of the country. Ignore them. Just use some common sense.Lumpy is exactly right... I have been contacted twice by someone in the UK saying they were "so excited about my product. send me the price and my info and they would send a check right away..." It sounded so fishy and an obvious scam.. I just ignored it.5) Set up a website with photos of your work, or better yet, set up a company website and include a link to it. Potential customers like to look at pictures of your past work. Plus, clicking onto your web site gets them off of craigslist. It will deter them from looking at competitors and once they are on your website, its a second chance to sell them on your service. You can also place your logo and pictures in your ad if you know how to do that. It's just like linking to photos here on Contractors Talk.6) Finally and most importantly, PRACTICE. If you don't get calls from your first ad, don't keep posting that same ad. Write a new one or try a different Title. I wrote 3 different ads before I found the one that made the phone ring. Also, don't post a new ad everyday. It's annoying and clogs up the system. I hate seeing 8 different ads for the same guy. Customers aren't going to call just because you have lots of ads. Post a new add every 3 - 4 days. Ads will stay online for 45 days and as long as you have a really good ad, with well written content and links to some nice pictures, people will still call even if your ad is 2 weeks old. One time I stopped placing ads because I just couldn't handle the volume of calls. I was still getting calls a month later, so I know craigs list works. It may be different for different parts of the country.I hope all this info helps.Good Luck.Brian

Finding what you are seeking, the round-about way

Today, in a search for graphics for my intended blog -- an outline of how a salesperson is getting it right with me -- I discovered BNet Insight -- Sales Machine. This blog is going on my personal hyperlink list; I won't permalink it yet because it is not specifically relevant to construction marketing -- but you may find useful gems in the pages here.

I had actually been looking for a graphic relating to the sales qualification cycle. Surely, if you have any experience with sales, you know the concept of A, B and C prospects. A prospects are supposedly ready to buy now -- they, the trainers say, should get top priority. B prospects are, well, good 'maybe' candidates. C prospects are, if you believe the training stuff, a waste of time. You might like them personally, but they lack the funds, the resources, or the relevance to what you are selling.

So, I expressed a rather blunt and straightforward observation to someone who approached me at the Future of Online Advertising Conference in New York last week. "I know what you are offering, and it sounds like a good idea for many publishers, but you should consider me a "C" prospect," I told the representative, who wanted me to see if I could use his company's "Pay Per Call" technology to provide a new service to our print advertisers.

(In this model, the service provider provides a set of individual phone numbers -- advertisers, seeing the ad, don't call the client directly -- they call the special number on the ad. Both the publisher and advertiser can track results real-time, and the publisher can set up a 'pay per call' system, much like the Internet's 'Pay per click' model.)

I told the representative that I am aware of the company's system, and how our local daily newspaper publisher is testing it out on a new product. Then I said "I really don't think this will work for us, both because of our low budgets, and the way we sell our advertising."

Fair enough, I gave the guy the courteous brush off.

He didn't give up, though, following up a week after the conference, again inviting a conversation, by email.

I told him, "no" again, elaborating in greater detail in an email our sales model and why his product simply wouldn't work for me -- noting in my email that I had checked the company's website, and since there are no prices displayed for his company's service, and much sales energy is being expended, it is probably too expensive for me anyways. I emphasised in my email that phoning me would be very rude and would kill the deal.

So the rep pursued things again, providing a little more information, and inviting another response. I elaborated my perspectives (he got lots of information this way).

Finally, the sales rep did something creative -- he told me his prices, bottom line, including the possibility of special deals; with actual numbers (especially in terms of set up costs) which were far lower than I had thought.

I responded straightforwardly, "You have turned a C prospect into a B prospect".

Will we buy the service, yet? That is still very much an open question. The resource this company offers represents a different sales/pricing model, and I am still having trouble grasping how we can use it in any practical way in our current business. One potential application where the proposed system might work represents an entirely new market segment for us -- it could be lucrative, and is logically vertically aligned with our current markets -- but on the other hand it is way out of our current frame of reference and expertise. I straightforwardly by email told the representative the possible application, but said it would have to wait -- I am going on vacation, after all, and (more importantly) if we are to consider an idea fundamentally shifting our market priorities, where does it fit into are disciplined business planning process?

Nevertheless, I admire the sales rep's tenacity. He saw more in our potential as a client that I did -- and he recognized that he needed to 'break his rules' and provide much more information than he would normally provide, in an early stage, in email communications, than a sales representative would conventionally offer a prospective client.

I also handled things correctly. I straightforwardly described our interests, explained my very real knowledge of the selling company's offer (indicating that I have generally good insights into my own industry's trends), and didn't waste the sales rep's time.

Maybe we should all try to understand and learn these practices, both as sellers and prospective purchasers.

Workload 101 (before vacation)

This time next week, I'll be on a plane with Vivian and Eric to Israel, via Milan, Italy. We decided to take this 3 1/2 week vacation back in December, just as the business reached the 'inflection point' described in the earliest blog entries.

Leaving a business for a vacation -- especially a business that is in the early stages of rebuilding -- is not quite the same as leaving a job. But I'm confident everything will go well. Our small team of employees and contractors has a good grasp of their responsibilities and I expect the values and culture of this business -- respect for individuals, family, and teamwork -- will prevail when I am a few thousand miles away.

Operationally, the biggest challenge is I haven't hired a full-time editor yet. This means I must write a pile of stuff, right up to the day I leave, and then rely on a competent local freelancer (with help from the rest of the staff) to co-ordinate the final copy editing and review for this issue; and to take charge to ensure that the content is mostly ready for the next issue (I'll return just before the production deadline for the August issues.)

Interestingly, I am far less anxious leaving for the Mideast this year than I was staying at a cottage just an hours' drive from the office last summer. Then, even with a staff editor, the business truly was in a distress state -- there were tensions, hostility, lack of trust, discordance, and all-around anxiety throughout the organization. I couldn't leave my desk for a day, I thought, without dire consequences. (These glum assessments proved right, at least partially -- as the crisis reached its peak, we ultimately needed to lose virtually all of our employees to hit 'bottom' and begin rebuilding.)

While I'm away, of course, I won't be totally out of touch. Israel has a well-developed and inexpensive cellular network. In fact, I ordered two phones (one for me and the other for Vivian) online -- they were delivered Expresspost by the company's agent in suburban Toronto. When we arrive in Israel, we plug them in and when we start using them, pay $1.00 a day per phone plus quite low per-minute rates. With a $10.00 adaptor plug, I'll be able to use my laptop -- however, I will need to research wireless services and set up communications when I am there.

As for this blog, I'll take a vacation -- I've registered another blog, exploringisrael.blogspot.com which, I expect, will report every day (or at least every day I can find an Internet connection) on my discoveries during this long vacation. I've posted a couple of entries there already.

This week, as we prepare to leave, my blogging may be lighter than usual, as well. I've got to compress a couple of weeks' writing into one week; and of course, in addition to my personal travel planning, must make the arrangements for staff to work effectively in my absence.

But it is fun, and satisfying, to be able to take some time off,, and it is refreshing and exciting to look towards the future.

The blog search continues

Following the previous post, I decided to start a thread at contractortalk.com to see if anyone else there has started a blog for construction marketing. "Ed the Roofer" is the first to report back.

Compared to other sectors, notably in public relations, communications, general marketing, and high tech industries, blogging has been slow to catch on for the construction industry and allied professions.

After about a half-year of posting (often two or three times a day), I haven't seen much tangible direct business from this blog. But I see encouraging trends, both in the overall readership and the number of repeat visitors (these are easily tracked through Google analytics.) I'm confident by this time next year this blog will be the leading repository and portal for construction marketing information and resources on the Web.

The Art of Publicity

This Contractortalk.com forum posting on press releases (originally started some months ago but refreshed recently) shows the diversity of perspectives and approaches to media publicity -- and the great untapped opportunities here for general and subcontractors, and suppliers.

I especially appreciated the posting on page 2 which showed that selectively placed publicity in smaller media -- sometimes where the advertising and editorial 'boundaries' are not strictly observed -- can prove to be profitable; leading the contractor, in this case, to think of starting his own informative publication -- and selling some advertising to non-competing businesses.

The basis of our business, in fact, are advertising features; stories written about businesses and projects, and generally supported by their advertisers. Of course, we publish independent editorial content and announcements (especially community service publicity) without any advertising requirements.

But I am always concerned about delivering value to our advertisers -- the companies that place support advertisements in their clients' features. Sometimes the best approach is to write a similar feature about the advertising company in a future issue; but often this approach is not the best, so we need to figure out other alternatives. I'm a firm believer in providing real value for our clients -- $265, $485 or more for a single ad is plenty of money, so part of the service is frank and customized consultation on the best methods of achieving objectives -- and often publicity in other media is the way to go.

Press releases, blogs, online newsletters, and the like all can work really well, often in conjunction with each other. The trouble is, what works once might not work the second time; despite some basic principals, there are issues of reliability and predictability here. Nevertheless, if you have a choice of spending $50,000 on advertising or $50,000 on editorial/publicity services, go for the latter. You'll get far more results for your investment.

If you would like a copy of my Art of Publicity report, email buckshon@constructionnrgroup.com.

The Glass House (in Denver)

This is a classic case study of how to successfully and effectively market a residential condominium project using email, controlled scarcity, and effective 'soft sell' interpersonal relations.

http://www.dbrownonline.com/2007/01/fantastic_construction_marketi.html

Number one on MSN

In the world of "search engine optimization" we've achieved number one placement on the MSN (Microsoft) Search Engine, msn.com. Type in the words "Construction Marketing" even without the quotes, and the Construction Marketing Ideas blog appears first.

Our ranking is not so high on Google -- you can get to the blog through first page listings of some of my articles and newspaper websites.

While MSN is the third ranking search engine, it still is a significant driver of website traffic.

Why is the search engine ranking so important? An increasing percentage of web users define their inquiries from the search engines. If you can achieve top placement for your business under categories relevant to your company, you'll see a noticeable increase in inquiries and interest.

There are tools, techniques, methodologies and strategies to achieve higher search engine ranking, and specialist businesses provide guidance and support in this area. However, underlying the strategies is a basic principal that your website needs to be relevant, useful, and interesting. If it is, you can enhance your position with the search engines.

How do you find connections and contacts to achieve these standards? I'm not qualified yet to give you clear answers -- because I have just concluded (through reference through our general business consultants) the selection process for a web design/strategy consultant. However, I expect that in the next few months I'll have more practical tips and suggestions in this area.

In the meantime, even though this blog is not intentionally designed to lead in the search process, we are getting there -- and have achieved that number one spot, at least on one major search engine.

Integrity and Community


After a while, I think business people can sense quite clearly who is good, and who is not. This instinctive capacity -- probably hardened with some real life pain -- is absolutely essential, for the business world has more than its share of scammers and con artists. Smart criminals know the right way to rob a bank is not with a gun, but with accounting tricks and creative contract language, after all.


I'd like to offer this 'smell test' for integrity problems. If you run up against these warning signs, all might still be okay, but I'd sure do a double check before rushing into anything substantial

1. You sense something overpowering, fearful, about your potential business counterpart -- you either read through body language or words that this individual has good lawyers at hand and will sue, without hesitation, if things aren't right (from the other person's perspective.)
   
2. Your counterpart is too smooth, too poised, too 'perfect'


3. Your counterpart is enjoying unusual levels of success; has lots of material things, a big new house; seems so comfortable, so quickly, he or she is right out of a 'get rich quick' story (of course the sudden wealth may be honestly acquired; you'll know there are exceptions to every rule.)


4. You can't quite fathom how your colleague has achieved success; the business model is complicated, confusing, or layered within odd structures or language.


5. You just sense, in your first-impression gut feeling, that something isn't right. Your sixth sense, intuition, or instinct is telling you something is wrong.
   

If you haven't been burned yet by a business con artist, you are either very new, naive, or lucky. In fact, it is likely you will be burned more than once in your business career (hopefully through cons who are good enough to send out different signals so you honestly couldn't learn from your mistakes). You are obviously most likely to be vulnerable when you are desperate, grasping straws, and hoping for a lifeline.

Cons, by the way, are not the only reason for failure and business problems. Certainly my most recent challenges (now resolving well) have been entirely my responsibility.

Pricing theory

Today, I had a fascinating conversation with a successful renovator. His company has won several awards for top quality work, and he leads the renovation committee of the local home builders association. He also observed that his business works on high-end jobs, and he has a solid network of trade suppliers who can meet the most demanding standards. Yet he has a problem -- he can't grow his business to the market's demand (he says he must turn away, refer, or defer work) because he can't find enough skilled people to help him do the work.

I looked him in the eye and said: "You should raise your prices."

He hemmed and hawed, said that wouldn't work, that clients in the market would not accept higher prices . . . and then described how some competing contractors charge the same prices as he does, for shoddy work. I looked him in the eyes, and repeated, "You should raise your prices."

I wish I could solve every business problem so quickly and easily, but sometimes things are obvious. "The best in any business or field of endeavour can charge more for their specialized skills," I said. "In your business, you have a choice. You can systematize your operations, find labour saving approaches, use mass production techniques, and then produce good quality work, at volume, at 'regular' prices and make a profit. But you are not in that market. You are doing quality work, customized, for the very best houses in the city. Do you not think that these clients should pay more for the reliability and assurance that the work will be done to their standards."

I can be like a broken record when I see something obvious. Fortunately, I saw the renovator again a few hours later at a social function, and, with his wife present, had the opportunity to repeat myself, yet again. He said he got the message.

Now, I would agree that if you are just starting out, or don't have a well-established local reputation for quality, you might not want to raise your prices, just yet. But ironically, even without producing top quality work, you can receive higher prices for the same task -- through effective marketing. By knowing your clients, and adapting your products and services for your 'best' potential customers, you can design your business around the market's requirements and (because the market will have confidence in you) earn more for the same actual work.

The balancing act

Yesterday, driving to work, and listening to a CD I purchased from another marketing guru (who said he got his ideas from elsewhere, but didn't identify their source, so I'm not going to identify the guru here), I heard an interesting idea that our own business uses effectively. Yet, as I listened to it, I also appreciated the paradox -- the contractor who uses this business model will likely be so busy he won't use it very often because it is TOO effective.

In the example, the anonymous plumbing contractor does a great job in solving an immediate and urgent crisis for a respected public speaker -- saving the client acute embarrassment. After completing the project, the plumber visits the client and asks if he wouldn't mind helping spread the word about the plumber's good work. The enthusiastic client responds "sure".

The plumber then invites the speaker to provide a list of the people he knows in the community, and a copy of a letter explaining the client's great experience with the plumber. The plumber asks the speaker for permission to send this letter -- under the speakers' own signature -- to the contact list provided by the speaker. ("We'll do all the work, in preparing the letters, stuffing and folding the envelopes," the plumber says).

And so the plumber sends out the letters as the first part of a direct marketing campaign -- a campaign with real clout because of the endorsement from the speaker/community leader.

I'm quite confident that a campaign like this would work very well. But you won't see it happen often in practice. The reason is apparent to most of us -- most great plumbers are busy enough as it is and the response they would generate from this kind of marketing would overwhelm their resources and service capacities. In some cases marketing can be too effective -- In this case, you would need a team of journeymen plumbers trained and ready to work to your high standards, and some care in planning how to handle the response from a strong endorsement.

Nevertheless, if you are in any contracting or professional service business, please consider the power and effectiveness of the satisfied client endorsement letter. And note its potential applications for virtually any construction business and the allied professions.

For example, if you are a consulting engineer with expertise in hospital work, if you have a letter from a really satisfied hospital client, who belongs to a trade association and is respected by other clients within that association (say your client is the president of the association!), and if you could get a direct letter of reference/referral and target it to association members in communities where your practice has offices or could serve effectively), I think you can see how this kind of letter would accelerate interest and build powerful referral business for you. And if you are a general contractor, imagine the clout of the organized referral letter distributed to your satisfied client's contacts within your regional business community.

Just remember, do this right, and you won't need to market very often. And note this stuff only works if you do your job really well -- always, I emphasize, the most important cornerstone for successful marketing.

BTW, I'll be happy to send you a sample copy of a referral endorsement letter we use in our own business. Just email me at buckshon@constructionnnrgroup.com.

The 'Go-No Go' Choice

Bernie Siben has told readers of the SMPS Listserve that he will be increasing the frequency of his builtenvironment.blogs.com updates. Today, he posted a useful note on the importance of screening and qualifying projects before rushing to prepare quotations and proposals. Just because you receive an RFP doesn't mean you should do it. "No" often indeed is the right answer.

Overcoming the 'silent treatment'

This thread on the Linkedin.com networking site provides a truly revealing collection of answers to the problem most business-to-business sales representatives encounter virtually every day in their work: They call, have a conversation, seem to receive some interest, then . . . silence.

Unreturned phone calls and emails leave the salesperson in a quandary: Is the prospective client avoiding us because they don't want to buy, because they simply are very busy, or because they are afraid to say 'no'? Most sales reps would rather have a clear cut 'no' than being left up in the air -- but of course that is not the way most businesses -- or people -- work in real life.

I'd like to say I am good at returning calls; but often things get crazy, and if I can sense at first glance that the caller won't be able to provide anything of value to me, I leave the message unreturned. This is not entirely out of disrespect. Occasionally, as one poster noted, the reason for not calling back is that I am genuinely working on a decision -- as an example, a non profit group wanted some publicity requiring me to attend an evening meeting; I needed to clear this with my wife before responding; and that took an extra day. Usually (though not always) a second call or email with a clear request for a response will result in an answer -- and almost always, it will be 'no'.

The issue is always more complex and challenging when you really believe you have a product or service of genuine value to the prospective client, if only he/she would listen, meet, or see you. Here, persistence is often justified -- as long as you handle it with tact, good humor, and respect. Finally, sometimes it is helpful to let things rest for a while and then return when you have something new to offer. I like non-intrusive methodologies such as electronic newsletters, personal notes, and the like.

Building My Green Construction Company #19

Here is Paul Hering's latest video. High tech or high production values, not. But nevertheless, he has achieved an intriguing early-state use of video for construction marketing in the new era. (I wonder, however, if he cleared copyright for using the music in this video!)

I emailed him to learn what camera/technology he is using for this video series.

Here is his response:

"Mark - I have a cheap AIPTEK camera with a 1GB card in it to capture pictures and videos. I got this camera because it was cheap and small. I carry it in my front left pocket and I can pull it out and take video pretty much anytime and often without others knowing I'm taking it. I hold the camera away from me when I am shooting myself and sometimes put it up on something. I note that the more I can just do it on the fly the more real what I say is and the more natural I appear...so I almost always just walk or move about as I would normally when I am shooting myself.

When I am in the truck, I just put it up on the dash pointing at me, sometimes I put a piece of duct tape under it in a loop so I can make sure it doesn't fall. Pretty darn low tech.

As far as editing, I use Ulead's Video Studio. It is a very easy program to use.

I plug in my card from the camera and move the files to a directory. Then I start the ulead software and I import all the video and images to the library.

I start a new project, review the video, use some simple cutting tools it has, put it in a timeline (drag and drop), and then put some titles, transitions, and music where it needs. The one I just did (not my best) I did in about 10 minutes. It was a 5 minute video with lots of cuts. Many of the videos can be done in a matter of a few minutes.

One last note. Youtube suggest you use MP4 files at 240 x 320, with 30 frames per second.

That's about it.

Hope this helps you."

I looked up Aiptek and learned their most expensive "high resolution" camera is available for about $400.00. The Ulead editing software is priced at about $60.00 This is definitely not high-budget stuff.

But it is right in line with some major trends in business and therefore Paul's project is worth observing closely.