National Clothesline
National Clothesline
Lessons learned from the past year
As we get into another year, I look back and recognize what may be causes of your business not growing.
James Peuster
It is interesting how many patterns or lowest common dominators I see that affects or infects the growth of your business.
Many of these “symptoms” are the cause of limited or no growth and most people either fail or do not wish to address them. Instead, the economy and the negative impact that has hit our industry becomes the scapegoat for decreased numbers. The aftershocks are the dramatic cost-cutting attempts to save money and a lack of focus for making more money.
We are all in the same boat, but many are surviving and even thriving while others stay in cruise control hoping that 2010 will be better.
As I look back at lessons learned from our end, as well as others, I comprised a Top 10 Ten list of what many of us experienced last year.
1. Accountability is ever more important.
This rings true of us as well many of you. From your sales crew to your production, we must provide structure for our staff to succeed. Drivers must use the manifest in order to ensure efficiency. Getting the most from your staff while not cutting back, but saving money. We faced this more than once in our crew.
2. Personalized marketing is still the best.
So many calls this year came from those who tried everything else. I never said that they don’t work, but it is about consistency and control. Everyone gets inundated with direct mail, coupons, etc. Seeing the whites of their eyes will overcome objections, persuade procrastinators, and communicate concerns.
3. Drivers must get more involved.
This one is 180° from the usual mindset for many of us, including our company. I am not saying that they should sell 30 hours a week. But we created one of the easiest programs this year for drivers, and many who use it are on Cloud Nine. Just warn your drivers, if the routes keep going down, so will their chances of staying on.
4. Drivers have too much control.
This is separate from number three. I find it very discouraging how many operators hold on to their drivers too long and are afraid to direct them. We see it all the time, and when an aggressive marketing plan is in place, the driver may limit growth. Again, it goes back to the most important piece of your route, the manifest. If your driver is the system, you may be in trouble.
5. The cheaper you look, the cheaper you are in the eyes of the consumer.
Value was one of our buzz-words last year and many people try to cut costs on the marketing pieces, vans and uniforms. Xeroxed copies of marketing pieces, hand-painted, rusty vans and other examples reflect on your quality.
6. Support the industry.
Think about a bridge: the side we are on is the economy and the other is the future. In order to go forward we must cross the bridge. Without “supports” it will not hold up and crash and burn.
As I see DLI, NCA, Methods for Management, America’s Best Cleaners, all the state and regional organizations like MILD, SEFA, NEFA, as well as The Route Pro, Inc., trying to keep it all together, many cleaners find reasons not to get involved.
Sure, there needs to be a reward or reason, but all of us are in this together. Separation is only going to fragment the great advice, support and education that is out there, in order to be the best. Attend your local conferences and support those who are striving to cross that bridge into the future.
7. Market share.
Our favorite buzz-phrase of 2010 is going to be aggressively going after market share. It is time to quit complaining about how consumers are using you less and use more energy to acquire more customers. Enough said!
8. Do routes right or don’t do them at all.
OK, this is an annual lesson learned, but it does not seem to be clicking with many operators. At the Clean Show, I met hundreds of owners who had a van, a driver, some bags and flyers and said they do pick-up and delivery. However, they get stuck in one of two tiers: either $1,000 a week or $2,200 a week.
Routes are your future, so eliminate bad habits now. Once-a-week routes are my favorite. We love it when we see a competitor do this and it is so easy to get the customers to switch.
9. You can’t train sales in two to three days.
Every other industry has extensive sales training, and for some reason, operators expect miracles with their crew. They need constant support as well. There are quotes all over the place about how sales are a marathon, not a sprint. Eighty-five percent of all sales happen after the third touch. Many people do not understand this. Part of our company’s goal is to educate this industry on the importance of this factor.
10. Conversion is a must for those who are starting routes.
So many still argue this matter and our company sometimes disqualifies potential clients with this one. I have over 30 reasons to convert counter customers while there is only one reason not to. You do the math. We are going out there getting customers from other cleaners, not inventing them. It goes back to solidifying your future, not banking on hope.
The bottom line is this; Are you in control of your business?
From operations to marketing, your stability insurance is having a productive, profitable, efficient and growing route. If you do not, then you may be on borrowed time. We had 30 calls last year from operators who wanted us to help find them a buyer for their routes or stores. I just hope that you aren’t going to be on this year’s list.
Again, do routes right or don’t do them at all. You don’t have time to be dabbling in a non-money-making facet of your business.
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James Peuster offers onsite training and all aspects of routes. Management, marketing and maintenance are all key components in developing a million-dollar route.  You can listen to his radio programs on www.theroutepro.com.
He can be contacted at (816) 739-2066 or james@theroutepro.com.
National Clothesline