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It's pretty basic; the way to make more profit and have more paint jobs is to have more people calling. You might say, "duh no kidding". Bear with me on this point.
With five leads per week you can be more selective and even though you will lose some bids, you can more painting jobs at a higher profit. Let me explain. If you get two leads per week you are working from fear, fear that you know you must get a job, and the quickest way is to lower your price. If you get five leads each week, chances are you will get a job just because of the odds. You will get two jobs out of those five. If you sell value and not price you will make more profit than if you win jobs by low bidding.
How do you get more leads? The way to do this is by over achieving with your marketing plan. What do I mean? Say your marketing plan is setup to mail 200 postcards per week, then up that to 300 or 400 cards per week or if you do door hangers then double that. Good idea? Ask for referrals from existing customers. So what I am saying is double your efforts, then you will get more leads. With less leads you are forced to low ball, low balling kills your profit. With a shortage of leads you are forced to play the low bidder game, and that is no way to increase profits. And you are stuck with the one or two leads that you might have and they might not be your perfect customer, but you have no choice but to bid them. With four or five leads per week you can actually look at some bids and choose not to bid because they are not the kind of customer that is best for you and your company.
Low bidding makes you believe that the only way to get jobs is by low bidding. Low bidding jobs hurts in many ways, low profit; maybe you will even lose money. When you have an abundance of leads, suddenly it's your game and not the customer's game. You now have control of your business and that is the way it should be, the customer should not control your business. Having lots of lots of leads allows you to take chances, and be more creative with your salesmanship. Most painters don't have enough leads to sell any other way except by low balling the price, whereas if you have an abundance of leads you can afford to lose three out of five. Having an abundance of leads gives you a kind of fearlessness. If you win two out of five you are doing great, if you win five out of five you are bidding too low.
You will get more paint jobs for other reasons. This means jobs that you get because you are selling quality and or good value instead of low pricing. Let's face it any beginning painter can get jobs by low bidding, but it takes a pro to sell on other benefits like value, dependability or quality. You win jobs because the customer needs to get the job done faster and you are able to do this. You are now in charge and you can be the one who is in charge of the bidding process.
Ultimately most painting contractors will choose to stay with their old ways, because working for more leads seems like too much effort. Personally I find that doing more estimates and making more profit is a lot easier than doing more jobs at lower profit. So the way to more profit is to have more leads. Of course you need to estimate paint and sundries. In addition to the labor portion but just go by the square feet per gallon as on the label for starters.
Need to know how to estimate? Easy to use Painting Estimator Paint Estimator
Want to know how to estimate a paint job? The Professional Painter
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