Are you new to construction or an old contractor looking for new ways to increase sales in a construction business or improve services in the field of construction? If yes, here are some specific crucial tips to increase sales in a construction business. Have a look at them and increase your sales and, ultimately, your profitability and annual revenue.
6 Proven Strategies to Increase Sales in a Construction Business
Here are we revealing the best strategies get more sales in construction:
1. Invest in Creating a Lead Generation System
The lead generation system is one of the most ignored parts of any construction firm. But very few people realize the fact that the leads become sales, sales leading to more projects, and more projects ultimately increasing their annual revenue and profit margin. It is as simple as that.
All leads are not always equal and meet the same criteria. You can get numerous leads on different sets of criteria but if those leads don’t fit perfectly on the specific criteria you have set, they are of no benefit for you except the waste of money and time.
You should acknowledge the fact that the best quality leads don’t come for free. You have to invest some money and time to find the best ones. It doesn’t matter if the leads are about meeting a new potential client to develop professional relationships or investing your resources in a lead generation service. It always requires some sort of finances.
If you are wondering about the right lead generation service to invest in, we recommend BlueBook. They can give you access to thousands of people near you and you can contact them as the most potential clients for you.
2. Invest in Your Estimating Department
For most of the construction projects, an in-house estimator remains best for his payroll services of estimation. However, not all construction firms can afford these additional expenses for construction projects. So, you might be thinking about what to do then? There is another option.
Invest in your estimating department. The estimating portion of any construction firm is one of the most crucial parts of streamlining the projects effectively. It needs a significant portion of investment in time, resources, precision, and expertise. This is where we step in.
At Total Scope Estimating, we have a comprehensive construction estimating department which can provide you with all kinds of construction estimating and takeoffs tailored to your specific needs and that too with massive experience and expertise.
3. Set Up a Follow-Up Schedule
According to the research, it is an established fact that completing 9-12 touchpoints is crucial to building and securing more clients successfully. Now you must b thinking, what is this touchpoint? The touchpoint is the interaction between the client and the construction contractor. These touch points can be 9-12 calls, emails, texts, ads, visits, etc. These touchpoints are crucial and must be done with utmost precision and accuracy. Being pleasant while touching these touchpoints is an additional component that makes it more effective.
Hiring a salesperson for this job is the fact that pays you in the long run to outgrow your construction company. Furthermore, you can also create a follow-up schedule that you can track later to streamline the construction business.
Here’s a sample follow-up schedule to follow:
a) Day 1 – Ask to obtain 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 their review on pricing and the status of the job
g) Day 25 – Pass by and visit with the excuse, “I was in the area, which else [project do you have coming in the near future?
h) Day 32 – Follow up on the project and ask for additional projects
i) Day 40 – Send an update email and ask for 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 Punctual and Keep Your Words
The quote is not randomly established, “First impression is the last impression”. The first impressions pertain to the overall success of any construction project. Therefore, it is crucial to be punctual and keep your word on the promised time.
Contractors are known for their bad experience of not showing up on time and even not showing up at all. By sticking to your deadlines and keeping your word, you can stay distinct from other construction businesses and can navigate your firm to success.
5. Invest in Branding
Branding is essential as it sets you apart from other construction businesses that operate from behind the wall. While there is nothing wrong with this concept, however, your specific perceived image makes it easier to find more potential clients.
Here are some tips to improve your branding:
- Build your logo
- Proposal template
- Make a professional website.
- Build essential professional documents.
- Request for Information
- Contract
- Brochures
- Change Order Forms
- Make professional business cards.
- Make branded polos with an embroidered logo.
6. Don’t Take Too Much Strain on Non-Revenue Producing Activities
We recommend that the first project of any construction firm should always focus on sales, customer satisfaction, and maintaining the profit margin. In the long run, some other administrative tasks keep running alongside like insurance, permits, etc. But you don’t need to stress much about them as they are non-revenue producing activities.
Conclusion
Because there is always a product in the end, construction firms tend to ignore the build in itself. They overlook the marketing, services, and sales strategy of their construction firm. It’s our experience that those companies who strive to improve sales and focus on customer-centred problems always stand out among others in the long run. Plus, we have offered you the 6 crucial tips to increase sales in a construction business. We hope this will help you in increasing your annual revenue.
