All successful businesses have market power. Do you?
I just learned the term “market power.” Once you know it and understand it, you will want to know how much you have and want to increase it.
All successful HVAC sales businesses have market power. So what is it and how do you get it? Market power is the combination of customer power and network power.
Customer power is the ability to attract new customers and bring existing customers back. This is accomplished through engaging existing customers face to face, through the telephone, through email or social media.
Look at your HVAC market customer list. How many repeat, active and inactive customers do you have? How much does it grow each year? You measure bottom-line profits. Measuring the number of new and repeat customers is a strong indicator of whether you will have sustainable bottom-line profits.
Network power is how you attract new customers through connections. This could be through aligning with other businesses, charities and nonprofit groups. Many of us don’t invest the time to connect. We’re so busy running our businesses that we don’t take the time to build our businesses.
The very best way to build market power is to build it locally. And, it’s easier than you think. Alignable, at www.alignable.com, is a free social network built for local business. It allows businesses to connect, collaborate and grow their customer reach exponentially and organically.
Know your neighbors
Think about it this way: Do you know your business neighbors? Most of us know our competitors but don’t know the businesses located down the street from us. And, those businesses could actually help promote your business and you could help promote their business. Both businesses increase their market power as a result.
I’ve often written that one of the easiest ways to grow your HVAC construction business is to work with other companies that have the same target customer as you do. Find a plumbing company, a lawn-care company, a pest-control company, etc., who serve homeowners or businesses and do a joint marketing promotion.
If you are keeping up with your Facebook and other social media feeds, Alignable brings those posts into the community automatically so that you can keep up with your neighbors.
You should be aware that Facebook is changing its marketing rules. If you have used Facebook “likes” as part of your marketing strategy, the likelihood that your messages will get to customers decreased in January. If you are only using Facebook for promotional messages, customers probably will not see it.
Instead, stop thinking of “likes” as your customer base. Building likes will have probably have limited value in the future. You must build a customer base where you own the information about your customers.
You must get the email addresses of your customers. For those of you who are on mobile dispatching, this is easy. Customers get invoices emailed to them. Of course, they can wait for one to be printed in the office and mailed. However, most customers want their service tickets immediately and give technicians their email address.
For those of you not on mobile dispatching, this means when you enroll a new customer, part of the enrollment process is securing email addresses. You use the email address to remind customers about upcoming maintenance visits as well as emails that they can be more comfortable in her home.
Try paid Facebook advertising and see whether it works. This means you must create a quick, compelling ad and track the results. You might create a Facebook-only promotion, determine how many people saw the ad and how many called, emailed or visited your website.
Tracking the results against the dollars you paid for the advertising will tell you whether Facebook advertising works for you.
Copyright Ruth King. All rights reserved.
Profitability Revolution LLC
1650 Oakbrook Drive, Suite 405
Norcross, GA 30093
call (770) 729-8000