Qualified Remodeler Magazine

AUG 2018

Qualified Remodeler helps independent remodeling firms to survive, become more professional and more profitable by providing must-have business information, namely best business practices, new product information and timely design ideas.

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Page 36 of 91

the company sold its former office and moved into a 6,000-square-foot facility. Booher explains the rationale for opening a showroom is threefold: "One, we wanted to be able to show clients where they could see more of the products. Two, we had outgrown our [previous] space as far as offices; and then three, this space actually offered some warehouse space so we could store more materials and things." e showroom provides many opportunities for the company, according to Booher. "e main thing is we are continuing to build our showroom, where we are sup- plying more materials in-house versus outsourcing. We've added sink displays, tile displays, more kitchen areas [and] countertop displays," he says. "We're trying to make it more of a convenience for the client, so when they come in they can be one-stop shop versus sending them all over town to make their selections." When it comes to deciding which manufacturers and lines to feature, the Booher Remodeling Company team and their trade partners all contribute to the decision-making, but turnaround time, availability, customer service and quality are key. NO "I" IN COMPANY A team approach to decisions extends beyond what to display in the showroom, which Booher believes is some- thing that differentiates the company. "We are a team environment. Our team members are involved just like Kathi and myself. We share numbers [and] everything so that they understand what the health of the business looks like," he says. "ere's not many companies [who] do that, and we feel that makes a difference because we're all working for the same goal. Part of that is when we receive feedback—whether it is positive or negative—we do like to print those out and review them as a team." Because of the importance of its team members, Booher Remodeling Company has a thorough interviewing pro- cess to ensure they find people who are the right fit. "We are in no hurry to grow. It's more important for us to have the right people than the number of people, so that's why we have grown slow," Booher notes. "When our clients ask what makes us different from our competition, I always say No. 1 is our people. And the key to that—to keeping our good people—is we want to make sure everyone is working around people they want to work with, so that boils down to that team atmosphere we've created." Another extension of the team atmosphere, beyond the aforementioned sharing, is its use of a leadership team. Booher credits the group with brainstorming such things as how to ensure potential clients are seeing real-life ex- periences from past clients, resulting in an emphasis of client reviews on the company's website. is group is also tasked with ensuring the company is adapting to the digital world of today, especially knowing that potential clients are doing their research. Booher Remodeling Company currently offers a $50 home improvement gift card for referrals, which Booher says clients seem to view as an added benefit but not the main priority. "Most of our clients, if they have a good experience, they want to take care of their friends and family, so they refer us [to them] so they know what they're getting," he explains. at said, Booher reports 80 percent of the company's 2017 leads came from home shows and events; repeat business; web-based listings such as Angie's List and Houzz; and signage (each 20 percent). Referrals and internet marketing each provided 10 percent of the company's leads. As for 2018, Booher Remodeling Company set some ambitious goals, listing a 2018 remodeling gross sales fore- cast of $4.5 million—an increase of just under $1 million from its 2017 remodeling gross sales figure. At the halfway mark, the company is on track. "We are right in line with where we wanted to be for our 2018 goals. Our gross profit is about half a percent higher than our goal; our average close ratio for our jobs is about $400 more than our goal; and our revenue is right there at 50 percent of our goal," Booher says. "ey are aggressive goals, but the team is buying in. We share the numbers on a monthly basis with the whole team, so these goals are achievable; they're all rallying and it's all paying off." | KITCHEN & BATH BY THE NUMBERS An overview of the 30 kitchen & bath firms on the 2018 QR Top 500 TOTAL REMODELING REVENUE: $314,994,774 TOTAL JOBS: 30,540 2018 REVENUE FORECAST: $353,547,830 BATH JOBS: 60.2% KITCHEN JOBS: 30.6% OTHER ADDITIONS: 5.1% AVG. SPEND ON MARKETING: 9.05% of revenue TOP LEAD SOURCE: Referrals 14.48%, Repeat business 14.08% EMPLOYEES: 2,352 TOP CLIENT TYPE: Empty-nest couple TYPICAL CLIENT INCOME RANGE: $100,000 - $150,000 TYPICAL HOME MKT. VALUE RANGE: $300,000 - $500,000 QualifiedRemodeler.com QR August 2018 37

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