Qualified Remodeler Magazine

JUL 2017

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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production—and consider improvements that will make you stronger and more profitable. AT QUALIFIED REMODELER , we have ar- gued that customer satisfaction management is also fundamental to successful remodeling and home improvement businesses. Clients' happiness should be measured by a third party to ensure the objectivity of the results. If less than 80 percent of your past customers are unwilling to refer you, then questions must be asked. Where is the breakdown? How do you sometimes get sideways with your customers? e smallest details can have an outsized im- pact on client happiness. at is why we put so much energy and information behind our annual Customer Satisfaction Report, which begins on page 40. Business-school case studies and numer- ous research studies have confirmed that sat- isfied customers will tell approximately five other people about their positive experience with you. Conversely, a mediocre or negative experience gets amplified to as many as nine others. is report, compiled in conjunction with GuildQuality, can be a valuable resource to help you better understand the remodeling client's point of view. e list of satisfaction drivers by job type gives you a roadmap to make changes in your process and to fine-tune your communication. We are experiencing a strong market for remodeling activity. But it is also a maturing market, and the best firms are continually scru- tinizing their systems and processes, looking for ways to improve. is is a key area for scrutiny. We think you will benefit from the information in this report. | AN DIEGO—e Pacific Coast Builders Conference has been a highlight and an annual pilgrimage of sorts for me since I first started covering residential construction nearly 20 years ago. In particular, it is a bellwether of new-home construction as opposed to remod- eling. ey do, however, also welcome remod- elers, custom builders and residential architects through their doors. DURING THE DARK years of 2008 and 2009, the Great Recession's impact was felt acutely at the show. is year, the last to be held in San Diego for the foreseeable future, the mood was buoyant and upbeat. e big builders are very active throughout the West as demand and home prices grow. Remodelers, custom builders and architects are very active too. But there are signs that the current cy- cle, however strong, is maturing. Prices for building materials and other key components are rising. Skilled labor remains in very short supply, which impacts timelines and the ability of contractors to take on more work. We have a ways to go before this current residential construction cycle is played out. Economists and forecasters say that even when the cycle does inevitably change, it will only be a softening or a flat patch before the market—driven by GDP growth and favor- able demographics—inexorably resumes its climb upward. But it should make general contractors pause for a moment this summer and reflect on their businesses. Yes, there was a great weeding-out of the industry during the Great Recession and, yes, only the best firms were able to survive. But that does not mean your business is running perfectly. So it is right that you look at the fun- damentals of your business—sales, marketing, Satisfaction is a Business Fundamental S 8 July 2017 QR QualifiedRemodeler.com EDITORIAL DIRECTOR'S NOTE Patrick L. O'Toole Published by SOLA Group, Inc. 1880 Oak Ave., Suite 350 Evanston, IL 60201 847.440.3000 Publisher and Patrick L. O'Toole Editorial Director Patrick@SOLAbrands.com Ext. 103 Senior Editor Kyle Clapham Kyle@SOLAbrands.com Ext. 107 Associate Editor Kacey Larsen Kacey@SOLAbrands.com Ext. 105 Proofreader Nancy Mueller-Truax Audience Development Mike Serino MSerino@magservgroup.com Creative Director & Tracy Hegg Production Manager Tracy@SOLAbrands.com Senior Graphic Designer Erika Nygaard Editorial Advisory Board Stephen Gidley, GMB, CAPS, CGP, CGB, CGR, CPRC, CR Jeffrey Holloway, CKD, CBD, CGR Michael Nagel, CGR, CAPS Scott R. Sevon, CGR, CAPS, GMB, CGP, GMR Donna Shirey, CGR, CAPS, CGP Kenneth P. Skowronski, CR Midwest and West Paul DeGrandis Sales Manager Paul@SOLAbrands.com Ext. 100 Midwest Sales Manager Jessica Fidrocki Jessica@SOLAbrands.com Ext. 117 East Sales Manager Beth Emerich EmerichB@SOLAbrands.com Ext. 101 National Automotive Tom Lutzke Sales TLutzke@ACBusinessMedia.com Literature Galleries/ Mike Serino Classifieds Mike@SOLAbrands.com Ext. 102 Digital Programs Tim Steingraber Manager Tim@SOLAbrands.com Ext. 106 Projects Manager Heidi Riedl Heidi@SOLAbrands.com Ext. 111 A preferred publication of the National Association of the Remodeling Industry and the NAHB Remodelers

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