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Providing Valuable Customer Service
Contractors need tools, tips and techniques to create and maintain good relationships with clients. Company-wide programs and policies are the best ways to do so.
By Dennis McCafferty
After 16 years as a contractor, Greg Peninger has a simple formula for maintaining excellent customer relations—one he likens to being a caddy in golf. “I call it ‘Show up. Shut up. Keep up,’” says Peninger, whose Flower Mound, Texas-based business, NTX Security, specializes in high-end residential security systems for builders.
“‘Show up’ means you show up on time. Not too early. Not too late. ‘Shut up’ means you stay invisible if possible. You come prepared. You don’t ask about things that you’re supposed to know about. You get the purchase order right before you show up on the job. ‘Keep up’ means you get your work done on time and send your invoices in a timely fashion.”
If it sounds simple, that’s because it is. But the simplicity of the process is exactly why it is a system that works for Peninger--and precisely the reason why it keeps his customer relationships strong. "If you can handle those three things effectively, then you can earn the long-term relationships that we all want," Peninger says. Contractors that have adapted similar policies are reaping the rewards when it comes to much-needed repeat business and positive word-of-mouth referrals.
While the majority of respondents to a 2008 survey conducted by Philadelphia-based home-improvement products supplier Kimberly-Clark Professional DIY Business, found that 64 percent of home-renovation/repair customers believe most contractors are professional, more than one quarter of respondents cited a number of complaints about contractors ranging from cleanliness to professionalism.
In an economic climate that does not suffer shoddy work and inconsistent professionalism, contractors need to work hard to incorporate best practices into organizational policies in order to ensure that customer relations are never compromised.
If your organization has been at the receiving end of complaints, or if you think there’s room for improvement in your customer relationship skills, consider employing these tactics to strengthen your service:
Begin with the concept that a customer is a partner. The customer must be made to feel like a critical part of the process, with the contractor providing a transparent vision of what the project will require. “The customer needs to feel like an integral part of the project,” says Jeffrey Crane, president and CEO of Concept to Creation LLC, a Gilbert, Ariz.-based construction consultancy. “A lack of understanding leads to unhappy clients. So education, education, education needs to be your mantra. This creates a sense of mutual respect and even gratitude,” he says.
Use technology to take communications to the next level . Most contractors know that strong communication is a sure way to maintain good customer relationships. But, with today’s technology tools, contractors can take communication to greater heights, ensuring that there are no nasty surprises for customers once a job is underway. “Many customers aren’t living near a site. They may be a client having their dream retirement home built in another state,” Crane says. “So I advise contractors to e-mail them weekly updates of the work in progress, with photographs. This can be a very valuable tool.”
Make sure your subcontractors maintain the same standards. You need to effectively screen subcontractors, because a customer often won’t distinguish between what ‘your’ people did and what ‘their’ people did. Discuss jobs thoroughly with subcontractors so they understand your expectations. Get references from other contractors in the industry that you respect. And when the hired subs come through for you, reward them. “It could be as simple as arriving on site with pizzas after they’ve finished laying down the concrete,” Crane says. “When you demonstrate your appreciation in a clear way, they’ll go out of their way for you.”
Keep the conversation going. When the job is done, you can keep the customers on an e-mail list, and keep them updated with valuable industry news, such as the latest cost-savings tools and techniques. They’ll appreciate the advice and think of you as a resident expert in the field increasing the likelihood of repeat business and positive word-of-mouth, says Pittsburgh-based marketing expert Becky Gomes, owner of a Pittsburgh-based marketing company and former construction business owner. “You can also create a tiered-level membership program,” she says. “Landscapers, for example, can have silver or gold memberships for various projects completed, such as the number of lawns mowed, landscaping jobs or mulching. You can get continuity income that way, by offering VIP-level services and special savings offers to these customers.”