11 Steps Every Home Improvement Company Should Follow

There is a lot of great news to report even though we are only 1 month into 2011. Many companies in the industry are already reporting significant growth over 2010. This recent report from the National Home Builders Association echoes these thoughts, while other reports are predicting significant future growth within the industry.

However, despite these positive reports, it is vital to stick to a system. If you don’t stress this to your employees and colleagues on a daily basis then there is a strong likelihood that you will begin to “freelance” which leads to nothing but trouble.

If you don’t have a system for managing your leads, here is one that we recommend to all of our clients and customers:

  • Log every lead into your database.
  • Every lead must contains a name, address, phone number, email address and fax number and a permission to call slip attached.
  • Leads are confirmed (optimally within 48 hours) into appointments.
  • Lead issuance is supervised and the number of leads issued daily is regulated. Unsold leads are reported, detailed and returned within specific time parameters which can range from 30 days down to 24 hours.  (The shorter time allowed the better).
  • Measure the efficiency of the salesperson who is issued leads – by    dividing the number of leads issued into the net sales volume produced from the leads.
  • Rehash unsold leads to confirm appropriate use by the salesperson and if not sold they are entered into a database for future solicitation.
  • Review and analyze the presentation rate, gross close rate and net close rate (gross close less credit rejects, and cancellations) for each salesperson and the company as a whole.
  • Salespeople generate up to 20% of their business from leads which they developed personally (self-generated leads).
  • Teach and enforce referral solicitation as part of the sales plan
  • Adopt a performance model which spells out for the salesperson the projected number of leads which will receive a presentation and the percentage of closes – vs. – leads issued as well as the estimated percentage of business the salesperson is expected to develop from self-generated leads.
  • Management conducts ride-alongs and performance appraisals of the salespeople.

For more information on how to implement this system in your organization please e-mail us at admin@daveyoho.com.

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Great Day Improvements

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Improveit! Home Remodeling

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