Wednesday, February 27, 2013

Surfaces comment upsets carpet retailer

In January I wrote this reply to a customer's inquiry as to why we didn't exhibit at Surfaces:

"Our company started going to Surfaces in Las Vegas in the early days and took part in it for ten consecutive years. The first few years we enjoyed good locations on the main floor with all of the big mills and major events. Then a show "genius" determined that we were in a peripheral industry and decided that we should be relegated to the basement level with its crowded conditions and low ceilings.

"They argued that anyone who was interested in carpet cleaning would come down to the lower level to find us. My contention was that we got to see a lot of people on the upper level who weren't necessarily thinking about carpet cleaning when they stumbled on to us. Some of our very best contacts were made at those early shows on the upper level.

"The cleaning industry has always been treated like the proverbial stepchild by the carpet industry. They tolerate us, but they feed us in the kitchen while the rest of the family is in the dining room. My son Don says the only thing that really gets someone's attention is to close the check book. Our complaints fell on deaf ears so we simply stopped going to Surfaces."

Here's an excerpt from an e-mail on that answer:

"I read with interest your degrading article about Surfaces. As a carpet retailer I was offended and think you owe the management of the Surfaces show an apology. Attendance this year was up 4% and it's the biggest show in the floor covering industry."

No apology forthcoming! The last year we attended there were 898 exhibitors on 516,553 Sq. Ft., of floor space at the Sands and nearly 40,000 people came through the turnstiles.

In 2012 there were only 546 exhibitors, on 295,000 Sq. Ft., of floor space at Mandalay Bay and 27,000 attendees showed up. My question is 4% of what?

Apparently 352 exhibitors and 13,000 attendees felt the same way I did or perhaps for a different reason did not attend. You're right, it is a big show and I do like Las Vegas, but management didn't treat us like customers so we just don't go back. There's a lesson in this for anyone in the service business. Listen to your customers.

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Monday, February 25, 2013

Beaulieu's new solution dyed nylon

Beaulieu has introduced a new carpet collection to its Bliss line called "Indulgence." They claim it's very soft and offers the ultimate in performance. The new product, a solution dyed nylon, is said to be colorfast and stain resistant. Additional features include Beaulieu’s odor treatment that reduces household odors and Indulgence also has an added fiber protector treatment.

The best way to explain solution dyed carpet is the carrot and radish analogy. The carrot's orange color goes all the way through which is the essence of solution dyeing where the color is actually "IN" the fiber. Most* dyeing methods are best described as the color being "ON" the fiber, thus the example of scraping the red off a radish to expose a white center.

Beaulieu says "Indulgence" is "incredibly soft, durable, can be spot cleaned with a 50% solution of bleach and water and has a new carpet backing that "lays flat and stays flat." The Bliss Serenity Guarantee includes a "Lifetime no exclusion stain removal warranty." In the past, solution dyed fibers have lacked softness. Hopefully this will be the exception.

*Stock dyeing, skein dyeing, space dyeing, post dyeing, beck dyeing, piece dyeing and multi color applications like print dyeing are methods that fit the radish example.

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Friday, February 22, 2013

FYI ... an e-mail from the SBA

The U.S. Small Business Administration (SBA) has launched a new web page and blog dedicated to educating small business owners about the Affordable Care Act. The new tools will serve as a gateway for small business owners connecting them with information provided by SBA’s federal partners responsible for implementing the law, including the U.S. Department of Health and Human Services.

“The Affordable Care Act provides small business owners with access and opportunity to provide affordable health care options for their employees,” said SBA Administrator Karen G. Mills. “SBA’s new Affordable Care Act web page and blog will serve as a resource for small business owners who want learn more about how to take advantage of these benefits.”

The Affordable Care Act has many beneficial measures specifically for small businesses, including slowing premium cost growth and increased access to quality, affordable health insurance. SBA’s new web page, www.sba.gov/healthcare, breaks down the key provisions of the Act based on business size in the following categories: self employed, fewer than 25 employees, fewer than 50 employees and more than 50 employees.

The web page also provides links to other useful information for small businesses, including a glossary of key health care reform terms, an interactive timeline with dates for when certain reforms will be implemented, a state by state breakdown of health care options, and how to learn more about specific tax provisions and regulations. Additional resources will be added as they become available.

The blog, entitled Health Care Business Pulse (www.sba.gov/blog), will provide small business owners with continuous updates about the implementation of the Act. The blog is for informational purposes only and is not intended as legal or tax advice. Readers should consult their legal or tax professionals to discuss how specific matters relate to their individual business circumstances.

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Wednesday, February 20, 2013

Defining our market

The interminable political talk about taxes and the middle class during the past election season caused me to take a hard look at our best markets. We have always been strong in the "old" middle class and even stronger in wealthy abodes. Now the "old" middle class has been politically split into the "upper," "middle" and "lower" middle classes. A good portion of what was once the "old" wealthy class has receded to a middle class status.

Meanwhile the "old" upper end of the middle class has dropped to the central middle class. The center component has moved lower to form a new lower middle class and the lower end of the middle class has dropped out of the category altogether. Now politicians are talking about an "under" class which does not bode well for the economic future. Much of this economic turmoil was created by the recession, the housing bubble and the resultant crash.

To complicate things further, the wealthy top end of the market for carpet cleaning and its related services has become even more elusive during the past few years. There's a dry cleaning firm in Indianapolis whose motto is, "We can't do all the cleaning, we only do the best." Besides being clever, this slogan obviously has a double meaning that makes no bones about the particular segment of the market in which they are interested in working.

Market movements such as these require an adjustment in advertising. Essentially our plans should remain about the same overall but with more focus on a smaller segment of the population that's more likely to buy the services we offer. If you haven't been to Bane-Clene® Institute for a few years, plan on spending three days with us to thoroughly explore the best ways to reach the most favorable market segments for our services.

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Monday, February 18, 2013

"Fragmented"

Ron VanGelderen, president of CRI in 1995, asked me to chair a committee with the purpose of bringing the "fragmented" cleaning industry together. I accepted and was involved in a six year fiasco called the CRI SOA program. I regret the vast amount of time and money spent on that failed project, but it convinced me that we are better off "fragmented."

One of the most profound statements I've read recently regarding the carpet cleaning business appeared in ICS magazine's 50th anniversary issue. It's timely because of efforts by groups to form separate associations to represent our industry's associations. This sounds like a marriage made in Washington and another step toward bureaucratic control of our business.

This was written in ICS magazine by a member of one of our industry's pioneering families:

"I am going to sound like a U.S. President starting his/her “state of the union” address with this, but ladies and gentlemen, the future of the professional carpet cleaning and restoration industry is strong. Many an organization or investment group has introduced their new venture with the goal of “gluing” together a fragmented industry.

"Most of these ventures to “dominate” our industry have failed miserably. Some would take that to be a negative. I view it as the strength of this industry. The independent nature of our industry has developed hugely successful cleaning and restoration companies – both independent and franchise. It has developed numerous organizations and trade associations, each with their own strengths geared toward the needs of their specific membership. It has developed six or more recognized ways to professionally clean a carpet, allowing the carpet owner to find just the right way to clean their carpet in their environment. I believe our industry will always be a source of independent thought and innovative ideas." Doyle Bloss

Congratulations Doyle. Your summation will be posted on my office wall. May we always remain fiercely independent and "fragmented."

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Friday, February 15, 2013

The long & short of it

Advertisers of carpet cleaning services want gains in the short term and that means more orders for service right now. Too often, a business owner quits just before the long term benefits of a continuing ad campaign come to fruition. A study examined the purchasing behavior of buyers who were exposed to ad campaigns and compared them to buyers that were not exposed to the ads. The finding was that advertising does generate sales in the short term.

More buyers exposed to the campaign bought the advertised product for nine of the ten products studied. Sales volume also increased among print ad exposed buyers for 80% of the products. Overall, sales increased over the short term among buyers exposed to the advertising campaigns for the majority of the products. Long term, nearly everyone agrees advertising works. But, it found that advertising does favorably impact short term sales, too.

Merchandise studies such as these do not conform to the majority of our cleaning industry since it is made up of 80% owner-operators. Our services must be built one at a time and can't be mass produced and stored in a warehouse for a gigantic sale. Unique services with special advertising requirements take an uncommon ad campaign to produce results. The advertising class at Bane-Clene® Institute studies this subject in depth and has specific recommendations.

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Wednesday, February 13, 2013

Birthday greetings

Happy birthday, love and best wishes to a very special person today.

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Monday, February 11, 2013

Be careful what you do and say

Did you know that there may be a tiny camera chip in new TVs or in the remote control units? "They" will actually be able to see and hear you as you watch their programs. For instance, if you happen to be arguing, a commercial for a marriage counselor might appear. If you happen to be snuggling, it's possible an ad for ED treatment will pop up.

My dear grandmother would remind me as a youngster not to do or say anything that I didn't want the whole world to hear. That's good advice especially in the service industry today. With the influx of modern technology, tiny hidden cameras are everywhere today, even in some of the residences we service.

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Friday, February 08, 2013

Door knob hangers again

A brochure came in the mail the other day selling advertising to hang on a prospect's door knob. Some cleaning firms use this seemingly harmless and inexpensive "business getter" to attract attention to the fact that they have cleaned a neighbor's carpet or furniture. Doorknob hangers are touted by many as being cheap advertising. I warn about this occasionally for several reasons. First, you may be bitten by a dog going up to someone's door.

The reality is that no effective advertising is cheap. While on the surface it may seem like a good idea, there are ramifications that should be considered before resorting to this type of advertising program. An important reason is that police sources say professional burglars watch for telltale signs such as newspapers, doorknob hangers and circulars not being removed on a residence as a good prospect for their illegal activities.

The only time our service company uses a doorknob hanger is when we have an appointment and on arrival find no one at home. Then we leave the hanger with a notice that we were there, the time and a request that the customer call us to reschedule the appointment.

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Wednesday, February 06, 2013

Stainmaster® anniversary

Every February we celebrate our first purchase of Stainmaster carpet in 1986. Carpet sales were flat when DuPont introduced a television commercial with little Ricky throwing his food on the carpet. They told prospective buyers how quick and easy it was to clean Stainmaster. The consumer bought it, and they bought all other brands of stain resistant carpet by the truck load, too. Everyone in the carpet industry, including cleaners, profited from DuPont’s great ad campaign. It worked because Stainmaster promised “ease of maintenance.”

Fifteen years later, carpet began losing market share to hard floors and the CRI tried to reinvent the magic of the DuPont campaign with “Carpet, it just feels better!” That great program was terminated in less than a year and in a complete strategy reversal, CRI began telling consumers that carpet cleaning is really a complicated process. They even compared it to rocket science at one point.

CRI began testing programs that were to verify that only certain equipment and chemical products can successfully clean carpets. Technicians had to receive special training and some carpet mills began telling consumers that only a few hundred cleaning firms of the 45,000 nationwide could service their carpets or the warranty would be void. That message said one thing to the consumer; Carpet is hard to clean and cleaning is a very complicated business.

After more than ten years, the Seal of Approval program has less than 1,000 of the 45,000 professional cleaning firms in the nation taking part in the program. CRI has endorsed cheap rental machines with their highest classification and every month additional products are approved in the ridiculous money scheme.

Carpet sales will continue to suffer until the carpet industry reverses this destructive agenda. DuPont® had the right idea in 1986!

Here's the original DuPont commercial:

http://www.youtube.com/watch?v=GgZH-BI30Zs

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Monday, February 04, 2013

Today is a special day

It's a very special to us anyway. Fifty one years ago today our company was born. Every year we celebrate and thank our God for His blessings.

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Friday, February 01, 2013

ICS Magazine is 50 years old this month

Having just celebrated our golden anniversary a year ago, we appreciate that fifty years in business is no small accomplishment. ICS magazine has reached that rare milestone and deserves not only the congratulations, but the gratitude and respect of our entire industry. A young man fresh out of the Navy, Howard Olansky, partnered with Harold Arkoff to found Installation Specialist magazine in February of 1963.

Ten years later I had the privilege and pleasure of meeting "Humble Howie" for the first time in a friendship that lasted until he passed away in 2006. Howard spoke at many Bane-Clene® conventions and was always impressed with the number of people who came to these events. I urged him to include carpet cleaners, especially in the hard-hitting editorials he wrote in his column called The Tool Box. Eventually it became Installation and Cleaning Specialist magazine and I'd like to think I had a little part in that.

Over the years I had the privilege of working with Mr. "O" on several projects of mutual interest. Perhaps the endeavor with the greatest benefit to our entire industry was taking on the Council of Better Business Bureaus. In 1974, CBBB issued an edict that prohibited the use of the word "steam" in carpet cleaners' advertising. We tried to persuade CBBB and associations such as AIDS, the forerunner of RIA, that persecuting "steam" carpet cleaners was wrong. At the time nearly all AIDS members were plant owners who used shampoo and who were opposed to this new upstart threat called "Steam carpet cleaning." Howard wrote a blistering editorial titled, “The matter of steam!” along with several others that gained national attention. And I would bet that he did it against the advice and approval of others in his organization.

These editorials paved the way for “Operation Peace Pipe,” a meeting orchestrated by the Steam Carpet Cleaners' Association, of which I was executive director. It was held October 27 to 29, 1977, in Philadelphia. There were people from the FTC, CBBB, AIDS, regional groups, carpet makers, fiber producers and of course rank and file carpet cleaners as well as their beleaguered suppliers. More than four hundred people attended the three-day conference.

I presented a scientific definition of the word “Steam” that was given to me by a chemical engineer with DuPont. Max Gruetzner said, “Steam is any discernable water vapor and may exist over an infinite range of pressures and temperatures.” For all intent and purpose, the controversy ended when I read that definition. There were many speakers, but not one openly spoke against “steam.” I believe it was this unanimous outpouring of support that convinced the CBBB and FTC to back down. The edict against using the word steam in our advertising was rescinded.

The concerted effort by Howard Olansky, Ed York, who filed a lawsuit against the Council with my financial support, and the SCCA meeting in Philly paved the way for hot water extraction cleaning as we know it today. But without that little man who bought ink by the barrel, it never would have happened.

I miss Howard. We talked every week or so until just before he died. I will always remember that wry little smile and the twinkle in his eye as he would rub the side of his nose just before delivering a zinger. I know too, that he must be smiling as he watches the dream he helped create continue to grow under the steady hand of Evan Kessler and his articulate crew.

On behalf of our customers throughout the world and everyone at Bane-Clene, may God bless ICS magazine as you begin the next fifty years of your journey.

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