Monday, September 02, 2013

Thoughts on trip charges

Once in a while I look at complaints in other industries to see how they're doing. A service call to repair a hot tub contained an add-on $50 trip charge. This infuriated the customer and caused a torrid complaint. Of course the hot tub company answered by explaining the reasons for the added charge such as the high cost of gasoline and insurance.

With all the chatter in the cleaning industry about trip charges on each invoice to cover increased gasoline prices, take time to think how customers will react. Most people realize that prices are going up regardless of what the official inflation rate is supposed to be. But they don't like having it crammed down their throats like a big pill in the form of a trip charge.

Raise your square footage or other pricing structure* a slight amount periodically to cover increased insurance and fuel costs, but don't wait until it becomes a burden on you or one of those obnoxious incidents for your customer. On written and phone quotes state the final full price with no break-out for any type of surcharges.

*This does not apply to bait and switch operators.

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Friday, August 30, 2013

CRI

Remember a couple of years ago when the CRI was the hot issue? In researching an article recently, I came across more than 200 e-mails that were sent to me at the time and in re-reading them I found the comments interesting and still pertinent in some cases. There were so many I'll occasionally publish just a few of them at a time. Here's today's batch:

"I wrote a letter to the CRI protesting their motives and direction. The entire premise of Professional Testing Labs testing equipment and chemicals for the CRI is flawed. In a 3,000 mile wide country to insist that people come to Dalton, Georgia is absurd."

"More importantly, how could people who have never professionally or commercially cleaned a carpet in their lives dictate the parameters for an entire cleaning industry? But worse, they insist that we pay them for the privilege of working with their fallacious blessing."

"CRI could really do a service for consumers by taking a pro active stance in the fight against carpet cleaning services that are responsible for fires, explosions and carbon monoxide related deaths. These disasters gain notoriety in the press and embarrass our industry. They're nearly all due to a lack of maintenance and inferior (or no) operator training. This is a strong reason to emphasize simplified education and to approve schools that teach proper maintenance."

"Recently, I watched a half hour Rug Doctor infomercial on television. They're rated higher by the CRI than some gas truck mounts that are only rated Silver. That alone exposes the testing program as being badly flawed."

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Wednesday, August 28, 2013

Interesting e-mail

Here's an e-mail from Tim Oxedine from California about my blog on Friday, August 16. It had contained some e-mail comments I had received from readers about the CRI:

Bill
Thomas Jefferson said, "I think myself that we have more machinery of government than is necessary, too many parasites living on the labor of the industrious."

This could be said about many things.
Tim

Well said Tim. Old Tom had a way with words didn't he?

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Monday, August 26, 2013

Make sure brain is engaged

One of the pleasures of my twilight years is hearing from old friends, colleagues and customers. Chet Jelinski from New Jersey is all of the above and has been a regular correspondent since long before the days of e-mail. For some unexplained reason a recent note from him about baseball made me think of a snail mail that I got from him many years ago. I remember it every time I think about writing something provocative or controversial.

Ed York was a supplier, publisher and creative personality back in the day. In the early '80s, Ed had gone on one of his editorial tangents about operating costs of a new restoration group he had organized. We sparred editorially about it and in one article I even predicted it would fail. But in trying to be cute or perhaps a little cutting, I suggested that he name his new organization the "Society of Hot Injection Technicians" and use the initials for an acronym.

Oka Negley, my secretary who is now retired, brought Chet's letter into my office and laid it gingerly on my desk. Chet politely said he felt it was beneath me to use such crude material, or words to that effect. I knew Oka agreed with him because she had expressed her concern before I ever published it. I told Oka I should have listened to her and I wrote a letter of apology to Chet whom I believe helped make me a better person and a better writer.

The rest of that old adage in the headline is, "Make sure brain is engaged before putting mouth into gear." Maybe it should be changed to read, "Make sure brain is engaged before hitting the send button." With the instantaneous communications of today it's easier than ever to offend people even when that may not be our intention.

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Friday, August 23, 2013

Going bananas

A banana is a natural remedy for many ills. When you compare it to an apple, it has four times the protein, twice the carbohydrate, three times the phosphorus, five times the vitamin A and iron, and twice the other vitamins and minerals. It is also rich in potassium and is one of the best value foods around. Bananas might be the reason monkeys are so happy all the time!

The expression "going bananas" is from the effects of bananas on the brain. Bananas contain three natural sugars sucrose, fructose and glucose combined with fiber. A banana gives an instant, sustained and substantial boost of energy and can help us keep fit. It can also help overcome or prevent illnesses and conditions such as:

Heartburn: Bananas have a natural antacid effect in the body, so if you suffer from heartburn, try eating a banana for soothing relief.

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Wednesday, August 21, 2013

The real economic dampener

On August 5th I wrote about the housing market beginning to improve and the carpet industry enjoying an uptick in sales. There were even hints of optimism coming out of Dalton. During the next few years, carpet cleaners should also show increased sales from this trend unless something happens to dampen the improving conditions.

That dampener may well be local government. According to an economic newsletter, local government agencies are seeing an increase in property values and taxes from the increased valuation of property which are the source of much of their income. New hires by local government agencies are expected to top 100,000 by the end of 2013.

But wait! If the increases just started this year and won't reflect on property taxes until next year, how can they have the increased revenues this year? And another thing. If a citizen files for tax relief on a property that has decreased in value, it takes about three years to get that through. The smoke and mirror accounting used in Washington must have filtered down to the locals.

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Monday, August 19, 2013

BIG is definitely NOT better

A recent experience with a phone problem began when someone called my home and when I answered there was only a loud hum. This happened on Thursday afternoon. Friday morning it was evident the problem was not going away so I called AT&T. After nearly a half hour of consulting with a computer voice and punching in various numbers I was assured by the computer voice that service would be restored by 8 PM. I never spoke with a real person.

Saturday and Sunday went by. On Monday there was still no phone service so another call was made and with the determination only a woman has (it took nearly an hour), my wife spoke to a guy named Kevin in Chicago. He was appalled and promised service would be restored in a few hours. Our alarm company was concerned enough that one of their technicians changed the monitoring system over to a secondary line we have for computers.

Tuesday and Wednesday came and went and still no phone service on our primary land line. Finally late Thursday afternoon (one week anniversary) an AT&T truck showed up. The problem was at the telephone pole and took ten minutes to correct. In the bygone days of Indiana Bell and good service I would have dialed "O" from any phone that worked to report the problem, talked to an operator and by five that afternoon the problem would be corrected.

Think about this before installing automated phone service for your business. In our service company in Indy we answer our phones and even have a line in our advertising that reads, "Real, Live People Answer Our Telephones." You'd be surprised at how many callers comment on how much that is appreciated.

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Friday, August 16, 2013

CRI

Remember a couple of years ago when the CRI was the hot issue? In researching an article recently, I came across more than 200 e-mails that were sent to me at the time and in re-reading them I found the comments interesting and still pertinent in some cases. There were so many I'll occasionally publish just a few of them at a time. Here's today's batch:

"SOA lost a lot of credibility when the testing was done with questionable soil and frequency of passes which put a Rug Doctor on par with a truck-mount. Bill I've told you this before. Follow the money! Has anybody looked at the ownership of PTL? Are there silent partners?"

"The ICS magazine survey shows one reason why the SOA program never got much traction with professional carpet cleaners. They are already buying based on product quality, and the SOA program was started to weed out the bad stuff that pros don't use anyway."

"Should I use the Rug Doctor® since they are watching? How much more for the NASA logo?
Historically, when a country, a society or even an industry is controlled by one individual, one faction and/or one ideology, there are problems that ultimately lead to total collapse."

"Too bad the CRI got some bad advice and initially pushed the "required by us" route, which will take some time to repair."

"99% of my customers nor I, could care less about what the CRI or IICRC says. I have held several certifications and have been a certified firm. That and $1.50 got me a ride on the bus. I am in favor of education in our industry but a certification doesn't mean squat without experience in the field. I don't need some organization telling me that my equipment, process or chemicals don't meet their standards. As long as it meets my standards and my customers' expectations, then that is all that matters."

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Wednesday, August 14, 2013

Modern marketing

Our industry is in a quandary over how to advertise to be competitive and yet maintain a degree of honesty. Meanwhile nearly all advertisers subscribe to the belief that "The first liar doesn't stand a chance." Advertisers are "discounting" to a degree I've never seen before. Back in the day, there were FTC rules that an item or service had to be advertised for a regular price for a certain period of time before it could be "on sale" at a reduced price. These rules obviously have been discarded because constant sales get more outrageous all the time.

Empire Today® began advertising carpet at various discounts that got to the point of being ridiculous. I saw an ad the other day, "Buy one room, get two rooms free." Then I saw a commercial for Joseph A. Bank, the suit merchant, that offered, "Buy one, get 3 free." This was followed by an internet merchant (can't remember the name) offering a 90% discount. I couldn't make this stuff up. 90% off! Does anyone believe this?

These commercials are about as honest as the guy selling watches in the alley next to Tiffany's in NYC. Once upon a time, used car dealers had an exclusive on fabrication in advertising. The field has broadened to include just about everyone who advertises. What has caused this? Beside the lack of any kind of FTC regulation, the multiplication of ad outlets on TV have no doubt offered the platform. Thirty second spots for a few dollars are the vehicle.

A network news show anchor suggested that listeners go to an established "brick and mortar" store to look at an item and get all of the details on how it works. Then she said to go on line and shop for the best price. That bit of sage advice leads me to think it must be the internet that has made everyone so conscious of "getting the best price" on anything we buy even if the best price is inflated beyond recognition. Does anyone ever investigate the "regular" price?

Variations of this advertising phenomenon are spreading around the globe.
Sign seen at a Pub in Ireland:
Buy 1 Pint of Guinness for the price of 2 and get the second one free.

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Monday, August 12, 2013

More on California water shortage

Remember the blog I posted on Friday, July 19th about the big California water shortage during the '70s? It proved to be a financial boondoggle for my company which I explained in detail in the blog. Just scroll down in case you missed it.

My old friend and colleague Fritz Rench, Chairman of Racine Industries, read it and sent me this e-mail the other day. Over the years I've gotten to know and appreciate Fritz as a competitor with a lot of class. He didn't want me to suffer alone.

B... Just ran across this. During that California drought of which you speak ... finally I decided to react. Spent big bucks with the PR agency preparing press releases, info folders and "dry" banners. Agency lined up a number of big time face to face interviews ... such as the LA Times et al. So help me...the deluge you reported had begun as my plane from Milwaukee to Los Angeles was taking off. I kid you not!!!! ... f

Thanks Fritz, you made my day. All these years I thought I was the only one who got stuck. It would make sense that a dry method like Host could have benefited handsomely from that water shortage. We thought the same thing about recycling water.

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Friday, August 09, 2013

CRI

Remember a couple of years ago when the CRI was the hot issue? In researching an article recently, I came across more than 200 e-mails that were sent to me at the time and in re-reading them I found the comments interesting and still pertinent in some cases. There were so many I'll occasionally publish just a few of them at a time.

Here's today's batch:

"Carpet manufacturers' warranties state that if the consumer does not use CRI spotters they will void the warranty. But for a $50 CRI fee, I can sell them a CRI approved spotter. What kind of EXTORTION is next Mr. CRI?"

"Not comparing our industry to Medical by any means, but how many of us have gone to our doctor's office and asked about the qualifications of the doctor. And the doctor doesn't need to send his university money every year to keep hanging his diploma on the wall."

"In 15 years I have never been asked about IICRC certification. I have put it on yellow page ads, flyers and cards. I have had to explain it to adjusters, carpet retailers and realtors. This CRI stuff will turn out to be more of the same."

"Personally, I like bait and switch companies because it builds customers for life for my company. I do not like what they do to the consumer, but I like being able to be their 'light in a dark tunnel' when the carpet cleaning consumer does not know which way to turn."

"I let my IICRC Certified firm status expire. Just saw no purpose anymore. I think I had mine for close to 19 years. I am still as busy as ever. Seems like I was taking course after course to learn the same thing over and be sold something I didn't want or need. CRI is just another hand-out."

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Wednesday, August 07, 2013

Sponsorship vs. advertising

If you want to sponsor a bowling, softball or Little League team, do it. But, don't expect to get an abundance of advertising benefit out of it. Consider it only to be good public relations or as a deviant pursuit of your own hobby.

When you charge this type of promotion off to your advertising account, it will tend to give a false reading to the overall effectiveness of your ad program. Keep this type of advertising under a separate heading such as Public Relations.

Keep track of other accounts, too. Promotions with special discounts should be tracked for your information and consideration in the future. Yellow Pages, Radio, TV, Newspaper, Direct Mail and other venues should be logged under advertising but tracked separately.

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Monday, August 05, 2013

Housing is starting to move a little. The hospitality industry is buying carpet again after a long period of uncertainty and waiting. Consumers' pent up demand is starting to give Dalton, Georgia the hope of a mild recovery. Shaw announced they're hiring help. A recent interview with Ralph Boe of Beaulieu in Floor Covering News gave an optimistic outlook for all of next year in both the commercial and residential markets.

Carpet cleaners need to renew a pledge of integrity as these new sales turn into jobs for us so we treat customers right. Folks who sell carpet should take a look at past practices of misleading advertising and false promises. Those who make the stuff might want to review warranties, obnoxious restrictions and especially the CRI/SOA program so this time around the consumer is treated like a customer instead of a subordinate.

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Friday, August 02, 2013

More on CRI

Remember a couple of years ago when the CRI was the hot issue? In researching an article recently I came across more than 200 e-mails that were sent to me at the time and in re-reading them I found the comments interesting and still pertinent in some cases. There were so many I'll occasionally publish just a few of them at a time. Here's today's batch:

" I find myself struggling to understand why there are these different levels; "bronze, silver, gold, and now platinum."

"If the carpet manufacturer insists on SOA equipment but does not designate a specific level of machine performance, what then is the purpose for listing these items at these differing levels, and how does this benefit the consumer?"

"How important is it to you that the cleaning chemicals you purchase have the Seal of Approval? I was one of the first to jump on board with SOA. Apparently, ICS Magazine does not feel that it is important enough to even warrant inclusion in its latest survey."

" I have not liked the SOA program from the beginning and like it even less now. This is worse than the Masterseries calamity that scared the $xxx out of us and it was nothing."

" I have not heard of anyone who puts an ounce of credence in virtually anything that comes out of the CRI. Except of course those who have some way of monetarily benefiting from it."

"It's not important to me or my customer that a manufacturer paid to get a logo on the bottle or the machine. It is important to me and my customer that I show up on time and do a good job."

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Wednesday, July 31, 2013

The final step

The sales presentation has been given, the job is booked, the crew has been scheduled. The cleaning job is finished on the day of the appointment and the money is collected. Now is the job complete? Not quite! One final step remains, perhaps the most important step in the process the follow up.

Follow up with a customer a few days after the cleaning by sending a "Report Card" to residential customers. Place a telephone call or e-mail if they prefer to the contact person at a commercial account. Their contact preference should be established early on commercial work.

If they are dissatisfied for any reason, they will welcome the opportunity to express their complaint as soon as possible. Immediate follow up allows you to quickly rectify any negative situation before emotions are heightened and become irreparable.

A prompt follow up also avails you of the opportunity for a second sales presentation. A customer who is pleased with your service is very receptive to future cleaning offers.

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Monday, July 29, 2013

Solution

According to the news last week it takes 58 minutes to get the Cops to respond to a 911 call in Detroit. But according to their commercials, Domino's® will still deliver in 30 minutes. How about arming the delivery guys?

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Friday, July 26, 2013

Government regulations

If you think expanding regulations and directives coming out of Washington don't affect small business, you're wrong. New EPA regulations for labeling of chemical products have come down and it has cost us the price of new labels and repackaging for certain products.

One example of a bureaucrat at work is in the description area for certain products. We no longer can say the product is for "carpet and furniture." Some anonymous bureaucrat in Washington has determined that we must say it's for use on "soft fabrics."

As Al Jolson used to say, "You ain't seen nuthin' yet!"

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Wednesday, July 24, 2013

Plus sales vs. upselling

A large number of service companies are basing their pay scales on the amount of upselling done at the job location. In fact, some companies only pay a commission on the amount that is sold above the original order. Some even attempt to upsell when the appointment is made by paying a commission to the phone person on the amount they can upsell from the original order. These operations are normally ripe for fraud and nearly all use B&S advertising.

Introducing a customer to other services and products you may offer is not the same as pressure selling. In fact, it's a service to busy people who may not be fully aware of all you do. Customers may not know that you offer fabric protection, odor control, furniture and drapery cleaning or that you are equipped to clean their hardwood, stone or tile floors.

Leave a brochure that tells of your complete line of service. Practice the art of bringing a conversation around to discussing these services and other "plus sales" items. Don't try to "sell them the store" simply because they are receptive. Introduce the customer only to those things they truly need. Most important....Never be pushy!

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Monday, July 22, 2013

Fake water

Years ago at Mini Clinics, I used a 3' x 5' nylon carpet sample with Jute back for a cleaning demonstration. The jute backing tells you how long ago this was. My son Don would make 40 passes over the carpet with the solution and vacuum on full force and then we would turn the sample over so the audience could see that the jute back was dry.

Then the audience would feel the face fibers were just damp. A woman in Cleveland accused me of using fake water to keep it that dry. Being a little skeptical is a good thing and I always think of her when I see some of the shenanigans pulled on unsuspecting people in our business. It's a shame she isn't around to cry "fake" with some of the stuff that's going on today.

The moral: Be open to improving your company's position in the industry but show a healthy amount of skepticism in accepting advice from anyone. Remember what the Mayor of River City, Iowa said! "Get his credentials!"

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Friday, July 19, 2013

Once upon a time

I don't remember exactly but thirty-some years ago there was a severe water shortage in California that threatened those in the cleaning industry who used large amounts of water. Californians called and wrote asking for a system that used recycled water. In response I hired Tom Schubert, a water treatment engineer, to design two water recycling systems.

The first was a complete plan for a mini-treatment plant that could be constructed at the office of a cleaning firm. It used proven technology and all the necessary components were locally available. Designed for a one-truck operation, it could be expanded to handle several trucks. These plans were made available free of charge to Bane-Clene® operators.

Tom also designed a portable recycling system that could be mounted in a service van. The technology was quite simple. Indianapolis has a plentiful water supply and we never planned to use it in our own operation but we built a prototype and installed it in a company van to show that it was indeed workable.

A grand introduction was planned for our convention that year. Guess what happened a few weeks before the big promotion? California had a deluge, reservoirs were full and water was plentiful again. Guess how many portable recycling units we sold? I don't think anyone even built a recycling plant with those "free" plans that cost our company a substantial sum.

But here's something that happened as a result. Have you heard of “unintended consequences??” A large franchise (Hint: initials are SS) heard about the new recycling system and used the information to sell against us. We were told on numerous occasions that people with the franchise would tell prospects, "Bane-Clene uses dirty water to clean your carpets."

Recently I read an article in a Dalton publication about the eleven steps in Green Carpet Care. Step number seven was, "Select carpet extractors that recycle water/cleaning solution to use water and chemical more efficiently." Naturally, it was written by a person who sells that type of cleaning equipment. I hope they have better luck selling them than we did.

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