Winning contracts for building improvements is tough. The industry is saturated with numerous market players. These contractors propose distinctive offers for clients to get on top of the competition. It is not only important to watch your back but watch closely those ahead of you.
Here are a few tips that can help pave the way for new projects.
- Hunt leads with advertising. Advertising is one key. No doubt, it is an effective marketing strategy. It is about hunting clients and getting hunted by clients efficiently. Find a cost-effective advertising medium. Online advertisement is the newest trend. Join Internet forums and put up some blogs on remodelling and contracting jobs.
- Creating a business website is an attractive option given a flexible budget. Also, make the ads available on print, radio, or TV. These will create more opportunities for prospect clients to get in touch with you.
- Make a mark of specialization. There are three usual remodelling and contracting subjects namely: building new structure; making a renovation; or add-on structures. The company can specialize on any of these and expand later on. These also comprise the opportunities for remodelling and contracting.
- Build, remodel, and make add-ons of optimum quality. This way, you be able to build a loyal client base. They can recommend your service to colleagues, increasing your business exposure and network.
- Make smart costing. Money matters form big contract issues. Most of the time, costing makes or breaks a deal. It is the usual subject of compromise in getting contracts. Always aim for the market average in terms of pricing. It is a safe haven for contractors fighting for their proposals. Costing is broken down into labor and overhead, material cost, and profit. There is a 10% acceptable mark-up in the cost of materials. Labor should be given a 35% allocation and overhead cost should get 75%. There is a 15% reasonable profit against the total cost.
- Always emphasize on quality in negotiating for your bids. Clients are always after the query, “Is it worth it?” Be prepared to respond to such an implied question along the negotiation process.
- Innovate with technology. Bear in mind the power of innovation and novelty. Keep in touch with technological updates to stay on the game in the long run. Make sure that the company’s resources are up to date to perform the projects.
- Heavy equipment, machines, and tools should be functional at all times. Purchasing new ones might entail some cost on your part but rest assured that these are valuable assets to invest on. For sure, it will pay off later in tenfold or more.
- Have integrity. Integrity is a rule of thumb in making projects. Business deals spring out from this virtue. What was agreed upon should be reflected on the final output. Inevitable variations are expected to be reported and approved before taking action. Keeping in touch with the client for updates is important to avoid unlikely surprises. As much as possible, the output should be a mirror of the proposal.