Marketing for All Seasons
Marketing Strategies - August 2007
By Philip D. Zaleon
If you ask kitchen and bath dealers and designers how
business is right now, their responses will likely be
all over the map.
“Business is great!”
“We are having the worst quarter in years!”
These are real comments from kitchen and bath
professionals in different parts of the country, and
both are representative of today’s economy. Despite
conflicting notions that the economy is great, or awful,
or on the verge of recession or boom, your kitchen and
bath firm may be seeing business to the contrary. After
all, just as there’s no “one-size-fits-all” design,
neither do all firms experience the same business
conditions at the same time. That’s because a kitchen
and bath firm’s business conditions can be impacted by a
huge array of factors, only a few of which it is able to
control.
Consider some factors beyond your control that affect
your business: new construction, housing starts,
existing home sales, interest rates and weather
conditions.
Now, consider two different kitchen and bath firms
located a few miles apart in a community where housing
starts and existing home sales are down, interest rates
are still favorable and the area has not been hit with
floods, fires or hurricanes lately.
Alice’s Kitchens and Baths is in great shape, with
projects booked five months out. By contrast, Kitchens
by Bill is seriously considering going to work for
Alice.
The difference between the two firms can be as simple
as their marketing plans.
Let’s say Kitchens by Bill traditionally works with
builders and markets directly to them, while Alice’s
Kitchens and Baths targets the consumer. This is a key
difference, because the conversation at the consumer’s
house is likely to be something like this: “We really
can’t afford to move, houses in our neighborhood just
aren’t selling. Maybe we should stay here and renovate.
Besides, I always loved this place; it just needs a new
kitchen!”
By contrast, the realtor is quite likely telling the
home builder, “They’re just not selling at the price you
want. I’d hold off on beginning that new development.”
A few years ago, the conversations were just the
opposite. That’s why who your target audience is can
have as much to do you with your success as the overall
economic climate.
However, even with all the factors you can’t control,
there are still some you can: your business model,
staffing, location, salesmanship and marketing.
Marketing includes defining your audience and how best
to reach them, regardless of who they are or the current
economic conditions.
Because there is no such thing as a “magic bullet”
that will effectively market every kitchen and bath
firm, the kitchen and bath professionals who shared
their experiences for this article have varying opinions
based on what works for them, their business model and
target markets.
A Budget and a Plan
Setting your budget and determining a marketing plan
is the first step toward putting your firm in the best
possible position for success. Despite the economic
conditions around you, if you are consistently and
effectively marketing yourself, you will make an
impression in your market. As your brand permeates, you
will become known to your potential customers and they
will continue to walk through your door.
Scott Duncan, owner of Duncan’s Creative Kitchens in
Bradenton, FL, says, “Our target market is the high-end
consumer, and we typically spend 5-7% of sales in
marketing to them. While we feel fortunate to get almost
two-thirds of our jobs from referrals, we maintain a
presence in our local newspaper to keep our name out
there.”
Artisan Kitchens & Baths in Buffalo, NY “sets a
budget of just over 7%. We have recently hired an agency
to help us develop a marketing plan to spend that money
more effectively,” states Kevin Telaak, v.p., Artisan
Kitchens & Baths.
Traditionally, the first thing business owners do in
an economic slump is cut back on marketing and
advertising. Marketers and advertisers will tell you not
to do that, and with good reason: Maintaining
consistency regardless of the economy is key to keeping
business flowing.
Ed Cholfin, president of Advanced Kitchens in
Marietta, GA, takes the approach of instituting a fixed
budget for marketing to maintain consistency.
“Typically, we don’t change our marketing or advertising
plan to fluctuate with economic conditions. It is
important to always drive home your message to your
niche market, even in ‘bad’ times.”
Telaak agrees that “marketing budgets should be
sacred. We cater to the consumer and generally don’t
change our budget based on the economy. Consumers need
to be reminded we are here and ready when they are.”
Old Dominion Cabinet Company in Richmond, VA, targets
both builders and consumers. Managing partner Linda
Buchanan says, “Our budget is set based on a percentage
of our sales, and we make adjustments as dictated by
economic conditions.
We’ll scale back on things like print ads aimed at
the consumer, but we never cut back on anything that
would jeopardize our relationships with the builder
market. The most effective marketing, in my opinion is
building long-term relationships, whether with your
clients or your vendors – mutual support and benefits go
hand-in-hand.”
According to Duncan, “We will cut our budget somewhat
during a slowdown, but we tend to get more creative with
the dollars we have. For example, things are a bit slow
currently, so we have created a presentation on kitchen
design trends that we are offering to civic groups. Our
hope is to build brand awareness, while positioning
ourselves as the kitchen and bath experts, all at very
little cost.”
Buchanan agrees: “One of our most effective marketing
tools has been to create and market consumer education
programs.”
In Ontario, Canada, Mike Roy operates five Bathworks
locations. “We try to keep our marketing budget at 5% in
all economic conditions. During slowdowns, however, we
will adjust our marketing methods. We look at the media
mix and the message – we have been known to change our
focus from remodeling to new construction if the economy
dictates we should.”
Investing Wisely
Regardless of the approach, everyone is looking for
the best return on their investment. That means making
wise investments with your marketing dollars, taking
into consideration your firm’s greatest strengths,
geographic area and client base.
Although the results vary based on countless
variables, many professionals feel that an effective Web
site is among the best marketing investments they have
made.
Peggy Mackowski, CAPS, of Quality Design &
Construction in Raleigh, NC, says, “We have a
professionally designed and maintained Web site that
works incredibly well as a selling tool. Not only do we
receive inquiries from potential customers, but we are
able to use the site as an interactive tool with our
clients to get a better feel for their needs. And, when
we have our initial meeting, I feel as though they
already know us and are comfortable that we can do the
job. It helps move the process along, shortening the
selling cycle.”
Cholfin talks about investing in “SEO,” or “search
engine optimization.” He explains, “Our Web site has
been designed with SEO in mind.
That means that, through the words on the page, the
titles, the coding behind the site and other ‘tricks of
the trade,’ our site comes up fairly high on Google,
Yahoo! and other search engines. We get a tremendous
number of hits…and we supplement with direct mail.
We find that to be very effective.”
In addition to the Internet, newspaper and other
print advertising proved to show a positive return on
investments.
“Print [is very successful for us],” says Roy,
“especially newspapers. Our weekly ads allow us to show
a wide variety of products, reach a large market and
provide us the flexibility to make changes on a weekly
basis.”
Nicole Jackson from Taylor & Stevens Cabinetry in
Pelham, NH, is also a proponent of newspaper
advertising.
“Newspapers give us a great return on our investment.
It is so important to keep our name in front of people,
and the number of jobs we’ve gotten based on the cost
makes it a great investment.” Jackson continues, “I
would recommend, however, that you vary your medium.
Work with other publications, for example, to reach as
many people as you can.”
Telaak points to public radio as what he has found to
be the best return on investment for Artisan Kitchens
and Baths. “On a public radio station you only get maybe
15 seconds to talk about your company. We say who we
are, what we do, where we’re located and send the
listener to our Web site. We are supporting a station
that the listener also supports – making an instant
connection with our potential customer. It’s a great way
to bond with clients.”
Getting Started
One of the greatest advantages to having a definitive
marketing plan is the fact that it offers strong
benefits, regardless of the economy. When the economy is
strong, it will boost the number of jobs you get and
allow you to cherry pick the most profitable ones. When
times are less than good, it will keep you in the
forefront of consumers’ minds.
Additionally, since many people think about
remodeling for months or years before committing to it,
the marketing you do now may well pay off for months or
years to come.
Getting your marketing program started, according to
Kevin Telaak, “begins with deciding how you want to
position yourself in the marketplace and focusing all of
your efforts to reach that target market.”
Roy suggests that your first step should be “to take
the time to research your market, looking at the target
base and the factors that influence their buying
decisions.”
Cholfin advises, “You must have a message with an
offer, and it needs to be clear and concise. It should
conform to your unique selling proposition.”
So, a key function of getting started is looking at
who you are, what makes your firm unique and how you
want your clients to view you. Defining this will help
to define not only your consumer base, but your product
mix, best marketing avenues and strategy for continued
success.
The advice that Scott Duncan provides is “to remain
consistent. Decide on the image you want to project and
make sure that image is what gets across in your
marketing.” He continues, “Be willing to try new
marketing venues. Sometimes I will try something that I
think will be a great marketing tool and it will fall
flat. Other times, an idea that I began only
halfheartedly turns into something great.”
Because marketing can be time intensive, in many
cases an outside marketing firm may be beneficial. That
firm can assist in defining your target market, creating
your brand, designing a marketing program, researching
and establishing a media plan and fulfilling the whole
thing, leaving you to run your kitchen and bath firm.
Duncan says, “I learned that effective marketing is a
specialty. I expect people to come to me for my
expertise in kitchen design, so why wouldn’t I go to the
marketing experts when I am in need? I recently engaged
the services of an outside marketing company. It’s too
soon to gauge the effectiveness, but based on our
discussion, I have high hopes for the future.”
Telaak concurs, “I never realized how much of my time
was wasted running our marketing. Now, we do what we do
best and our marketing company does what they do
best…and we benefit.”
Whether you liken yourself to Alice with business
booming, or to Bill wondering where your next project is
coming from, take control of your marketing. In a world
where so many variables dictate influences upon you,
marketing can be all yours. As Linda Buchanan concludes,
“Listen for new ideas, but adapt them to your own
organization and circumstances.”
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