Since the retail business has changed in many areas over the past three decades, more and more independent flooring retailers are finding their residential retail business has reached a plateau. Turning to the main street contract or builder business may provide new profit opportunities.
Learning how to be a part of this market will expand your business. My longtime friend and mentor once told me, “Fish with a net and you’ll come up with something, but fish with a lure and you get the fish you’re after!”
Having had some experience in this business 30 some years ago in upstate N.Y., I knew growing a contract business was the direction I needed to follow in my area.When I began, I asked the following questions: Should I start a new company, or can the contract business be included as part of my residential? How many installation crews do I have? Do any of them read blueprints or do room layouts? Will I need to expand warehouse facilities? Do I have a place to cut and store jobs? Who will manage the schedule and ongoing conflicts? Where will leads come from?
Where do I start? The retailer rep connection
There is an old adage, “You get what you pay for.” Having a supplier or manufacturer’s rep who is interested in your business and who wants you to be profitable is more like having a partner — a partner with an overall view of the marketplace, as well as the skills and knowledge to run a successful business.
Most of the reps I have in my remote corner of the world are familiar with the demographics, the areas of growth and economic development. It has been by far the best source of growth for my contract business to partner with my manufacturer’s reps.
Developing a Partnership with Reps
Come up with a plan to help set guidelines for your partnership and determine areas that are helpful and complementary to both of you. Find ways to understand each other’s focus, culture, similarities and differences. Also, develop trust and issues of confidentiality and make a commitment to work with your partner. And agree to spend whatever is necessary to make it work — spending also goes both ways.
My reps understand the value of taking on this expanded role, and see that resourcing the right products at the right prices for my customers are an investment in both of our futures. I try to establish this right up front.
The reps provide samples and architect folders for products, because they understand product specifications as well as installation standards for their products. Together we have developed relationships with the architects and specifiers, contractors, builders and designers. And often times, they will make the call with me.
I have also invited reps to attend events at my business or in my community. Connecting the reps to the community and my customers is like icing on the cake. The bottom line is the customer — in this case the contract customer — and when they feel well taken cared of, that equates to increased sales for my business as it can for yours.