The average American family of four uses about 400 gallons of water every day. They rely heavily on their plumbing systems to maintain that lifestyle.
The plumbing industry will grow because aging homes and families rely on their plumbing systems. You would think that your plumbing business will see this increase in demand.
Your business might be struggling, even though people need good plumbers now. Fortunately, there are some things you can do to increase your business.
Check out this guide to learn the top business strategy tips to improve your plumbing company.
- Create Systems for Everything
Do you spend more time putting out fires and reacting to things than you do working on important tasks that will improve the business?
You’re letting your business run you rather than the other way around.
That makes it impossible to grow and scale unless you put systems in place. What kind of business systems do you need?
A business system is a repeatable process that ensures consistent service. For instance, dispatchers have a set of procedures to follow. The plumbers you hire do as well.
As a manager, you have your procedures to follow up with your team and keep everyone on track.
Have each department document its procedures for its main tasks. This is important because if an employee leaves, another one can come in and complete the tasks without missing a beat.
If you decide to open another location for your business, you can use the same set of procedures to operate that location.
- Revaluate Your Pricing
When was the last time you looked at your pricing? Your pricing might be holding back your business.
Price plumbing jobs too high, and you turn off customers. The only way to set premium pricing is if you have an incredibly strong brand.
If you price too low, you aren’t making a profit.
Do some research to see what your competitors charge. Take that information and compare that to your business.
Consider your business needs, overhead, and supplies. Think about your salary and how much it takes to provide a good salary to your employees.
Don’t try to underpay your employees or yourself. No one will be happy and you’ll have to deal with the costs of employee turnover.
Take your supplies into account. It’s standard for plumbers to markup parts like plumbers PVC glue and PVC pipes.
You may need to include these costs if you choose a flat rate for jobs. If you charge on an hourly basis, provide a separate sheet for all parts and materials.
The other important aspect of pricing is your ability to predict the amount of time a particular job takes. Be sure to add a contingency to estimates in case jobs take longer than expected.
- Spend Money on Software
Plumbing software is an easy way to run your business efficiently. It manages all aspects of your plumbing business, from scheduling to billing.
Some plumbing software systems have a marketing component. You can track the return on investment on ads. You can even create phone numbers that allow you to track which ads generate phone calls for your business.
What other software do you need? You’ll need to get an accounting system like QuickBooks to manage your financials. Most plumbing software solutions integrate with QuickBooks so you don’t have to manually enter invoices or payments.
- Use Smart Marketing Strategies
There are countless ways to market your business. It can be overwhelming to think about.
Consider your target audience and where you can reach them. People tend to look for plumbing information online through search engines.
They’ll try to diagnose their plumbing problems themselves. A blog post and video about common plumbing issues get the attention of potential customers.
When they’re at the point where they need a plumber, they’ll contact your plumbing company.
You may need to revamp your website. Your website is where people learn more about your business and book appointments.
If it’s slow or looks old, people will form a bad impression of your business. They’re more likely to visit your competitors.
- Revisit Your Why
Do you remember why you started your plumbing company? That often gets lost in the day-to-day operations of the business.
Think about the vision that you have for your business. What kind of lifestyle do you want? How do you want to serve customers?
Consider why people should use your plumbing company over all other plumbing businesses in the area. This needs to be so clear and strong that the right customers will gravitate to your business.
- Use Smart Financial Management Systems
Software is only part of your financial management system. Most business owners don’t have a business strategy for their financials.
Business owners look at their accounts and decide if it’s OK to spend money or not. That’s not a path to profitability.
You can improve your business by creating a system for managing financials. Apply a certain percentage of your revenue to taxes, another to operations, and another for profits.
These should be kept in separate bank accounts so you don’t spend your profit or tax money. Work with an accountant to make sure you have your systems set up properly.
Tips to Improve Your Plumbing Business
How can you improve your plumbing business? It starts with your reason for being in business. From there, you’ll need to create systems for every part of your business.
Make sure your prices are competitive and remember why you started your business. Your plumbing company will be ready to thrive.
Now that you know how to improve your plumbing business, you’ll want to learn more about digital marketing. Check out the Technology section of this site for helpful tips.