Marketing Mastery: How a burned-out dealer got his life back

HomeColumnsMarketing Mastery: How a burned-out dealer got his life back

April 24/May 1, 2017: Volume 31, Issue 23

By Jim Augustus Armstrong

 

(Third of three parts)

In part one I told the story of Earl Swalm, a dealer from Canada who increased his revenue by 50% and cut his work hours in half. In part two I covered some of the strategies he used to grow his revenue. In this section I’ll discuss how he was able to cut his work hours.

Overwork in the flooring industry is epidemic. It’s much more common for a dealer to work 60-plus hours per week than 40.

A one-store dealer who is putting in 60 hours per week generally can’t imagine opening a second store, let alone five or 10 more. They’ve put themselves in a position where if they don’t show up for all those hours things start to fall apart. Yet there are plenty of dealers who own five to 10 stores. It’s physically impossible for them to put in 60 hours at each store. So, what are they doing differently?

In a word: systems. A system is a written procedure, process, method or course of action designed to achieve a specific result.

A dealer with 10 stores has to be system-dependent, meaning his stores have written processes and procedures that can be taught, and which employees can be held accountable to follow.

An owner-dependent business is the opposite. If the owner doesn’t show up for any length of time, things quickly fall apart. This type of business usually has few—if any—written systems.

Over a period of about 12 months, Swalm made the transition from being owner-dependent to system-dependent. “It didn’t happen overnight,” he said. “It was a process where I systemized small chunks of my business at a time.”

Here is a partial list of the things for which Swalm created written systems:

  • Greeting customers
  • Opportunity tracking
  • Measure tracking
  • Material tracking
  • Sales presentation
  • Purchase ordering
  • Post-sale, pre-installation communication
  • Post-installation referral and testimonial gathering

Training for success
Swalm has regular training sessions to keep his team up to speed on the systems and to hold them accountable for following them. When something breaks down in the system, he doesn’t jump in and do the task himself; he fixes the system. “This is called working ‘on’ rather than ‘in’ my business,” Swalm said.

The role of software
“I am a big believer in software,” Swalm explained. “I used to try to keep everything in my head or in a job folder, but there is no replacement for ‘working software.’” I agree. However, software doesn’t replace systems. There are plenty of dealers using quality, industry-specific software who are stressed out, working 60-plus hours per week. Software is merely a tool to make your existing systems more efficient. For example, inventory tracking used to be done on paper. Now software can help you do it much more efficiently. But it doesn’t replace the need for an inventory system.

Transforming your business so it’s system-dependent may sound like a lot of work. It is. But what’s more work: implementing systems, or spending your life working over 60 hours per week?

If you have questions or need guidance on systemizing your business, I’d be happy to chat with you. Email me at support@FlooringSuccessSystems.com.

Must Read

Registration for Mohawk Edge Summit 2024 opens soon

Denver—Mohawk’s Edge Summit is returning this year with a newly imagined customer experience at the Gaylord Rockies Resort and Convention Center here from December...

VitrA Tiles exhibits new innovations at Coverings

Atlanta—VitrA Tiles made its fourth appearance at this year’s Coverings exhibition here from April 22 to 25, 2024. Coverings is the premier tile...

FCEF takes two-pronged approach to training

The Floor Covering Education Foundation (FCEF) was established with the aim of promoting career opportunities in flooring installation, building pathways to training, supporting programs...

California senators who don’t think with ‘Clear’ heads

Spoiler alert: This column has nothing to do with flooring. But it does have to do with something that could affect you one day....

The A+ flooring products of 2023

In school an A+ signifies exceptional performance in the classroom or a subject, normally achieved by a minimum of students. In flooring, retailers hand...

Karndean elevates luxury vinyl with Ty Pennington partnership

Karndean has offered up highly stylized, ultra-realistic and unapologetically attainable luxury vinyl for the past 50 years. It’s safe to say it has done...
Some text some message..
X