
“Fat and Happy” -- it’s not what you think, I promise. (Except I will admit, when I get off a cruise, I feel a little “fat and happy” but that’s different!). What is “fat and happy” then? How does it apply to the pavement maintenance industry? Have you experienced it in your company?
A “Fat and Happy” Example
A Hilton I stay at from time to time at Chicago O’Hare Airport has become this way. I’m pretty sure that in their sleep they can sell out each night -- from blocking many rooms for overnighting airline crews, to rooms for stranded airline passengers, to even just business travelers. This hotel has no problem staying full.
What happened when they don't need to work for their business? Well, things fell apart. Over the years I’ve noticed a decline in overall service and attention to customers, the place isn’t quite as clean as it used to be, and general maintenance of the property could use a little TLC. And why? Because they don’t need to work for customers. I am sure you, too, have seen many examples (Physicians, for example, have become notorious for this).
It happens because it’s easy to become fat and happy when you aren’t forced to work for business, and it can be tragic to a small company. I have personally seen several complete business failures from people who thought they were top of the pack – they were fat and happy! Usually uncontrolled growth is involved, but also a common theme is that they were the ones that stopped working for their business.
A “Fat and Happy” Fix
This provides a huge lesson for us in our pavement businesses: Don't get fat and happy and become complacent. No matter what your current schedule or workload, try and give each customer or potential customer the respect all customers and prospects deserve. That doesn't mean you have to take all the work that comes your way, but simply be respectful to them, even if you have to decline to bid.
My company often books up rather fast, and some years we’ve scheduled out for the season very early. While a good “problem,” it doesn't stop the phone from ringing. But I always respond to people, even if I can’t bid.
I do try to get that work for our company, either when it fits our schedule or even the next season, but I often refer the customer to other decent contractors. I can’t tell you how much this has paid off. We consistently have customers use us later in the season or the next year, just because of how we handled the first interaction.
Another way it’s paid off is when I make a referral, that receiving contractor generally won’t forget and eventually I get paid back with a referral from them. I call it “the circle of friends.” We all help each other and take care of the customer at the same time.
Another example: I have some #LowBid competitors that spend a fortune advertising online, mostly to feed leads to their dozens of estimators. They get tons of calls, and their schedule gets booked up very fast, and I mean fast.
What happens then? They simply stop responding to calls. This way of doing business frustrates so many people, and it happens so often. The crazy thing is that so many businesses just don't care and will ghost customers completely (or they’ll take the job and offer very subpar service). How often has someone called and told you that they have called several other contractors, and you were the only one that responded?
Build Your Customer Base
We take a different approach, an approach so simple and obvious that it’s easy to overlook: Answer the phone and return all calls. If you are booked, politely decline, rather than ghost them. Simply by answering and giving that caller a little respect for their time, we potentially can gain a loyal client, and one that for sure won’t be calling Mr. Low Bid back.
True, it does take a little more effort and a little more time. But every customer interaction – even if you can’t provide the service right then – is an opportunity to build your book of business. So don’t let your business get fat and happy. Return your calls, develop a “circle of friends” … and build your business!