Are you happy with your penetration?

[JohnHawkP]

I moved to a provincial City in Australia 4 months ago with a population of 177,000 and 59 carpet cleaners and not knowing anyone.

We are in the middle of the quietest time of the year and the weather is bad.

4 months in and I am averaging $6K per week and have 2 great contractors I am training up.

I am also the preferred provider for 4 real estate firms.

Am i happy with my level of penetration in my local market thus far?

Yes and I love setting up new entities.

Are you guys happy with where you are at?

 

[Hack Attack]

Sounds like you've hit the ground running with those numbers welldone

I've personally stayed away from real estate companies, they have all told me they can't tell the difference between the $120 for whole house and $350 for whole house so they stick with the $120 guys

I'm focused on slow organic growth for home owners who want a quality job, I'm not the cheapest and have no problem walking from price shoppers.

I have been tempted to put a cheap and cheerful van on the road under another brand to put pressure on the cheaper guys. But if I put 1 out another would surely pop up like a mushroom in horse poo

 

[JohnHawkP]

Sounds like you've hit the ground running with those numbers welldone

I've personally stayed away from real estate companies, they have all told me they can't tell the difference between the $120 for whole house and $350 for whole house so they stick with the $120 guys

I'm focused on slow organic growth for home owners who want a quality job, I'm not the cheapest and have no problem walking from price shoppers.

I have been tempted to put a cheap and cheerful van on the road under another brand to put pressure on the cheaper guys. But if I put 1 out another would surely pop up like a mushroom in horse poo

Real estate companies can be a challenge.

My POD is I am not just offering carpet cleans.

It is vacate cleans, window cleans, oven cleans and if someone wants a tidy up around the garden then sure let me know and I will get someone in who can do that as well.

You are very wise to concentrate on Quality.

"Buy cheap and you pay twice"

There isn't a feeling i have ever known whereby you walk into a place that is horrific and walk out with some money in your pocket and leaving that place looking like a palace.

 

[Jimmy L]

Tell us more about carpet cleaning in your countries.

 

[dealtimeman]

I feel good about my penetration as it is robust.

 

[Cleanworks]

I feel good about my penetration as it is robust.

No comment, otherwise, Marty will get his knickers in a twist

 

[JohnHawkP]

Tell us more about carpet cleaning in your countries.

Are you Jimmy Ladwig?
We chatted a bit over 10 years ago on other forums.

Well we have Chem Dry over here. They started in Oz around 1988 from memory.

A few home grown franchises and a lot of independents.

IICRC accredited courses have been run here since around 2000.

My feeling is that the ratio of steam clean to bonnet is 80/20.
Truckmounts would be 1 in 30.

Almost everything related to carpet cleaning equipment is more expensive here than in the States.

A lot of one man operators that either do it part time or do other tasks that includes carpet cleaning.

It can be price driven and good operators present PODs and produce good results.

Other operators that win jobs purely on price generally produce less than satisfactory results.

Same as the States in many instances.

 

[Jimmy L]

I am that world famous man

 

[JohnHawkP]

I am that world famous man

And one of the industry's great characters

 

[hogjowl]

Oh, so this explains the IM I got today.

 

[Desk Jockey]

Oh, so this explains the IM I got today.

Not everything is about you bitch!

 

[hogjowl]

I realize that, Taco, but Koko sent me an IM today telling me he was famous in Australia.

 

[Desk Jockey]

LOL

 

[Mikey P]

Maybe Jimmy can afford to step up to a Dang wand now that Mrs Ladwigs will be raising his allowance.

 

[hogjowl]

For what?
3 jobs a year?

 

[jcooper]

4 months in and I am averaging $6K per week and have 2 great contractors I am training up.

By yourself? Helper?

What type of advertising/marketing are you doing?

 

[JohnHawkP]

By yourself? Helper?

What type of advertising/marketing are you doing?

3 contractors who work on an as needed basis.

I call them contractors because they Invoice me for the work done and I pay the Invoice. They don't need experience just a can do attitude and an eye for detail. I train them.

That way I don't pay holiday, sickness, paye, payroll tax and so on. If they don't work out or their standards drop or if they adopt an attitude then it is simple to terminate. With an employee it us much trickier.

Because I am targetting people who are at the end of their lease or have sold their property then a combination of direct marketing and building relationships with people who can influence their decision when they decide to engage a cleaner are the main areas I focus on.

With over 30 years of experience in setting up my own businesses from the ground up, 6 so far successful and sold, I also use a myriad of other techniques.

I'll see where this latest venture takes me as this is the 1st time I have offered vacate cleans. I must say I have really enjoyed researching the best and most cost effective ways of cleaning everything in the home.

Ultrasonic machines and commercial steam machines and truck mounted carpet cleaning machines and vacs with motorised heads and specialist equipment to deep clean walls. I guess the setup is expensive but the end result is worth it.

I had feedback from a Property Manager last week who said he has never seen cleaning to such a high standard. And he has been in the business for 10 years.

 

[NobleCarpetCleaners]

huh?

 

[Lee Stockwell]

Your "contractors" might not fly well in the US.

 

[JohnHawkP]

Your "contractors" might not fly well in the US.

Why?

 

[Jimmy L]

I've had my POS 16 inch Castex wand since about 92.
So no need for a Dang or any other POS wand.

 

[Lee Stockwell]

Why?

Insurance requirements and IRS regulations.

 

[JohnHawkP]

Insurance requirements and IRS regulations.

They have their own Insurance and if you keep their hours to under 25 then the IRS should be OK with it.

There is a work around if their hours get above 25 that is still legal but it is best to keep them under 25.

It is no different to me contracting you to do specific jobs. They have their own vehicle. They might borrow the odd piece of equipment from me but I can certainly argue that one with the IRS.

I pay them way above minimum so I attract really good people.

Agreed this arrangement won't suit many businesses but the model I have set up works well with contractors.

So it works out win win win for all.

The client the contractor and me.

 

[Cleanworks]

I've had my POS 16 inch Castex wand since about 92.
So no need for a Dang or any other POS wand.

Dang it.