Advertising and marketing are arts, not sciences. Their execution can be expensive and the sheer number of options overwhelming. With salespeople constantly calling to sell you advertising space, it’s easy to approach advertising and marketing in a reactive manner.

But being proactive towards marketing and advertising is a smarter business plan. While large building service contractors can stake money on a campaign that may tank, smaller companies have fewer discretionary resources — and much less margin for error. Advertising can come in a variety of forms — from salespeople to the Yellow Pages, from radio to cable television. Some experts claim that publicity, which can cost a fraction of advertising, is the “goose that lays the golden egg.”

Regardless of the venue, in order for advertising to be effective, the sales message must be backed up with a quality product. Otherwise, whatever clients you reach won’t stick around when they realize the truth.

Sales force
Don Simon, director of business development at Distinctive Maintenance in Livonia, Mich., says his 450 employee regional firm targets companies that own a building with in-house facilities and maintenance departments that contract out their own cleaning. His best marketing device? A great salesman.

This individual has been with the firm for 11 years, and he makes cold calls in person and over the telephone, says Simon. He is self motivated, and his performance never changes, it doesn’t matter whether he’s being paid on a salary or commission basis, he adds.

“He doesn’t sell himself,” explains Simon. “He sells the company and people come for him. They sense his integrity. He has a great work ethic, is very persistent, professional, and gentlemanly. We support him with a strong operations department and strong customer relations department so he’s confident that when he tells his prospects ‘I’m working for the best company’ — he means it.”

Amy Polakow, director of public relations for Kimco Corporation in Norridge, Ill., tells a similar story. Kimco has a national client and prospect base; performs commercial cleaning, handyman and HVAC services, and has expanded into the retail area, opening offices nationally as needed. Today, the company employs 5,000 workers.

“I think other companies are like us in that we put heavy investment in relationships and good marketing people,” she states. “In some large companies, operations people are also sales people… the key is maintaining relationships.”

Presence in the industry
While knocking on each potential customer’s door may be an effective start, it only reaches one customer at a time. To seriously grow business, BSCs need to reach a bigger market share.

Polakow says exhibiting at national trade shows has been a tremendous source of new business for Kimco.

“The International Facility Management Association (IFMA) is a great trade show and in last couple years, it and Building Owners and Managers Association (BOMA) have been coordinating together more,” she states. “Both are great sources of relationships when you get involved. Facility and property managers and building owners pick who they trust. If you go to one trade show, it won’t mean much, but year after year you get to know each other.”

While some BSCs spend up to $100,000 to exhibit, Polakow’s company erects a 10-foot by 10-foot pop-up booth stocked with internally-created signage and artwork. Kimco spends between $7,000 and $15,000 for the entire event, including travel, lodging and entertaining.

Regional BSC Distinctive Maintenance doesn’t exhibit at national conferences, but does place ads in the BOMA print annual because its clients find it favorable. They do it for relationship building, not because it has brought in new business.

Distinctive tried joining its local Chamber of Commerce to increase name recognition and gain exposure with members in hopes of generating bid opportunities, but after two years pulled its membership.

“It didn’t generate any new business,” explains Simon. “We cannot identify a single bid opportunity that came about because of our membership there. They tried to get us to stay, but could not persuade us that there would be value in rejoining.”

Simon admits they weren’t particularly active in their chamber. If they had been, the payoff may have been better, and maybe not. Taking the time to attend association events regularly, or to join subcommittees, could improve the return on this investment.

Traditional venues
Not all potential customers belong to an association or attend trade shows. To reach everyone else, BSCs may have to look into radio, television, direct mail or Yellow Pages advertising.

Ron Finken, CEO of Accurate Building Maintenance in Las Vegas, Nev., had a career in advertising before starting his cleaning company. He knew from the start the power of smart advertising.

Starting up in 1994, it was just him, his wife, and advertisements in the Yellow Pages. They listed the firm under a variety of headings, which gave them exposure to different duties and ultimately helped them define their niches.

“We’d ask what page number they were looking at in the phone book to determine which headings were working the best for us,” Finken says, adding that if he could have done anything differently, it might have been training and hiring sales people sooner, because it may have helped the company grow quicker.

“Obviously, the more salespeople you have, the more you sell,” says Finken, cautioning that it’s also important to be ready for growth. There was a period where his firm was growing so fast it experienced cash flow problems and almost grew out of business. “It can be hard to grow internally,” he advises. “You have to take it a step at a time.”

Today, Accurate employs 140 cleaners in the Las Vegas Metropolitan area that specialize in commercial buildings. Finken prefers single-tenant or owner-occupied facilities that require service five days a week in buildings 20,000 square feet or larger.

Contributing to charities and golf tournaments gives Accurate exposure and face time with area businesspeople, and the only advertising space Finken has ever purchased has been in the Yellow Pages. “I still pick up business from the phone book,” he says, adding that the advertisement recently garnered a new client with a 40,000 square foot building.

The former advertising insider urges due diligence before buying advertising space or airtime.

“Be sure to do research and get a really good representative that’s not just making commission,” he advises. “There are some do’s and don’ts in the phone book. For instance, size is more important than color.”

Polakow adds that in her own experience, the Yellow Pages work best in smaller locales.

“In larger areas, it’s networking,” she says. “We do big buildings here in Chicago, and the property managers are very knowledgeable about who they’re dealing with. If they have trouble with one, they already know who’s next on the list.”

Before Don Simon was with Distinctive Maintenance, the company tried radio and cable television but the ads weren’t specific enough and generated responses from prospects that weren’t viable. (An unexpected benefit was a higher level of job candidate — a phenomenon he says may have resulted from running the ads on Christian radio and television stations.)

“We’ve tried different approaches,” says Simon. “Magazines, newspapers, organizations like BOMA … But time and time again, it’s knocking on doors, finding out who’s in charge, and playing the game to try and get a meeting with them. Any company must have some kind of sales program to grow or stay where it is.”

Polakow says her firm has investigated radio, television and direct mail, but has never used them, although it does advertise in association magazines.

“We’ve had so much success with our sales force,” she reiterates, “and they solidify relationships at trade shows.”

Finken is pleased to have his first annual marketing budget: $30,000. To determine how to best utilize this capital in his local marketplace he plans to consult with local business people who are knowledgeable about his industry, whom he’s known for many years. This proactive approach to creating a marketing plan incorporates due diligence, relationship building and strategic networking — a sound beginning.

Lori Veit is a business writer in Madison, Wis., and a frequent contributor to Contracting Profits.




POSTED ON: 3/1/2005