By Judy Guido
Taking advantage of emerging trends can help snow and ice professionals grow their companies and help to differentiate themselves from the competition, in what continues to be a tight economic climate.
Among the trends in the snow & ice management industry:
The green movement
While most of the construction industry has suffered terribly, revenues from green projects have increased by 11.3%. There are several market dynamics that contributed to this growth—including regulatory compliance—but mostly contractors listened to their customers ... 57% of which demanded green. Contractors who could provide those services were rewarded with lower expenses, higher profit margins, increased market differentiation and share. Many businesses now view green as an important strategic business tool. Snow is no exception.
In a recent market research study I conducted, 74% of all commercial customers requested to see their snow contractor's sustainable policies, including detailing specific products, services and benefits. Leveraging this key trend by assigning somebody to research new green products and fuel options, tightening route density to minimize driving, developing a green site audit, and aligning yourself with environmentally focused strategic alliances should earn you business. Spell out your Green Snow Program (GSP) with clearly defined benefits to the customer. Make it a point to highlight this GSP information in all of your marketing and business development activities.
Going local
Another trend to watch is called RAK (random acts of kindness). Buyers are not only concerned about what you sell, and how it affects the environment, but also how you give back to the community, and to which local causes you contribute.
Closely aligned with RAK is the trend of icon toppling, which has emerged as Americans grow increasing angry and distrustful with corporate executives, Wall Street and all things "big." This is a great opportunity to communicate your "smallness" and local ties.
This, in turn, has created another trend known as LO-CO (local-cocooning), which includes all things smaller and local. There has been a major resurgence in buying from and supporting the smaller local companies, as these business owners live, work and give back to their local community. Leverage this "buy local" trend. Be sure to communicate how many years you've been in the community, and your philanthropic and charitable community work. Make sure your suppliers and alliances are also giving back to the community since you'll be judged by the company you keep. Think about combining resources with your suppliers and alliances and hold at least one local philanthropic event annually.
Consider investing marketing dollars in local entertainment since folks are sick of professional celebrities making outrageous money while behaving poorly. There is a big move back to attending local sports events such as baseball, soccer, basketball and hockey. These are great groups to sponsor and market with at a relatively low fee. Local arts are growing as a result of this trend.
Clanning
Clanning is built around aligning with those that share a common profession, view or need. This is very powerful as it validates and puts social media at the front of communication lines. Clans use social media sites like LinkedIn and Facebook to communicate. Whether the clan is a group of property managers, or an HOA community, if you establish yourself as the snow professional and educate the clan, your company will grow. Social media clans even have a specific tool dedicated to giving out referrals. This trend reinforces the importance and value of networking. Social media is a great way to network to a multitude of customers and prospects without spending any marketing dollars.
Buying power
The trend known as EVEolution highlights the buying powers of American women, who represent 58% of all corporate purchasing, and make 87% of all home buying decisions. American women have the greatest buying power in the world. Understanding the way women think, behave and buy has impacted business, and has caused a shift in marketing from top-down to relational, as women highly value relationships. Companies who understand women, and have more women on their team, especially in business development, will have a considerable competitive advantage.
Untapped labor pool?
Another important trend is the growth in smaller community colleges, which are benefiting from billions of dollars in support from the American Reinvestment Recovery Act. Twelve percent of the U.S. young population attends a community college. Hiring opportunities abound for snow removal contractors.
Transparency
Customers expect transparency in your pricing, contracts and information about your company. They want low risk. They want to know that you are a financially solid company with a professional team. They want to be able to easily understand your guarantees. Certifications like the CSP (certified snow professional), higher education, and experience are important since they communicate low risk.
Time is money, so being transparent about innovations that save time and money is important. Customers expect that you've done your homework, understand their needs and goals, and are a part of the solution. Being transparent and proving how you are part of that solution is critical. Providing clearly documented site information quickly via mobile technology will garner you a great competitive advantage.
Today, understanding and leveraging significant trends will be one of your greatest strategic advantages. Carpe diem.
Judith M. Guido is chairwoman of Guido & Associates, a business management company that has been helping snow and green companies grow their profits and people for over 20 years. She can be reached at This e-mail address is being protected from spambots. You need JavaScript enabled to view it or 818-800-0135.
