The Home Service Expert Podcast
00:35:24 · Tommy Mello, Zach Deering
[00:35:24] S3: Because if I could pack those days and make those massively profitable, you know... By the way, everything's cheaper on those days. Yeah. Most guys are closed on Sundays. Yep. So all of a sudden, PPC and social media, all the other stuff, they they feed us better Yeah. On those days. [00:35:41] S0: And I think what that really gets at both for your team members and for homeowners is choice. Right? There are certain people that wanna work on a Saturday or Sunday, so they can have Tuesday and Wednesday off, And there's certain homeowners that also wanna be able to shop on those days because it's convenient for them. And I think more than anything and something that I've seen in your organization, something that we feel really strongly about, is how do you empower homeowners with choice? [00:36:05] S3: 100%. I mean, if you read what should we do by Joe Crisora, it's not on this shelf, but all he talks about is giving options and the data to back it up. [00:36:15] S0: 100%. [00:36:16] S3: And I think five options are better than three. There's all kinds of studies around that too. But also there's some people depending on how hard the options are to understand, it can confuse people as well. So it's really... There's a lot of science and psychology behind the options and then the pricing that you could make them.
00:36:16 · Tommy Mello, Zach Deering
[00:36:16] S3: And I think five options are better than three. There's all kinds of studies around that too. But also there's some people depending on how hard the options are to understand, it can confuse people as well. So it's really... There's a lot of science and psychology behind the options and then the pricing that you could make them. [00:36:37] S0: A 100% agree and it reminds me of two things that we often think about. Price is only the most important thing if you don't understand anything else. Right? And so if a homeowner is telling you that, hey, you know, this other company's $500 less expensive, means they don't really understand what they're purchasing, which means that there was an education gap somewhere along that journey. [00:36:58] S3: So I'd ask you, Zach, what you said were 500 more. If you're the homeowner, let's just do a little role play. [00:37:05] S0: Yeah. Yeah. [00:37:06] S3: Let me ask you this. If we were the same price, Zach, let's just say everything being equal, which one would you choose? [00:37:13] S0: I mean, you're here right now and so we could get it done. So yeah, I'd be inclined if if everything was the same price, you're gonna give me a $500 discount, great. Let's go forward.
00:37:13 · Zach Deering, Tommy Mello
[00:37:13] S0: I mean, you're here right now and so we could get it done. So yeah, I'd be inclined if if everything was the same price, you're gonna give me a $500 discount, great. Let's go forward. [00:37:23] S3: Well, if the prices were the same and you choose us, and you obviously know we're different companies, you've done some research, we've been in business two decades, you can see the difference in the parts we carry. But why would you go with us? So I don't wanna lead with that discount, I just said all things being equal. And hopefully you'd say, well, I did the research. Yeah. I looked at your BBB. Yeah. I know you guys do background checks. Yeah. I know you run warranty calls ahead of new clients. Yeah. And so I'd I'd ask you to sell yourself. Sure. But you're not the real... I mean you you... This is not the perfect scenario because you don't have both bids. [00:38:00] S0: Yeah yeah yeah. [00:38:01] S3: I want you to just literally, I wanna hear you destroy the other company. Sure. And say, so obviously Yeah. Is $500 worth everything you just said not being done properly? [00:38:12] S0: Totally. Totally. [00:38:13] S3: And I think that a lot of people miss that. A lot of people make it about price and you'd be surprised. And during my orientation I do for three hours, we talk a lot about... A lot of people say Oklahoma and Tulsa are not as good as Phoenix or Reno is not as good as Orlando. And the the... I hear this every day and then I'll take a top 10 technician. We'll send them to any market, same price book, and they'll get the exact same.
00:38:13 · Tommy Mello, Zach Deering
[00:38:13] S3: And I think that a lot of people miss that. A lot of people make it about price and you'd be surprised. And during my orientation I do for three hours, we talk a lot about... A lot of people say Oklahoma and Tulsa are not as good as Phoenix or Reno is not as good as Orlando. And the the... I hear this every day and then I'll take a top 10 technician. We'll send them to any market, same price book, and they'll get the exact same. [00:38:38] S0: Sure. [00:38:39] S3: So I always say we live in The United States Of America. Yeah. Like, if you told me to go to like Mexico City or something, I can't guarantee it would be the same. [00:38:46] S0: Sure. [00:38:46] S3: But we we always put those fallacies to to bed. You're an expert in shopping online, and we hear a lot about the challenges today being tricky, macro environment, lead flow being down, which it is. Consumer confidence, I believe, is going up right now. What do you feel like is the state of play in home services sales today?
00:38:46 · Tommy Mello, Zach Deering
[00:38:46] S3: But we we always put those fallacies to to bed. You're an expert in shopping online, and we hear a lot about the challenges today being tricky, macro environment, lead flow being down, which it is. Consumer confidence, I believe, is going up right now. What do you feel like is the state of play in home services sales today? [00:39:11] S0: Yeah. I think it's it's a bit of a tale of two cities. There are fewer leads coming in, they're more expensive than ever, right, it's not uncommon, right, to spend 500 or $1,000 to get a replacement opportunity. Prices, particularly in HVAC, but across the board, are significantly more expensive for equipment than they were 5 or 6 or 7 years ago. And so against that backdrop, there are the folks that are succeeding, and the way that they are doing that is through creating a shopping experience. Are you meeting the homeowner where they're at? Are you personalizing? Are you showing them different options? Are you putting them in the driver's seat, or are you slapping down three prices on a sheet of paper and a bunch of jargon? Right? Those are sort of the two things, and I think a lot of people are having a hard time. I mean, look at HVAC, for example. Shipments are significantly off. Right? You'll see some reports that say up to 49%. Yet, there are contractors that are succeeding in spite of it, and what are they doing? They are creating shopping experiences.
00:39:11 · Zach Deering, Tommy Mello
[00:39:11] S0: Yeah. I think it's it's a bit of a tale of two cities. There are fewer leads coming in, they're more expensive than ever, right, it's not uncommon, right, to spend 500 or $1,000 to get a replacement opportunity. Prices, particularly in HVAC, but across the board, are significantly more expensive for equipment than they were 5 or 6 or 7 years ago. And so against that backdrop, there are the folks that are succeeding, and the way that they are doing that is through creating a shopping experience. Are you meeting the homeowner where they're at? Are you personalizing? Are you showing them different options? Are you putting them in the driver's seat, or are you slapping down three prices on a sheet of paper and a bunch of jargon? Right? Those are sort of the two things, and I think a lot of people are having a hard time. I mean, look at HVAC, for example. Shipments are significantly off. Right? You'll see some reports that say up to 49%. Yet, there are contractors that are succeeding in spite of it, and what are they doing? They are creating shopping experiences. [00:40:18] S3: Yeah. You you know what's really frustrating is when I go online and I don't really shop for Rolexes, I got one. But a site that gave me the information, I know it's gonna be expensive, it's a Rolex. [00:40:31] S0: Sure.