Increasing Your Average Sale – Part IV

The easiest way to increase your average sale is to sell a more expensive product –  

Sounds simple right?

We have touched on this the last couple of weeks with items like flip up doors, under mount slides and oversized handles. 

But what about your panels? 

White is far and away the most popular color in our industry, yet according to Better Homes and Garden white isn’t even top 5 when it comes to kitchen cabinets. 

“We’re seeing a move away from the all-white kitchen in favor of cabinets that are bold and adventurous.”

According the BH&G – the top 5 kitchen cabinet colors for 2022 are 

  1. Nature-Inspired Greens
  2. Bold Black
  3. Warmed Up Grays
  4. Sunny Yellows
  5. Rich Earth tones

We all know that the trends that you see in kitchens eventually flow into closets, so why do we sell so much white?  

Even if your customers are asking for white, could you offer a white woodgrain or linen?  

Don’t want to bust the budget – a couple of accent doors and drawer fronts look great and won’t be much more than white fronts. 

For example – Here are a couple of colors that are getting a lot of traction – 

Richelieu offers a wide variety of premium panels from Italy and Spain.  We also stock Egger and Tafisa in different regions across the US and Canada.

No matter what material you pick, we have the matching banding.

Your turn – what percentage of your installs are white?

Besides white – What are you top 3 colors? 

As always if you have any questions please don’t hesitate to reach out to me at RDeMarco@Richelieu.com

Thank you for reading.

An Easy Way to Increase Your Average Sale

How closely do you track your average sale?

I’m asking because increasing your average sale is the easiest way for you to make more money… Which I’m betting we can all use.

Sure you can do more installations, but you will probably have to invest in another van, maybe more equipment, more people or even a larger warehouse.

Doing all of those things are great but even if you have the money to invest, it could take longer than you like.

Increasing your average sale can be done by working in more rooms in the house, which we discussed last week.  If you missed that post – check it out here. 

Another way to increase your average sale is by offering more expensive options to your customers.

Side note – if you have a showroom you better be showing the best of the best… There’s a reason every car dealer has the fully loaded options where you can see them when negotiating your car purchase.

I was speaking with one of my customers last week and he said since he installed his high end walk in closet in the showroom – that has become his most popular color and his customers “want” the same upgrades in their closets.. He doesn’t have to sell them anything. 

This will be the beginning of a series of posts dedicated to you increasing your profits without having to invest anything or install more projects. 

At Richelieu our mission is to have – good, better, best options for everything we sell.  I know that could be overwhelming for some of you, so I plan to start with the really easy upgrades and move on from there. 

Here is an easy upgrade that you could purchase by the job and your customer will see immediate value in. 

I think most of you offer soft close drawers and doors but if you’re not, I can guarantee you’re losing customers and don’t even know it.  

If you don’t want to stock a different hinge, you could always use a surface mounted soft close adapter that will work with your current hinge.  At Richelieu we stock Blum, Salice, Grass and of course our own brand which will give you the biggest savings.  Our Richelieu hinge is the one I always suggest that my closet customers use. 

Things get a little trickier with your drawers.  Soft close side mount slides are easier for you to install and don’t require any changes to your drawer boxes, but they do have their limitations.

We sell our Richelieu brand slide which is a great value engineer option, and we also sell King slide which is far and away the best side mount soft close on the market – its also one of the most expensive. 

No matter what brand you use I don’t suggest going wider than 30″, if you can keep it to 24″ even better.  Also please don’t use them in any crazy applications – I once had a customer complain because the slides failed in a tile store.  The store was loading all of the drawers up with tile samples – the drawer was 24″  deep by 30″ wide – that’s a service call waiting to happen. 

I also suggest managing the expectations of a side mount soft close slide compared to an under mount.  Most of your customers have under mount slides in their kitchens, there isn’t a side mount on the market that will work as well.  Explaining the difference on the front end, could be one of your easiest upsells to under mounts by just explaining the differences.

Of course using an under mount is the best option.  Many companies have made a complete conversion and use this as a feature to separate themselves from their competitor… Imagine the jobs you are potentially losing if you don’t offer under mounts.

Yes the drawer boxes are different – but you can outsource them and now we have under mounts on the market that come every 2″, just like your ball bearing slides.  

No more 12″ drawers in a 14″ deep closet.  With our 828 slide you can put a 13-1/2″ drawer in a 14″ vertical and our new closet clip makes the drawer construction even easier. 

As I mentioned at the beginning this will be a series of posts dedicated to you increasing profits and making more money.

If you have any questions or comments you can leave them below or email me at RDeMarco@Richelieu.com 

Thank you for reading.

How to Get Out of the Closet Business…

I hope you didn’t think you were going to read a post about selling your business.

Even though this might be a great time to sell I would never suggest it because this is a great time to be in home organization…

Did you catch that – I said home organization not the “closet industry”

Those of you that have been doing this as long as I have know that we have come a long way from white melamine shelving and wooden closet poles.

If you’re new – yes we sold wooden closet poles and if you wanted to upgrade it you added a white plastic wrap so it all matched – boy were we fancy – LOL!!!

Our industry and product offering has matured to the point that we can compete with woodworkers that take much longer to install and are much more expensive.

By the way it’s no longer called melamine – now its TFL (Thermally Fused Laminate) and we refer to our imported panels from Italy as TSS (Thermally Structured Surface).

Need more proof that we have hit critical mass – try to find someone in  your market that installs white wire.  I’ll bet there are one or two companies – maybe – that still do it regularly.  There used to be 4 or 5 in every major market.

Even entry level homes are at least putting closet systems in the primary closets.

What does all of this mean?

With a higher end product that looks and feels like real wood, but is a fraction of the price, you need to be doing more than just closets.

I know what you are thinking – we do offer more than just closets.

I get it, I have been in your showroom.  I know you do laundry rooms, home office, wall beds, etc… but does your potential customer know?

The name of your company is “Custom Closets by… ”

How would Mrs. Jones know that you build and install custom wall units?

I know how easy it is for your crew to do a $4500 closet installation.

I also know that your phone hasn’t stopped ringing and you are booked out 3 months, but we all know this ride won’t last forever.  Even if it is a soft landing as Brian Beaulieu suggests, you need to pay for the new equipment you bought or the additional space that you rented during this gold rush.

Sure you can lay off employees if you had to, but do you want to get rid of good workers in a time when everyone is scrambling for people?

So back to my point – you need to start focusing on other rooms in the home.

Start creating your marketing around these other spaces.

Make sure your designers are explaining the other things you can do on their sales appointments.  Better yet have them leave behind a sell sheet of pics of all the other spaces you work in.

If you have your past clients email addresses – start an email campaign.

It’s no secret that it’s easier to sell more to an existing customer than it is to find a new one.

Start these efforts now so that when the closet space becomes more competitive you are ready.

Need some ideas?

That’s why I am hear –

You need to start positioning yourself now as the leader in total home organization – trust me you will be happy you did.

Let me leave you with one more thought – everyone’s New Years resolution is usually one of these 3 – save money, get in shape or get organized.

Maybe if you are positioning yourself as the home organization expert now – January might not be such a slow month – Have you ever gone to the gym on January 2nd?

Your turn – let me know your thoughts – comment below.

Have a comment or question but don’t want to post below – you can always email me at RDeMarco@Richelieu.com

Thank you for reading.

The Winner IS…

For those of you that have missed it, there has been an interesting debate going on in the ACSP Facebook group.

Wendy Scott – ACSP President, bet Eric Marshall – President Elect, that valet rods were most popular closet accessory.  Eric argued the tilt out hamper.

Coming from a profitability standpoint, if you have the room it makes the most sense to include at least one hamper in every closet you design.  Besides selling a more expensive accessory, you are also adding a door.

If you are looking at ease of installation, and an accessory that fits in every closet – valet rod is the clear winner.

I created a TiK ToK video and posted it on Instagram and Facebook.

In case you missed it – let me know what you think.

 

It came right down to the wire.

Valet rods took an early lead and I think that Eric might have stuffed the ballot but ultimately hampers ended up the winner!

I think that you should be offering both accessories as often as possible.

Increasing your average sale is the easiest way to be more profitable.

Also a quick FYI –

The ACSP has start doing Zoom Topic Tuesdays.  It’s basically a virtual round table giving everyone an opportunity to network in place and share ideas.

  • The first one was “Home Offices from Design to Install”
  • This week we discussed “What Are YOU Doing Today That Will Help YOU Succeed Tomorrow”

Next week is all about marketing.  “What’s working, what’s not.”  Attendees will share some of their best tips.  Here’s a link to the Facebook invite.

Also, I just want to remind everyone that I am still scheduling virtual sales meetings with design teams, if I can help you keep your designers engaged please let me know.

Stay safe and I look forward to “Zooming” with you soon.

How Are The Leaders of The ACSP Dealing with COVID-19

The last two weeks feel like a bad science fiction movie.  I keep waiting for The Rock to save the day…

If I have learned anything, it’s that our community is one of the most important things in our lives.

That goes for our business connections as well as our friends and family.

Today I spoke with the leaders of the Association of Closet & Storage Professionals.

Wendy Scott – ACSP President and co-owner of Boutique Closets & Cabinets.

Eric Marshall – President Elect and owner of D.E.A. Remodeling.

Joe Lonardo – Past President and owner of Bella Systems.

We discussed

  • How they are spending their days.
  • What they are telling their clients.
  • and of course the bail out.

If you aren’t a member of the ACSP you are missing out on relationships that will not only help you get through these times but also help you with your business every step of the way.

If you are member, make sure you are following our Facebook group, there is something new going on everyday.

Thank you for reading.

Stay safe my friends!

**Thank you to all the heroes – First responders, Warehouse workers, Delivery drivers, Grocery employees, and anyone else on the front lines.**