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.

What’s Trending 2020 – Concealed Connectors

Can you believe we are two months into 2020?

How’s your year going?

Are your leads trending up?

Average sale?

Close rate?

If you have completed projects pics using Richelieu hardware please email me.  I love to share your job photos on social media.

If you are posting on Instagram or LinkedIn – be sure to tag @RichieDeMarco – I’ll comment and re-post.

In case you missed this – We have already discussed –

One of the most common questions that I am asked is about concealed connectors.

You design a beautiful walk in closet, pick your favorite textured panel and accessories only to look up at that mis-matched plastic connector.  Sure, if you want to get fancy I can supply a metal connector but, on some projects, you need more of a furniture look.

What do you do?

Richelieu introduced a new product called Striplox which is getting a lot of traction.

It’s a male-female connector that works with ¾” material and is the perfect solution for the top shelf of your closet.

Striplox comes in various sizes and shapes depending on your application and material.

You can connect two ¾” panels, join countertops, support floating shelves, the possibilities are endless.

Check out this short YouTube video to see how it could work in your closet applications.

What do you think – a closet winner??

If you are interested in trying here is a link to our website – you can buy a couple of pairs for testing.

We also have a starter set, if you would like to play with the different sizes.

If you need any additional info please don’t hesitate to reach out to your local Richelieu rep or – email me anytime at RDeMarco@Richelieu.com

Thx for reading!

Drying Rack Demonstrated by Closet Owner

Derrek Holland owner of The Closet Doctor has been organizing Sacramento, CA, since 1998.

He manufactures his own product, is an original member of the National Closet Group and a “Lean” enthusiast.

Watch as Derrek demonstrates our drying rack and explains why it’s a great addition to any laundry room.

There are three mounting options – wall mount, ceiling mount and recessed ceiling mount.

The closet rod easily opens and expands from 37″ –  67″ wide.

Check out Derrek’s YouTube channel for other product demos and videos on Lean Manufacturing.

Have you used our drying rack? What was your experience?

If you would like more info please leave a comment or email me at RDeMarco@richelieu.com

Have a great week!

Part II – Successful Closet Companies Are Doing This… Are You??

successful-closet-companies-part-iiNow is the time to start thinking about those slow winter months. Waiting until Christmas to deal with a soft January is too late.

Hopefully by incorporating some of the following strategies you can start the year on a high note.

If you missed Part I – click here.

I want to start with discussing the importance of keeping your installation schedule.   Getting your jobs done and sticking to the calendar improves your cash flow and increases profits.

The best or worst thing an installer can say to you when they come back from a job is –

“We Made It Work”

Especially if you don’t supply them with the proper tools to prevent a service call.

Here is a list of tools and jigs that most of my closet customers have on their trucks.

Festool Track Saw – this is a must and I bet it pays for itself the first month. I was at a trade show 3 years ago, we were setting up our sliding door display and the doors were too big. I used my track saw – cut thru the 2” aluminum frame and a ¾” melamine insert – I was blown away when I saw that it was a clean cut on both sides.  Imagine how easy cutting down a few shelves would be.

If you do have to cut down shelves, chances are you will need to re-drill them for cams.   Here is a great solution for drilling cams on-site.

Do you ever scribe a counter tops, toe kicks or verticals?  The ThingAMeJig Scribing Tool makes it quick and easy.  Not only will your installer thank you, your finished product will look much better – leading to more referrals.

How much time do you spend installing handles? Do you have a jig you made out of melamine? The Precision Handle Jig will ensure every handle is centered and straight.

Multifunctional Beds

Are you still installing an old clunky Murphy Bed? If your client prefers a bed that deters overnight guests – your spring system is the way to go.

If they are looking to give their mother in law a nice place to sleep or hoping that their grandchildren visit more often than you should be offering your client a piston bed with a built in box spring. Selling a higher end product will increase your profit.

If you’re not selling beds at all you are missing out on revenue stream that every major closet company offers.

Wall Systems

Vertiko Wall SystemMany of you have asked me about the “closet without verticals” or the “European Closet System.”  I finally have it in stock. If you have a showroom, it’s something that you should definitely be showing.

This system is great for entertainment centers because you can easily hide the wires behind the back panels.

Sliding doors

Sliding Doors - HawaDuring the recession my sliding door hardware sales spiked.  Replacing builder grade by-passing doors was an easy way for you to add an extra $500 to $1,000 to your job.

Now that you are busy and the economy is good you have gone back to telling your customers you don’t install doors. Even if you installed one set of doors per month you could add an extra $12,000 per year.

I sell a surface mounted ball bearing system that takes minutes to install, hangs from the header and works with ¾” melamine. There is no reason to pass on this business, all you need to do is create a system.

I gave you 8 different strategies that you can use to put a little extra money in your pocket next year.  I’m not telling to do them all at once.

Start slowly, train your designers and installers on one new program per month.

Watch how quickly your average sale increases!

If you have any questions please leave a comment or email me at richdemarco@optonline.net