How to survive this market without a bailout!
Hello, it’s the first of the year and we have a new president so how come the phone is not ringing? Where is all the customers at? Contractor’s all over the country are asking how do we navigate this market? Yes, 2008 was the wake up call but we thought that once Obama got into office that things would take off.
Well, surprise and let’s talk a little about 2009. If you have not taken your expenses and went by each line item and made major concessions by now then hey, your in trouble!
First off please take this market or should I say the lack of market and make the painful cut backs you need to take to survive threw 2009. Yes, the first half is going to suck but all indications say that after that it will get better.
But we really need to look at several things that could change that. Number 1 is the housing crisis and what Obama will do with this. I would say that this could be the first thing that will help all of us. Keeping people in there homes is important. Why?
In our market here in Florida we see a lot of clients deciding to stay where they are, but start fixing up there homes. This falls under Number 2 because most even with great credit can’t get a loan. Now I know they are throwing TRILLONS at the banks but with no transparency of how they can spend it.
If your like me I have a tuff time with this one. Then to make it worse they get millions for bonuses. Nothing like a major slap in the face. But let’s move on so we can fix our contracting business. Let’s face it we not be getting any bail out any time soon.
Number 3 is how to get the American people investing again? I believe the older crowd still understand that there home is there castle no matter how bad things get. So we need to figure a way to get them investing in there homes at least.
Most of the senior crowd understand that when the stock market is down and out they still have there homes to fall back on. Right? Yes, the home market is down but it will come roaring back as it always has.
So, for some of us we need to come up with a marketing plan that will stimulate home owners to spend and invest in there current homes because the return will be much greater once everything turns around. Plus let’s add that if they do have the money to invest now is the best time to BUY homes on the cheap.
This to me is your own stimulus package of your own. One way to screw the banks is to buy a house or investment at half the money owned. Yes, I no this sounds bullish but hey they are the ones looking to dump the homes at drastic discounts.
So to finish this post up I recommend that all of you take a hard look at your contracting business and do the cuts needed to survive and look at your marketing plan and make the adjustments needed to stir up some sales.
Happy Selling,
Glen
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