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Dealing with Price Sensitivity in Today's
Market
Many consumers, even wealthy ones, have moved price up to, or near, the top of their priority list when shopping. For some, this price sensitivity is based on necessity. For others, it is based on general economic fears. And for some, they simply want to take advantage of what they believe is a buyer’s market.
Many consumers are willing to accept
lower-quality, lower-status, and no-name products in exchange
for a lower price. And many homeowners are doing the same
when it comes to purchasing remodeling services. There are
homeowners who can still spend as they did before,
but they are a considerably smaller part of the market. And
with fewer people remodeling, the market is already smaller
than it was.
Regardless of how you deal with your overhead costs, margins, staff size, etc.
here are some practical ways to deal with homeowners who are price sensitive: more...
A Remodeler Asked:
Q: We're
not getting as many leads from our website. What can we
do to increase the leads it generates?
- Review and adjust your marketing activities to increase the number of QUALIFIED homeowners visiting your site. You will likely need more visitors than in the past to generate each dollar in sales.
Look at the number of total user sessions, unique users, and
the amount of time people are spending on your website.
You want the number of user sessions and unique users to
go up and the amount of time people spend on your website to stay the same
or
increase.
- Review your website to see if what worked before in
terms of brand image, photos and content is still attractive
to homeowners today. You may very well need to adjust your
website. If you can offer more affordable pricing or are
willing to take on smaller or different types of projects
now, make sure your website reflects this.
If your website shows and talks all about large, high-end, expensive projects,
you will not look approachable to homeowners looking for something smaller
and less expensive.
- Provide homeowners with information that will help them come to the conclusion that they should seriously consider remodeling now and should consider your company (Help them get off the fence).
- On your website, give people a compelling reason to contact you if they are thinking about remodeling.
- If you have a form on your website, require as little information be filled in as possible and keep the information you request as non-invasive as possible.
*Note that homeowners visiting your website
who first learn of you from a referral, jobsite sign, ad,
etc. will
likely
tell you the first place they learned of you. This
generally results in an under-counting of leads
generated by
the site.
To accurately determine whether your website is sending you
leads, you have to ask prospects how they first learned
of your company or website and then also find out if
they visited your
website before they
called.
What has Continuum Marketing Group
been doing for our clients lately?
We are continuing to find and develop new and innovative ways to make marketing in today's economy more cost-effective. We continue to research the changing market, fine-tune approaches that are working and test new and some outside-the-box approaches. Among the things we are currently doing are:
- Developing and testing new approaches that cost-effectively drive more homeowners to our clients' websites.
- Developing and testing new ways to increase the size of our clients' e-newsletter lists to reach more homeowners and to increase the open rate of our e-newsletters (which is already high to very high compared to industry averages).
- Developing approaches that will help our clients become more visible in their communities in positive ways.
- Developing and testing new ways to help clients develop new referral sources and enhance existing ones.
- Helping our clients leverage each other’s strengths in cost-effective ways for their mutual benefit.
- Identifying areas in which we can provide
services and helpful information to our clients that will
enhance the value we provide while minimizing their costs.
- Developing and testing approaches to improve the cost-efficiency and effectiveness of pay-per-click online marketing.
- Exploring social media approaches such as
Facebook and Linked-In to determine if and how they can
be cost-effectively used to market remodeling firms.
- And much more...
For more information please contact us at 703-759-0106
or info@continuum-mg.com.
Comments & Questions
If you have questions or topics you would like us to address in future issues of Marketing Matters, please let us know. Send them to editor@continuum-mg.com.
Sincerely,
David Alpert
President, Continuum Marketing Group, LLC
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