Do You Have A Hard Time Competing Against "Trunk Slammers"?
In the residential cleaning industry most of us have heard of non-legitimate services nick-named “trunk slammers”. We are talking about those that do not go through the proper legal channels to set up their businesses. They probably didn't register for a business license and don't have any liability insurance, or any other type of insurance for that matter. Yet they hang their shingle with the rest of us and market to our clients and potential clients. The fact is, they will always be there so you need to learn how to deal with them. So what can you do as a legal, licensed and insured cleaning professional?
You can begin by thinking “offense vs. defense”. Too many of us feel that we need to defend our prices to our customers because they challenge us by saying something like, “This other woman is only going to charge me $60 to clean my house and you want to charge $120?”
Educate your customer with the offense approach when talking with prospects. Within your marketing collateral materials, include a copy of your EIN number or DBA certificate, bond and liability insurance copies. This is a subtle way to show the prospect you are a legal business. You may even make a subtle suggestion that they get this information from anyone else they talk to. Prospects that have never hired a cleaning service before may not even be aware that some people are doing business illegally. And if they don't care? Then maybe they're not a good client for you any way.
In addition, if you have employees, show them your policy on background checks and drug testing. Chances are, your “trunk slamming” competitor will not have the same professional information; in fact, they may not even have a proposal to submit. Many simply tell the customer the price with a verbal agreement.
Let your prospective client know why this information is important to them and why it is so important to ask for these things from anyone submitting a cleaning proposal. Why would anyone want to trust people in their home with their valuable possessions and pets when they can't provide proof of insurance or proof that they do background checks? Those that low-ball the price typically cannot provide this information so you have given your prospect something to seriously think about.
Don't go on the defense by showing your personal emotions out about trunk slammers; it takes your professionalism down a notch. Here's an example of a positive approach. A friend of mine used to work in the communication business. Customers would come in and say, “Tell me why I shouldn't go with another company to purchase my service”. She would say, “I don't speak about what others don't do but I'll tell you what I can do to help you with your decision.” She always received an impressed look on their faces and more times than not landed their business.
Continue to educate your customer by giving real examples of what can happen as a result of an accident in the home. This can be a real eye-opener for them. Include this in your handout information. Here is an example:
Is your current cleaning company properly insured with liability insurance and worker's comp insurance? We are and here's why:
- You're protected against claims for injuries or falls. Slip and fall injuries are the most common injury that happens in a home. And if your cleaner is not protected by her own insurance, you will foot the bill when it happens.
- You're protected against damage in your home. Marble, granite, hardwood flooring and fiberglass tubs, just to name a few, require specific cleaning methods and products. If the wrong type of cleaning product or cleaning procedure is used, it can result in costly damage to that surface in your home.
You can come up with wording that will fit your situation, but the facts need to be spelled out to the homeowner in no uncertain terms.
Prescreen your prospective clients. Prescreening by phone can eliminate those prospects that are looking for the lowest price. Don't wait until you get to the home to find out they're looking for a $60 house cleaning, when you know it will cost double that amount for you to take them on as a client.
And finally, market your business to groups that will value your professionalism. Having these connections will help you secure more stable clients.
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Jean Hanson helps owners of Residential and Commercial cleaning companies build a more profitable and successful cleaning business through her online community at myhousecleaningbiz.com and TheJanitorialStore.com. Jean is also the host of the popular Web TV show CleaningBiz.tv and author of the newsletter Trash Talk and House Cleaning Profit Tips.- sign up today!
Trunk Slammers Info
