Demographics

Hello, and Thank you in advance,

What is the best way to determine your specific demographic of people to
target market to? I am a small HVAC contractor looking into direct mail to
a select demographic, but what should my criteria be. I have a general idea
of who my current customers are, but are my eyes open to the demographics
that could lead to more customers. How do I confirm, how do I search?

Thanks,

Bob
--
Bob Pietrangelo
bobp3@comcast.net

In article <ctk3io027ml@enews1.newsguy.com>,
"Bob Pietrangelo" <bobp3@comcast.net> wrote:

> Hello, and Thank you in advance,
>
> What is the best way to determine your specific demographic of people to
> target market to? I am a small HVAC contractor looking into direct mail to
> a select demographic, but what should my criteria be. I have a general idea
> of who my current customers are, but are my eyes open to the demographics
> that could lead to more customers. How do I confirm, how do I search?

The way the big dogs do it is by testing. Get mailing lists
from across the board, and try a few hundred from each group.
Keep track of how people find you, perhaps by having a different
web address for each test group, and different phone numbers for
each test group. Figure out what groups are responding the best,
and then hit them with the full mailing list.

-john-

--
================================================== ====================
John A. Weeks III 952-432-2708 john@johnweeks.com
Newave Communications http://www.johnweeks.com
================================================== ====================

--


www.miketurco.com
(310) 265-7167
(310) 365-1959 (cell)


"Bob Pietrangelo" <bobp3@comcast.net> wrote in message
news:ctk3io027ml@enews1.newsguy.com...
>
> Hello, and Thank you in advance,
>
> What is the best way to determine your specific demographic of people to
> target market to? I am a small HVAC contractor looking into direct mail
> to
> a select demographic, but what should my criteria be. I have a general
> idea
> of who my current customers are, but are my eyes open to the demographics
> that could lead to more customers. How do I confirm, how do I search?

Experiment. Pick two or three targets, send them an equal number of mailers
and see which group does best. That is an expensive test, because you will
have to mail thousands of letters, but it is a valid test to perform.

Another good idea is to see what your competitors are doing. Where are they
advertising? What works for them?

A though may be for you to better penetrate what you already know is a good
market. You're already mailing this group (presumably). Add another form of
advertising, be it flyers, cold calls or whatever.

Mike

From my perspective it seems that people are inclined to contact the company
that did the initial installation, so new home builders would be a logical
market to pursue first. Older, more established construction companies will
probably be dedicated to their existing subcontractors, but where I live new
ones are coming along all the time. I know my hubby is currently looking for a
sub that handles Trane. Succeed in this market and you might end up with more
than you want. :-) Take care - Sue

In article <ctk3io027ml@enews1.newsguy.com>,
"Bob Pietrangelo" <bobp3@comcast.net> wrote:

> What is the best way to determine your specific demographic of people to
> target market to? I am a small HVAC contractor looking into direct mail to
> a select demographic, but what should my criteria be. I have a general idea
> of who my current customers are, but are my eyes open to the demographics
> that could lead to more customers. How do I confirm, how do I search?

In my area, the companies that do new homes are usually different than those
that handle typical service, upgrades and replacements. The installing
companies are usually large operations and have a small service team to
handle warranty work. They get few return customers and maybe a few service
contracts after warranty because they are quite poor at customer service.
They don't really care too much because they can barely keep up with new
builds. They work cheap and work on quantity. The first thing people do is
seek out a smaller, service oriented company.

If I was a small contractor in my area, I would focus on two types of
customers.

1. Newer developments where residents are approaching the end of their
warranty period. Just a few phone calls can determine brand of equipment and
warranty info. Then hit the development hard with direct mail pushing
service contracts, maintenance and repair.

2. Older neigborhoods going through "conversion". You know them well.
Neighborhoods of smaller homes that are being expanded into large homes.
Huge additions, additional levels... or both. In these neighborhoods, market
directly to the homeowners, even though the builder usually selects the
contractor. Let the homeowner know that they CAN select the HVAC contractor.
Then tell them WHY they should select you: Small company with outstanding
customer service... attention to detail... fast, personal service... etc.
List everything that sets you apart from the big boys.

Ultimately, you have to decide what you want your target market to be. What
can you do best?


"Sue Goodman" <sgoodman@ahec.ufl.edu> wrote in message
news:ctlpie017qg@enews3.newsguy.com...
>
> From my perspective it seems that people are inclined to contact the
> company
> that did the initial installation, so new home builders would be a logical
> market to pursue first. Older, more established construction companies
> will
> probably be dedicated to their existing subcontractors, but where I live
> new
> ones are coming along all the time. I know my hubby is currently looking
> for a
> sub that handles Trane. Succeed in this market and you might end up with
> more
> than you want. :-) Take care - Sue
>
> In article <ctk3io027ml@enews1.newsguy.com>,
> "Bob Pietrangelo" <bobp3@comcast.net> wrote:
>
>> What is the best way to determine your specific demographic of people to
>> target market to? I am a small HVAC contractor looking into direct mail
>> to
>> a select demographic, but what should my criteria be. I have a general
>> idea
>> of who my current customers are, but are my eyes open to the demographics
>> that could lead to more customers. How do I confirm, how do I search?
>
>
>

Hi Bob,

Start by creating your Ideal Client Profile which
will include the minimum amount they should
be willing and able to pay for your services.

Then find prospects who fit that profile by
either creating a house list or renting a list.
Since you only work with local clients, look at
neighborhoods that have a high density of your
ideal clients.

Start with one to three target neighborhoods and
send them your direct mail campaign.
You need to mail to them consistently at least
three times.
Offer a special promotion to them and put a
deadline on it to encourage a quicker response.


Wishing you continued success,

Tresaca
http://www.blackunicorninc.com

"Bob Pietrangelo" <bobp3@comcast.net> wrote in message
news:ctk3io027ml@enews1.newsguy.com...
>
> Hello, and Thank you in advance,
>
> What is the best way to determine your specific demographic of people to
> target market to? I am a small HVAC contractor looking into direct mail
> to
> a select demographic, but what should my criteria be. I have a general
> idea
> of who my current customers are, but are my eyes open to the demographics
> that could lead to more customers. How do I confirm, how do I search?
>
> Thanks,
>
> Bob
> --
> Bob Pietrangelo
> bobp3@comcast.net
>
>
Bob,

While you are selecting your demographics (a good idea), don't forget your
geographics. No small business can afford to service too large a
geographical area. You can go broke driving to and from the job sites. A
fairly easy concept, but I know both real estate agents and small
contractors that had lots of business, but couldn't make any money. When
all you have is time and expertise, you can't afford to waste any time.

Take a minute to look at your existing business. What kinds of customers
did you enjoy working with? What kinds of customers showed the best profit?
What kinds of customers paid on time? What kinds of customers produced more
work by referral? What do these groups of customers have in common - in
terms of geography & demographics? When you find good combinations with
demographics in common - and in a supportable geographic area - then you can
buy an appropriate list or employ a mailing house that can target the
combination for you.

If you do the mailing yourself, be sure to remember (or find out) what the
"drivers" were for the customers representing your target audience - things
like price, speed of response, quality of work, your reputation, your
references, and so on. You'll be more satsified with the results.

Good luck in your business.

George

Bob,

For information on HVAC use by a number of demographic characteristics,
there are several good sources of information. One is the Department of
Energy's 2001 Residential Energy Consumption Survey which can be
accessed at this site:

http://www.eia.doe.gov/residential.html

You can also look on my site, nSpend.com, for online consumer spending
data. Try the category:

heat, air conditioning, electrical services for owned homes

Just sign up and use your free point to check out the category.

Sky Eckstrom,
http://www.nspend.com