Leadership
Custom Home Building: Is It You or Is It the Market?
Why are some builders growing by 20 percent or more while others are hitting 5 percent or less? Why are some phones ringing while other companies are scrambling to generate leads? There is enough evidence of strong growth in this recovery that you really should ask, “Is it me or is it the market?” In most cases today, it’s you.
The last several years have been very challenging, but in the past 18 months or so most good businesses have seen a substantial increase in lead flow and more predictability in sales forecasts. So there appears to be a real separation between those companies seeing very positive results and those struggling with modest or flat growth. Whether you fall into one category or the other, you need to consider that it is you and the overall health of your business that needs to improve, not market conditions, if you want to be more successful.
Previously, I wrote a column that played off Jim Collins’ book “Good to Great“ by looking at some great companies that were slipping and becoming average. Take a snapshot of yourself and your company from five or 10 years ago. Have you seen your stock rising or falling? Is your business much better today? If the answers are “yes,” then keep doing what you are doing. If on the other hand the answers are “not sure” or “no,” then the following questions/insights may help.
1) Are you a strong leader? A great leader inspires the team, has a clear vision, and understands the strategies required to get there. A great leader is highly respected by team members and the community. Strong leadership is learned like any skill, so how much time are you devoting to becoming a great leader?
2) The right product: If you truly understand your client base and what they care about today (which is very different from several years ago), then you need to have the right product that meets their needs. Your sales team needs to respond to your clients’ priorities and how they buy today to be successful. Again this is not about market conditions; it is about how you respond to the new world we currently live in.
3) The right pace: We all are time-starved. Your clients have a new expectation when it comes to time. Today you need to respond to clients within an hour of their call, and then get back to them within a couple of days, not weeks, with a proposal. Some clients have a greater sense of urgency and you need to adapt (not corrupt) your process to meet their scheduling needs. Great businesses understand that the client’s fears and anxieties are the real competitor. Being able to address these is the key to being successful.
I could list many other attributes required to be successful today—positive attitude, understanding your numbers, engaging strategic alliances, investing in your team—all of which are areas of the business that you control. If you can look in the mirror and stop asking, “When is it going to get better?" then you are taking the first big step toward positioning your business to be more successful. CB
Mark Richardson, CR, is an author, columnist, and business growth strategist. He is the author of the best-selling book, “How Fit is Your Business,” as well as his latest book, “Fit to Grow.” He can be reached at [email protected] or 301.275.0208.