Stone People: Countering the Market

One of his contractor-clients is a townhome constructor who builds his units to the drywall, then will finish a unit in two weeks once his buyer is ready to close the deal.

“He has to have somebody who can respond quickly with inventoried products and quick stock,” says White. “He’s not going to find that very many places.”

Click photo to enlargeIt’s also a relationship where the contractor is willing to accept a price increase if necessary because he isn’t going to get the same level of service elsewhere.

TAKING CARE OF BUSINESS

When it comes to marketing, and even his overall business philosophy, White says he’d much rather take care of what he has than beat the bushes for new business.

Of course that’s easy to say when you’ve been in business for more than three decades, and he readily admits that a lot of remodeling jobs come his way because Cache Valley successfully did a kitchen or bathroom 15 or 20 years ago.

However, he likes to build the same long-term relationships with contractors. If someone hasn’t used Cache Valley over the decades, he observes, it’s unlikely a little bit of advertising or a cold call is going to change their minds.

“I’d rather sit back and let people come to us, and then take care of what comes through the door,” he says.

While speedy turnarounds fit in that compartment, White explains that also means fixing problems, correcting mistakes, and making sure every client is happy.

Click photo to enlargeHe’s much-more-interested in spending his marketing dollars on sponsoring programs at the local schools, making sure the business maintains a good sign, and keeping employees in logoed gear. And, he’s invested in his company website.

“You can’t sell countertops or cabinets over the Internet,” White believes. “You can educate customers, and in that way it can be an incredibly powerful sales tool, as well as a low-cost way for people who don’t know you to find you. We invested in a powerful website, and it’s paid for itself for an awfully long time.”

One thing White says he’s fought against being is the low-price leader in his market. He says it was particularly difficult early in the recession, when would-be clients would come to the shop asking him to meet or beat a competitor’s low bid.

Of course, many people who went with the low-priced option are now calling him when they have problems … as the shop that sold and installed the countertops is no longer in business.

“I’ve always felt the place we need to be is the best value, which I define as offering the best quality and service for the best price,” he says. “The people who are looking for that are also the kind of customers I want to have.”

That’s not to say White hasn’t done some adapting of his pricing and product strategy, though. Rather than turning to his lower-priced options, he says a lot of contractors want to be able to say they offer granite in their kitchens, and he’s found a way to oblige.

“We’re doing some townhome projects that are 2cm with a flat-polished edge,” he says. “We look at it and think that’s pretty basic, but the contractor has found buyers who don’t care and probably don’t know the difference between 2cm and 3cm. They’re just thrilled to have granite in the unit they’re buying.”