Safety Tips for the DIY Dad

With summer shortly upon us, it’s a great time to be reminded about home-reno safety. It’s the time of year when many fathers are on the cusp of getting (or getting out) tons of tools, renovation gear and outdoor products and ready to tackle home projects after being cooped up all winter. These home-reno dads (and divas too) may likely have toddlers and small children around them watching what mom and dad are doing. It’s the perfect time to set a safety precedent while they are doing their home repairs!
DIY’er are most likely making their “to do” lists – and checking it twice – ready to tackle the home and yard projects that have been put off all winter. Itching to get out the circular saw, nail gun or drill, what most DIY’ers often forget to grab is the important safety gear that should be top of mind before flicking the “on” switch or getting started on the project.
For years it’s been “drilled” into our minds to wear seat belts in the car or a helmet when on a bike ride, yet when it comes to wearing protective eye gear or ear muffs when using dangerous and loud equipment like a saw or running a compressor, weekend warriors have an invincibility attitude when it comes to home repairs.
Too many times even the simplest home project go awry, most of which could have been easily prevented with some sort of safety gear. What DIYers fail to remember is that no project is too small – it can be the smallest piece of wood that can puncture an eye, a loud sound that could damage hearing or miniscule dust particles that could affect a respiratory system.
Wh’Eye Not?
Do you like to watch the beautiful sunset? See your kids play at the park? Well, something as simple as throwing on a pair of safety glasses* can ensure a lifetime of sunsets and smiles from loved ones. From mowing the lawn to cutting baseboards your eyes are valuable – why not protect them?
Say What?
The Canadian Hard of Hearing Association says one in 10 people in Canada have some degree of hearing loss, and for people over 50, the number increases to one in five. Why increase your chances of early hearing loss simply because you didn’t want to throw in a pair of plugs or wear sound muffs*? Toss on a pair of so you can drown out the lawnmower or table saw in style!
Lung-evity
Often home projects involve some use of toxic fumes like paint, adhesives, sawdust and other nasty particles that will weave their way into your system as you work – it’s as simple as throwing on a mask to prevent this from happening – not to mention looking super cool while you work! Become a home-renovation fashionista in your multi-purpose respirator*– ok you might look more like Darth Vader but your kids will think you are the best!
Other tips to consider when home safety is involved:
· Before you start a project prepare – know what you are going to need in terms of tools and make sure you have the appropriate safety gear on hand to compliment the project
· Remember to set an example – your kids are little sponges – show them that you care for them by caring for yourself and make it a standard to be safe
· Remember that you aren’t just a handyman doing some work around the house –you are also a sibling, friend, spouse, parent, or supervisor and those “someone’s” are counting on your safety
· Learn about the materials you are going to be using for your project, and the best way to work with them
· Make sure you concentrate and stay focused when working with tools or machinery – even a moment’s distraction could lead to harm
· Don’t get in “over your head” – if the project is too large or too complicated for your skill level, either take a course to upgrade your skills, or trust in the experts
· Don’t take your health and safety for granted; all it takes is a simple slip or error

Understanding Permits

As a homeowner, you are not legally permitted to perform your own renovation work, with the exception of the electrical, but it is strongly recommended amateurs not do this as disastrous results can occur.
You are legally responsible for obtaining any building permits required. However, your renovator should look after this on your behalf, specifying which permits are required and who will get them. You will need to provide a letter of authorization before your renovator can apply for a permit for your renovation.
A reputable contractor hires licensed trades to do your work.
Any structural, heating, plumbing, electrical, gas or sprinkler changes require a building permit from the City. Avoid any contractors or designers who tell you otherwise. They must have a Building Code Identification Number to apply for a building permit.
A permit is for your protection. Permits are based on building codes to promote health and safety, and structural integrity.  Some minor cosmetic changes may not require a permit. Confirm with your renovator or check with your municipal building permit office to be sure.
When do I need a permit?
Generally, a building permit is required for renovations that involve changes to the structure or systems of your home.
Types of Permits
Whether you are building or renovating your home, there are basically five types of permits that may be required.
Building Permits
Permits may be required for many repair, renovation and addition projects in existing homes.
Renovating a Strata Lot
If you own a condominium or a townhouse, you may be subject to your strata bylaws and restrictions.

Wireless Thermostats

Hard-wired (Line voltage) connections between heating/cooling equipment and thermostats have many limitations that can now be overcome with wireless technology. Wireless thermostats add the flexibility to control the temperature in one or more locations of your choosing. They are ideal for equipment retrofits, additions, and for overall improvement in HVAC performance in new home construction. Wireless systems typically consist of the wireless thermostat (sensor) itself and a receiver. Most come with one or more remote controllers.
Wireless technology is replacing hard-wired components in almost every area of our lives. The wireless thermostat is no exception as attested to by the offerings of several manufacturers. The typical set-up includes the wireless thermostat itself plus one or more receivers and/or remotes. The receiver can be a wall mounted device connected to the equipment or it may be integrated into an AC plug controller. The systems on the market also offer variety in their configurations. For example, the basic system comes with the thermostat and a receiver. The wireless thermostat can be located anywhere in the home. More options can then be added to increase the level of control and convenience. Multiple thermostats or receivers can be added to allow control of a single HVAC system from multiple locations, or multiple pieces of equipment could be controlled from the same system (e.g., multiple window units or baseboard heating units).

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Attributes

	The less complicated systems will operate similar to a conventional thermostat system. In either case, there will likely be initial installation cost savings, especially for retrofits.
	The manufacturers claim significant savings in energy use due to better control over the system. Depending on the system you are comparing, the complexity of the system and corresponding level of control, claims of energy savings can exceed 20%.

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Ease of Implementation

Wireless thermostat products are widely available through local HVAC suppliers and direct from manufacturers over the internet. The contacts below will be helpful in obtaining specific information about individual products. A search on the key words "wireless thermostat" at Google.com or another internet search engine will yield numerous additional contacts.
The main limitations with wireless thermostats appear to be on the user side. Homeowners will need to become accustomed to periodic replacement of batteries. Likewise, some of the set-up programming may be intimidating to users.

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Initial Cost  

The cost of wireless thermostat systems varies by system and the desired level of control and convenience. Several of the basic systems with one remote and one receiver, used in much the same way as a conventional thermostat (controlling the entire home or one zone from one location), retail from just over $200. As more control (number of zone, remotes, or pieces of equipment) is added, the systems quickly become much more expensive.

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Operational Cost  

Unlike line voltage thermostats, periodic replacement of batteries is an added cost of wireless thermostats. Types of batteries vary by manufacturer. Two "AA" lithium batteries used to power several of the thermostats have a life of six to 12 months and cost about $7 a pair retail. At least one system has an optional plug adapter to eliminate the battery requirements, although this feature reduces the flexibility of the system by limiting the locations for installation.

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U.S.Code Acceptance

Any wiring of low-voltage receivers should meet the National Electric Code or other appropriate code requirements. Likewise, plug-in devices should be listed by a code-approved organization. These requirements are similar to those for standard-line-voltage thermostats. However, the wireless feature introduces some Federal requirements. Wireless thermostats on the market are required to list that they comply with FCC Rules under Part 15.

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Field Evaluations

Not Applicable

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Installation

The installation of a wireless thermostat depends on the complexity of the equipment and the desired level of convenience. In a very basic retrofit installation of a central heating/cooling system, a receiver can be wired directly to existing wiring from a line-voltage thermostat. The wireless thermostat can then be placed anywhere in the building and is easily wall mounted with screws. With some systems, the wireless thermostat does not need to be mounted at all. It can be placed near your bed, on a table, or in any location of your choosing. Control of window units or baseboard units can be accomplished through plug controls offered by various manufacturers. For new homes with a central furnace or AC unit, a receiver is typically located in the utility room and wired to the equipment.
Control of multiple pieces of equipment or temperature control from multiple locations usually only requires wall mounting of additional wireless thermostats or insertion of plug controls. In these cases, the most complicated part of the installation is the programming to set up the system for operation, not the physical installation of the receivers and sensor units (thermostats).

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Warranty

Warranties are anywhere from 1 to 5 years depending on manufacturer.

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Benefits/Costs

The convenience of installing a system with wiring behind the walls is one the largest benefits of this technology. Another is the flexibility to place the thermostat in any number of locations. A third benefit is the ability to add higher levels of control without much effort. The manufacturers also claim significant savings in energy use due to better control over the system. Depending on the system you are comparing, the complexity of the system and corresponding level of control, claims of energy savings can exceed 20%. The less complicated systems will operate similar to a conventional thermostat system. In either case, there will likely be initial installation cost savings, especially for retrofits.

Fed Chief Says Depressed Housing Slowing Economic Recovery

Someone in Washington seems to have noticed the connection between housing and the disappointing performance of the U.S. economy.
In a recent speech, Federal Reserve Chairman Ben Bernanke noted that “the depressed state of housing in the United States is a big reason that the current recovery is less vigorous than we would like.”
These remarks were made as the economy stumbled into another “soft patch,” unable to maintain the momentum that appeared to be building at the end of 2010. Economic activity has been weaker than expected this year, with housing, at best, “bouncing along the bottom.”
One of the bright spots since the beginning of the year, the labor market lost momentum in May, with a big falloff in job growth and the unemployment rate edging up.
Surprisingly, residential construction added jobs in May, stemming from an increase in home improvement and maintenance, sectors that also supported an increase in residential construction spending despite further declines in single-family and multifamily construction spending.
Falling house prices — a major factor behind weak housing demand and housing production over the past 12 months — remained a problem in the first quarter of 2011, with Case-Shiller house price indexes sinking to new lows; 12 of the 20 cities in the Composite 20 index fell to their lowest levels yet in the current housing cycle.
Housing and the economy face more hurdles in the months ahead with the second round of quantitative easing set to end at the end of June and lower GSE (Fannie Mae and Freddie Mac) and FHA loan limits scheduled for the start of October. Both are likely to further depress the housing market by increasing the cost of mortgage financing and putting additional downward pressure on house prices.

Housing Starts Gain 3.5 Percent in May

Nationwide housing starts rose 3.5 percent to a seasonally adjusted annual pace of 560,000 units in May, according to newly released figures from the U.S. Commerce Department. The gain partially offsets a larger decline that was registered in April.
"While the upward movement registered in today's report is somewhat good news, housing production continues to bounce along the bottom near historic lows, and is only running at a level necessary to replace dilapidated or destroyed units," said Bob Nielsen, chairman of the National Association of Home Builders (NAHB) and a home builder from Reno, Nev. He also noted that "Amidst this fragile marketplace, the nation's policymakers should be aware of a recent poll that confirms the strong value that most American voters continue to place on homeownership and housing choice."
Conducted this May on behalf of NAHB by Public Opinion Strategies of Alexandria, Va., and Lake Research Partners of Washington, D.C., the poll asked 2,000 likely voters about their attitudes on homeownership and housing policy. It found that the vast majority of current home owners are happy with their decision to own a home and believe that owning their own home is important, while nearly three-quarters of those who do not now own a home consider it a goal of theirs to eventually buy one. Additionally, the poll determined that 73 percent of owners and renters believe the federal government should provide tax incentives to promote homeownership. Details on this poll are available at www.nahb.org/voterpoll.
"Like consumers, builders remain very concerned about the pace of economic growth and are awaiting signs of improvement before moving forward with new projects," noted NAHB Chief Economist David Crowe. "The relative bright spot in new-home construction is on the multifamily side, where improving demand for rental apartments is spurring gains in that sector. However, access to construction credit remains a limiting factor for new building."
Single-family housing starts rose 3.7 percent to a seasonally adjusted annual rate of 419,000 units in May – their strongest pace since this January. Multifamily starts rose 2.9 percent to a 141,000-unit rate in May.
Regionally, housing production rose 1.5 percent in the South and 18.1 percent in the West, but declined 3.3 percent in the Northeast and 4.1 percent in the Midwest in May.
Issuance of building permits, which can be an indicator of future building activity, rose 8.7 percent to a seasonally adjusted annual rate of 612,000 units in May. This was the strongest pace since December of 2010. Single-family permits were up 2.5 percent to a 405,000-unit rate, while multifamily permits rose 23.2 percent to 207,000-units – their best pace since October of 2008.
Permit issuance posted double-digit gains in the Northeast and West in May, rising 35.6 percent and 15.1 percent, respectively. The South also posted a gain, of 3.5 percent, while the Midwest registered a 1.1 percent decline.

http://www.homeproductsinc.com/

Checklist for Finding and Hiring a Builder or Remodeler

Programmable Thermostats

Programmable thermostats save energy by permitting occupants to set temperatures according to whether the house is occupied. These thermostats can automatically store and repeat settings daily with allowance for manual override. By eliminating manual setback, which is easy to forget, they allow the setting of more comfortable temperatures in the morning before occupants wake. Temperature setback can be adjusted for both heating and cooling seasons.
Programmable thermostats can be set to adjust the temperature setting according to a user's schedule. These thermostats typically have a digital interface that allows more precise temperature control and a wider range of options or features.
Programmable thermostats typically offer a number of programming options:

• Daily programming that allows one schedule to be used each day.
• Weekday/Weekend (5/2) programming that allows adjustment of timing for setbacks with different settings for weekdays and weekends, and with 5/1/1 programming that permits separate schedules for Saturday and Sunday.
• Full seven-day programming that permits a different setback schedule for each day of the week.

Other special features depend on manufacturer and model and may include the following:

• Vacation Override, which allows temporary override of the programmed settings.
• Keyboard Lock, which prevents unauthorized changes to the preprogrammed settings.
• Low Battery Indicator indicates whether the battery used to hold the programmed schedule is low.
• An Energy Monitor that can keep track of how many hours the HVAC system has run for any selected time period.
• An Auto Season Changeover that automatically provides heat or cooling at the onset of the heating and cooling season.
• A Filter Change Indicator that goes on after a pre-set time period to remind when it is time to clean or replace the filter.

Different types of heating/cooling systems may require different types of programmable thermostats. For example, heat pumps require programmable thermostats that minimize the use of less efficient auxiliary electric resistance heating. Only a few companies manufacture line-voltage setback thermostats that directly control 120 volt or 240 volt line-voltage circuits connected to electric baseboard electric heaters. When purchasing a programmable thermostat, it is necessary to insure the thermostat is compatible with the HVAC system.

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Attributes

	While some thermostats can appraoch $300, the money saved can offset the initial cost of the thermostat over a year or two's time.
	By allowing the homeowner to program a schedule, these thermostats turn off the HVAC systems when they are not needed. This reduces the energy consumption of the home by not conditioning the house when it is not needed.
	In addition to saving energy, ventilation can be programmed into the thermostat's setings to provide fresh air to the house at important times.

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Ease of Implementation

Programmable thermostats are readily available from various HVAC contractors/suppliers and home centers. The EPA maintains a list of ENERGY STAR® labeled programmable thermostats.
In order to receive the ENERGY STAR® label, thermostats must have at least two programs (one for weekdays and one for weekends), four temperature settings (two "normal" settings and two set-back settings for each day), a hold feature that allows users to temporarily override settings, and the ability to maintain room temperature with 2°F of desired temperature.

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Initial Cost  

The cost of programmable thermostats varies from $30 to as much as $250 or more, depending on the desired features. Models designed for heat pumps are more expensive due to the need for two stage heating.

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Operational Cost  

Not Applicable

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U.S.Code Acceptance

Utility companies or government agencies in some areas may provide incentives or rebates for installing programmable thermostats.

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Field Evaluations

The technology "Programmable Thermostats" has been evaluated by PATH. The hyperlink for the field evaluation is listed below:

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Installation

The installation of most programmable thermostats is relatively safe and simple because they are connected to low-voltage wiring, but may become complicated if such wiring does not already exist. Only qualified electricians or HVAC contractors should install line-voltage programmable thermostats for electric baseboard heaters because the wiring carries higher voltages.

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Warranty

Programmable thermostats typically come with a 1 year limted warranty. However, Honeywell offers 5 year warranties for thermostats that must be installed by a professional.

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Benefits/Costs

Energy savings depend upon the extent of daily variation in local temperatures and the setback settings. Department of Energy (DOE) estimates, however, that cost savings of approximately 10 percent per year are possible for heating and cooling by setting temperatures back to ten to 15 percent of the comfort level eight hours each day. Electronic-programmable thermostats are far more accurate than older, manually programmed thermostats, and provide better control and comfort. For example, manually set thermostats might allow temperature variations of up to five degrees, while newer electronic thermostats are generally accurate to within a one degree.
Limitations on use vary according to HVAC system type. For example, turning the heating temperature back in heat pumps will often cause the auxiliary electric resistance heating to turn on, defeating any potential energy gains. The digital interface for some electronic thermostats can be somewhat complicated to program, although manufacturers are making programming easier.

Most clients have difficulty visualizing how their remodeled space might feel so Mike Beganyi, a Burlington, Vt.–based designer and consultant, began using a free online program to help him share 3-D models with clients.

In his nearly seven years of presenting work to homeowners via the Web, Beganyi has found that not everyone wants to load a 3-D modeling program, nor do they have the technical know-how to get around in new software. The solution: He exports the model as a 3-D PDF. “Ninety percent of most newer computers have some form of PDF reader installed — which means most folks can open these drawings with basic computer knowledge,” he says.

Beganyi develops a 3-D model of a project by roughing out rooflines, windows, doors, and structural components using AutoCAD and Google SketchUp. SketchUp allows him to shade the model and present the client with what he calls “soft and sketchy” drawings that “take the hard edge off the typical 2-D paper printed plans that most folks have a hard time reading.” To share these models with clients Beganyi uses a plug-in (simlab-soft.com/3d-plugins/3D-PDF-from-sketchup-main.aspx) with SketchUp to generate the 3-D PDF.

He sends clients instructions so they can wander through their project virtually and usually “walks” with them over the phone. Using a mouse, clients can turn the image to get a sense of what it might be like to move through rooms, and designers can save specific views to a pull-down tab for easy navigation. Design changes can be highlighted or annotated and you can click on areas to take 3-D measurements.

Not only is it “a great way to communicate design intent,” Beganyi says, but “the clearer the picture a client has of the project, the easier it is for them to make an educated decision about the design, costs, and overall process.”

Good Word

Carpet cleaning companies, gyms, and cable companies do it. Even your dentist does it: $25 off the price of your next teeth cleaning for each new patient you refer.

Five years ago, it might not have mattered if you rewarded those who refer you, says Beverly Koehn, author of Loyalty is Love, a book on customer satisfaction in residential construction. Today, she says, you need to give them a reason to want to. “It’s not their job to build your business,” Koehn says. “If you do an exceptional job and ask, you’ll get referrals. But if you just do an exceptional job and never make the effort [to ask for referrals], you may get some but not many.”

What you’re asking for is a favor, and a reward acknowledges the favor. What the reward consists of depends on you, your company, its resources, your clients, and what you’re comfortable with. Whatever the incentive, it should be consistent.

It takes work to create a system and work to sustain it. But the experience of many contractors shows that a well-designed and consistently managed system regularly yields leads. And the more referral business you get, the less you’ll need to spend on your overall marketing.

4 Types of Referral

Not all referrals are alike. We asked sales and marketing consultant Chuck Anton to define the different types of referrals:

1. Direct The customer connects you with the prospect and endorses your company.

2. Indirect The customer gives you permission to use his name, but otherwise takes no action to connect you to the referral prospect. It’s up to you to make the first move. It’s “not a great referral, but it’s better than no referral.”

3. Unqualified You have a name, but you don’t know whether or not the prospect actually needs your product or service. “This is worst kind of referral lead and a waste of your time.”

4. Qualified You know the prospect needs what your company sells.

The referral you want, Anton says, is the direct, qualified referral because the client recommends your company and connects you with a prospect who needs your services.

How do you get it? Ask clients if there’s someone they know who needs your services and would they be willing to recommend you. Talk about your reward program as a way of saying thanks for that referral.

Referral reward programs, Anton says, get clients on your side and bring “the kind of referral you should be looking for.”

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[Step 1]

Gatekeeper

Before you put your program together, a few essentials must be in place: a database of past customers with contact information and some assurance that the work your company does is so consistently good that just about every client would want to recommend you.

Close out every job with a customer satisfaction survey that ends with a question about whether or not the client would use your company again or would recommend you to others. Make someone — a marketing manager, office manager, or you the owner — accountable for managing your referral system.

Key to success: Track clients who refer and the outcome of those referrals (Lead? Appointment? Sale?) as well as rewards issued.

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[Step 2] 

Size matters

Are you rewarding clients who provide you with a customer contact (lead), an appointment, a sale, or a job that’s officially closed out? Size matters. If your business model calls for lots of small jobs — say window or roof replacement or handyman work — and you have others selling for you, you may want to reward just for leads.

Mark Kaufman, of Mark Kaufman Roofing, in Englewood, Fla., issues $50 gift certificates to clients who refer new business, regardless of whether or not those prospects buy. “It’s up to me whether or not I sell it,” Kaufman says. “And I want them to keep referring me.”

“You can have customers, you can have clients, or you can have advocates. In today’s economy, you need advocates.” —Steve Rennekamp, owner, EnergySwing Windows

On the other hand, if you’re a full-service remodeler or design/build company set up for big multi-trade projects, you’re not looking for hundreds of leads but for a handful of high-quality prospects. Rewarding for jobs that are actually sold will help ensure that clients steer that kind of lead your way.

Key to success: Set a target in leads or in percentage of revenue, and a time for achieving that goal.

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[Step 3]

Something suitable

Cash, check, gift cards, gift baskets, baseball tickets, restaurant vouchers — remodeling companies reward in many ways. Remember that beyond saying thanks, the goal is to motivate clients to refer again. The point is not to just give something away but to create a feeling.

You can increase the likelihood that people will talk you up by making the reward something memorable that clients wouldn’t ordinarily buy or do on their own. Jackson Design & Remodeling, in San Diego, rewards not leads but appointments, and offers clients who refer the company a multi-tiered “Client Adventures Program.” Accessible by password through the company website, program rewards include balloon rides or a limousine tour of the California wine country. The program “solidifies the relationship,” JDR marketing director Coco Harper says.

Ed Cholfin, of House Doctor, in Atlanta, advises a gift that “shows you’re thinking of the client on an individual basis.” As a thank you for the large job they referred, he sent a couple fond of golfing to the well-known golf resort Reynolds Plantation, in Greensboro, Ga.

Key to success: Personalize the reward with a note or a follow-up phone call.

The Setup

A good way to approach setting up a referral reward program is to consider where you want it to take you. Say, for instance, that one-third of your business is already generated by referral or repeat customers, you have no referral program, and you’re spending 4% of revenue on marketing to generate the remaining two-thirds. If you design a rewards program to double referral and repeat business, you could cut your marketing costs in half (to 2%) and still do roughly the same amount of business. Or, you could continue spending 4% on marketing and watch your sales grow.

Yes, the referral program will cost you something, but referral leads close at a far higher rate than leads from home shows, magazine ads, or yard signs. The client who refers a friend likely does so with glowing descriptions of their experience with your company. The referral gives the prospect a vote of confidence in your firm that no other type of marketing or selling can. Plus, you get first crack at prospects before they talk to other companies. In the end, the referral rewards program will save more than it costs.

So, do you want to do more business, close more business, or add 2% to the bottom line? Define what you want your program to accomplish for your company, then design a rewards program to meet those goals.

Perfectly Clear

The rules and terms of your reward program must be simple, spelled out step by step, and communicated to clients, staff, and trades for two reasons: It makes it easier for them to send you business when they know what they have to do to get rewarded, and it eliminates misunderstandings.

Create a letter, e-mail, or Web page (or all three) that spells out the steps clients need to take to earn a referral reward. Be clear about how clients should alert you (phone, e-mail, etc.) to the fact that they’re sending you a referral. Otherwise they may assume you know when you don’t. The prospect who’s referred should also confirm who suggested your company. To avoid confusion, explain whether you expect the referral to contact your company, or whether someone from your office will contact the prospect. Indicate what you’re rewarding and when you will deliver the reward. 

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[Step 4]

Broadcast it

Standard industry practice is to discuss referral rewards when the job is closed out. That’s the optimum time — when excitement and enthusiasm are at a pitch — but not the only one. Bob Sturgeon, at Westside Remodeling, in Thousand Oaks, Calif., talks referral before, during, and acknowledges referrals with movie tickets or a Starbucks card, more if a job results.

A good reward system should make you and your company top-of-mind to any client who knows anyone interested in remodeling. The more you publicize it, the more likely clients are to refer. All Pro Builders, of Fullerton, Calif., discusses its referral reward program in a thank-you letter to clients when the job is closed out, regularly mentions it in an e-newsletter and on its website, reminds yet again in a leave-behind packet, and spells it all out on a special business-card–size card distributed at networking functions, according to vice president Lisa Paniagua.

George Cleary, owner of The Cleary Co., in Columbus, Ohio, announces it from the get-go: “I tell people in my sales presentation: ‘I guarantee you somebody you know is going to become a client of ours,’” and 88% of the time, they do.

Key to success: Make your reward program part of the ongoing customer conversation.

The 1% Solution

James Barton Design-Build has a program called “You Refer, We Reward” that pays clients who refer business 1% of the contract amount. “We spend between 4% and 5% of gross sales each year on marketing. If we can retain or get a new customer for 1%, then we have saved substantially,” owner James Madsen says. Jobs range from $10,000 to $1 million, though average job size is about $100,000. Madsen says that 80% of James Barton D/B’s business comes from repeat and referral. The company spells out the details of its referral program online.