Thread Number: 13816
Vacuum Cleaner Biz 		[Down to Last]

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Post# 146428   8/9/2011 at 15:20 (4,635 days old) by vacu-finder ()        

I know some of you people run Vac business's. What is the best way to stay in Biz in these tough economic times. Especially after the issues going on in the USA.
I don't see anything at the end of the Rainbow for probably another 2-3 years.
Who in their right mind is going to buy High end Vacuums for $500.00 Plus.

Post# 146435 , Reply# 1   8/9/2011 at 16:17 (4,635 days old) by scvacuumguy (SC)        

scvacuumguy's profile picture
Customer service. Customer Service. Customer Service. Customer Service. Customer Service.

1>You have to first completely ignore the competition. Sure, big box stores sell vacuums, but they don't sell anything other than a big box. We sell friendship, knowledge, customer service, and personalized cleaning systems for the home.

2> My mother and father paid for everything until I was out of college. Now, it is up to my customers to pay my way through life. I treat them as well as I would my own mother and father.

3> Know your customers well. If I don't know you by name when you leave, then I have not done my job. Its nice to check up on customers' grandchildren, pets, children, etc. Customers like that and they keep coming back.

4> Community service is the best advertising possible. Buy girl scout cookies, support charity silent auctions, donate to churches, clubs, and make a big deal out of it when you do so- customers see that their money is being given back to the community. Most non-profits get free or steeply discounted vacuum cleaners. Those vacuum cleaners have stickers on them that say our name- people see those.

5> Treat every customer like they are your last. If they are green, blue, purple, orange, black white- if they are obnoxious, childish, happy, angry, or talkative- they get treated the same way. Whether someone is coming in just to ask the price of a single belt, or they are coming to purchase a pallet of commercial machines- we treat them the same way. People notice this, people talk, people listen to those who talk.

6> Everything must remain consistent. We don't bash their current vacuum cleaner- if it does not meet their needs, we sell them a new one. If they are in love with their 1992 Elite, we tell them that this is a great machine worthy of being serviced annually- and they agree. Thus, the customer leaves happy.

Finally-

In a 2 mile radius of my store, we have 5 big box stores (Bed Bath, Target, Wal Mart, Lowes, K-Mart). Compared to last year, the store grew by 500% in new vacuum sales, repair volume, and overall revenue. This was not by accident. Each employee is in charge of building value in the store, and providing top notch customer service. When you put the customer first, your success speaks for itself. Without a loyal following of satisfied customers, no small business will ever stand up in this economy.

Post# 146442 , Reply# 2   8/9/2011 at 17:02 (4,635 days old) by vacu-finder ()        
big box stores

 It's hard to convince people that throw away vacuums will break down sooner than later.
But they do not care.! They will go out a purchase another throw away for $60.00 to $120.00 and hopefully make it last 4 years, Oh Bagless machine at that and Never...Never,, will they buy a filter for the Bagless unit.
Heaven forbid they bought the unit in hopes of saving money on bags, Why on earth buy a filter..?
I worked in the Auto industry for years people will even cheap out on thier vehicles and not buy an Air filter in the hopes of saving money on fuel.
I have talked to many people and that is how thay look at it, Cheap, Convenient and throw away in the garbage. Out of sight - out of mind.

Oh Dear lets go to Walmart tonite and buy another Vacuum..!

Post# 146462 , Reply# 3   8/9/2011 at 20:21 (4,635 days old) by whirlsonicmore (South US)        

I'm dealing with the same people all the time, vacu-finder.

Things are tough, and not getting any easier. My quality machines, the better stuff, sits around much longer than most everything else. For a while, I refused to sell bottom-feeder Dirt Devils and Bissells. The way things are anymore, "price" is the only thing that matters.

If I have a vac for say, $139 (a reconditioned Super J), the people will walk by and say "I can buy a new vac for less than that". Then they'll look at a Kenmore I have for maybe $59, and it's "well, I can go to Sears and get a new one for only $30 more.

Quality isn't even considered. You can't win either way. Service is the only thing most of us have over the big stores. It's a tough argument with the average Joe.

Mainly two types of people keep this thing going for me.

The 90-year-old woman who refuses to use anything but a metal Electrolux canister.
The lady cleaning other people's houses for extra money, who's tired of using throw-away vacs.

If I had to rely on just the vac biz, it would have been given up long ago.
A shame, but that's just the way it is.

Post# 146469 , Reply# 4   8/9/2011 at 20:37 (4,635 days old) by vacu-finder ()        
Things are tough.......,

 Cheers to you whirlsonicmore, I think you hit it right on the nose.
Very well put about the vac biz in general. It is a tough racket, not like the old days or even 10-15 years ago.
The big part of this biz here is Central Vacuums, A huge market and much money to be made doing installs and service work.

Only problem No-body is building new homes. To much uncertainty and to many unemployed people. To many Vacant apartments, to many real estate listings and prices are dropping.

Having said that What else can a guy do to get a Vacuum business Going..?

Post# 146496 , Reply# 5   8/10/2011 at 01:10 (4,634 days old) by scvacuumguy (SC)        

scvacuumguy's profile picture
I may add that a true vacuum retail store and repair place normally has a selection of 30-40 new vacuum cleaners. Having this selection covers all price ranges, and usually makes sure you have something for everybody. I'm just not too clear on why any average consumer would want to go into a vacuum store today and buy a used vacuum cleaner.

Post# 146504 , Reply# 6   8/10/2011 at 06:28 (4,634 days old) by KirbyLover (Louisville Kentucky )        
big box and the internet

 I am into photography, which means buying expensive camera equipment. Nowdays people do not need to go to Bob's Camera shop to buy a DSLR, they can buy a basic one at Walmart. Best Buy carries a wider selection of lenses and mid to semi-pro gear (and can maybe order high end stuff I'm not sure). There are stores on the internet that undercut even big box stores, such as B&H and Adorama. They do have customer service just it's over the phone or email now, not in person (they do actually HAVE stores, but most of their business is on the net). In fact sometimes I do not even LIKE going into mom & pop stores, cause I feel like they are just watching that I don't steal anything if I am just browsing (there ARE good stores that are very helpful too, don't get me wrong.)

People like us that understand the difference between a $50 Dirt Devil and a $500+ vacuum also tend to have the ability to maintain and repair things. Do you think I would ever buy a BRAND NEW Kirby?? I spend $150 on my used G5 which works flawlessly, and I do not need to pay more. People don't like to read instructions and do not know what a filter is. They think "bagless" means you dump the cup and that's it.

I don't think it's so much an issue of big box vs vacuum shop, if the price was the same or lower people will go where the deal is. The problem is that was are living in a disposable society and people do not want to have to be bothered getting thing s "serviced" (unless it is a car, in that case it's just when absolutely necessary. (I'm one of those rare people that get my cars undercoated every year). Quite frankly it baffles me how so many people think they can afford a brand new vehicle when they depreciate so quickly, and they only keep them for a few years anyways!






Post# 146505 , Reply# 7   8/10/2011 at 06:40 (4,634 days old) by kirbyloverdan (Egg Harbor Twp . NJ aka HOOVERLOVERDAN ❤️)        
Well Dean I think

 kirbyloverdan's profile picture
you should listen to Christopher as it sounds like he has a very succesful Vacuum shop or just close your store because that seems like the direction you are heading .Positive thinking results in positive outcomes . Negativity gets you no where.Just a thought ...

Post# 146508 , Reply# 8   8/10/2011 at 07:22 (4,634 days old) by scvacuumguy (SC)        

scvacuumguy's profile picture
Another very popular way to avoid dealing in stuff they can buy online or at big box stores is to just not carry that same stuff. We sell Riccar which is territory protected and unavailable online. Royal is beginning to get very strict about what is sold online, which has allowed us to add to our Royal line. There are several other lines that are protected as well.

Whirlsonicmore- Are you a dealer of any exclusive lines? It sounds almost like you do repairs and have several "reconditioned" and used vacuums laying around for sale. That doesn't cut it for a store today- those stores are a thing of the past. People do not appreciate nor want to buy something reconditioned unless they are on a strict budget.

In terms of selling price- a good salesman is capable of building value and selling the product. To sell a $500 product, you must do a $1000 demo. Have you tried offering free service on stuff you sell? Offer complimentary filters for 5 years? There are so many different things that you could do to make your store a success. i'd love to see some pictures of your place as well.

Post# 146516 , Reply# 9   8/10/2011 at 10:00 (4,634 days old) by vacu-finder ()        
big box and the internet

 KirbyLover you also forgot to mention that the Vacuum industry as a whole has a very bad reputation for overly aggresive sales tactics and ripping people off..!

And this still goes on today it's just not as bad. But I know of one Dealer that stings customers left, right and center. That gives all the Honest Vac stores a bad name.
As far as independent vac retailers go, if you want after sales service you will not get that from the Bix box retailers.
I have done it all from cold calling, door to door selling and running a succesfull Store.
Years ago big box stores did not exist. When the Vacuum broke down you took it to either an appliance store or dedicated Vacuum shop.

Big box stores have ruined our grass roots way of life...........lets say hello to plastic throw away junk, simulated food products, scrap cars and the whole gambit.

Life was simpler in the 60's and we were much better off when Manufacturing was done in America not over seas.




Post# 146555 , Reply# 10   8/10/2011 at 21:24 (4,634 days old) by whirlsonicmore (South US)        

Chris,
When I had my "real" store, I sold Royal and Panasonic mostly, and did well. 2006 was the last good year. By 2008, things took a big downturn. Also, the strip mall my store was in went under new management, and the rent went up considerably. Sales weren't like the previous years. Comperable locations in the area were the same rent, if not more. I simply couldn't make it.

Right now I have a stand at a farmer's market and do okay there. The repair business has become very seasonal. Repairs are where the money is (and always have been - for me anyways). Doing mower repair and working part-time for someone else is what takes up the slack during the warmer months.


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