Competition is Bad for Business

 

Idealists want to believe everything should eventually equal out the same because of competition. While competition does bring some balance to the market, the truth of the matter is nothing is balanced. 

 

Balance is a theory. Business doesn't operate on theories; business operates on facts.

 

Here's a few of the facts we've been discussing in our private, paid Mastermind forum on Facebook:

 

 

FACT: Some roofing companies are better than others at satisfying customers. 

 

FACT: Some roofing companies will attract a higher percentage of the overall work available in any given storm or marketplace.

 

FACT: Some roofing companies buy their expenses (e.g. labor, material, utilities, etc.) lower. These companies cost less to produce the same, or similar, work as their competition.

 

FACT: Some roofing companies make much higher profits than their competition.

 

   - Higher profits lead to more investment in producing a service that is superior, and has a stronger appeal, to future customers.

 

   - Higher profits lead to stronger marketing and sales efforts.

 

   - Higher profits helps attract and train the best help in the market because the commissions are better.

 

   - Higher profits keep the owners invested and active in growing the business.

 

   - Higher profits attract lower costs, lower interest rates, and increase future opportunities for greater market control.

 

FACT: Some roofing companies can offer better value for the money a customer invests, while still maintaining greater profits and growing market share.

 

FACT: A roofing company that does not stay on top of their market advantages will eventually lose those advantages to the next closest competitor who innovates to find a way to provide the same, or similar, service in a way that is better, faster, and cheaper.

 

 

FACT: "A well-established roofing company can walk away from the game of 'let's make a deal' and still make good margins on their investments." (Kevin Barrelle, Barrelle Roofing)

 

FACT: "Higher margins are always more favorable than higher volume." (Thomas Cutts, Resistance Exteriors LLC)

 

FACT: "Your competition will undercut you...just because." (Jim Walters, Exteriors Inc.)

 

FACT: "Constant hustle and hard work pays off. Playing the game legally and ethically feels good." (Jeff Sklar, Professional Salesman)

 

FACT: "Roofing companies like to hire canvassers with tattoos and metal piercings." (Brian Hergert, Professional Salesman)

 

FACT: "Everything that glitters is not gold." (Richard Duran, Peoples Choice Roofing)

 

FACT: "The customer is not always right." (Owen Shrock, Conklin Building Products)

 

✌ Mike