Annual Deck Maintenance?

[5 Star Johnny]

How many of you offer an annual deck maintenance program? My competitor's DO NOT, and we have built a sizeable, sustainable competitive advantage over them. Consider this:

For purpose of reference, we are certified ABR (American Building Restoration) and utilize all ABR product for our exterior wood restoration. After restoration we apply a 2-Step finish (X-100 prefinish & X-100 Deck Finish). With this option we offer the client a 5-year warranty if they choose to participate in the annual maintenance program. Annual cleaning and reapplication where necessary. Reapplication of product is usually very minimal in the first two years. There is an annual charge for this service, and we have had 95%+ participation from our deck clients.

Here's the beauty of the program. Assuming we do our job correctly and the client has us back through the 5-year program, we "lock out" our competition from getting on our client's property. We also get additional work from these clients over this period. Siding, cement, brick, etc. Additionally, each new deck done in a year becomes is added to the maintenance schedule for Spring. It also increases exposure in these particular neighborhoods. The neighbors see our trucks pull up each spring and start asking why Five Star is always there. "Well, they're our "deck guys"! Come every year so I don't have to worry about it." You get the picture...... The program, and revenue, grows exponentially.

Curious as to who else does this, or why you dont'. Also, what is your success/failure in this type of approach?

Thanks!

 

[bMOORECL]

good idea

Thats a good idea.Lets say you had a way,to stamp your deck,under the bottom.name of company,phone number,(maybe)And maintence date.That way the owner can keep up,with the maintence.And if the house is sold,BAM,BAM.You name is right there.

 

[5 Star Johnny]

bMOORECL - Interesting thought. Very out of the box.

We utilize contracts on EVERY job we perform. The contract details the pricing, work performed, legal jargon and the Annual Maint. Fee. The maint. fee is paid yearly and is an elective. If they choose not to participate in any given year, the warranty is null & void. Additionally, there is a clause that states: "Should the home be sold, the warranty transfers to the new owner if the original owner sells within the warranty period and notifies us within 6 months of the sale." This is a great selling point for the original owner, and they (or the realtor) can use it as a "hot button" for the hesitant buyer that sees the deck as a huge maintenance issue. NO ISSUE HERE NEW HOMEOWNER! Five Star will be here next spring to maintain your deck, and your warranty is in tact! Just give them a call.

Still looking for feedback on what you other guys do. What works for you - what doesn't?

 

[reedsterstl]

I offer a Free maintenance Tracking program. I keep track of when the deck needs light clean and reseal. I do this every 2 years. It is not a mandatory signed agreement. I offer it as a matter of convenience. I also tell the customer they are not required to participate, but if they do, the cost is at 1/2 the initiall cost and will not change if my chem prices do not. This has worked very well and most customers will call me the beginning of March, which is right before I start sending out maintenance letters.

reed

 

[ssplashman]

Deck maintenance

I was wondering what your contracts look like, how much you charge and so on?Any help would be appreciated,I would like to start doing this sort of thing with my customers.

 

[Aplus]

Ditto to what Reed said.

 

[deckrock]

We dont have any type of program, we just send reminder notices every other year (which has worked great this year, we sent out less than 40 letters and received about 11 responses so far).

Just wondering, for those who have a program, what do you charge, a % of what the job originally cost or a flat fee? Is there ever a fee involved if no work is completed?

I can't imagine a lot of people agreeing to a 5 year maintenance program, do they pay upfront or just when you need services within the 5 years? Are you making more money this way or are you just hoping that the customer doesn't call a competitor within those 5 years?

For those of you that come back the following year, are you rewashing and then sealing... or just sealing? I guess I am a bit confused. When you first do your sales presentation, don't you tell the customer that the sealer will last two years? We have a lot of competitors out here that say their product will last 3 years (we tell them 2). If you're telling them every two years, why come back the following year... doesn't the customer question it?

 

[crookedkut]

annual deck maintenance

about how much do you charge for a 16 x 20 deck? i mainly do vinyl and i have had customers ask me if i offer a deck maintenance plan, i just wouldnt know how to bid a job like that and not get burned

 

[5 Star Johnny]

Firstly, let me say that I am not criticizing anyone's method here. If you want to redo your client's decks every second or third year, that's great. That's the method chosen by my largest competitors. I dare say, you are still opening yourself up to bidding against a lower cost or even a comparable competitive bid. In this case, even if your service was top notch, the best price or best sales pitch is gonna' win!

We chose a program that will absolutely minimize that risk. Here's the overview. Our original proposal is for the initial restoration/preservation. All ABR product - 2 coats of preservative. With this, we offer a 5 year warranty against future wood decay & fungus growth if they choose to participate in the annual maint. program. The annual fee is a percentage of the original cost and is payed annually at the time of the maintenance. So each year (4 years consecutive after the initial work) we return in spring, reclean the entire deck and reapply material wherever necessary (foot traffic patterns, horizontals, etc.) to even out the finish. Sometimes, nothing needs to be reapplied. There is a clause that allows us to increase our maint. fee by 5% annually, which amounts to very little.

Yes, we tell our clients that even though our process and product are better than the competition's, without regular maintenance, ANYONE'S product will likely deteriorate after 2 - 3 years. Even ours. We have found that our clients would prefer NOT to have their decks redone every 2-3 years, and that the annual maint. program is appealing because they're "good to go" for 5 years with us! Keep in mind - we're redoing a lot of decks that our competition did 2 - 3 years ago. Although our initial restoration/preservation cost is a bit higher than our competitors, we are actually saving them money in the long run by reducing the amount of times they have to have the full service done. It seems to make sense to them. Our participation ratio is 95%+ for this program.

Again - it locks out my competition and offers us an opportunity to do additional work (siding, cement, etc.). It also gives us built in sales revenue each spring, which grows exponentially with each new deck we do in a season.

By the way, I don't share pricing in forums. My competition could be reading this! Please do your research and investigate what the market will bear, what your competition is doing, what your costs and expected profit levels are. You know - business kinda' stuff! Besides, what we charge will not apply in every geographical market. And the degree of our service and level of quality may not compare to what your applications are.

Hope this helps. If you would like specific info. and you are a qualified contractor, e-mail or call me. I don't mind sharing with my peers. That's how we continue to learn and gain new ideas. From the rest of you that have experience.

 

[5 Star Johnny]

Am I making Money?

Deckrock - I'm in business to make money, just like business people. If all I wanted to do was avoid my competitors from getting my work, I'd low ball everything and end up like them. BROKE, and/or outta' business.

We choose to keep our competitors at bay by offering what they don't. In this industry, if you don't market on differentiation, you are limited to compete on a pricing level. We have chosen not to.

 

[deckrock]

I'm still a bit unsure about this system... please excuse me and put up with me for another minute. Of course you're out to make a profit and also hope that a customer doesn't look elsewhere if they agree to your maintenance program. I can't imagine making much of a profit, if any, by going back to examine a deck after just one year. If the deck needs servicing after one year, are you rewashing/cleaning it or just resealing it?

I guess the hard part for me to understand is this... if you come back in one year and have to redo a portion of the deck, won't a customer question why they have to pay for services again since a product should realistically last at least 2 years? If we get a customer calling us back after a year because of uneven wear patterns, they tend to be 'not so happy' about the performance of the stain. I guess this is where the idea of a maintenace program is a great idea if we explain it in correctly in our sales pitch or on paper to the customer.

When coming back in 2-3 years, are you starting from scratch... strip, clean, brighten, reapply or is it typically just a 'touchup' since you're doing it every year? (or does it just depend on the job and appearance of the deck)

I guess this is something to consider. One of our competitors explains to his customers that the first year is the most expensive... then for the second and third time he comes out here, he puts in writing what the future cost will be, less expensive than the first time. Then, he says that after 6 years, the wood will no longer need additional coverage because it's been soaked 3 times in 6 years...

Thanks for your input.

 

[deckrock]

skip the last post, 5 star....

I just read your last post, the one before the post addressed to me. I see the part about you recleaning every year and sealing/staining where needed.

Thanks. Ignore my last post.

 

[5 Star Johnny]

deckrock - GOOD QUESTIONS!! Now your looking at it from the Customer's perspective by proposing possible objections. This is how you prepare yourself for an effective sales presentation.

I'd like to state that I was actually leery about offering an Annual Maint. program, and didn't believe it would be so popular. So I thought out every angle, objection, answer, logic, etc. Since I've already explained why we do it, and why it seems to make sense to our customers, I won't repeat.

I don't care what region you live in, decks are subject to deterioration as well as the finish products. Again, we use ABR X-100, a parafinic oil based finish with very high solid content (pigments made up of natural earth oxides). Annual cleaning gets rid of a years' worth of dirt, contaminants and topical fungus growth, as well as rejuvenating the oxides that break down over time. We explain to our customers that the first couple of years we will likely reapply in foot traffic patterns, horizontal railing, etc., or wherever the finish might be uneven. Remember, wood will take on finish differently in the same board due to its' unpredictable cell structure. Although the finish may look even when you're done, over time the wood might "suck in" more material in certain areas. We're basically "touching up".

What your competitor does is interesting. I can't answer to if it's good or bad as I don't know his process or product. However, I think his explanation of a deck not needing additional maintenance after being soaked 3x in 6 years is bunk! But he's accomplishing his goal - keeping YOU off his decks for 6 years. Unfortunately, if his process isn't working, he may not be invited back.

Hope this helps.