Clean It Up

UK Floor Cleaning Forum => Carpet Cleaning Forum => Topic started by: Hilton on December 02, 2011, 11:33:20 am

Title: New Year New Recession are you prepared
Post by: Hilton on December 02, 2011, 11:33:20 am
Here's a jolly subject to take us into the festive season;

A recent report on business's likely to suffer most in the invertible recession next year and beyond will be home service providers, included in the list are carpet cleaning services, which is classed as non-essential and is likely to be put off by Mrs Home Owner looking to make savings, until 'a later date'.,

(Which in a way explains the explosion of groupon offers.The public will be 'educated' to expect to pay less for the service as a result of less than half price offers.)

Paradoxically business's and franchises that provide insurance related restoration cleaning etc should see no effect and is classed as recession proof, as of course insurance claims still have to be serviced.

So what will you be doing differently in 2012 to adjust to the economic down turn, what preparations are you going to put in place ? maybe look at moving into the insurance side of the business?
 
Because when the double dip arrives and not if but when the Euro collapses the impact on us could be profound.

Or maybe you feel you are immune and it will not affect you..
Title: Re: New Year New Recession are you prepared
Post by: AshWhite on December 02, 2011, 11:37:37 am
Here's a jolly subject to take us into the festive season;

A recent report on business's likely to suffer most in the invertible recession next year and beyond will be home service providers, included in the list are carpet cleaning services, which is classed as non-essential and is likely to be put off by Mrs Home Owner looking to make savings, until 'a later date'.,

(Which in a way explains the explosion of groupon offers.The public will be 'educated' to expect to pay less for the service as a result of less than half price offers.)

Paradoxically business's and franchises that provide insurance related restoration cleaning etc should see no effect and is classed as recession proof, as of course insurance claims still have to be serviced.

So what will you be doing differently in 2010 to adjust to the economic down turn, what preparations are you going to put in place ? maybe look at moving into the insurance side of the business?
 
Because when the double dip arrives and not if but when the Euro collapses the impact on us could be profound.

Or maybe you feel you are immune and it will not affect you..

It'll be a very serious recession if it starts sending us back in time...
Title: Re: New Year New Recession are you prepared
Post by: Hilton on December 02, 2011, 12:00:16 pm
Here's a jolly subject to take us into the festive season;

A recent report on business's likely to suffer most in the invertible recession next year and beyond will be home service providers, included in the list are carpet cleaning services, which is classed as non-essential and is likely to be put off by Mrs Home Owner looking to make savings, until 'a later date'.,

(Which in a way explains the explosion of groupon offers.The public will be 'educated' to expect to pay less for the service as a result of less than half price offers.)

Paradoxically business's and franchises that provide insurance related restoration cleaning etc should see no effect and is classed as recession proof, as of course insurance claims still have to be serviced.

So what will you be doing differently in 2012 to adjust to the economic down turn, what preparations are you going to put in place ? maybe look at moving into the insurance side of the business?
 
Because when the double dip arrives and not if but when the Euro collapses the impact on us could be profound.

Or maybe you feel you are immune and it will not affect you..

It'll be a very serious recession if it starts sending us back in time...

Well spotted that man, just making sure you are all on the ball  ;D

Price wise you might be going to back to 2010 and even further, those on groupon are in the 90's .It will be very serious the like of which none of us would have experienced before.
Title: Re: New Year New Recession are you prepared
Post by: AshWhite on December 02, 2011, 12:05:24 pm
I might be wrong, but I'm pretty sure that 3 rooms for £29 would have been cheap even then! (Without taking into account the actual takings).

I don't think that this industry is immune, but I think I would probably rather be cleaning carpets than selling them.
Title: Re: New Year New Recession are you prepared
Post by: Simon Gerrard on December 02, 2011, 01:13:27 pm
I think carpet cleaning always does well in recessions as people tend to clean more carpets and buy less. I'm not too worried.

Simon
Title: Re: New Year New Recession are you prepared
Post by: Colin Day on December 02, 2011, 01:35:03 pm
I'm not too worried either. You have to adapt if you need to stay ahead of the game. I have a new plan to keep my head above water. I won't divulge though, that would just be silly and no, it's nothing to do with groupon or selling cheaper..
Title: Re: New Year New Recession are you prepared
Post by: John Kelly on December 02, 2011, 02:22:44 pm
Insurance restoration isn't recession proof. There has been a drastic reduction in claims being passed out to contractors mainly due to insurers cash settling.
Title: Re: New Year New Recession are you prepared
Post by: benny d on December 02, 2011, 03:14:04 pm
I have a new plan to keep my head above water .
Quote

I bet your not becoming a male model  ;D
Title: Re: New Year New Recession are you prepared
Post by: derek west on December 02, 2011, 03:21:59 pm
I'm not too worried either. You have to adapt if you need to stay ahead of the game. I have a new plan to keep my head above water. I won't divulge though, that would just be silly and no, it's nothing to do with groupon or selling cheaper..

water wings???
Title: Re: New Year New Recession are you prepared
Post by: Mike Halliday on December 02, 2011, 03:48:53 pm
I think the only customer we will lose in a recession are they customers who routinely have their carpets cleaned, not because the carpets are dirty but just because they get it done every year, they might look at their carpets and think I'll leave it a bit longer this time

the tidy housewife will still want her carpets cleaned when they look dirty and the proud housewife will still get her carpets cleaner because she is having visitors.

although it might be worth targeting the single unemployed mothers or those just them on the dole as benefits are getting a record high increase this year......... being unemployed is totally recession proof
Title: Re: New Year New Recession are you prepared
Post by: Kinver_Clean on December 02, 2011, 03:59:12 pm
Having been through a couple of recessions--
Cut your costs as much as possible without dropping standards.
Try to book jobs in the same area on the same day.
Tuck as much cash away as possible where it is not easy to get at. (reduces  temptation.)
Use the time when you are not busy to leaflet selected areas. ( Posh end of town, they are more likely to have cash)
Don't get too disheartened- it will pick up again.
Title: Re: New Year New Recession are you prepared
Post by: Colin Day on December 02, 2011, 03:59:50 pm
I think the only customer we will lose in a recession are they customers who routinely have their carpets cleaned, not because the carpets are dirty but just because they get it done every year, they might look at their carpets and think I'll leave it a bit longer this time

the tidy housewife will still want her carpets cleaned when they look dirty and the proud housewife will still get her carpets cleaner because she is having visitors.

although it might be worth targeting the single unemployed mothers or those just them on the dole as benefits are getting a record high increase this year......... being unemployed is totally recession proof

You've rumbled my new plan..... ;D
Title: Re: New Year New Recession are you prepared
Post by: wayne zabel on December 02, 2011, 04:13:26 pm
Does anyone actually think that weve come out of the last recession?Nothing seems to have got better in the last 12 months since we supposedley came out of it.

Its not like weve witnessed a mini boom or somethimg.I started out during a recession and have done better than I expected and hope to carry on that way.

Fingers crossed ;)
Title: Re: New Year New Recession are you prepared
Post by: wynne jones on December 02, 2011, 04:23:10 pm
Wynne's predictions are: NOT GOOD  ;D

Things are going to be far worse than 2008 when the Germans decide they are fed up bailing out Europe's paupers.

I expect we will be in recession all of next year and people are going to start getting their mortgages foreclosed when interest rates start rising sharply afterwards. 

What's the good news? Working for yourself means you can still do very nicely if you are smart enough and prepared to suffer a bit more than the next guy.
Title: Re: New Year New Recession are you prepared
Post by: Doug Holloway on December 02, 2011, 05:02:47 pm
Hi Guys

The recession in the early nineties when mortgage rates hit 17% was really tough, this one is just ongoing and there is no obvious end at present.

Having said that i have had a very good year and I think the clean rather than replace factor has been a big help.

Cheers

Doug
Title: Re: New Year New Recession are you prepared
Post by: Richard Basey-Fisher on December 02, 2011, 05:57:14 pm
well this is  cheerful   good job i have stocked up on blue stripe lager
Title: Re: New Year New Recession are you prepared
Post by: The Great One on December 02, 2011, 06:09:46 pm
Hi

Yep, they're already thinking of raising the mortgages because if the inter bank lending rate goes up, we have to pay for it

Go Figure!

Martin
Title: Re: New Year New Recession are you prepared
Post by: Simon Moat on December 02, 2011, 06:49:29 pm
When the mortgage rate increases that's when it will hit service providers hard.

I've a good friend whose a partner at KPMG, he tell's me there is no light at the end of the tunnel at this moment in time, his job is to advise multi national businesses on spend for 18 - 24 months in advance.

Never mind, keep the phone on and stay smiling!
Title: Re: New Year New Recession are you prepared
Post by: John Milnes on December 02, 2011, 07:29:40 pm
I'v noticed that since the initial recesion hit in 2007/2008 I have been busier than previous years and custys saying they are making do, rather than replace.

One thing that sticks out from that time is a customer telling me that they had a  Mielle washing machine engineer come round to fix the washer. He said that in all his years he had never worked weekends. He said that since the recession, he has had to work Saturdays to cope with the demand of custy fixing rather than replacing.

Perhaps these times of austerity will keep us ticking over as ever :)
Title: Re: New Year New Recession are you prepared
Post by: Neil Williams on December 02, 2011, 08:12:34 pm
How do I look at it?
When I came into this industry I was told that it is almost recession proof, because when people have money they are afraid to spend, and when they don't have money they get things cleaned up to last a bit longer rather than buy new.
As for the maths, if you do 600 cleans a year and cover an area with 50,000 properties (that would give a population of about 110,000) then it's going to have to be a global meltdown for all that potential work to dry up. At that point we will all be out hunting rabbits and cutting down trees for the fire.
Title: Re: New Year New Recession are you prepared
Post by: John Kelly on December 02, 2011, 08:50:02 pm
600 cleans a year Neil, the Groupon guys do that in a month ;)
Title: Re: New Year New Recession are you prepared
Post by: Neil Williams on December 02, 2011, 08:54:42 pm
The difference being my average job ticket is about £120 with no hard selling and repeat custom at the same price ;) Get out of bed about 8am and back home by 4pm
Whilst theirs is..............
Title: Re: New Year New Recession are you prepared
Post by: Mark Lawrence on December 02, 2011, 10:24:50 pm
Hopefully we will be ok in 2012. 2011 is I think going to be our best year ever - so onwards and upwards I suppose.

Average job ticket slightly down at £189.00 - but turnover up. Maybe that says something? People spending slightly less, but more of them.

Mark
Title: Re: New Year New Recession are you prepared
Post by: Hilton on December 03, 2011, 12:09:48 pm
How do I look at it?
When I came into this industry I was told that it is almost recession proof, because when people have money they are afraid to spend, and when they don't have money they get things cleaned up to last a bit longer rather than buy new.
As for the maths, if you do 600 cleans a year and cover an area with 50,000 properties (that would give a population of about 110,000) then it's going to have to be a global meltdown for all that potential work to dry up. At that point we will all be out hunting rabbits and cutting down trees for the fire.

Thats all very well, if your the only CC to service that area , which of course your not.
Title: Re: New Year New Recession are you prepared
Post by: Steve Rothwell on December 03, 2011, 01:27:14 pm
600 cleans a year Neil, the Groupon guys do that in a month ;)

you confused groupon with splash and dash John.......   ;D ;D

we did 250 in 3 months and it near killed us at our age     ;D ;D
Title: Re: New Year New Recession are you prepared
Post by: John Kelly on December 03, 2011, 02:04:10 pm
Only jesting :)
Title: Re: New Year New Recession are you prepared
Post by: Steve Rothwell on December 03, 2011, 02:21:29 pm
 ;D ;D
Title: Re: New Year New Recession are you prepared
Post by: Colin Day on December 03, 2011, 09:51:54 pm
We've just came back from Pizza Hut. They have gave us a sealed envelope and we can't open until we go back there between 4th Jan and sometime in Feb. There is a guaranteed prize within, but if it's opened before then, the envelope is void....

What a brilliant way for attracting customers in their quiet spell... We'll definitely be going back because the prizes are pretty awesome. So my 13 year old said!!! ;D

An excellent piece of marketing... Don't you agree....?
Title: Re: New Year New Recession are you prepared
Post by: Carpet Dawg on December 03, 2011, 10:00:05 pm
Good idea! But Dominos is better!  :P
Title: Re: New Year New Recession are you prepared
Post by: Colin Day on December 03, 2011, 10:03:47 pm
Good idea! But Dominos is better!  :P

I agree... I must say though, the service was excellent... Pizza Hut , Truro...
Title: Re: New Year New Recession are you prepared
Post by: AshWhite on December 03, 2011, 10:05:15 pm
It is a good idea, but if it was me, I'd have to steam the envelope open. Patience is not one of my strong points.

Title: Re: New Year New Recession are you prepared
Post by: Colin Day on December 03, 2011, 10:11:12 pm
It is a good idea, but if it was me, I'd have to steam the envelope open. Patience is not one of my strong points.



 ;D

I thought of that, the wife's hidden it from me ;D
Title: Re: New Year New Recession are you prepared
Post by: Paul Heath on December 03, 2011, 10:16:37 pm
I expect it will be a free go at the salad bar....knowing your luck Colin  ;D ;D
Title: Re: New Year New Recession are you prepared
Post by: Colin Day on December 03, 2011, 10:32:13 pm
I expect it will be a free go at the salad bar....knowing your luck Colin  ;D ;D

That would be bad... Being a salad dodger and all that..... ;D
Title: Re: New Year New Recession are you prepared
Post by: clinton on December 04, 2011, 10:27:52 am
Colin .. We opened our envelope and it was a free garlic bread ;D
Title: Re: New Year New Recession are you prepared
Post by: AshWhite on December 04, 2011, 10:34:19 am
To be fair, how "awesome" is a prize from Pizza Hut going to be? Unless it's the cash from the till, I don't think I'd get too excited  :P

I was going to say that what constitutes 'awesome' for a 13 year old boy, might not be so great for an adult, but then I considered that actually, my desires haven't changed much since I was 13 lol
Title: Re: New Year New Recession are you prepared
Post by: benny d on December 04, 2011, 11:32:53 am
my desires haven't changed much since I was 13 lol
Same as me....
Huuummmmmmmmm Daisy Duke, gotta love those hot pants  ;D
Title: Re: New Year New Recession are you prepared
Post by: Colin Day on December 04, 2011, 12:27:23 pm
Colin .. We opened our envelope and it was a free garlic bread ;D

The waitress was telling us that someone opened theirs and they would have won the iPad.... They were gutted... ;D
Title: Re: New Year New Recession are you prepared
Post by: kerrpmiddleton on December 04, 2011, 08:48:39 pm
looks like the research poll what ever yo what to call it will be by a francise ie rainbow chem dry ????? what you to part with £1000s
Title: Re: New Year New Recession are you prepared
Post by: Dave Roelants on December 04, 2011, 09:22:26 pm

I agree... I must say though, the service was excellent... Pizza Hut , Truro...
[/quote]
Service at Pizza Hut Truro Hmm, wellit's better than Pizza Hut St Austell and that's abou all you can say ;)
Title: Re: New Year New Recession are you prepared
Post by: Jim_77 on December 05, 2011, 11:46:29 pm
Well, there's some real doom and gloom merchants around!

Guys, your business is what you make it.  Recession??!!

To quote the eternally wise Lord Sugar......

"Oh for f**ks sake....."

:)
Title: Re: New Year New Recession are you prepared
Post by: Mike Halliday on December 06, 2011, 07:51:11 am
So there might less work about, just means the lazy carpet cleaners will suffer ,they will batton down the hatches, sit at home and wait for things to pick up. When they go bust they will have the perfect excuse...... 'It was the recession'

Title: Re: New Year New Recession are you prepared
Post by: Colin Day on December 06, 2011, 08:30:01 am
I have a new trick up my sleeve, might work, might not. All will be revealed... :)
Title: Re: New Year New Recession are you prepared
Post by: AshWhite on December 06, 2011, 11:53:47 am
I have a new trick up my sleeve, might work, might not. All will be revealed... :)

You can tell me colin, I'm miles away from you  ;)

I'm going to concentrate on pushing my referal rate going forward, I've just ordered a trial batch of vouchers to give to customers.
Title: Re: New Year New Recession are you prepared
Post by: Colin Day on December 06, 2011, 12:02:18 pm
I have a new trick up my sleeve, might work, might not. All will be revealed... :)

You can tell me colin, I'm miles away from you  ;)

I'm going to concentrate on pushing my referal rate going forward, I've just ordered a trial batch of vouchers to give to customers.

You never know when another carpet cleaner wannabe is murking in the depths.... ;D

When it's happened I'll do some pictures... Don't get too excited though, it's not that good.... :D
Title: Re: New Year New Recession are you prepared
Post by: Steve Rothwell on December 06, 2011, 01:58:04 pm
I have a foolproof business plan..........


and NO NOT GROUPON........ been there done that .......... had to sell the T shirt (off my back)


NO.......................................................... this is a great solution and will work great...




 ;D ;D
Title: Re: New Year New Recession are you prepared
Post by: Colin Day on December 06, 2011, 02:36:29 pm
I have a foolproof business plan..........


and NO NOT GROUPON........ been there done that .......... had to sell the T shirt (off my back)


NO.......................................................... this is a great solution and will work great...




 ;D ;D
We might have the same idea... Where did you get your sawn off shotgun from....  ;D ;D
Title: Re: New Year New Recession are you prepared
Post by: Steve Rothwell on December 07, 2011, 08:19:27 am
A nice friendly sort of guy called Knuckles McGaw, he saved my business premises from burning down.......

Well he left the jerry can in the car when I gave him some money, but it does amount to the same thing....


and you?? if you need one I can point Knuckles in your direction if you like... coz I am a friendly sort of guy myself  ................


 ;D ;D ;D