Improving Economy?

In 2008, many of our peers in the remodeling industry locally and nationally were hoping 2009 would be better.  During 2009, those who survived the downturn braced their companies for a recovery in 2011.  With the first quarter of 2010 on the books, there is an emerging distinction between those companies who are still struggling and those that are performing better than expected.

The distinction is perceived value.

Every remodeling company has a public perception.  Some are know to be expensive, some are known to be fast, others are known to provide excellent craftsmanship.  When the economy is in a recession, there are very few homeowners that would be willing to pay the premium to have all 3.  So when the most expensive one lowers their price, does it affect the public's perception?

Use the story of the Titanic for analogy:  If the business owner is at the steering wheel, the public perception is the course of the ship and the economic cliff is the iceberg, you can see why it has been difficult for companies to stay afloat.  Those that have are also likely to have an improved perceived value.  Why?  Because people like doing business with successful people.

"If they can make it through this economy, they'll likely be around to service my home in the future".