Performance Based Compensation. Example HVAC Bonuses

Looking for Performance Based Compensation Examples?

Did you read my article about Performance Based Compensation in Contracting Business Magazine? If not, please see the article here.

HVAC Installation Department Compensation Plan

Simplified Compensation Chart – Residential HVAC Installation Department

Many contractors have found that it is relatively easy to pay service technicians based on performance but far more difficult paying installers. This document outlines how to pay installers. The key behind this policy is to calculate labors times for various installation tasks (you do not have to share these labor times with your installers). You then must create an hourly wage that you will pay your installers based on their skill level, time within the company, etc. Once you have created labor times and hourly wages, you may then easily calculate “flat rate” pay for your installers.

We have created a simplified list of common installation tasks for you to consider. This list uses just one hourly wage rate. In other words, no consideration is given for their skill level, time within the company, etc.

Item Fee
Complete 80% Heating System $ 168.00
Complete 90% Heating System $ 200.00
Complete Cooling System Replacement $ 205.00
Complete Cooling System Add On $ 325.00
Complete Heat Pump System Replacement $ 220.00
Complete Heat Pump System Add On $ 340.00
Complete 80% Heating & Cooling System $ 264.00
Complete 90% Heating & Cooling System $ 296.00
Condensing Unit (all efficiencies) $   80.00
Heat Pump (all efficiencies) $   95.00
Evaporator Coil $   60.00
Evaporator Coil (with TXV) $   75.00
Humidifier (power and by-pass type) $   24.00
Electronic Air Cleaner (with installation) $   40.00
Space-Gard Air-Cleaner $   32.00
Flue Vent Stack Replacement (up to 25’) $   52.00
Flue Vent Stack Replacement (each additional 5’) $     8.00
Chimney Liner (up to 25’) $   52.00
Chimney Liner (each additional 5’) $     8.00
Dual Fuel Kit (add to installation) $   15.00
Refrigerant Line Set (liquid line, insulated suction line, and drier) $   60.00
Pull Thermostat Wire $   28.00
Plenum $   50.00
Complete Return Drop and Boot $   48.00
Return Boot Only $   30.00
Offsetting Transition $   30.00
Move Hot Water Heater up to 24” $   30.00
Remove and Replace Existing Hot Water Heater $   40.00

*All equipment must be installed to applicable code.

Company Wide Profit Sharing

Company Wide Profit Sharing through Performance Based Compensation

In addition to technician compensation, sales commissions, and spiffs, a Companywide profit sharing should be established when the company can afford to do it. This plan allows all employees to receive a bonus under rules and guidelines established by management. An ideal plan will assure that the company is making sufficient profit before any profit sharing is distributed.

Employees will be rewarded for helping to achieve company financial goals. Our minimum sales goal for the 4th quarter of 2004 is $308,000.00 (last year was $307,540). Our minimum gross profit margin goal is 46% (last year it was 40.58). If we meet this goal, everyone will receive a quarterly bonus equal to 20 cents times the number of hours they worked during the that quarter.

  • Example: Let’s say we have sales of $312,000 and a gross profit margin of 47% and you work 520 hours for the quarter. Your bonus will be $332.80 (520 hours x 64 cents).

Image of Performance Based Compensation Table for HVAC Contractors

Employees will be rewarded for helping to achieve company financial goals. Our minimum sales goal for the 4th quarter of 2003 is $308,000.00 (last year was $307,540). Our minimum gross profit margin goal is 46% (last year it was 40.58). If we meet this goal, everyone will receive a quarterly bonus equal to 20 cents times the number of hours they worked during the first quarter.

Example: Let’s say we have sales of $312,000 and a gross profit margin of 47% and you work 520 hours for the quarter. Your bonus will be $332.80 (520 hours x 64 cents).

What are your R22 Refrigerant (Freon) Replacement Options?

Since the 1st January 2015 it has been against the law use R22 refrigerant in refrigeration, heat pump and air conditioning units. This ban made a big impact on the maintenance and repairs of air conditioning units. At the start the only other option was to completely replace your unit, however, over the year’s major manufacturers such as Mitsubishi and Daikin have developed a variety of solutions to help meet the individual needs. The main R22 replacement options that are available for you are:

  • Total system replacement
  • Replace outdoor and indoor units
  • Use a “drop-in” refrigerant

These replacements have been put in place to help businesses, such as contractors with finding a solution that suits their needs. Each option is designed for certain people and businesses, below we will discuss the options and how they can help you.

Total System Replacement

A total system replacement is pretty much what it sounds like, replace everything! This includes pipework, electrical wiring and both outdoor and indoor units. Although this might seem like a bit of a waste of time and a fuss, it ensures that you have the most up to date equipment and hopefully the lowest running costs. Replacing your whole air conditioning unit can be very time consuming and might be quite expensive in terms of replacement time. However, in the long run it is worth it as you will then have the most energy efficient air conditioning unit and won’t have to worry for a while about replacing any of it again.

Replace Outdoor and Indoor Units

If you own a big business, then maybe the last thing you want to be doing is having to close down for a period of time whilst your air conditioning unit gets replaced. This is where one of the main R22 replacement options come into place, the replacement of outdoor and indoor units. By reusing some of your existing infrastructure, you could cut your installation costs by up to 55% whilst also minimising the impact on your business.

Most major manufacturers will offer partial R22 replacement solutions, so you don’t need to worry about not being able to find a company. Another major benefit of this option, is instead of just scrapping your unit and getting a new one, you can upgrade your current system allowing your old infrastructure to be bought up to speed with your company’s current needs.

Use a “Drop-in” Refrigerant

There are a lot of mixed opinions on using a drop-in refrigerant but overall the most important thing to remember is that this option should only be used for short periods of time. This approach can cause damage to your systems reliability and performance which can leave you at a risk of failure or even downtime for your company. If you are continuously maintaining your ageing system will eventually become a very expensive hobby for you and you might find that most manufacturers don’t support this option due to the complications.

Drop-in refrigerants will reduce your immediate costs, but unfortunately as time goes by you will find that you are spending way too much on fixing the unit. Therefore, it is so important if you are going to use this method that you don’t use it for a long period, and whilst you are using it you need to be coming up with a suitable replacement plan.

If you have considered the cost and the impact it will have on your business, it doesn’t really matter which R22 replacement option you choose. At All Seasons Climate Control, we ensure the very highest standards are met for all our installation and maintenance services, so if you think you need help with your air conditioning unit then get in touch with the experts now.

 

10 Local SEO Tips you can Implement Today

As a business owner, you’re very well aware of how important your company’s website is, and its ranking on Google’s search. The majority of traffic goes to the first few results, you always want to take necessary steps to make sure your site reaches on the first page of Google. This is a challenge for most business owners

10 SEO Tips for Contractors and service companies

A walk through with SEO(Search Engine Optimization) for contractors may seem a bit complicated. But no need to worry, here are some basic things you can do to help boost your ranking.

1. Use Unique Titles for Each Page of your Website

It is always recommended to have a unique title for the pages of your website. Such as your home page or pages that have high ROI. You can either have unique title descriptions, or you can choose not to put any description at all. Definitely, shouldn’t have duplicate title descriptions. These are big mistakes that sites with lots of pages make and it’s something that is strictly against Google’s terms.

SEO Image

2. Do Some Research on Keywords

Keyword Research is to learn about what exact “terms” people use when they search for something on the web. Well, these “terms” usually change depending on localities. With the help some of the great free tools, you can find these “terms” for yourself. Google’s Keyword Planner plays a vital role in any keyword research. It helps you to find the most commonly used terms and the average number of searches for that keyword in your area.

Computer Keyboard for SEO Marketing

3. Searches based on Locality

The Top Google Search Results are generally dominated by ads from major brands. The amount of space available for your site to appear is limited. But, when it comes to searches for local businesses, Google always prioritizes on delivering local search results over National or International search results that hold a more general search terms.
So, a brief understanding is required of what customers are looking for and then build the content of the page to conjoin those keywords.

A small tip for business owners is to get listed on all popular local directories like yelp, Google Maps, etc.

4. Include Keywords in your Permalink

A permalink is a permanent link to your page and posts, and it doesn’t change with time.
Permalink structures of some sites include numbers to identify pages, which is bad for SEO and doesn’t look good either. Always use texts in URL structure and make sure to include Keywords.

Instead of having a URL this: http://companyname.com/?link&id=16
Make something more like this: http://companyname.com/yourblog/

5. Write Great Content

Unlike the ’90s and early ’00s, when SEO was considered to be keyword stuffing, where you dress your page with all the keywords and get away with it, this won’t work anymore as Google has blasted this practice and could even penalize your site for that.

Modern SEO is focussed on providing relevant information about the content what customers search for. If your site provides good user experiences like answering people’s question or helping them with right solutions for their need. Google will recommend it to more people.

Writing great SEO content for Contracting Companies

6. Provide Easy Social Sharing Option

One of the best ways to get traffic to your website is through social sharing. When users find relevant information from your page, few of them might consider sharing it. That’s why the use social sharing buttons is a big must. That way, your post is ready to be shared whenever a user’s mood strikes.

Social Sharing for Contractors and Service Businesses

7. Keep your Website Updated

Dynamic pages often rank higher than static ones. That’s the main reason why blogs, forums, and directories rank high on search engines. They are always being updated with new content. Frequently updated contents on your page directly imply that your business is on and active.

8. Avoid Frequent Domain Name Change

Historical data is often used in rankings. So, the age of the URL does play a role in search results. If you change your domain name too often, your page will never rank at the position it deserves. Great content in a website with a lasting domain name matters a lot.

9. Avoid Using Things that could Slow Down your Website

Site speed plays a vital part in ranking algorithms. Site speed reflects how quickly a website responds to web requests. Get rid of any non-essential items, from your website like large images, flash graphics and unnecessary plugins that could increase the page load time.

Slow Web Pages Cost SEO

10. Include Image Alt Tags

Google encourages the use of alt tags for images in your page. Each image should have an alt text. Not just for SEO purposes but also because visually impaired people otherwise won’t know what the image is for. Google places a relatively high value on alt texts to determine what is in the image, also to determine the topic of surrounding text.

Writing great content and following the above steps will hardly take a few hours and will lead you to gain optimum results. Be patient cause SEO is not a one-time activity. You will start to see some traction over days.

None of the above matters if you create content that sounds monotonous. Allotting some time per week for your page contents will definitely perk you up with your site’s ranking.

Author Bio:

Kiran Babu works closely with the digital marketing team at ReachOut Suite in optimizing websites to drive maximum, qualified traffic by gaining visibility in search engines.

Best Priced Air Conditioners For HVAC Contractors

Heating and air conditioning contractors have many options to choose from when choosing air conditioner manufacturers. Of course, air conditioner prices are a major factor but also AC contractors want a system that is reliable where they won’t have to go back to fix defective parts that are no fault of the contractors. This is where AC contractors will find a conundrum within air conditioner manufacturers. Some AC manufacturers require contractors pay annual fees to sell their systems, some are priced so high it becomes hard to bid AC replacements competitively, some systems are priced super low but the quality of the components can be a gamble.

If air conditioning contractors don’t sell enough volume, the manufacturer can raise the prices of their units without warning. This can be a big problem for smaller AC contractors trying to compete with larger companies. Smaller AC contractors still need to make a profit and having the manufacturer bully them out rewards the bigger companies regardless of the quality of work or level or service. If AC contractors are charged different prices for the same units it favors the bigger AC companies. The only way smaller AC companies can still be competitive is if they start taking out things that affect the performance of the unit but save money upfront and that is good for no one.

Here is a breakdown for HVAC contractors to help find which air conditioners are the best priced at the best quality. Heating & air conditioning contractors have three groups of air conditioning manufacturers to choose from. Some of these brands are made by the same company, like Toyota and Lexus.

1. Inexpensive HVAC brands
These brands include Amana, Frigidaire, Ruud, Payne, and Gibson. The quality of these brands can be hit or miss but the warranties will always cover manufacturer defects. HVAC contractors need to be diligent in checking for manufacturer defects by putting the system under long nitrogen leak check and visually inspecting the compressor and other components. The occasional defect is best found early during or before the installation to keep customers happy but when the defect does slip through the cracks you want to be prepared to keep customers happy. HVAC contractors will find the best prices for these which should be passed down to the consumer. If you can stomach the occasional callback, HVAC contractors should consider these inexpensive air conditioners and heaters. Many smaller companies solely sell these units because of the great prices they offer. The brand distributors will also sell parts, flex, and materials at a better discount than any other distributor. Marketing by the manufacturers to the general public will be almost nothing so HVAC contractors will need to be prepared to educate and sell against other brands.

2. Mid-level HVAC brands
These brands include Day and Night, Bryant, American Standard, Rheem, and Goodman. These mid-level brand prices will still be competitive but slightly higher than the lowest brands. The number of defects is less and we have noticed these brands are more installation friendly. Day and Night, for example, have air handlers and furnaces that come in two pieces for a greater ease of installation with smaller footprints. HVAC contractors will also see more training and product support from the brand distributors. Their parts, flex and materials will also be mid-level priced. HVAC contractors will see multiple office locations which are nice if you work in more than one area of town.

3. High end, well-known HVAC brands
These brands include Trane, Lennox, Carrier, and York. High-end brands carry with it consumer recognition from the marketing they do but unfortunately, the HVAC contractors will find their prices the highest in the industry. Each of these manufacturers will have tiered pricing. Tier One pricing is from $50,000 and below and has the highest prices. Assuming air conditioning contractor’s retail prices with a 2 – 2.5 multiple after equipment, labor, and materials, that would mean an HVAC contractor, would have to gross at least $100,000 a year in air conditioning sales. Tier Two pricing is between $50,000 – $100,000 and discounts Tier One prices about 2.5%. Contractors in this range need to gross $100,000 – $200,000 in sales annually. Tier Three prices offer a 5% discount from Tier One prices and are for contractors selling more than $200,000 a year. Tier Three prices often require contractors to sign exclusivity agreements.

Manufacturers of high-end brands make systems with a good reputation for quality. Although Trane units may be well made, their parts are ridiculously expensive. Go to a Trane parts store and you will find parts marked up 1.5-3 times more than the exact same part at another distributor. Why? Who knows but this could be a sore point for homeowners who bought the Trane name but still want a fair price on the service and maintenance of their unit down the road. This is where Trane loses a lot of customers.

Homeowners will be most familiar and may request the well-known brands but these well-known brands will be the most expensive for mid-level and smaller sized HVAC companies, which will be passed onto the consumer. That’s why you may see many mid-level and even larger HVAC companies sell mid-level brands… they offer much better pricing to HVAC contractors. Most manufacturers will offer co-op dollars for HVAC contractors to advertise their brand with some co-ops are less strict in their guidelines than others. We hope you are able to find the right balance of quality and cost savings when purchasing your AC systems and always do right by the customer.

Our thanks to our guest author Mr.  David Byrnes, LEED AP
Home Performance Specialist

To learn more about the best-priced air conditioners click here. http://www.greenintegrateddesign.com/blog/best-priced-heat-pumps-in-phoenix

 

Should HVAC Companies Have a Facebook Business Page in 2017?

Air Conditioning Repair Technician

Should a Contractor Be On Facebook?

Everyone understands that starting up a business is a tough journey, especially an HVAC business where there is high competition. It requires lots of effort and determination to succeed in the business. One of the key challenges that are commonly faced by HVAC contractors are searching for new customers. We are in 2017 now, so should HVAC companies have their own Facebook business page? The answer is yes, as there are so many benefits when you set up a business page for your HVAC business. We will be discussing on how Facebook business page can help your HVAC business.

Increase Potential Customers

Currently, there is a total of 1.19 Billion users on Facebook. I understand that HVAC business does not need to reach out to the whole world, but I am sure that your customers in your country use Facebook too right? By reaching out to Facebook users, you are having huge exposure to potential customers.

Increase Leads

By having people to like your Facebook page is not sufficient for a long-term HVAC business. You can make a short-term living from your Facebook page, but not long-term. We can’t remove the possibility that Facebook may disappear one day, which is why making a connection with your Facebook followers is very crucial. You can gather leads such as getting their email addresses, so that you are able to connect with them without using Facebook. You can gather their email addresses through contests, promotions, giveaways and many more. It is important that you do not use their email addresses for unlawful or unethical practices such as not spamming their email address or sell it to third parties. Instead, you can email them once a month on your HVAC promotions such as discounts on aircon servicing, installation or useful tips which they could turn into your customers.

Cheaper Marketing Campaign

Creating a Facebook business page is completely free and won’t cost you a single cent. We understand that it needs money to find a graphic designer to design your business logo or cover photo, but actually you can do it yourself too. You can just use photos that you capture during your aircon servicing or repair work which sometimes works better than a creative image from a graphic designer.

My main point is that by creating posts and page literally cost you nothing unless you start paying for ads to increase your exposure, Facebook likes, and running sponsored ads. All these should be done when you create your Facebook business page.  When compared to newspaper, radio or TV ads, Facebook ads are inexpensive and have greater exposure.

Exposure to Your Targeted Audience

This is a further elaboration of the above point which is very crucial. There are more than 1 billion of Facebook users, but not all of them are interested in your HVAC business and want to like your page. I am sure you also do not want users that have absolutely no interests in HVAC to like your page as they will not engage in your posts.

Hence, for example, for local HVAC business, you can specifically target your ads to Facebook users that are within your region or country. These ads may cost you more, but the engagement and conversion rates will be higher.

Facebook Insights

Do not have to worry if you are unfamiliar with statistics or numbers because Facebook insights are simple and easy to understand. From the Facebook insights, you are able to know how many page likes you have, the reach of your posts, how well is your posts are performing such as number of likes, etc. Compared to placing an ad in your local newspaper, you are completely unaware of such results.

Build Brand Loyalty

Other than being an advertisement platform, Facebook business page can help you to build your brand loyalty. This means that in the event that you are running a promotional event, your customers will support you, provided that you are constantly updating your Facebook page. Nowadays, consumers no longer flip at Yellow Pages to search for an aircon servicing contractor, they will just go online and search for it instead. Within seconds, there will be many results of HVAC contractors in their region. Hence, if your Facebook followers constantly seeing you are updating your Facebook pages, they will most likely engage you for aircon maintenance or repair as compared to HVAC business with no Facebook page.

There are many great benefits of setting up a Facebook page for your HVAC business in 2017. Thus, if you want to increase your sales and customer base in 2017, be sure to set up your Facebook page and start engaging the Facebook users with your posts. I am sure that you will see an increase in sales after you have created your Facebook page. If you want to have greater exposure in Facebook, you can try running sponsored ads on your posts where it will reach potential customers in your region.

About our guest author: Winnie Leong is the web marketing director of Aircon Servicing Singapore, a leading air-conditioning servicing and repair contractor in Singapore.

6 Steps to Successful Internet Marketing for Your HVAC Business

6 Steps to Successful Internet Marketing for Your HVAC Business

For heating and air conditioning companies, 2017 should be the year to stop relying solely on traditional advertising methods. Dependence on Yellow Pages, TV, radio and print advertising is netting companies a smaller and smaller portion of the market each year. To stay competitive, HVAC contractors need to implement an effective online marketing strategy.

The best way to tackle this is step by step. There’s a ton of information out there and it’s easy to get overwhelmed or confused by the endless flow of marketing advice. What really matters is taking care of the fundamentals first and setting your next priorities accordingly.

In this article, we’ll look at a few ways to get your company’s online marketing on the right track. Set the foundation right and create plenty of room to grow. This is not by any means a comprehensive or unattainable list. Rather, we’ll provide an overview of the basic building blocks needed to set you up for future success and make it easier to scale and grow your digital marketing.

1: Website Design

Quality web design should be a top priority when you start looking into overhauling your online marketing efforts. Your website needs to look great, load fast and function well across desktop and mobile devices. Get in touch with some website design services in your area to get a good idea of what’s involved with a redesign and how much it will cost.

2: Claim Your Local Listings

Your company’s Google My Business page is an invaluable asset when it comes to local search rankings. If you don’t have a page set up, make this a priority. If you already have a page, make sure it is updated with accurate contact information and photos. This will give you a better shot at showing up in the map results.

Don’t forget to set up your local profile on Bing and Yahoo as well. Bing is gaining a larger portion of the search engine market every day, so don’t miss out on your opportunity to connect with Bing, Yahoo and Google users.

3: Get Those Online Reviews

Encourage your happy customers to leave reviews online. Five-star Google reviews will show potential customers that your company has a solid track record of providing great customer service and quality work. It will also show Google that your business is valued and trusted.

4: Optimize On-Site for Local SEO Results

While accurate search listings and good reviews are essential off-site components, on-site optimization will send the right signals to search engines and help you attract more relevant traffic. Some fast and relatively easy changes include the creation of location-specific, keyword optimized landing pages and optimized urls.

Take a close look at the content on your pages to ensure it is informative and relevant to the search phrases that drive traffic to that page.

5: Optimize for Conversions

Better SEO rankings will help bring more traffic to your website, but it’s up to you to turn those visitors into leads and customers. Make it easy for potential customers to contact your business. That means using strong calls to action, displaying your phone number prominently and using a form fill on every landing page – one in the header and one in the footer.

6: Invest in PPC Advertising

These days, ranking high organically is just one piece of the digital marketing puzzle. If you want your company to appear above the fold, you need to invest in pay-per-click advertising. The best place to start is with Google AdWords. This is Google’s advertising platform. It allows users to create ads and bid on keywords.

The process of setting up an account, creating ads and bidding on keywords is pretty straightforward. However, professional copywriting, optimized landing pages and knowledge of AdWords advanced functionality will result in a far better ROI. That’s why so many HVAC contractors hire a marketing firm to set up and manage their PPC efforts.

Conclusion

It’s important to remember that good digital marketing is an ongoing effort. While this article highlights a few of the basic building blocks, implementing the changes will take some technical proficiency. If you do not have an in-house team of developers, designers, writers and SEO strategists, it might be a good idea to talk with some online marketing agencies in your area.

Find a good agency that can work with and make the most out of your budget. It’s 2017, the perfect time to start improving your online visibility.

By Guest Author Stephanie Gordon
https://www.mybizniche.com/

PVC Products Used in HVAC Systems

PVC products have been used for decades in a wide range of applications and systems, including HVAC (Heating, Ventilation & Air Conditioning). When you typically think of HVAC you think of your home air conditioning or heating system. But, HVAC systems are just as popular in business settings which are typically where you see more PVC products used.

Residential:

Used less in residential systems, PVC is still needed. The most common PVC product used in a home / residential HVAC system is the condensate lines. These are white (typically schedule 40) PVC pipe lines that run from the air handler to the exterior of the house or to a drain. These lines are used on almost all types of handlers and take care of the condensation that builds up within the air handler.  While this line is easy to install, its job is serious. Condensation build up can cause quick failure because of rust and possible flooding.

With the main condensate line, schedule 40 piping is also used for the overflow pan that sits under the HVAC unit. Again, a simple job that can have serious issues if a failure happens.

When looking at your unit, you will typically see these 2 lines running side by side and terminating close to each other. When these lines remove the water from the unit, they typically exit outside the house near the foundation or near the roof line. Occasionally these lines can direct the water to an interior drain line. Sometimes these can be seen in washer / dryer rooms.

Commercial:

90% of PVC products used in HVAC systems are seen in the business / commercial industry. These can typically be seen as ventilation or exhaust piping. PVC duct work can be used in typical HVAC runs as well, but this is less common.

PVC duct products are commonly used in environments like restaurants. Touring a restaurant kitchen there are all kinds of exhaust systems that pull air away from stoves, fryers, etc. These hoods will sometimes use PVC products to move the air & gases up through the roof and out of the building.

The Benefits of PVC Products in HVAC Applications:

For starters, PVC acts as a great insulator, meaning the temperature of the liquid or gases inside the piping holds the initial temperature longer. This can be extremely beneficial in certain systems and applications where maintaining temperature is important. Perfect examples would be commercial HVAC runs. Again, this is not very common because of cost, but in certain situations yo,u will see this.

PVC products are extremely durable. They resist corrosion which is a huge advantage in commercial settings that deal with different types of elements on a daily basis. Whether a warehouse application that deals with dirt, equipment, and extreme forces to restaurant / food preparation where oils and gasses and constantly breakdown products.

 

Costs vs. Function

PVC products are known to cost more than your typical sheet metal products when it comes to exhaust systems and HVAC duct. This is why residential systems have not fully adopted PVC duct piping quite yet.

PVC duct material is a good quality product that can support these types of uses and will make its way into residential as costs come down.

On the commercial side costs are still higher, but the benefit outweighs the costs. The long run benefit is very good, thus seeing more use. Also as mentioned above, in applications where breakdown is heavily considered, a slightly more expensive product is well worth it. This can be seen in exhaust applications in commercial settings.

Taking a Closer Look at Your Project

So which product should you use? It all depends on the application and your budget. You first need to analyze your application. Is it residential or commercial? Will you be moving air, gas or liquid that can breakdown the piping material?

Once you sort out the application, figure out your product costs for each of the products. Assuming PVC could be more expensive than metal, what are the overall price differences? If your overall product cost is only 0 – 25% higher, the long-term benefits might outweigh the initial cost savings. If your product costs run closer to double, the more affordable product may make sense.

PVC duct and piping is definitely used in HVAC & ventilation systems and we see more adoption in certain situations, applications, and industries. Technology continues to advance and there’s no doubt we’ll continue to see more adoption in the future, especially if metal resources become harder to come by.

Amanda Hill is the Marketing Director for PVC Fittings Online, a leader in PVC products; from pipe and valves to fittings and accessories. Since 2011 PVC Fittings Online has provided contractors, industry specialists, and residence with online plumbing supply.

 

 

Emerging Innovations In The HVAC Industry

HVAC technicians today have more technology available to them than ever before. With new technologies coming to the industry every week, today’s HVAC companies need to be aware of what is coming, so they can adjust their work accordingly. Here are some technologies that will impact the HVAC industry very soon.

The Rise of Self-Diagnostics

One of the challenges for homeowners is that they rarely have insight into what is going on with their HVAC systems. When something doesn’t work properly, they find themselves at the technician’s mercy. An unscrupulous technician can easily inflate the problem, indicating it is worse than it really is, and homeowners have no choice but to pay the bill.

This is changing with an increase in self-diagnostics in air conditioning and heating systems. New components with built-in self-diagnostics  are the wave of the future. Some of these systems can even be set up to repair minor issues without help. This can actually benefit the HVAC business owner, because customers will be more trusting of the repair recommendations, and systems can be set to alert business owners when a problem is developing.

Fleet Tracking

HVAC companies rely on a fleet of vehicles to get service technicians to their locations. Whether that fleet includes just one service vehicle or a fleet of 10, the need to lower fuel costs and increase the speed at which technicians arrive at their locations remains the same.

Fleet tracking is not a new technology, but modern systems are evolving so that they now meet the need of the small business owner as much as the large, 100-truck fleet. These scalable systems provide the same benefits of the systems designed for larger fleets, but in a smaller package with a manageable price tag that small business owners can benefit from. With more efficient fleet operations and better routing through fleet tracking, today’s HVAC business owner will be able to lower operating expenses and exceed customer expectations. Both of these combine to improve income for the company.

Increase in Utility Sales

Managing energy use during peak times is always a challenge for utility companies. Utility sales programs use technology to reward those customers who turn off their HVAC systems during peak times, when energy use is at a premium. By offering lower rates to those customers, utility companies can manage their energy supply a little easier, and technology is coming that will make this easier to do, even offering the option for automatic shutdowns when requested.

Variable Refrigerant Flow

Most homes do not have even temperatures from one room to the other. The kitchen, where the hot work of cooking takes place, may be several degrees warmer than the den, which only has one window. Unfortunately, heating and cooling the entire home with the same system is inefficient. Zoned systems, which divide the home into various zones that are heated or cooled separately, are a solution to this problem. Variable refrigerant flow is the next wave in zone air conditioning.

Variable refrigerant flow allows the home to be heated and cooled in different ways in different parts of the home, without sacrificing the efficiency of the home’s cooling system. The systems are designed so that they can simultaneously heat and cool, using the latest technology to control the system with precision. They run quietly and have a lower lifecycle cost with minimal energy usage and maximum comfort. HVAC companies that can install and service these will be well positioned for the future.

Energy Analysis Software

What is the most energy-efficient HVAC system for a customer’s home or business? Energy analysis software can show this. With these programs (which are up and coming in the HVAC industry), technicians can recommend the exact products that will genuinely meet the needs of their customers. Software can also project the long-term benefits of the system, helping customers embrace the higher upfront cost for a more efficient system.

The HVAC industry is changing. To ensure that your company is prepared, you need to be aware of the changes and embrace them as they come. Whether it’s adding new energy analysis software or purchasing fleet tracking systems for your company, you will be ahead of the competition as you embrace the wave of new technology that is coming.

Author bio: Robert J. Hall is President of Track Your Truck, a leader in GPS tracking devices and software for small and midsized companies. 

How to Make your Plumbing and Heating Business Gleam in the Market?

The plumbing and heating industry is moderately inundated in a large number of geographic markets; however the target market of plumbing and heating businesses, anyone with a home, apartment complex or office is so colossal that there is always space for new competitors.

In this digital era, you too can have the successful and reputed plumbing and heating business in very few months. However, there are many hidden facts in which you might be getting lack somewhere. So, let me begin with this, by inquiring you some genuine questions of this industry.

  • Do you experience that frustrating feeling with the duration it has taken to make a reputed presence in your plumbing and heating business?
  • Do you wish to get a smart way to handle all your inquiries, which make you more focus ON your business and not IN your business?
  • Do you desperately want countless customers with every passing day, so your business never dries up?
  • Do you aim to earn lots of money and have more time off from your very own plumbing and heating company with employees running the entire process for you?

Well, if your answer to all these aforementioned questions is yes, then it is worth reading this page which leads you to the trail of success!
Here are a number of ways that make you hooked up with the clients in no time. Take a look;

Bandwagon!
The bandwagon technique sells a product or service by convincing the customer that other are using it and they should also join the big family. If you wish to have a dynamic positive response, count on it.

keyBrand; A good logo is a key to success!

Your company’s logo is one of your biggest advertising opportunities. Your logo represents the whole picture of your company in terms of quality, reliability or value for money. An impressive logo goes a long way to lead your business.

Don’t turn down work!
Once you start turning down work because you are overbooked, you are losing customers for life. If the business is too good, it’s better to take a chance and hire some help than it is to turn your customers away and fill the bank accounts of your competitors.

Daily deal services!
Daily coupon services like Groupon and LivingSocial have become very frequent marketing strategies to reach new customers, retain current customers and amplify your brand responsiveness. It is also a decisive way to run multiple campaigns that are full of bombshells, fun and petition to an audience in plumbing and heating industry.

socialmediaClasp social media!
More than anything else in the past decade, the use of social media has changed the way companies put their names into the public consciousness. Post on industry and consumer sites; understand that Facebook and twitters are not just for your fun. Hack out a niche for yourself by linking it up to other social media to obtain maximum penetration in your business.
The aforesaid ways proved very successful and helped many plumbing and heating industry by increasing their average price per ticket dramatically. In the end, all of these ways resulted in additional new customers and more sales leads and becomes the key component that sustained business success.

About The Author
GASSCO Heating and Cooling has been providing the best service for more than 20 years. We are a team of expertise who give our customers 100% satisfaction with our services.

A Guide in How to Start Your HVAC Business

It is widely known and commonly accepted that there are almost no facilities, starting from single private houses to business facilities or official institutions that can maintain their functions and properties normally if there were not for the HVAC system. HVAC career is a sound investment and therefore it should be considered when deciding to set up your business. If those systems are so crucial in everyday life and erecting all kinds of residential structures, and since they present a ubiquitous need in such structures, those of you out there how are capable of recognizing a fruitful business opportunity may definitely include HVAC business on their list of possible options to dedicate to and invest their money in. Having considered all the facts about HVAC system that were previously mentioned, all the business persons as well as the ones who investigate the world of business, may agree on the statement that starting an HVAC business undeniably sounds as a sound investment. So, why wait? This article aims to bring up a hopefully useful set of guidelines that will direct one in how to set out with their HVAC business if one has not been engaged in such a field before.

Knowledge and Diligence

To start and, what is even more important, maintain a successful business, one requires certain qualities and skills, such as being exceptionally well informed about the type of work one is taking up and also being quite diligent. That is what will surely help you keep the wolf from the door when it comes to debts and billing and keep your head over the water when it comes to managing to maintain a fruitful business and becoming a remarkable part of the market. According to the research conducted by Small Business Administration, many small business companies do manage to survive the first few years with success and without significant obstacles. However, what are the main mistakes that business persons tend to make that lead such a starting success into later fading and failure? This is a guide in how to recognize those false moves and avoid them. The first main mistake, claimed by the Harvard University, is that inexperienced business persons set out with almost nothing and usually have barely enough funds to cover their licenses. Thus, the under capitalization is recognized as the main flaw in starting a business in general, and it applies to starting an HVAC business as well. Apart from this flaw, there are a few things on which the ones who decided to start an HVAC business, in particular, should inevitably pay attention to.

Certification

The first step in starting a HVAC business is definitely to specialize in the field. Being familiar with industry tasks such as knowledge of HVAC systems, operating diagnostic tools, installation of main units, etc. are a must when it comes to this field. If one is under qualified, one will be unable of completing the work successfully, which will not be satisfactory for the customers. One who is not specialized in HVAC will be able neither to convince the customer in their knowledge and gain their trust nor to obtain a certificate. Therefore, the specialization is crucial at the very start.

Loyal Customers

After one has passed a suitable coaching successfully, one can get certified and go for a license in HVAC afterwards. Since different states have different practices when it comes to licenses, before applying for a certain course that will lead into attaining a license, one should carefully investigate the rules applied by their state and make sure to choose and train for the right license that is accepted by their state. Therefore, one will get accredited, which is the most important step up the ladder of setting out a business. Moreover, a businessman accredited in HVAC by the state will gain the trust of the local community as well as loyal customers, which is crucial in starting any kind of business.

Source: contractingbusiness.com

 

Creating a Growth-Oriented Business Plan and Finding Partners

After one has succeeded in starting out with their business and settling down through finding loyal customers within one’s local community, the next step will be to make such a business increase and develop. Raising funds and striving to gain a higher income are the practices that pretty much sum up what business itself is all about. Thus, one who has successfully completed the first steps in setting out with their HVAC business should consider creating a growth-oriented business plan. There are certain steps to be taken in order to achieve that, for example, invoicing clients, setting up service contracts, tax record keeping, advertising and developing competitive estimates. That will provide you with a possibility to stand out in the crowd on the market and to be recognized by your customers as one they can put their trust into. Apart from creating a growth-oriented business plan, finding a suitable partner to cooperate with is also of utmost importance. The choice of your partner is what can make or break your business, the same as choosing your type of certification and license. Therefore, business consultants mostly advise the ones who start an HVAC business to collaborate with construction firms, as it is the decision that will bring the greatest benefit.

About Author

Helena is a Content Marketing Manager at HowtoBecomeaTechnician.com. She’s a passionate copywriter with an addiction to social media and enjoys writing all sorts of articles, ebooks, and translations.