Lynette Rogers has run Homescapes of New England, specializing in siding, windows and decks, for over 10 years, but she’s never seen anything quite like the past 18 months. She’s seen data that home-renovation spending has increased by 7.3% in 2021—after having grown by 5.3% in 2020.
“My business doubled,” she says. “But everything else increased too: material costs, labor costs, and lead times for materials.” Wait times on windows went from two weeks to five or six. “I ordered a simple vinyl slider recently and it's 12 weeks; normally five weeks would be plenty of time.”
As past president of the New Hampshire Home Builders Association, Rogers knows it isn’t just siding. Appliance dealers were also experiencing shortages. “Builders couldn't get COs; without all the appliances, they can't complete the house.”
It’s been challenging but exhilarating, and Rogers has learned some valuable lessons along the way.
Build a network
“Last year was especially difficult for decking,” Rogers recalls. “Pressure-treated lumber was in short supply—dealers were out of stock for months—so I had to go to multiple dealers to get the supplies for one deck.”
Luckily, she had the business connections to do so. Building a network is crucial, she says. “You need to do it now, if you haven’t already, because then you have something you can rely on—people you can go to for supplies or advice.”
Be flexible
Rogers quickly adapted to offset delays. “We’d order as soon as we sold the job. Whatever came first was the deck that got built first. Homeowners and consumers are pretty understanding—they’re aware of the supply chain issues.” Customers have also had to adjust to higher costs. “Lumber prices are up 300%--houses cost about $36,000 more to build than a year ago!”
Rogers’ advice? “Order immediately or put an inflation clause in your proposals, because you may sign a contract today but not order for months. Plywood could increase $15 per piece in two weeks. Multiplied by how many pieces go into a house, it's exponentially more expensive.” That hasn’t stopped consumers: “People can get money cheap, so they’ll do the project now even though it costs more.”
Grow smart
“I've hired additional staff and have others working more hours,” Rogers says. “And we’re utilizing our existing resources as well; my sales reps have stepped up and taken on additional tasks.”
Rogers has also focused on more automation. “We've streamlined quoting and customer relations with new CRM systems so we're not doing everything manually—we can respond with the push of a button!”
Recognize hard work
Rogers knows how to retain labor. “I have four employees and 25 subs. Many of the same guys have worked for me for over nine years,” she says.
“We signed up with Contractor Rewards because we’re a certified Andersen Windows installer and get points with other suppliers too. Purchasing more materials means more points to redeem. I save points to get the crews gifts, tools and more. For instance, we got a new microwave for each van so teams can heat up their lunches. I also give gift cards to thank my office staff.”
Anticipate change
The industry is cyclical, Rogers notes. “This is a high, so ride it while you can and plan for downtime—because there will be another downturn."