President's Corner

President’s Corner, January 2014

The year 2013 has been a great year for us at Air-Care. In fact, due to an increase in business we have hired eight new employees and purchased a new building. This new building will allow us to increase our manufacturing capacity and better serve our customers.

Part of the growth is due to our local service business where we are offering air system cleaning. This is where we test new products and methods of marketing. This results in a significant profit center and a way to share with you all what we learn from our day to day activity in this industry.

Every day we are contacted by people from all over the US and around the world for information about our company and products. Over the last 30 plus years, Air-Care has become a major resource for knowledge and equipment in the air system cleaning field.

We would not have this success without your confidence in us. Not only do we consider you to be in partnership with us, but we also have a vested interest in your success. Helping ensure your success only ensures our own.

Thank you very much and have a wonderful new year.

R Papaleo
President

President’s Corner, December 2013

It’s hard to believe it is almost the end of the year and there’s just not enough time to get all the things done that we plan for. That being said, it is amazing how much we accomplish at Air Care.

With the holidays upon us I would like to wish all of you and your families the best. This is the time in the year where it is good to be thankful for all that we have and be grateful for living in a wonderful country where you can become whatever you choose to be.

Being successful is a very personal thing and it means different things to each of us. If I asked 10 people the question “Would you like to be rich?” they all would say yes!

The problem with that question is that rich means something different to each person. It’s not always about money or the amount of money. Some people would feel rich if they could just pay their bills, others want lot’s of money in the bank and some feel rich if they are healthy and they can pay for their children’s college. So what will make you feel rich? If you can decide on that, then going to work every day has a purpose and it get’s to be fun.

The new year will start off with a bang here at Air-Care with a new building and the introduction of some new and exciting products. And we have developed a team of employees (40) that will give their very best to support your needs as our customers.

Merry Christmas and a Happy New Year.

R Papaleo
President

President’s Corner September 2013

The summer is coming to a close and the kids are back to school and the best weather of the year will be here for a short time. This would be the time to do some planning for the next seasons; fall and winter. The heaters will go on and you should be getting calls about bad odors and indoor air quality problems. This is just what we all do best – find and solve these kinds of problems.

As usual here at Air Care we are always looking for ways to increase sales for you and us. For the last four months we have been in the R & D mode designing some new products and services that will help you add significant revenue to your service business.

The fact that we are in the service business also is a major benefit this allows use to experiment with new products and services. The most recent one we are working on is trash and laundry chute cleaning. There are others that do this, but we have put a new twist on it with the design of a very special tool that will make this process go much faster and provide superior results.

We also have a strategic alliance with a pressure washing equipment manufacture so that we can use this with our proprietary equipment. We have been in the field presenting this service with new brochures and a pricing strategy that has been very well accepted. This will be a winner and go hand in hand with what we already do as it relates to indoor air quality.

Part of the process is for us to develop training tools for you and your service techs which include videos and detail instructions on how to perform the process. The other very important element of this is the proper pricing of the service and we have detailed formulas for the pricing which will guarantee solid profits. You will see these new products on our website in a few days and will receive email notices introducing this added service.

Be sure to also ask us about the Solar Screens. This is a great product to market and allows you to increase your sales revenue. There is a new point of sale demo kit and a great brochure and sample material brochure to help you make a professional presentation. Give us a call and get the facts.

Until next month keep up the great job.

R Papaleo
President

President’s Corner, June 2014

Things are going well at Air-Care. We have settled in and organized our new building and with a lot of effort from our team, we are becoming much more efficient.

As a result of streamlining our manufacturing process, we have added a number of new employees across all functions, and with this added staff we are happy to say we are much more responsive to your needs by providing first-class support. We now have 48 employees and are still on the search for highly motivated and talented people to help us grow. Part of our growth plan is to bring a number of our outsourced activities into our company and develop more control over our products as related to quality and availability. This is the fun part of business and I enjoy it very much.

As you already know we have recently released two new products; our Dual Fogger and Mini VIS Camera system. Both have been major improvements to our product line and we are very excited to offer them.

Most of you know that Air-Care has its own service business in Las Vegas offering air system cleaning for over 30 years. This is very unusual for a manufacture to use the same products they sell.

This is one of the things that make us a wonderful company to work with because we know exactly what it takes to make this business work, and we understand what you need to know to be successful. Our range of work includes residential and very large commercial projects.

The economy is improving and a lot of projects that were postponed in the last few years are starting to come back. A number of you have shared with us the same optimism about the future.

Thanks for your trust in us and we look forward to helping all of you grow your business.

R. Papaleo
President

President’s Corner, October 2012

Should you add air duct leakage testing to your existing business?
by Richard Papaleo, President

I always start off by applying another question: “Will this service solve a problem large enough to be a value to my customer?” The answer is absolutely ”Yes”!

Energy savings and comfort are the primary reason the consumer is ready. There are currently 44 states that mandate this test in new construction of homes and when AC systems are replaced. There is a growing awareness of this fact and the market is ready; are you?

One of the things consumers do when trying to save money in their homes is find the source of major energy loss. If they had air leaks in their air system that was equal to an open window or door, that would get their attention fast. The problem is, they don’t know it is leaking because they can’t see it.

This is what is happening in many homes and they just don’t know the source of it. The only thing they know is their utility bills are very high and they would really like to lower them. You can help them identify some of this energy loss and fix the problem.

At Air-Care, we have spent over two years developing a high-tech Duct Leakage Tester that will allow you to do this simple test and give the consumer a detailed report showing the energy loss and the need to correct it.

The test takes about twenty minutes to perform per air system and requires you to just press one button with the test in automatic mode. A detailed report will be produced showing the total air leakage and the cost to the customer in terms of energy loss. This is a no-brainer and anyone can perform this test. The repair of leaking air systems is really easy and we have a complete training program to make sure you are presenting yourself as a true professional.

Every customer you currently have is waiting for you to introduce this service to them and new customers are waiting for you to tell them about this valuable service.

The recommended cost of this service could be $100 to $200 for the test and depending on the number of leaks and access, the repair could be $100 to $500. This is an area that you have complete control of and you should establish your own pricing strategy.

Go to our website to see our video and give us a call to find out more about this problem solver and great profit center.

See you next month!

Richard Papaleo

President’s Corner, March 2014

We launched our new dual fogger last month and are very pleased with the response. This new design makes a lot of sense and it will save you time and money. Be sure to check it out on our online catalog. You will also find our new “VIS Mini Cam” video camera. This great product is compact, affordable and loaded with features!

At Air-Care, our talented team is always working on new products and improving existing products to be the very best we can be to service our customers’ needs.

We told you about our new building last month and we are finally settled in. This is an additional building and we now have a campus of two adjoining buildings.

I am happy to announce we have brought on-board a new employee, Ed Hoff, as our new Manufacturing Manager. Ed has over 20 years experience in Manufacturing and Procurement and is an expert at Lean Manufacturing. These exceptional skills will add to our already talented staff and help us grow into the next generation of making first class equipment and support for our customers. We are looking forward to Ed’s contribution and the improvements he will bring to Air-Care.

It’s all good news here at Air-Care and we look forward to a great future. Thanks for your trust in us; see you next month.

See you next month,

R Papaleo
President

Our glass is half full – June 2009

The last time I talked to you it was about the economy and our new President and how we should collectively go forward in our business. Well I am pleased to tell you that our first quarter has been very normal; in fact we are as busy as we have ever been.

Our local service activity is usually scheduled two weeks out and this is in a city that has been adversely effected by the slow economy. As I write this, we have over 2,000 filters on order which tells me you are doing well; in fact we are working our factory overtime to keep up. Our glass is half full – not half empty.

We just finished having a Lean Manufacturing consultant work with us to find ways to be more efficient and do a better job of producing our products. In addition we are about to launch some great new products and services.

You should have been contacted by email about one of them which is our new service of creating and managing a professional website for your company. This will be one of the most powerful tools you use to grow your local business.

We have hired a very special person with the skill to develop web based marketing tools. You will be very excited about this when you get to learn more about it. This is the future of marketing – not the newspapers or Yellow Pages. We have proved it in our company and are ready to share this with you.

So when you get a chance, please share with us what you are doing and what you would like to have us put in our next newsletter. Thanks for your trust in us and I promise that Air Care will always do its best to support your needs in this great service business.

President’s Corner, May 2014

Although I’d heard it before, a friend and colleague recently reminded me of an important rule for business. The 20-80 rule (also known as the Pareto principle) states that, for many events, roughly 80% of the effects come from 20% of the causes. Italian economist Vilfredo Pareto first developed the rule in 1906 when he observed that 80% of the land in Italy was owned by 20% of the population. Since then, businesses along with other industries, corporations, and individuals have applied this rule in various shapes and forms.

The essential idea is that only a few things are responsible for the vast amount of your productivity and results. Think what an amazing insight this can be for your business.

How the rule fits into business.
80% of the sales are generated by 20% of the customers
80% of the sales are generated by 20% of the sales staff
80% of the complaints come from 20% of the customers
80% of the work is done by 20% of the employees
80% of what one buys comes from 20% of the vendors
80% of the sales from advertising come from 20% of the customers
80% of the important decisions happen in 20% of the meetings
80% of the business’s profit comes from 20% of the customers

Here are 5 ideas to help your business increase revenues using the 80/20 rule:
1. Identify those vital few activities, brands, customers or actions (the 20%) that yield high profit and expand on them.
2. Discover which 20% of your customers are causing 80% of your headaches and take a hard look at firing them.
3. You can maximize your profitability by cutting products and services that drain your most precious resource… your time.
4. Look at your customer base and try to find similarities between your best customers. Then focus your efforts on attracting and selling to that type of customer.
5. Spend 20% of your time working IN the business and 80% of your time working ON the business.

If 20% of input (time, resources, and effort) accounts for 80% of output (results, rewards, revenue) then shouldn’t Pareto’s principle be implemented in your business strategy?

I’d like to thank my friend Dave Webb for pointing out this valuable information and I hope you see its value too.

See you next month.
R Papaleo

President’s Corner

I recently had a conversation with our Service Manager about sales and I have decided to share that with you.

As most of you know we are also in the service business, and we face the same challenges that you do. We get a lot of phone calls about our service from consumers and the first thing most of them ask is “How much does it cost?”

Unfortunately, this is common mistake that a lot of consumers ask. They should be concerned with what we do and how well we do it.  They should be concerned with what the benefits of our services.

Your response should be a question.  Ask them why they are considering having their air system cleaned and what problem(s) are they trying to overcome.  Remember, your job is to “find a need and fill it”. Once you know what problem they are trying to solve, you can then explain how your service can help.

Regarding the price; I believe it is unfair to both you and the customer, to quote a job over the phone. There are too many variables involved, to give a proper price without seeing the conditions you need to deal with.

Sure, you can quote a job on the phone; we have all done it, but that means you need to go very low if you think they are shopping, or very high, for fear you may be facing a difficult job that can only be determined when you see the project. In either case, it is a bad decision.

The most powerful position you will ever have in the selling game is one-on-one presentation.  This allows you to explain in detail, the procedure and what problems you find that need to be addressed.

You must insist on this approach to selling and tell the customer that you are spending your money to make the trip to their property.  Explain that it is the only way you can be sure to give them the very best price and that they will gain a better understanding of the process and its value.

If you quote over the phone you will generally have a very low probability of getting the job and if you do, it will most likely be less profitable.  If you do an on site inspection and quote, your odds of a sale are increased substantially.

The customers that agree to this process are usually willing to spend the proper amount of money to get the quality service you offer.  I know that some of you will do “low-ball”  quotes over the phone and if you get the job, you have the service people up-sell to get the right price.  This is called ‘bait and switch” and it leads to buyers remorse and very few referrals.

Remember, everyone has the choice to do what they feel works for them.  We choose the high road and sell quality and exceptional service.  Because of this, we get a significant number of referrals which, by the way, are all pre-sold by customers that love our service.  We let themtell everyone they know, what a great company we are.

The bottom line is; make sales but at the same time create a customer base that helps you grow and think of the long term benefits to your company.

Hope this helps.  See you next month.

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President’s Corner June 2013

I was just thinking about how many people we have trained in the many years we’ve been in business. There have been over three-thousand, from all over the world. We have mastered the methods, and in-turn, helped a lot of people get started in this great business.

When it comes to training, there are a few things you need to be sure of. Not only how to clean air systems, but how to find the right customer, and to price the work properly, so that you and your customer are both happy.

Having the lowest price for your service may not be the correct approach. Doing the job right and having repeat customers and referrals is how you build your business. How many companies have you seen go for the low price and a few months later they are not in the business or they are still there but have a very bad reputation and always need new customers because they never get repeat business or referrals?

The long haul is the way you should view your future. We have had customers tell us we were higher than a competitor, but they felt comfortable going with us because they could see we were professional and answered all of their questions. There is the 80/20 rule in life 80% follow and 20 % lead. We choose to be in the 20% group where the profits are fair and both the customer and we win.

So when you go out and present yourself to the next customer, have the confidence to talk about the benefits of what you can do for them and solves their problem. The price should not be the major concern, if you did your part well.

Until next month,

R Papaleo
President

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