The latest data shows that more than half of all plumbing businesses have four or fewer employees, and most of those businesses are one-man operations. Getting your business to 5x or 10x its value means finding highly skilled techs to join your team.
But as a small business, every hire has a massive impact on your future. The right techs generate more return customers, a larger revenue base, and stronger growth. A broader skill base also magnifies your ability to take on more jobs while giving yourself time to work on the business, not just in it. The wrong techs are a drag on your wage costs, creating fewer returns and slower growth.
The problem is, if you’re already a small business, how do you compete with bigger businesses to attract talent?
The answer: building a bulletproof reputation online.
The Internet & Labor Shortage Has Changed Hiring
There has been a distinct shift in the relationship between prospective technicians and plumbing companies. In the past, there were more employees than available jobs. Employers didn’t have to do much to attract new team members; they had their pick of the litter when it came to hiring.
Not anymore. The unemployment rate in the United States has reached record lows, leaving companies scrambling to compete for top talent while inflating wage costs. At the same time, the Internet has made it easier for plumbers to find new jobs (or get served ads to apply to open positions). As a small business, you’re constantly under threat of losing your most experienced employees to higher-paying jobs at larger businesses.
So how can you compete with larger, higher-paying businesses? Have a better reputation than them. A powerful reputation is how plumbing companies punch above their weight.
From a prospective hire’s perspective, a plumbing company with a strong reputation is likely to offer better career opportunities, more job security, and better projects. For experienced, high-skill plumbers—the kind of new hires that can transform a business—the ability to develop their skills or further their career is a major selling point, even if a less reputable business offers more pay.
In fact, companies pay a premium when they don’t invest in a solid reputation. One study that found a bad reputation can cost a company at least 10% more per hire. According to another study, 57% of candidates avoid companies with poor online reviews.
How to Build a Reputation that Attracts Cost-Effective Talen
How your plumbing company appears online is going to influence a potential technician’s opinion of you. If they learn that working for you would be a major career opportunity, you’ll be able to get a higher return on their skills. That’s why reviews should be the foundation of your recruitment strategy.
Consumer surveys have uncovered a few high-impact ways to turn 50-60% of your jobs into positive ratings:
- Ask for reviews: There’s an over 50% chance a customer will leave a review if you just ask. The likelihood increases if your technicians ask them directly, but an email or text after a job is finished works fine too.
- Take extra care to turn negative experiences into positive ones: If you handle it correctly, turning around a poor customer experience is 80% likely to result in a high rating.
- Let customers know you have fewer reviews than competitors: Customers love supporting an underdog. The likelihood of getting a review when a customer knows you have fewer reviews is over 60%.
- Ask high-performing team members to review you as an employer: Reviews aren’t just for customers. Let your team members speak directly to what it’s like to work for you.
These few practices will extend the power and reach of your online reputation, attracting more and higher quality prospects than businesses who neglect the importance of review generation.