New Year’s resolutions for propane marketers

Cre­at­ing small mea­sur­able steps for propane mar­ket growth    

Accord­ing to the lat­est Wikipedia def­i­n­i­tion, a New Year’s Res­o­lu­tion is a promise that you make to your­self to start doing some­thing good or stop doing some­thing bad on the first day of the year.  New Year’s res­o­lu­tions date back to pre-Christian times with the Baby­lo­ni­ans and Romans and have had reli­gious and moral over­tones.  It is esti­mated that over 40% of Amer­i­cans now make New Year’s res­o­lu­tions on small mea­sur­able steps that can be as sim­ple as lose weight, quit smok­ing, and vol­un­teer to help others.

New Year’s res­o­lu­tions can be an impor­tant part of the plan­ning process for your propane busi­ness too.  Res­o­lu­tions are not meant to replace a busi­ness plan, an annual mar­ket­ing plan, or your bud­get process, but res­o­lu­tions can help you find your range and set the tone for those more for­mal plan­ning processes.

Here are a few New Year’s res­o­lu­tions for your propane busi­ness that can make a difference.

I Resolve to:

• Stop using the words “switch” and “switch out” in my adver­tis­ing, as it applies to steal­ing cus­tomers from your propane com­peti­tors.  There is noth­ing wrong with adding new cus­tomers to your base by tak­ing cus­tomers from your weak per­form­ing propane com­peti­tors but using those words show a total lack of cre­ativ­ity and cheapen your growth efforts and our propane indus­try rep­u­ta­tion.  Your mar­ket­ing and adver­tis­ing should give com­pelling rea­sons why you are the best propane com­pany with which to do busi­ness and con­sumers will respond.  If you still feel you must strengthen your adver­tis­ing close, try sub­sti­tut­ing “upgrade” for “switch out”.
• Start learn­ing more about propane and my energy com­peti­tors.  Attend the Propane Expo in Atlanta and other regional and state events that have a strong edu­ca­tion com­po­nent.  Study the elec­tric­ity, heat­ing oil, bio­mass, and renew­ables mar­kets in your area.  These energy mar­kets dif­fer across the coun­try.  I find that energy web­sites, blogs, other social media, and my elec­tric bill pro­vide an abun­dant amount of use­able energy infor­ma­tion.  Few propane mar­keters I talk with even know their own local elec­tric rates, but they can tell me the per gal­lon price of propane for every com­peti­tor within 50 miles.  That’s a good way to win small bat­tles but lose the war.
• Pro­vide more train­ing for my employ­ees.  If you want to cre­ate a healthy team spirit at your com­pany and have a safer and more suc­cess­ful propane busi­ness, keep your employ­ees well-trained in their core areas of work and other aspects of the propane busi­ness.  CETP or equiv­a­lent train­ing, propane sys­tem instal­la­tion and main­te­nance train­ing, and appli­ance instal­la­tion and ser­vice train­ing offered by man­u­fac­tur­ers or dis­trib­u­tors are a few of the cur­ricu­lum areas that can improve your employ­ees’ skills, ver­sa­til­ity, and over­all worth to your com­pany.  Look to NPGA, your State or Regional propane gas asso­ci­a­tion, and appli­ance and equip­ment man­u­fac­tur­ers and dis­trib­uters in your area for pri­mary employee train­ing oppor­tu­ni­ties.
• Add more burner tips to my res­i­den­tial and com­mer­cial cus­tomers.  Your mar­ket­ing plan strat­egy and tac­tics should include the addi­tion of burner tips and result­ing gal­lons to your cur­rent cus­tomer base.  You can start with small steps like improv­ing your data base on the propane usage of your res­i­den­tial and com­mer­cial cus­tomers.  Every one of your cus­tomers has 5 pri­mary oppor­tu­ni­ties for propane usage inside their homes or busi­nesses.  You should know what form of energy your cus­tomers use for space heat­ing, water heat­ing, cook­ing, clothes dry­ing, and fire­places.  It is also help­ful to know the age and con­di­tion of that equip­ment.  Then you can work toward ways to increase the num­ber of those usage points per cus­tomer.  You can iden­tify propane usage by cus­tomer and appli­ca­tion in a vari­ety of ways, includ­ing GAS Check, cus­tomer sur­veys, new cus­tomer check lists, and ser­vice orders. Also, con­sider join­ing the Res­i­den­tial and Com­mer­cial Mar­ket Growth Group, a newly formed work­ing group of NPGA mem­bers that includes propane mar­keters, appli­ance man­u­fac­tur­ers and dis­trib­u­tors, and State Exec­u­tives.  This still evolv­ing group’s efforts to increase res­i­den­tial and com­mer­cial gas load are also sup­ported by PERC.  Con­tact Randy Doyle at rdoyle@blossmangas.com or me for more details.  Increas­ing the num­ber of burner tips per cus­tomer will increase your gal­lon sales and the value and sus­tain­abil­ity of your business.

Now is the time to think about what your New Year’s res­o­lu­tions should be for your propane busi­ness.  Hope­fully you have been inspired by some of the above.  You may be sur­prised at how much these small steps can pos­i­tively influ­ence your over­all busi­ness strat­egy and for­mal plan­ning process.

May you have a Merry Christ­mas, Happy Hol­i­days, and a Pros­per­ous New Year!

 

PERC Training Courses Reach Construction Professionals

The Same Train­ing is Start­ing to Catch on With Propane Mar­keters too

The Propane Edu­ca­tion & Research Coun­cil (PERC) is its 5th year of build­ing an arse­nal of train­ing courses for con­struc­tion pro­fes­sion­als.  Orig­i­nally the courses were designed to train archi­tects about propane and the ben­e­fits of related appli­ca­tions.  The propane indus­try had long felt that archi­tects were an impor­tant first step in the res­i­den­tial and com­mer­cial con­struc­tion process but had no way to reach this audi­ence.  The aver­age propane mar­keter can be intim­i­dated by the archi­tect com­mu­nity and unsure of the role they play in energy deci­sions.  PERC took the smart approach and did research to qual­ify the archi­tects as energy deci­sion mak­ers and find out the best ways to reach them.  The research showed that archi­tects need con­tin­u­ing edu­ca­tion to main­tain their State license and are espe­cially recep­tive to online train­ing.  It was also noted that no other energy provider was pro­vid­ing this type of energy related train­ing to archi­tects.  With the door wide open, PERC stepped in the first year with one course on under­ground propane tanks and over 300 archi­tects took the course.  The propane indus­try went from –0– out­reach to reach­ing over 300 archi­tects the first year.

What does the train­ing pro­gram look like now?  The Propane Train­ing Acad­emy has been estab­lished online and cur­rently houses 22 free online courses on a vari­ety of top­ics includ­ing new tech­nol­ogy that PERC grants helped develop.  Last year almost 5,000 con­struc­tion pro­fes­sion­als, includ­ing res­i­den­tial and com­mer­cial archi­tects and builders, remod­el­ers, engi­neers, and HVAC and plumb­ing pro­fes­sion­als signed up for the courses.  Included in those num­bers are 200 propane pro­fes­sion­als who found the train­ing a valu­able resource for con­nect­ing to the con­struc­tion mar­ket and propane end users.

PERC is able to cap­ture infor­ma­tion dur­ing the train­ing reg­is­tra­tion process and the amaz­ing results point out the true value that this train­ing is bring­ing to the propane indus­try.  An over­whelm­ing 70% of the con­struc­tion pro­fes­sion­als sign­ing up for the courses plan to build with propane in the next 12 months.  Of the builders with no pre­vi­ous expe­ri­ence in build­ing with propane, over half of them plan to build with propane in the next 12 months.  This points to the effi­ciency and effec­tive­ness of train­ing the con­struc­tion com­mu­nity and will result in incre­men­tal sales and gal­lons when you con­nect with those builders in the field.  All of the con­struc­tion pro­fes­sion­als train­ing with PERC at trade shows, through Buildwithpropane.com, and the Propane Train­ing Acad­emy are posted as leads on the Propane MaRC.  Find them and cre­ate new gallons.

Train­ing for your­self and your employ­ees can make a dif­fer­ence in the way you approach the chal­lenges before you.  Much of the coun­try had an unusu­ally warm win­ter that is now quickly turn­ing into sum­mer.  Warmer than nor­mal tem­per­a­tures, the con­tin­ued weak econ­omy, accom­pa­ny­ing con­ser­va­tion, and propane prices sig­nif­i­cantly higher than the pre­vi­ous win­ter have brought gal­lon sales down 20 to 40 per­cent for many propane retail­ers.  Some of those gal­lons are likely to come back with a nor­mal win­ter and an improved econ­omy but some gal­lons are gone for­ever.  For some retail­ers it may be time to face the real­ity that it is time to make a choice; down­size my busi­ness or cre­ate new gal­lons.  Cre­at­ing new gal­lons means cre­at­ing new users and increas­ing the num­ber of propane appli­ca­tions with cur­rent users.  That is true propane mar­ket expan­sion in the energy sec­tor, ver­sus steal­ing cus­tomers from your weaker propane com­peti­tor.  Cre­at­ing new propane users is a strat­egy while steal­ing cur­rent users is a tac­tic. While you may have oppor­tu­ni­ties in your mar­ket­place to use that tac­tic, it shouldn’t be your only one.  Add train­ing for your­self and your employ­ees to your tac­tics list.  The train­ing avail­able at the Propane Train­ing Acad­emy should be incor­po­rated into your slower deliv­ery sea­son, if cre­at­ing new and expanded res­i­den­tial propane users is part of your strategy.

Make spring­time learn­ing time, not down time at your propane busi­ness.  The train­ing avail­able at www.buildwithpropane.com/training will make propane retail­ers bet­ter pre­pared to sell to the con­struc­tion com­mu­nity and to end users.

 

Tom Jaenicke is the owner and prin­ci­pal advi­sor at ATomiK Cre­ative Solu­tions, LLC, a com­pany that pro­vides mar­ket­ing ser­vices, tech­ni­cal advice, con­tin­u­ing edu­ca­tion solu­tions, and busi­ness devel­op­ment assis­tance to energy com­pa­nies and sup­port orga­ni­za­tions.  He can be reached at 810 252‑7855 or tom@atomikenergysolutions.com.