Broadway Construction – The bridge to substantial growth
Broadway Construction, originally a small £1.5m family builder in Slough, is now a successful, fast-growing £12m building contractor in Radlett – working across London and the Northern Home Counties.
When a new generation joined Broadway, the firm took the decision to substantially develop the business. Too small to justify a full-time Business Development Manager, they got in touch with David Crick, a director at CMS, to provide part-time sales and marketing expertise.
David worked one day a week in-house at their Broadway offices using Barbour-ABI project leads as the main driver for growth. Four very successful years later, David worked eight days a month, generating sales that led to a turnover in excess of £12m.
Having reached their target, Broadway was able to bring in a full-time Business Development Manager and increase their 2015/16 target to £15m.
DHT Electrical - Reshaping and growth into new sectors
Expert electrical contractors, DHT Electrical specialised in shop refit electrics. But with the shrinking of the retail sector, they urgently needed to find new business elsewhere. They decided to move into a new market sector and brought in David Crick, a CMS Director, to help reshape the business. Working just one day each fortnight, David enabled them to move almost completely out of the retail sector to focus on schools and commercial contracts in less than eighteen months. And at the same time, their turnover increased by 25 percent to £2.5m.
David explains: ‘When I started with DHT, we agreed that I would build relationships with key people in a selected group of main contractors, with a focus on schools. Using market intelligence from the Builders’ Conference, I focused on a narrow group of building contractors working within DHT’s geographical reach for school contracts up to £2m. Within months, DHT were winning a number of substantial contracts, mainly with schools and up to £200,000. Margins are not as good as they used to be, but DHT achieved around 5 – 7 percent. And importantly, the firm has work lined up for the next four months or more.’
Elmcroft – a 1000% rate of return on targeted projects
Elmcroft specialise in building and refurbishing industrial and commercial property. Over the past eight years, a Contractors Marketing Services Sales Hunter has been working with them part-time, two days a month generating business from new leads and developing long-term relationships with architects, building surveyors and developers. As a result, Elmcroft have enjoyed a regular pattern of successful tendering, and have a consistently profitable turnover of £2.5m – £3m.
Colin Barnes, Senior Construction Manager at Elmcroft, credits CMS as a key element in their success. Although a Sales Hunter is only in their office one day every fortnight, they estimate 70 percent of their work comes through this concentrated focus on sales.
Over the past year, CMS has brought in more than 30 highly targeted opportunities to tender, with over £2.2m won so far.
Our Sales Hunter explains the success comes from careful targeting: ‘I use ABI sales leads for projects in London and the northern Home Counties, and focus particularly on work within Elmcroft’s preferred areas of expertise. This has resulted in a number of excellent contracts including a £600k warehouse and a £1m cold store.’
At the same time our Sales Hunter is nurturing good, long-term relationships for Elmcroft with a number of key work providers, including Chartered Building Surveyors and developers for dilapidations. This has resulted in repeat invitations to tender and win new work.
Elmcroft estimate that, given the net margin on the work our Sales Hunter has brought in, CMS has produced a return of over 1000% on what it costs to have us on board.
Architects Practice – Targeted marketing to develop key accounts
CMS worked with a substantial multi-disciplinary architectural, building surveying and engineering practice in the South-East of England.
The practice has enjoyed success in a number of construction sectors for many years, but saw the need to invest in active marketing to develop new clients.
A senior CMS Consultant was brought in 3-4 days a month to help the firm develop a strategy for new key accounts. Over the last eighteen months, our consultant has focused specifically on four key areas : education, healthcare, housing associations and the reactivation of old clients.
Despite funding cuts and uncertain organisational structures, our consultant has generated new commissions and a steady flow of meetings with carefully selected, high-potential work providers in all of the targeted sectors. And the practice is now set to secure substantial new business when the economy recovers.