Podcast 125: Why You Should Develop Strategic Partnerships With Your Suppliers with Jon Gardner

Today I talk with Owens Corning National Training Leader Jon Gardner about the advantages of strategic partnerships with your suppliers. These include differentiating your business from your competition as an approved contractor, online classes for business and field training, and the opportunity to network with other professional contractors from around the country, and much more. I’ve seen these advantages first hand in my roofing business as an Owens Corning approved contractor for over 20 years.

Show Highlights:

The long term value is not saving a few bucks on a bundle of shingles, but forming relationships.
Advantages of partnering with a material manufacturer:
Partnerships provide tools and resources that are more difficult to obtain outside of these relationships.
When partnered with a manufacturer, part of their obligation and purpose is to help a contractor build their business.
Differentiates contractors by leveraging the manufacturer’s brand recognition, and to help build trust in the brand.
Homeowners are savvy and able to thoroughly research the brands used by the contractor during the “hiring” process and feel more confidence and trust when a contractor is partnering with a manufacturer.
As a contractor, you’re able to charge a higher price because you can provide more value, based on the trust and relationship with the manufacturer.

It’s a contractor’s job to educate a homeowner on a roof because they are not all the same. A roof is not just a roof.
A homeowner will ultimately choose the contractor that they like and trust, and it comes down to helping the homeowner understand what they’re about to get, because to the average homeowner, a roof is a fairly complex thing.
Owens Corning’s “Total Protection Roofing System”: investing time in helping contractors to communicate (and homeowners to understand) the value of a roof system. These two elements are designed to work together to protect that investment.
Allows contractors to provide a solid presentation to the homeowner the various components of a roofing system.
This provides homeowners the opportunity to learn, to ask good questions, to begin product and system evaluations, and to assess the contractor’s appropriateness for installing the system and protecting their investment.
According to surveys of homeowners and the reasons they make the purchases they do, it’s not always about price. Price is important, but full coverage systems and taking the time to explain and instill trust is even more important. They’re looking to see how you stand out from the other contractors.
Benefits of extended warranties from a contractor’s perspective:
Many manufacturers (including Owens Corning) provide enhanced warranties that only the contractor that is part of the network can provide.
Some extended warranties can include labor, material, and even the workmanship that the contractor has provided on that particular job.
Being able to offer an enhanced warranty is yet another way that the contractor can differentiate himself from the competition.
Allows the contractor to have a meaningful conversation with the homeowner about their investment and taking advantage of the additional peace of mind that the extended warranty through Owens Corning (or other manufacturers) offers.
Owens Corning looks at their contractor-partners as equal partners when it comes to delivering the right system and the right services to the homeowners.
Another service that Owens Corning has available to contractors:
Owens Corning University on Demand – an online resource for training. Since roofing isn’t a 9-5 job, contractors look for convenient ways and opportunities to learn and educate their employees. The online Corning University is a comprehensive, learning management system where each of its contractor network members can have a unique and personal experience with regard to education and training, covering a multitude of topics.
Dave discusses the 3 problems he sees as a business coach for contractors:
Lead generation
How to convert the leads into sales
Getting the margins you need to make a good profit
Owens Corning invests in seminars throughout the United States with speakers they work with, who are keenly focused on the 3 subject matters that Dave addressed. Jon likes to call this the “3 Legged Stool”, because if one of the legs are cut off, you’re more likely to fall to the ground.
Typically 1-3 day seminars, with the industry’s finest speakers
Owens Corning also provides “Owens Corning University Business Building Day”.
Contractors often feel alone, unable to talk to competitors or friends outside of the industry. Ability to network with non-competing contractors is a valuable opportunity.
Owens Corning also holds a Platinum Conference in the 1st quarter of every year. There is a significant amount of time spent networking with non-competing contractors.