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Why Poor Communication Might Cost You $400k


In the 90s, a good location was one of the most important things about running a successful business. 

But now we live in an age where a well-built website is more important than a flashy storefront. With the constant clamor and noise of the internet, communication is everything.

A study showed that, on average, poor communication costs companies over $400,000 per year.

All the while good communication can make you $400,000 more a year, like it did for Ashley Smith with Always Forward Roofing.

There are multiple facets to improving communication, but the two types we’ll focus on are internal and external communication:

  • Internal: meaning creating effective lines of communication between staff members
  • External: meaning clear communication about your company to potential customers. 

No matter your industry — roofing, gutters, exteriors, restoration, or anything remotely related — conveying your message clearly is of the utmost importance.

Internal Communications

Whether it’s daily time tracking or higher-level strategy, solid communication starts within your own company culture. 

One way to help leadership understand what’s going on on the ground level is to set up a company-wide open communication process. Improving communication between teams will help your company work together as one.

Regular meetings will help keep teams aligned with company goals. Tools like Slack and Google Chat are great ways to help teams communicate openly with each other.

Perfecting field-to-office communication has to start at the office. Making sure everyone is on the same page before a project begins — and stays on the same page throughout the project — will ensure quality and timely work. Additionally, if crews don’t know why they’re doing what they’re doing, they’re less likely to work efficiently. This will cost any company money.

I’m generally a fan of fewer meetings (go figure), but having annual or quarterly all-staff meetings keeps the focus in sight. It maintains a grander focus on the goals you’re working toward for everyone in the company.

External Communications

External communication is all about how your company is perceived. Do people understand what you do? Most industries are pretty cut and dry — you’re either a roofer or you aren’t. You work on HVAC or you don’t.

But if you install outdoor patios and people think you’re a landscaper, you’ll have a problem on your hands.

With that said, find out if your audience responds better to transactional or relational messaging. It’ll be easier for potential customers to choose you over the competition. 

For example, a transactional message for a roofing company would look something like this,​“We build roofs for residential and commercial properties.” And a similar message with a relational twist looks more like this,​“Let us put a roof over your head. We provide safety and trust for homeowners and businesses.”

Having appealing and effective marketing tactics will keep qualified leads heading your way. This prevents staff from wasting their time on conversations that won’t convert, and time is money. 

Keeping the messaging clear and captivating will both attract new customers and keep the right people knocking on your door. Posting things like before and after photos on social media shows off the work you’re doing and the transformations you’re creating.

Great communication starts with leadership because they’re setting the example for the rest of the company. This will help to establish trust and a shared vision. From there, connect with your audiences by meeting them where they’re at, and be sure to convey your message accurately. 

Working towards clarifying your communication will save you time, tons of money and a whole lot of swearing. Frustrating mistakes will now solved simply with better communication.

Nick leads the charge for the marketing department, which provides a consistent pipeline of leads for the sales team and grows the overall awareness of the company. From digital ads to content creation, he’s done it all at CompanyCam and brings a ton of strategic thinking and creative problem-solving skills to the table. Nick also enjoys golfing, drinking the dankest IPAs, and complaining about minor inconveniences. 

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