Should Home Theater Companies Install Client Equipment?
Writing by admin on Wednesday, 16 of April , 2008 at 5:09 pm
I know this is a highly charged topic of conversation in the home theater industry. For years installers have flat out refused to install any equipment that they didn’t provide. And you could understand that based on the following two reasons:
- Profitability. It only makes sense that the home theater installer would be more profitable when he supplied the equipment.
- Accountability. What would happen after all of the installers blood, sweat & tears that the equipment stopped working2 weeks down the road. Whose responsibility would it be?
I personally prescribe to this model. However the internet based equipment purchases combined with a near recession has forced me to reconsider as follows.
- It is getting harder and harder to compete with internet pricing for equipment. That is why installers prefer to use a professional line of equipment that can not be shopped or bought at Circuit City.
- While there will always be a certain percentage of clients that depend on the recommendations of an installer, we can’t deny that this economy is causing everyone to tighten up their belts a bit. This means many times that the only way they can afford to even do a theater room is if they supply their own equipment. To have the contractor supply it would mean that they couldn’t do it at all.
- The internet has spawned the educated customer. People are spending countless hours price shopping to get the best deal they can. To deny this would be for a home theater company to stick his head in the sand like an ostrich.
- The birth of the DIY home theater enthusiast that wants to run his own wires & install his own speakers but needs help in setting up his screen, projector & smart remotes. Others are willing to pay for a home theater consultation to give them direction.
- This recession economy means that the phone is just not ringing like it used to. In other words, to turn down any work might mean the difference between laying off your top installers or keeping them busy.
- Learn to look at the lifetime value of a client. Instead of just thinking about a one time purchase & installation, learn to see the potential lifetime value a client brings to the table. The future will bring upgrades, new equipment, service calls, Home automation & referrals.
This model just makes sense and is a win-win for the contractor & the savvy shopper. Of course it is still up to the Atlanta Home theater installer to educate the client about the benefits & the added value that come with Installer provided equipment. A future article will discuss this.
Category: Home Theater
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Made Friday, 23 of May , 2008 at 6:00 pm
[…] The question that every home theater installer dreads. […]
