Service call generation is also the most investment intensive. Competition for this business is fierce and often includes high profile print and media ads as well as expensive Internet initiatives.
Maintenance contracts are a lucrative source of potential income and deserve significant attention and strategic sales planning. Service contracts typically incorporate an annual spring and fall inspection that includes equipment diagnostics as well as filter changes, coil cleaning, belt lubrication and the inspection of the system’s essential components. Many maintenance agreements also include priority emergency service and discounts on parts and new equipment purchases.
Since the contracts are paid in advance, the HVAC contractor can build substantial cash reserves. Service agreements also provide a reliable and predictable revenue stream during the slowest months of the season.
Every service call regardless of origin should serve as an opportunity to sell a maintenance agreement. Some companies utilize the service technician to offer their maintenance packages while in the home or business, but the more effective approach is for a qualified sales person to make the presentation. Cold calls to businesses are another effective and inexpensive strategy for developing a customer base for service agreements, especially when the air conditioning business is in its initial start up phase.
Add on and replacement of existing HVAC equipment is another important source of revenue for every heating and air conditioning repair company. Either through an advertisement or as a result of a service call, it often becomes apparent that the existing equipment is either too old, inefficient, or too costly to be repaired. In that instance, the air conditioning contractor can distinguish themselves from their competitors by displaying their knowledge of equipment construction, energy efficiency ratings, capacities and other important benefits of a system upgrade.