How do professionals and companies search for clients? And vice versa; where do clients turn to find a Pro? Why do customers choose a specific business? What bothers Pros the most about their clients? And how long will it take for a contractor to show up?
To get some answers, we surveyed various professionals. From building contractors, plumbers, and electricians to accountants, web developers and security companies.
We crossed that data with the answers people searching for their services gave us.
Methodology
We surveyed randomly chosen South African home service professionals and business service companies via email. At the same time, we also sent a different questionnaire to selected people who submitted their requests on Procompare in the last 6 months. 461 entrepreneurs and 385 people searching for services have responded with their answers. The data were collected in October – November 2022.Here are the biggest concerns and some possible solutions when dealing with each other for both businesses and clients.
Businesses struggle to get enough clients
A stunning 48.4% of Pros said not getting enough clients is their biggest challenge. Nearly a quarter (22.9%) see rising materials, fuel, and energy costs as the biggest threat.
Not getting paid on time or the agreed amount (9.2%) is the third major concern, followed by load shedding (7.8%).
Labour shortage is not a significant concern for small businesses. Only 3.6% of respondents report it as their biggest problem.
We further asked companies that need more clients how they intend to get them.
More than 40% of Pros said they would subscribe to a demand generation platform. 1 out of 3 intends to advertise on Facebook, Instagram and other social media. 1 in 4 will advertise their services on Google, and 1 in 5 plans to improve their website.
The good news for these businesses — you get all this on Procompare at a reasonable price.
If you are a Pro and need more clients — we can definitely help.
Pros rely on word of mouth, but digitalization is well underway
There's a large gap between where Pros say they are getting clients and where clients search for services.
Professionals say they get clients through word of mouth, while more than 60% of clients say they find Pros on Google.
Pros perceive word of mouth as the most important source of new business.
- 3 out of 4 Pros (74.2%) claim they're getting most of their clients through word of mouth.
- A third (32.5%) is finding customers on social media.
- 1 in 5 advertises on Google to attract customers.
- Every third respondent is subscribed to a lead generation service, like Procompare, Snupit or Kandua.
The search for home improvement and B2B services is moving online.
- Clients rely on Google (63%) when looking for Pros.
- They are also turning to digital platforms for connecting with local skilled workers (39.6%).
- 1 in 5 asks friends and family for recommendations.
- Hardly anyone (less than 10%) goes to social media when they need a tradesman or business-related service.
The primary source of clients is still other people, but Pros need to be present online.
What gets a Pro hired?
We asked homeowners what is the single most important reason why they hired a particular Pro. These are their reasons.
- The Pro offered the lowest price. (31%)
- The Pro was the first to call. (26%)
- The Pro was trustworthy. (24%)
Price is important, but every fourth client chooses a Pro who calls first.
Price is, of course, a vital aspect of any deal. But two other things stand out. Every fourth client hired the Pro that called first. Another 1 out of those 4 chose a Pro because they seemed trustworthy.
Quick reply means winning more jobs sooner
There's a clear correlation between how soon Pros call and how long it takes to land their first job.
- 7 out of 10 Pros, who contact the client within an hour, get hired on Procompare in the first week.
- Half of those who contact the client the same day also get hired within a week.
- 0 Pros who contact the client the next day get hired within their first week.
- 2 out of 3 of those who call the next day wait two months or more to close their first deal. Luckily, only about 5% of surveyed Pros wait until the next day.
Zero Pros who contact the client the next day get hired within the first week.
More than 85% of carport providers and 75% of security companies win their first client within a week. This matches our data on services with the highest growth in demand.
What bothers Pros about their clients
Here's a list of the things clients do that annoy Pros the most.
- Haggling about the price of the job. (37.6%)
- Not paying on time or the agreed amount. (27.5%)
- Unreasonable expectations about the job. (12.8%)
- Changing their minds mid-job. (7.3%)
- Telling me how to do my job. (3.7%)
Pros are sensitive about adjusting prices and don't like when clients try to lower them, doubly so in times of economic downturn. They are also afraid of not getting paid on time. Or at all.
Clients haggling about the price annoy Pros the most. (Tweet this)
Unrealistic expectations and clients changing their minds in the middle of work will also make many Pros nervous.
They worry much less about clients peering over their shoulders and telling them how to do their jobs. Less than 4 % report this as their biggest concern at the moment.
This fits the results on client remarks professionals dislike the most.
Words and phrases Pros don’t want to hear
- "I’ll get back to you."
- "I spoke to my mate, and he said…"
- "Is this your best price?"
- "If you get this right, it could lead to more work."
- "This is very urgent."
Runner-up comments: “Oh, I was expecting someone older.” and “How long is this going to take?”
"I'll get back to you," is the worst thing you can say to a South African Pro. (Tweet this)
On Procompare, all the clients are verified and actually need the service. There’s a lot less chance for a Pro hearing "I'll get back to you." and leaving empty-handed.
How long do you have to wait for a Pro?
We defined waiting time as the time from accepting the quote to when the Pro starts working on a project. Waiting times are not lead times since times to finish specific projects vary.
You will have to wait for a web designer and an architect the longest.
- Web designer — 15 days
- Architect — 13 days
- Accountant — 9 days
- Waterproofing — 8 days
You will have to wait for a web designer and an architect the longest in South Africa. (Tweet this)
The infographic is split into two groups of Pros: Home improvement industry and business-oriented services.
A security company, a plumber, and a gate installer will have you sorted the fastest.
- Security company — less than 2 days
- Plumber — 2 days
- Gate supplier — 2 days
- Fence installer — 3 days
- Electrician — 3 days
Half of Pros raised their prices
Almost half of craftsmen and companies (45.5%) increased the prices of their services in the past year. 8 out of 10 plan to do so in the future if the growth of prices doesn’t slow down.
Half of South African professionals raised their prices in the last year. (Tweet this)
Carport installers, security companies and accountants increased their prices the most.
Electricians, painters and web designers increased their prices the least. That also holds for businesses in the Eastern Cape province. Only 1 out of 3 Pros from the province charge more than a year ago, which is less than the national average of 45.5%.
Random interesting stats and facts
Most South Africans collect 3 quotes before hiring a Pro.
- 18.3% of Pros who participated in this survey are sole proprietors. 47.1% of respondents are companies with 2 to 5 employees. Another 20.9% have 5 to 10 employees.
- People collect 3.1 quotes on average before deciding on a service provider.
- Average Pro needs 5.2 leads to secure one job.
- More than two-thirds (70.4%) of people looking to hire a Pro collect 2 or 3 quotes. 88% collect from 2 to 5.
- Pros from North West need the least amount of leads to close the deal, less than 3 and a half on average.
- 57.3% of Pros close their first deal on Procompare within a week.
- A phone call is the preferred communication channel for 35.7% of Pros.
- 43.5% of clients want to be contacted by a Pro through WhatsApp. 39.1% prefer email, and only 8.7% favour a phone call.
- 77% of companies that have trouble finding workers because workers who apply are not qualified and skilled enough.
- 80% of Pros with labour shortage problems are not in favour of importing skilled workers from other countries.
- 40% of Western Cape Pros list July as their quietest month.
An average Pro needs more than 5 leads to close 1 deal.
Accountants
- The average number of leads needed to close one deal: 6.63
- 19% of accountants see the growing demand for their services as the challenge of the moment.
- Further 9.5% are concerned about the labour shortage the most.
- Half of the accountants raised their prices in 2022.
- 2 out of 3 accountants report December and January as their quietest months
- Accountants dislike the sentence "This is very urgent." the most coming from a client.
- 40.9% of accountants say a phone call is their preferred communication channel. Another 31.7% prefer email.
Architects
- The average number of leads needed to close one deal: 7.75
- More than two-thirds of architects (67.8%) say not having enough clients is their biggest problem. Well above the average of 48.8% for other services.
- Architects need around 8 leads to get one project.
- Architects are bothered the most by clients haggling about the price of a job (68%). The average across services is 37.6%.
- 38.5% of architects raised their prices in the past year.
- 58% of architects identified January as the month with the least work.
Building contractors
- The average number of leads needed to close one deal: 4.33
- Building contractors need the least leads to land a job of all Pros.
- 2 out 3 building contractors (66.9%) need new clients. The average is a little below half (48.8%).
- Building contractors are disproportionally bothered by their clients changing their minds mid-job. (16% to 7.5%)
- 1 building contractor out of 3 increased their prices in 2022.
- 40% of building contractors have the most time on their hands in January.
Carport installers
- The average number of leads needed to close one deal: 4.83
- More than 85% of carport providers secure their first deal on Procompare within a week.
- 7 out of 10 carport installers (71.4%) increased their prices.
- Almost all say (94.6%) they will increase them further if the prices continue to rise unabated.
- Around half of carport installers report January and February as their quietest months.
Painters
- The average number of leads needed to close one deal: 5.21
- More than half of painters report that they are subscribed to a lead generation service.
- More than 70% of painters got their first client within a week after subscribing to Procompare.
- 4 painters out of 10 say they prefer communicating with clients through WhatsApp.
- 1 out of 5 painters increased the price of their service in 2022.
Security companies
- The average number of leads needed to close one deal: 4.77
- 3 out of 4 security companies win their first client on Procompare in the first week.
- Almost half of the security companies (45%) point out not being paid on time or the agreed amount as the thing they dislike the most.
- 55.6% of security companies prefer to communicate with their clients via phone calla.
Web designers
- The average number of leads needed to close one deal: 8.33
- Web designers need the most leads of any Pro to close one deal. More than 8. The average is 4 and a half.
- Only 1 web designer out of 5 raised the prices in 2022.
- More than half of web designers say unreasonable expectations about the job bother them the most with clients.