We all want a deal. Whether it’s a buy-one, get-one-free coupon, or a twenty percent discount on any purchase, as consumers we’re drawn towards saving money. All else being equal, don’t we want to pay less?
There are two major ways to grow your security business. One is to increase revenues. The second is cutting costs. Much has been written about both subjects, except for intangible cost reduction measures. These ideas tend to be hidden.
Take insurance, for example. Yes, clearly, security companies need insurance for a number of purposes. And, yes, each business can cost-compare to see where it gets the best deal. This is natural.
What’s less apparent is another type of insurance the helps the bottom line: Working with associations such as the Security Industry Alarm Coalition (SIAC) to ensure better alarm management practices. This is good insurance for your company, and inexpensive. A few dollars spent today results in manageable ordinances that are not costly to administrate, and removes obstacles that might prevent sales. In the long run though, your involvement and commitment contributes to a better bottom line for your company.
That may sound like an odd statement to make. “Why does spending time with a local police department chief make any sense?,” you may ask yourself as a business owner, “Aren’t I just taking time away from selling systems and making timely service calls?” Lack of communication with the local dealer(s) or the association members and the resulting law enforcement frustration is the number one reason we see proposed ordinances with onerous provisions. If you view your company through this limited lens, then you may not see the added-value of participating in association-related work.
On the other hand, if you have a more expansive view of your long-term growth, it only makes sense to join and contribute to key security industry associations. Improving your company’s rate of unnecessary alarms is a selling point to customers and saves money down the road by decreasing unwanted dispatches to police. Your company and the industry association benefit from these improvements.
In fact, as companies join together to make positive improvements in their alarm management practices, this “inexpensive insurance” contributes to the sustained growth of the security installation, management and monitoring industry. So, get your insurance by joining, not paying. Give some time, find out how to reduce those unnecessary alarms, and let’s keep our industry growing.
