4 minute read
Expert advice to sell more custom millwork
tTt"r ECoNoMlc REBoUND has not I- only boosted the home building industry, but is also providing increased demand for higher-margin products, such as custom millwork.
As a two-step distributor and manufacturer of quality custom lineal mouldings and custom door jambs since 1979, Smith Millwork, Lexington, N.C., keeps close tabs on the pulse of the market.
To help dealers take advantage of the latest trends in custom millwork, BPD called upon the experts at Smith Millwork-president Ted Smith, vice president Mike Trantham, outside salesmen Jim Kilpatrick, Ron White, and Dennis Ramey, and inside salesmen Shane Michael, Mark Rummage, and Jeff Wiesner-who boast a combined 200 years experience in the millwork business.
BPD What tends have you noticed in custom millwork over the past five years?
Ted Smith Custom millwork has taken the same trend as everything else in the housing industry, which was down but not dead. Remodeling has been healthy and custom millwork is often used on such projects because people want something different with more appeal. As construction makes a comeback, the custom millwork should trend back up along with it.
Ron White With the drop in housing starts, custom millwork decreased. I see it slowly coming back, but even with that, a lot of customers tell me that with the custom homes being built, the builders are using basic com- modity patterns. It has got a little ber ter, though.
Dennis Ramey The major trend in custom millwork over the last five years has been that beginning in 2007 and lasting until early last year we have seen a lot less of it due to the sad state of our economy. Since custom millwork is mostly used in commercial and upper-end custom homes, we began to see it start to come back last year as housing starts began to rise. This year, with housing expected to reach one million new starts, it is possible that custom houses and hence custom millwork could again reach what might represent as much as 507o of custom's historically high totals.
Mark Rummage Trends are toward maintenance-free and paintgrade products. Recently, many peo- ple are choosing a cleaner look, not as much detail, such as a plain cove crown. Most are designing larger crowns/casings/base patterns and 8' doors on the first floor, and then a smaller version of the same patterns and 6'8" height doors on the second and subsequent floors.
Jim Kilpatrick More homeowners are getting away from the basics. They are being more creative in their selections and doing things that are outside the norm.
BPD What are the pros and cons of choosing custom trim over standard?
Jeff Weisner If you use a custom trim millwork, you can get a look that no one else has, but you will be faced with a delay for production and an increase in cost.
Shane Michael Custom trim most definitely gives a house a special attraction and should help keep the value up in case they need to sell. The only negative I can see is that there is a higher cost when purchasing custom trim.
Kilpatrick It's also not readily available if you need more down the road.
Smith Pros: You get to choose exactly what you want. Your home will be different than your neighbor's. The products come in many different species of lumber. You can match existing profiles in older houses. You can duplicate damaged items on historical projects. You can make items that will fit existing opening for doors and windows.
Cons: Lead times are longer, so you have to plan ahead. More expensive than stock millwork. Takes more time to choose what you want. You have to make sure you order enough the first time because if you order too much, you probably can't take it back and if you don't order enough, it extends the lead time and your cost goes up.
White You can get more distinctive patterns, larger sizes, choices in wood species. Lead times are longer and cost is greater; however, most people who want a specific custom pattern don't necessarily mind the increased cost.
Ramey The pro side of using custom trim is that you can design mouldings to suit your tastes in almost an endless array of designs and wood species in order to make your project uniquely yours. The con side of the equation to me is very small, if the customer devotes sufficient time and planning to the choosing of patterns, wood species, and the scheduling of orders. With proper planning and associating one's self with a quality provider, custom can be a snap.
Using off-the-shelf trim materials can be the way to go for the majority of builders and their customers, too, because today we have so many more patterns available in stock that only a few years ago would have been considered custom and special order. If more off-the-shelf patterns are used, the builder can hold down costs. The primary drawback on using standard stock trim is the customers' choices in wood species are more limited.
BPD Have you seen an increase of customers buying custom millwork?
Smith Yes, with the slight increase in housing activity and with remodeling doing well, we have seen a little more custom business.
Mike Trantham Yes, in the last six months.
Kilpatrick Yes, mainly in higherend homes.
Rummage Not as much custom millwork during the recent economic downturn, but it is gradually picking up.
BPD Do you have any advice for dealers for working more productively with a custom millwork plant?
Michael Please ask as many questions as possible when working with the homeowner and contractor. This encourages them to consider all options that are out there, including custom trim. It is also beneficial to suggest that they consider some staingrade trim for a few of the rooms even when the main portion of the home is painted, to help make the home unique.
Rummage A proper takeoff is key-ordering enough custom material for the job. Understanding the application it will be used in and how the end-user wants to finish the item is important. Allow adequate lead time for orders to be produced and delivered.
Kilpatrick I would make sure that I worked with a supplier I was comfortable with because if there are any problems that occur you want to make sure they are corrected in a timely fashion. These are products that are not on the shelf and take a couple of weeks or more to produce.
Ramey My advice to dealers who want to expand their business by offering more custom millwork would be to educate your customers on the need to allow sufficient lead times and to use the millwork manufacturers' sales representatives to educate the builders concerning what is available and what the manufacturers limitations are. As in anything we do, having a great partner increases everyone's chances of success.
Smith My only advice would be to always try to make the up sale to custom millwork because it usually equals more sales revenue and better profit margins.