PCT Residential Pest Management Summit Review

CHICAGO — PCOs traveled to Chicago for the PCT Residential Pest Management Summit, an in-depth education experience dedicated solely to the topic of how to better service, sell and market residential pest services.

In addition to learning from leading industry professionals, the PCT Residential Summit included a unique opportunity a first-hand look at how one of the industry’s leading pest control companies – Rose Pest Solutions – operates. Approximately 50 attendees took advantage of a facility tour of Rose Pest Solutions on the first day of the three-day conference. Bob Dold of Rose Pest Solutions, provided attendees with a brief history of the company as they traveled to the company’s new Northfield headquarters building from the Renaissance Hotel in downtown Chicago. The family-owned business, which operates nine offices from Wisconsin to Kentucky, moved to the new facility in September, as well as changed its name from Rose Exterminator Company to Rose Pest Solutions. “The catalyst for the name change, above and beyond the fact that the term exterminator is a bit of a dinosaur, is women are the key decision-makers in purchasing pest control services and to them the word exterminator has a negative connotation,” observed President Judy Dold.

The Rose “family” of companies, founded by Solomon Rose in 1860, at one time spanned 18 major cities. C. Norman Dold, a former NPMA president, served as general manager of the company for many years, eventually developing an ownership stake in the Chicago office. “We consider ourselves ‘kissing cousins’ to the other Rose operations,” Bob Dold said. Although the Rose network of companies doesn’t have the national footprint it once did, the Ives family runs a flourishing operation to the east of Rose Pest Solutions in neighboring Michigan. “Our history and our background is the same, but the companies are run independently,” he said.

Serving as co-host of the facility tour was Bob Dold’s son – Robert – director of operations for the company. While driving through a typical suburban neighborhood on Chicago’s north side, Robert pointed out that the company has been most successful offering a “cafeteria” of pest control services to its highly educated customer base. “Our most popular program is our Healthy Home Maintenance Plan, but we don’t want to limit their choices so we offer a range of service offerings,” he said. With so many two-income families in the Chicago market, getting face-to-face with customers is a challenge, but Rose Pest Solutions does its best to stay in regular contact with its customers through regular phone follow-up and technician visits. “If we can get face-to-face with customers, their switching costs rise,” Dold observed.

Following a tour of the new Rose Pest Solutions headquarters building, attendees had lunch at the Michigan Shores Club, where the Dolds are members. Attendees were treated to a scrumptious lunch in a spacious ballroom overlooking Lake Michigan. Dave Smith, service manager for the Northfield office and a 19-year-veteran of the industry, shared his first-hand experience with the pest control challenges at the elegant facility, which requires a premium level of service, as well as excellent customer service skills.

For those PMPs who chose not to take the Rose Pest Solutions facility tour, a series of “Totally Technical” educational sessions was held on the morning of the first day of the conference, including sessions led by Terminix’s Stoy Hedges (stinging insects and occasional invaders); Action Pest Control’s Dan Collins (mice); and industry consultant Jeff Tucker (ants).

The formal conference program kicked-off with a keynote address by Lee Blevins, president of Antimite Termite & Pest Control, a $40 million business specializing in residential pest control based in Rancho Cucamonga, Calif. Blevins said building the business from a $1 million operation to one of the largest pest control companies in the country took “a lot of hard work and trial and error.” He said the key to success is surrounding your self with good people and letting them do their job.

While the company has grown organically over the years, Blevins says the key to the company’s dramatic growth has been quality acquisitions. “It was much easier to go buy a business than open a branch office,” he said. “When I buy a business, I pay for the pest control. We don’t buy termite control.”

Blevins said another key factor in the company’s success has been its bottom-up management structure. “The most important people in my operation are those who have immediate contact with the customer,” he said – service technicians customer service reps. Following them on the organizational chart are support staff and branch managers, followed by vice presidents and the corporate staff. “The least important part of this organization is me,” Blevins said. “While I’m attending this conference, no one is missing me back there (at corporate headquarters). I could be here all week and it wouldn’t matter.”

Following Blevins to the podium was Paul Bello, technical director for Orkin Pest Control, who discussed “Responsive Customer Service: 24/7. “Is it possible to be available 24 hours a day, seven days a week for our customers? I think it’s possible,” he said, but it requires a corporate-wide commitment to be successful.

One of the key elements in providing quality customer service, according to Bello, is the ability to “escalate” one’s response based on the severity of a callback or customer complaint. Remember, he said, “The customer doesn’t care how busy you are. You may need to make some adjustments to please a customer or resolve an emergency situation. Don’t make it the customer’s problem.”

Bello recommended adopting a can-do attitude and becoming customer focused. “You must give that customer your undivided attention,” he said. “And follow-up to ensure your customer is happy.” 

In yet another session, Jeff Tucker, president of Entomology Associates, discussed “Emerging and Invasive Pests.” Look for additional coverage on this important topic in the April issue of PCT magazine.

One of the highlights of the three-day conference was a panel discussion of prominent PCOs who addressed the subject, “The Future of Residential Pest Management.” Program participants included Billy Blasingame, vice president of pest management operations, Arrow Exterminators, Atlanta, Ga.; Mike Britt, sales/service manager, Western Exterminator Co., city, Calif.; Bob Dold, director of operations, Rose Pest Solutions, Chicago, Ill.; and Clarke Keenan, president, Waltham Services, Waltham, Mass.

Blasingame reviewed some of the early history of the industry, pointing out that “some things haven’t changed a bit,” while others have changed dramatically. He indicated that some of the trends he’s identified in residential pest management are changing service frequencies, more insect-specific treatment programs, and a growing movement towards IPM.

“It’s not just pest control anymore,” he said. “Oftentimes, the pest will dictate the service frequency as opposed to saying one size fits all. How we treat for mosquitoes is very different from the way we treat for German cockroaches.”

Mike Britt of Western Exterminator urged attendees to get their arms around why customers purchase their company’s services and which sales and marketing efforts generate the best return on investment. “In Las Vegas, we compete against 370 other companies and we rely on Yellow Pages advertising,” he said. “But we couldn’t tell you which ads were generating the sales.” So Western embarked on an aggressive program to determine where it was closing the most sales opportunities and where it was falling down on the job. “So we started asking the question, how did you find out about us?” The results proved enlightening, enabling the company to better target its marketing efforts.

And as the company asked more questions of its customers, it secured additional valuable data, including consumer attitudes about the quality of their service and the most frequently requested service offerings. The responses to these and other questions allowed the company “to take full advantage of our (sales) opportunities,” Britt said, enhancing the company’s bottom line. “We need to make sure we’re taking advantage of every opportunity we get,” he said.

Robert Dold of Rose Pest Solutions urged attendees to become their customers’ “trusted advisor,” tailoring their sales and marketing messages to women, who make the majority of the residential pest control buying decisions. “Who are we marketing to?” he asked. “Traditionally we’ve been focusing on males, but that’s absolutely the wrong way to go. Eighty-five percent of the decisions made in the residence are made by the woman.” Therefore, it’s important for PCOs to tailor their message for this audience.

Dold said the key to operating a successful service business is to “under promise and over deliver. It’s the little things that make the difference,” he said. “It’s all in the details. The difference between Tiger Woods and the rest of the field is less than one stroke.” That’s why it’s so important technicians pay close attention to the little things when interacting with customers – the names of their children and pets, their hobbies and interests, etc. “Do they review those (customer) notes before they go back to the house?” If not, they should be, he said. “We’re trying to elevate the switching costs…to make it more difficult for our customers to leave us. We’re not here to compete on price.”

Clarke Keenan of Waltham Services, which services seven states throughout New England, echoed Dold’s comments about the importance of quality customer service. “If you don’t take care of that customer it doesn’t matter, you’re going to lose that customer,” he said. “When in doubt, go the extra mile.

Industry consultant Norm Cooper’s presentation “New Business Development: What You Should Know” explored the pros and cons of offering new services. For example, Cooper said “Pros” for offering new services can include having the credibility of being quality service providers and having a network in place to provide the services. “Cons” to providing new services include the trap of becoming ‘jack of all trades and master of none.’ The risk here is that your core business can be diluted.

“Sometimes customers want you to tailor their service to their special needs,” he added. “Be as inclusive as possible. Find a way to do it and make it work.”
 Jeff Springer’s presentation “Solving the Service Frequency Riddle” provided attendees with tips on how to maximize efficiencies to become more profitable. Springer uses a four part model: Part 1 The Cash Flow Solution — Springer said it is important that your company be able to embrace the culture of your customer’ s method of payment, and that increasingly credit cards are the choice of payment for many customers.  Part 2 – The routing solution – Effective routing has helped Spinger reduce inefficiencies. Springer’s technicians and office personnel have had success using a present, firm-time, firm-day appointment system. Part 3 - The Treatment Solution – Springer’s Pest Solutions have concentrated their efforts on selling “Peace of Mind.” For example, a popular service offering Springer added is termite monitoring. Part 4 -The Pest Pressure. Springer’s service work is focused on solving pest problems with non-chemical solutions and perimeter work. The company is heavy into inspections, sealing utility lines, keeping gutters unobstructed and eliminating overhanging branches.

Attendees of the Residential Pest Management Summit picked up tips on how to cross sell their services from Jim McHale, owner of J.P. McHale Pest Management, Buchanan, N.Y. In addition to termite and pest control services, J.P. McHale offers tree and lawn care, handyman services and Environcare Services, which include air-duct cleaning, deck washing and sealing, crawlspace encapsulation and rodent proofing. For J.P. McHale, the company has taken an interesting approach to offering multiple services by branding each of these services. For example, the company’s Environcare division has a seperate name - J.P. McHale Environcare - and it features its own logo. McHale says that many of the add-on services it offers were in response to customer inquiries. “Your current customers already know you,” he said. “Costs associated with expanding your relationships are significantly less than new customer acquisitions.”

Rick Rogers, vice president of operations with Myers Services, Euless, Texas, gave attendees tips on making residential pest control more profitable. Myers stressed the importance of hiring quality technicians who buy into your company’s strategic growth plan and vision. He said Myers has found success using personality profiling tests during the interview process for new employees. Rogers stressed the need to know and understand your competition and the importance of balancing your budget. He also said an important turning point in Myers’ growth happened after the company taught its technicians to sell. “We were finding that some of our existing customers were using us for pest control and (other companies) for termite control simply because the technician never mentioned that we also did termite work and the customers didn’t know,” Rogers said. “Our technicians fought us at first about selling, but most of adjusted. It can be as simple as visiting a neighbor of one an existing customer and saying ‘Hi, my name is Rick Rogers from Myers Services and I provide pest control for (your neighbor). I was wondering if you also needed any pest control services.’”

Dr. George Rambo reviewed many of the new technologies for perimeter pest control, including infrared imaging, the use of digital cameras and PDAs. Rambo encouraged PCOs to incorporate these and other technologies to improve record-keeping and present themselves more professionally.

Joe Felegi of Critter Control discussed the industry’s involvement with wildlife control services. Felegi noted that the need for wildlife control services is increasing because suburbs are continuing to expand into more rural areas. Felegi suggested that PCOs who want to offer wildlife services do the following:
• Be familiar with local, state and federal regulations
• Be familiar with wildlife-related diseases
• Dedicate specific persons to wildlife (not every pest control technician is qualified or interested)
• Know that money per hour is significantly less than traditional pest control services.
• The average job requires multiple trips – and done right (with repairs and exclusions) takes a total of five hours to complete.
• Check with insurance companies for coverage (liability, worker’s comp)
• Know that the work involves high roofs, crawlspaces and ladder work
• It is more than just setting traps
• Know euthanasia laws/procedures
• Know that animal rights groups are watching.

The final presentation was given by Richard Kramer, Innovative Pest Management, Brookeville, Md. Kramer spoke on the hot topic of bed bugs. Kramer reviewed the biology and behavior of these pests, which are becoming increasingly problematic. Kramer provided an overview of the rise of bed bug problems, which he says is largely a result of less pesticide spraying. Kramer also reviewed the approaches pest management professionals are utilizing to prevent or eliminate infestations.