How The State of the Industry Report Findings Can Guide Your 2024 Restoration Marketing Strategy

For the second time ever, C&R Magazine and KnowHow released their State of the Industry Report digging into restoration industry topics like TPA work, hiring and retention, growth, and more. The findings in this report do more than just expose the current state of the restoration industry–they also reveal valuable information that can guide your digital marketing approach for your restoration business. Here are some of the ways you can apply these findings to your marketing plan as recommended by the restoration digital marketing experts at Spot On Solutions. 

Changing Your Relationship with TPA Work

The Downsides of Relying on TPA Work

In 2022, restorers reported wanting to depend less on TPAs for leads. For many, that hope didn’t become their reality in 2023. Perhaps, this is because, assuming you manage to stay in good standing with the program, TPA work provides consistent leads, making it hard to step away.

But depending on TPA work’s consistent leads comes with its fair share of trade-offs. TPA programs dictate the prices restoration contractors can charge for their work, usually meaning restorers are left with thin profit margins. TPA programs also have the final say on what work is done and how it is done, leaving on-site restoration professionals with little in their control.

Diversifying Your Lead Sources Through Digital Marketing

If you’re one of the many restoration businesses wanting to rely less on TPA work, a strong digital marketing strategy can make that possible. Together, a mix of pay-per-click (PPC), Local Service Ads (LSA), and organic SEO marketing can create a new reliable lead source for your restoration business. While digital marketing requires an upfront investment, it gives you the freedom to set prices that accurately represent your work’s worth. This increased profit margin will more than make up for the initial cost of leads and exposure.

Even if you opt to still do some TPA work, having a healthy digital marketing strategy in place can increase your peace of mind. Even if you were to get kicked out of your TPA program tomorrow, you’ll still have leads and a way for your business to continue on.

Harnessing Artificial Intelligence in Your Restoration Business A pie chart showing attitudes about artificial intelligence in the restoration industry.

Artificial intelligence is on all of our minds with the rise of generative artificial intelligence tools like ChatGPT. In fact, AI was determined to be the biggest industry trend by survey respondents, beating out other industry hot topics like remote monitoring and policy changes. Over 72% of restorer respondents reported that they were either open to or embracing AI in the restoration business. We were excited to see the industry’s openness to this new technology. Using generative AI can be a great way to get a leg up in the industry, especially when it comes to creating marketing content like SEO blog posts, social media, and other ads.  

At Spot On Solutions, we encourage restoration businesses to use AI as a tool to inspire and streamline and inspire the content creation process, not a replacement for the content creation process altogether. Google’s algorithm favors helpful, high-quality, and unique content. If you ask ChatGPT to “Generate an SEO blog for my restoration company,” it will generate a generic blog that’s pretty similar to the blogs it generated for the 100 other restoration companies that asked it for something similar. This means it will neither be helpful nor unique and is likely to be penalized by the Google algorithm.

Instead of copying and pasting content generated from AI, try using AI tools to help you as you create the content yourself. For example, you could ask ChatGPT, “What are some common concerns homeowners have after experiencing property damage?” and use its response as inspiration to make the blog you’re writing more helpful and user-centered, things that will both benefit your blog post with the Google algorithm. If you wrote a sentence you think is confusing, you could provide the sentence to ChatGPT and ask it to suggest ways to rephrase it for clarity. 

Securing the Funds for Growth

Bar graph shows revenue predictions by surveyed mitigation only and full service restoration companies.Expanding into Reconstruction Services

Based on the report’s findings, becoming a full-service restoration company that offers reconstruction services is key to unlocking higher earnings. If you’re a mitigation-only restoration business looking to grow in 2024, consider expanding into reconstruction services. Being able to market yourself as a one-call restoration solution is a great selling point for property owners. Digital marketing through PPC and social media can help make this service expansion as seamless and pain-free as possible.

Expanding Service Area Coverage

Most restoration companies operate regionally in a city and its surrounding area. If you’re one of the many restorer companies hoping to expand your service area in 2024, digital marketing could be the key to your success. PPC, LSA, social media, and SEO content all provide opportunities to target certain geographic areas. With the support of digital marketing, you can increase your customer base and brand awareness in your new areas.

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