Increasing Revenue of your Flooring Business

After the recession of 2008, home renovations and new construction projects dropped considerably.  It had become more challenging to keep interior home design businesses profitable thereafter.  Business owners in this field have had to be creative in order to make money.  One way is to introduce related ancillary products into their lineup.

Very rarely does a homeowner just want to redo their floor. Since they’re ripping everything up and making a mess, they start to think about updating their kitchen cabinets, bathroom vanities, etc.  Why not capitalize on your already existing customers by offering other items that they will need at the same time that they’re embarking upon their flooring project?

Some flooring store owners who have exclusively been working with floors for years find themselves being somewhat intimidated by other products that they are less familiar with.  However, as times change, so must your business.  The kitchen and bathroom are the two most important rooms in a house.  Regardless what the other rooms look like, the kitchen and bathroom can significantly increase the value of a home.  Homeowners know this and pay close attention to these areas when either building or renovating their home.

How does a flooring store get into the cabinet business?  It’s really not too difficult.  There are manufacturers that can supply you with all of the products you need to venture into this area of the business.  There are basically two different types of cabinets: custom and prefabricated.  Either way, store owners won’t have to warehouse any inventory. 

Custom cabinets are undoubtedly more expensive than prefabricated cabinets and have a longer lead time.  Prefabricated cabinets can fit into any space utilizing fillers where the standard sizes fall short.  Most cabinets are available in wood and melamine. There are pros and cons for both.  Wood cabinets usually have solid wood doors with plywood boxes.  Wood cabinets are traditionally more expensive than melamine, which is basically a type of particleboard or medium density fiber (MDF).  The downside of this material is that if it is exposed to moisture, it can expand.

Let’s talk about the components.  With kitchen cabinets, there are base cabinets and wall cabinets.  Base cabinets are traditionally 34.5 inches high and 24 inches deep with a variety of different widths.  Wall cabinets are usually 12 inches deep and vanities are normally 21 inches deep.  Store owners can purchase cabinet design software to map out the layout of a kitchen when presenting projects to clients.  There are even free cabinet design tools available online that can get the job done.

Since the height and depth of kitchen base cabinets are mostly standardized, they are commonly identified like this: 42” wide sink base (SB42), 24” wide drawer base (DB24), etc.  Prefabricated systems usually have every standard size available. 

Installation is an issue that needs to be taken into consideration.  If you’re not a licensed contractor, you either need to hire one or partner with one in your area.  If you know a reliable contractor you can subcontract to do installations, it won’t cost you anything and you can add an additional 10% to the contractor’s fees for your profit.

There are plenty of other vendors that could help you fill in the gaps, such as plumbing distributors who can help you purchase sinks wholesale as well as companies that fabricate countertops.  The backsplash could be a perfect opportunity to sell the mosaics that you may offer as well.  Most flooring store owners who go this route are finding out that there is more money to be made selling cabinets than selling floors. 

For more information or for assistance with including cabinets to your product line, call Ashlar Consulting Corporation at 3054-849-9399 or visit www.AshlarConsultingCorp.com.