Understanding how to get to the next level
I would like to share my opinion on this topic, now this is geared to the newbies but I learn things every day even after many years in this business. Reading many of the threads on The S.M.F. this has to be the most often question asked so here is my take. Every one starts out some where and the important thing is that you have started. So how to those other guys bring in those large loads and for some reason they are to to far and few for me, well there really is a easy answer to that question, they have figured out that they provide a service to there customers. To the guys that are chasing the bulk trash trucks, well I would have to say that you have figured out how to make a days pay if you get lucky and wow often is that? The big picture is that you have to have sources or customers that generate scrap on a regular basis. So all these business that have scrap on a regular basis are not let's say dum, they know that there scrap metal has a value and they could bring it to the scrap yard them self but they just do not either have the time to leave there business or they are just to lazy to do it, so we are the service providers. We do a service for them that they for what ever reason do not want to do. Basically what they are looking for is some one that they can depend on on a regular basis to come and take there scrap, now they are looking to be treated fair, they are not going to give you there scrap for nothing but they are willing to take less as long as they don't have to do it them self. So this is where you come in, get some tee shirts and business cards made, now on your slow day or the day there is no bulk in your area, donate that hole day to prospecting new clients, go and meet the people ofer your services to them along with a vague price you would pay them for there goods, offer to place a barrel in let's say auto repair shops for there brake drums and steel ITEAMS, they always have aluminum rads so pay them a good price on them I have used this as a lost leader in the past, four dollars a piece was a good number, now we always clean them when we sell them so there really is no loss and when you get that copper rad mixed in its a bingo. I used that pricing on a large chain and landed 68 of there stores in my area. In addition we also landed the other national chain that you would know by name because we had there competition, we have yearly contracts on them both. I will tell you that we pick up hundreds of barrels of number one steel a month from them in addition to all there other alternators, starters, and other scrap. So the big picture here is go after the business that have scrap on a regular basis, be presentable, look them straight in there eyes when you talk to them, you will have to pay them something but the hole thing is that you get them on a steady basis, and build and build the customer base and the days of you riding around drawing a blank will be like a bad dream, you have to pay a little to make a lot. This tread is based on my personal experiences but it can be applied to any type of business, stop wasting time get the commercial customers in your area devote a day a week at least for prospecting new clients leave a good first impression you will see a big improvement in your business in a short period of time. Happy Scraping 1956.
