Competition is fierce for commercial cleaners. Between razor-thin margins, continuing labour shortages, and an increased demand for better technology and more sustainability, today’s janitorial staff are faced with many challenges.
Staffing
Studies show that labour is a top concern for limiting growth for 61 per cent of janitorial companies in 2024, with 54 per cent of companies planning to focus on hiring and retention this year. But that means there is a lot of competition looking at a small pool of candidates. Despite current profit margins, 86 per cent of companies plan to raise wages this year to attract top talent and become an attractive place to work for potential employees. Research shows that janitorial turnover is about 200 per cent, so retention is key. Creating a workplace that prioritizes balance and employee well-being will set janitorial companies apart and help make them attractive to candidates.
Standing out
One of the more common issues that janitorial companies face is distinguishing themselves from the competition. Often using the same products and practices, it can become a race to the bottom, as companies compete with cheaper pricing to attract clientele. While some companies have taken steps to differentiate themselves with increased technology, today’s economy makes it impossible for everyone to make a large investment. Cleaning companies need to focus on adding value and focusing on a superior service model to stand out and build loyalty with their clientele.
Building the client base
Increasing revenues is always top of mind, and 56 per cent of janitorial business owners think client retention is the key to reaching their goals this year, with 37 per cent saying repeat business makes up the bulk of the revenue. Along with retention, client acquisition remains a priority for 49 per cent of cleaners in 2024.
Technology is one way that cleaners can get a leg up on the competition while offering more value and data to their clients. From streamlining operations to organizing estimating, software is something cleaners can use to get ahead if the budget allows.
Engaging clients and building relationships is a solid strategy to attract and retain clientele. Asking your regular clients for testimonials, referrals and reviews can remind them why they’re happy with your service, as well as help to build your brand online and get new eyes on your business.
From managing labour to standing out from the competition, cleaners will have a challenging year ahead of them as they strive to build the business and boost profits.
