Can't Miss Opportunity For Roofing Contractors To Make $400+ More On Every Re-Roof
A booming economy plus a labor shortage can quickly translate into a fully booked season for a roofing contractor. But even if you're running at full capacity, that doesn't mean your sales growth is capped. There are opportunities to increase profit dollars while boosting customer satisfaction on every job you sell.
One option that can make a lot of sense in the fall and winter is adding blown-in insulation as an option on your roofing bids. It's a great add-on because:
- Many older homes don’t have attic insulation installed at current ENERGY STAR recommended levels (R49-R60 in climate zones 5 & 6).
- Your crew’s time is already baked into the cost of the roof job
- Your crew is tearing off the roof as part of the job, providing easy access to the attic space
When homeowners add attic insulation, it's going to save them on their heating and cooling costs every year going forward. Additionally, utility companies have rebates available to homeowners to make it even more cost-effective to install attic insulation (DTE | Consumers Energy). Educate homeowners on the heating and cooling savings that adequate attic insulation can provide, and you can increase customer satisfaction AND your sales at the same time!
Let's do the math, pt. 1: Increase your Sales & Profit
Let's break down an example to show how much more a roofing contractor can make when blown-in attic insulation is sold with a roof job. We'll use Applegate R-Value cellulose insulation as our example in this case. Assuming:
- House has 1,000sqft of attic space, with R-19 already in place
- We're installing R-30 to bring the attic space R-value up to R-49
- We're using Applegate R-Value cellulose blown-in insulation, which requires 34 bags to cover 1,000sqft (coverage chart). We'll say our cost is $8.95/bag, and blowing equipment rental is free from your local distributor.
- It will take two laborers two hours to install; we're paying them $65/hr.
34 bags ($304.30/1,000sqft @ R-30) + 2 laborers @ 2 hours (say 2 @ $65/hr*2 hrs; $260) = $564.30. Sell for $1,000 and...
Make $435.70 more profit on every job!
Let's do the math, pt. 2: Increase Homeowner Savings
How quickly will the expense of adding insulation pay off for your customer? Energy savings will vary considerably depending on the size of the attic and the amount of insulation existing in the attic already. Additionally, utility costs can vary dramatically depending on the severity (or mildness) of the summer and winter seasons. With that said, for rough numbers, based on the job above:
- Insulation job is sold at $1,000
- Utility company rebate available at $125
- Approximate utility savings of $25/month, or approximately $300/year
It will take just under three years for the job to pay for itself, and save money for the homeowner every year thereafter!
A Win-Win for Roofing Contractors and Clients!
Increasing attic insulation can be a win-win for roofing contractors and homeowners. You have the potential to increase your company's profitability on the jobs you sell while providing increased comfort and energy savings to your clients. Consider adding blown-in insulation to your roofing bids today!
About Dave Karras
Dave Karras is the Marketing Manager at Wimsatt Building Materials.
August 08, 2019
June 06, 2019