THE #1 AV NEWS PUBLICATION. PERIOD.

Substance Over Quantity: Where is YOUR Value?

00262_00133Open the page of any Saturday newspaper (I think they still have those…) and you will see many examples of the problem that is facing our very industry and threatening our margins. It seems that these days, people just don’t care about how well products are made. Features are glare out at us; each week things get “faster” or have “more mega pixels” or are just…”better.”

In our fast pace world, price and perceived features win most of the time. Very few customers will pay for quality, the vast majority purchasing inferior goods made overseas.

Since I’m a Canadian I can use the example of a snow shovel. (Eh?) When I went to buy one last year, I couldn’t even FIND a decent shovel. Sure, there were lots of options, colors and styles, but none that were really constructed to last. What I ended up buying was a plastic piece of junk that won’t endure more than two years of service. After using the shovel for a winter, I already see major signs of wear — that thing likely won’t make it through next season. But who cares, right? It was $9.95 — just buy another and throw this one away!

OK… so what does this have to do with AV, you say? Our beloved AV gear is becoming disposable. People would rather buy one low quality item five times rather than buying something that will last 10 years. The line between “consumer grade” and “professional grade” equipment is narrowing. As that line gets thinner and thinner our profit margins are also shrinking as the pricing model is built for volume sales.

So what do we do?

Although it is easy to find more examples of how everything is wrong, let’s make an important observation here. Things are not going back to the way they were! It would be nice, but it just isn’t going to happen. Waiting for this is like hanging onto your vintage brick style Motorola cell phone just in case this new “digital” craze dies down and everybody starts demanding analog phones. Ridiculous, isn’t it?

In an ever changing landscape, we need to realize that we ARE the value. Equipment can come and go, but there is always someone needed to figure out how it can be deployed to create a seamless environment. To upgrade systems when different requirements come along through technological innovation. To replace the monitor when even though you advised the customer against it since he purchased an inferior model. The trick is to figure out what client base you are serving, and serve them well. I’m not suggesting you lower your standards, but there is definitely money to be made in the AV industry, even in low margin market conditions with “disposable” gear.

Of course, there are people who won’t find these types of services worth the cost. To that I say,”so what?” Don’t waste your energy trying to convince someone they NEED your service. If they just want a projector and a screen, either figure out a way to make it worth your while or pass on the job.

In closing, we all have our MacGuyver moments… I’d love to hear your stories about how you were able to maintain profitability while being forced to work with less than desirable gear. Leave a comment or get ahold of me at http://ProAVSchool.com

Dustin Baerg is a member of the rAVe BlogSquad.

Top