Courtesy Westside Boost Blog

Associated Builders and Contractors (ABC) released their annual construction backlog (CBI) study last week and indications are good that a construction rebound is underway, although the strength and duration of the rebound remain to be seen.

“You can summarize three important points from the recent CBI data – the worst is over for the construction industry as a whole; the recovery may not be a sustained one; and the United States is rebuilding its infrastructure capacity,” said ABC Chief Economist Anirban Basu.

Basu’s analysis credits federal stimulus spending for the rebound despite the fact that most stimulus spending hasn’t even begun and those dollars currently being spent are for projects that had been planned well before the downturn.

Though the stimulus may not be the cause, the figures that demonstrate the effect are undeniable. There has been a crescendo of work hitting the books since February ’09 through November ’09, when the annual survey ended.

On the marketing side we’ve seen parallel activity. Some examples: One client began hiring designers and estimators to help meet the demand for proposals. One client had a growing demand over the autumn, a soft December and a rebound in January. Several others report work in hand, optimism regarding proposals that are out there and for the upcoming construction season.

A regional analysis of the CBI shows significant positive growth differences in the South and West, in our view more likely related to right-to-work, weather, and tax policy than stimulus spending. You can read the ABC’s report here.

Press your South and West sales force for best leverage. Other related news indicates Florida is coming on strong, too.

You just read that several LO clients report growth and sustained sales activity even during this tough economy. What strategies are they using to make it happen?

Strategies for Building Products Marketing in a Tough Economy

1)   Keep moving: You’re going uphill, don’t take your foot off the gas.

2)   Demand efficiency: The most efficient - cost effective - marketing activity right now is a quality media relations (PR) program including social media.

3)  Communicate: E-newsletters are inexpensive and effective. Cost starts at around $1,500. Recently (10/’09) an LO client emailed 4,000, reported 30% opened and generated 400 actual inquiries. Interactive is effective.

4)  See and be seen: Optimizing Internet for search engines and capturing marketing data for lead generation on-site. (Google “architectural mesh” and see where our client, Cambridge comes up)

5)  Continuing education: LO has produced continuing ed in-house for over 100 leading architectural building products brands in the past 18 months. A very effective way to get in front of your audience for an hour!