Anyone who has a $1,000,000 operation can expect to approximately earn another $89,000 on their $4,200 SEN Full Member annual dues.
Charlotte, NC (PRWEB) September 09, 2017
The SEN Design Group, the kitchen and bath industry’s first and largest buying and business development group, reports that its members are earning substantially higher gross profit margins than the industry average.
Based on the group’s computerized Benchmark Reporting Service, SEN Members average gross profit margins of 37.95%. That’s a 30.9% increase over the industry average as reported by RICKI, an Atlanta-based research firm, in the June issue of Kitchen & Bath Design News.
SEN attributes their members’ higher gross margins based upon several factors.
First, through the group’s 3-year profit planning service, owners are trained how to determine the precise gross profit percentage their individual operations must achieve in order to finance market-rate salaries for themselves, cover their overhead, and make an 8-10% pretax net profit.
Second, members learn and implement a host of marketing strategies that enable consumers to perceive them as a better value than their competitors. For example, members have become early adopters of a good-better-best selling system – embedded as the centerpiece of the exclusive SEN NMS management software program – that empowers them to produce accurate kitchen/bath budgets in just 20-30 minutes.
Finally, because they are part of a group, they can buy a lot of products approximately 5-7% better than their competitors. Those savings enhance gross profit margins.
Said Leah Peterson, Executive Vice President of SEN: “Anyone who has a $1,000,000 operation can expect to approximately earn another $89,000 on their $4,200 SEN Full Member annual dues. This is a 2100% return on their investment.”
A yearly Financial Benchmark Report and consultation are included with a SEN membership. A member’s latest financial statements are fed into an exclusive software program. The multi-page, computerized report compares dozens of a company’s financial metrics to a select group of successful dealers. The report also gives brief advice as to how a firm’s weaker metrics, such as gross profit margins, can be improved.
To learn more about SEN, visit http://www.sendesign.com
About SEN Design Group
The SEN Design Group is the industry’s first kitchen and bath buying and business development group. As a 23-year-old professional organization, SEN has over 200 members nationwide and more than 75 quality vendors in cabinetry, appliances, plumbing fixtures, decorative hardware, closets, lighting, flooring and tile, who offer their products/services to the membership at group rates. Additionally, SEN offers over 40 business development services to its members, including financial planning, business coaching, business management training, sales training programs, marketing tools to generate leads, networking, and automated management systems. For more information on SEN visit http://www.sendesigngroup.com.