CERC Case Study | Reliable Partners

Abstract

According to a business strategy article by OutboundEngine, “Acquiring a new customer can cost five times more than retaining an existing customer. Increasing customer retention by 5% can increase profits from 25-95%. The success rate of selling to a customer you already have is 60-70%, while the success rate of selling to a new customer is 5-20%.” Given this information, finding ways to hold onto current clientele should be a top priority for businesses. 

Of course, providing top-notch customer service and quality products will be helpful in retaining current clients, but in industries where prices and services can be relatively uniform, finding ways to continue strengthening relationships with clients can be difficult. In the construction industry, one way this can be accomplished is through demonstrating an understanding of client needs and expertise in the field. Project owners want to have confidence that the contractors they hire are able to meet their needs by providing quality results, while at the same time, protecting their stakeholders. 

Large corporations are making a shift toward more environmentally responsible work practices as their clients and investors become more sensitive to environmental, social and governance (ESG) initiatives in the marketplace. In the construction industry, the level of enforcement as it relates to safety and environmental protocols can determine the difference between costly environmental cleanups and bad press for project owners. Due to this, project owners, whether they be municipalities or Fortune 500 Companies, will always seek the most competent contractors. 

The Certified Environmentally Responsible Contractor (CERC) certification provides project owners with an easier way to identify which contractors are properly prepared to work on their jobsites by ensuring that they have comprehensive pollution coverage and environmental protocols. It also provides contractors with a way to reassure their current clients that they are making the right choice in partnering with them.  

Scenario

For one CERC, Darren, owner of D.A. Lampe Construction, this turned out to be the case. He shared, “I like having the CERC certification. My company has been building civil infrastructure, water delivery, and hydroelectric projects for years. CERC certification is necessary for raising awareness on the importance of being environmentally responsible in the construction industry. It’s part of our overall profile that says we're safe, we’re responsible, we deliver high quality projects.” Darren has also been sharing the whitepaper titled “Managing Environmental Risks in the Construction Industry.” It addresses specific environmental risks which project owners and their stakeholders may face at a site if adequate pollution insurance and financial resources are not secured. He says, “I wish more owners of public works projects would require CERC as part of the contractor pre-qualification process. The public would be better served if all public works projects had high standards for quality, safety, and environmental responsibility.”

As Darren discovered, highlighting your company’s expertise and educating clients can help secure solid relationships with your customers. CERC has a wide array of resources available to contractors, which can be easily utilized and shared with clients, serving as a way to both start conversation and to show the difference between a CERC-certified contractor and their less knowledgeable competitors.

Experts in the field can create organic engagement opportunities with their customers by sharing the knowledge they possess. According to the U.S. Chamber of Commerce Foundation, “When consumers see that a third-party certification is displayed or visible on a product, customers believe that specific standards have been met because an outside organization has verified findings through an audit or a rigorous testing process. Consequently, with today’s focus on protecting the environment, proof of sustainability claims is an important contributor to building consumer trust.” The CERC certification gives contractors an opportunity to demonstrate an understanding of environmental responsibility; it also gives their project owners a way to verify and certify that this is indeed the case. Project owners want to know that the contractors they hire truly care about their concerns. As contractors use CERC to demonstrate competence and awareness, they can further establish the trust that is necessary for long-lasting business relationships.

Solution

There are many ways that a company can work to improve their rate of client retention, but the most effective way is to differentiate themselves by providing customers with something they cannot find anywhere else. The CERC certification provides contractors with an opportunity to show how their environmental expertise is unique and valuable to project owners. An understanding of environmental exposures and a specific plan for addressing these is something that is not commonly found across the industry, but it is something that large companies and municipalities are becoming increasingly more sensitive to. As contractors use CERC to be a differentiating characteristic of their company, they can assuage any fears their customers may have, establishing a bond of trust and a successful business relationship.

About CERC

Certified Environmentally Responsible Contractors (CERC) is a certification program that aims to promote environmentally responsible contractors by helping them stand out from lesser-qualified competition and win more bids. Contractors can become certified when managing their environmental risks by securing broadened pollution insurance and by appropriately training their employees. Training may include OSHA required training, industry-wide standard practices and/or Pollution Prevention Practices provided by Environmental Risk Professionals.

About Environmental Risk Professionals

Environmental Risk Professionals is an environmental consulting firm with a team of experienced and committed experts determined to help companies minimize pollution claims. Through Pollution Prevention Practices, Operation and Maintenance Plans and other services, Environmental Risk Professionals helps businesses understand their risk exposures and in turn, mitigate potential claims and effects on the environment. Learn more about Environmental Risk Professionals by visiting envriskpros.com.