The industry playing field has changed, is changing and will continue to change. You can’t read the minds of the people who are making the changes, but you sure as heck need to be adjusting to the changes that have already happened. Your future success in business is contingent upon your responses and your timely responses to the changes that have already happened. Notice that I’m not asking you to anticipate where the future of the industry is going, just where it is today.
A major change in the industry has been the increase of business being controlled by TPA’s (third party administrators). The start of TPA’s started with USAA partnering with Xactware and PRISM. The process allowed USAA to better monitor the job progress on a real-time basis through the use of Xactware software and PRISM facilitating the job progress. This started the beginning of improving contractor job performance and job quality standards. As a result of this process, one large company within the program last year completed in excess of $36 million. As a result of that action, the industry has continued to attract investment companies that are purchasing and consolidating restoration companies.