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HVAC ContractingNewsBusiness ManagementGuest Column

8 Good Reasons Why Manufacturers Advertise in the Trade Press

By Matt Michel
Trade Papers
GETTING BETTER RETURNS: Larger, more aggressive contractors are more likely to read the trade press, making advertising the best way to reach a target audience. (Courtesy of Roman Kraft | Unsplash)
February 25, 2024

Some contractors seem to resent manufacturer trade press advertising. They think the funds should be directed into consumer advertising to build brand awareness to benefit a manufacturer’s contractor base and to generate leads that benefit contractors directly. But there are good reasons why manufacturers advertise in the trade press. Here are eight.

 

1. Brand is determined by the contractor, not the consumer

Research by Decision Analyst Inc. has shown over and over again that consumers replacing HVAC systems pick a contractor first, then accept the brand the contractor recommends roughly three times out of four. Surveys by Service Nation found an even stronger contractor preference among the customers of Service Nation Alliance member companies. Thus, it is more impactful for a manufacturer to reach out to contractors than consumers.

Consumers have direct interpersonal relationships with contractors, their technicians, and contractor sales professionals. An equipment brand is somewhat abstract and, the consumer, if he “buys” the contractor, will almost always buy what the contractor recommends. After all, if something goes wrong, the consumer will call the contractor, not the manufacturer.

Contractors are the captains of the channel of distribution though many do not realize it. Manufacturers do, even if reluctant to admit it. Thus, to win the consumer, the manufacturer must first win the contractor.

 

2. The trade press offers better returns

According to Statistica, media advertising spending in the United States will be $322 billion in 2024. No matter how much a manufacturer spends, it will be drowned by a cacophony of packaged goods, pharmaceutical, automotive, financial services, consumer electronics, and other advertising. Contractors will notice it because they are tuned into the trade. The average consumer? Not so much.

It costs a lot of money to generate any kind of brand awareness among consumers. By contrast, an advertising campaign in the trade press costs a fraction of consumer advertising and can easily reach a significant share of the trade professionals. Moreover, the larger, more aggressive contractors are more likely to read the trade press. If a trade campaign helps in the conversion of a single contractor, it can be worth millions to the manufacturer over the life of the relationship.

Trade ads influence not only prospective contractors but existing ones as well. They help to remind a contractor why he’s selling a specific brand and to communicate new features and benefits. The reach is not limited to contractors. Trade ads also influence distributors and supply houses.

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It is reasonable to wonder why manufacturers bother with consumer advertising at all. Some do not. Those who do believe consumer advertising will make a difference and will help with brand familiarity. Plus, by pooling manufacturer money with contractor funds, manufacturers can leverage their spending for more brand exposure while tying existing contractors more strongly to their brands. Consumer advertising also influences the channel, giving distributors and contractors more confidence in a brand.

 

3. Contractors prefer print

Recently, a contractor on social media posted a picture of an ACHR NEWS column I wrote. Separately, the same column was highlighted with arrows drawn and posted by an industry consultant. The consultant has a large social media following. Neither one posted a digital copy, even though a link would have been easier. They took pictures of the print copy and uploaded them (which is not even on the radar of digital tracking efforts). The reason? Contractors prefer print.

While contractors may get some of their information online, they still prefer paper copies of trade magazines because they can quickly flip through them. By scanning and page-turning, it is possible to absorb more information in less time than clicking through a website. This ability is lost with digital.

 

3. The NEWS is a trusted trade brand

The ACHR NEWS is more than a magazine. It is a brand within the trade that is trusted for accurate information and is read by the entire channel. Manufacturers advertise in the magazine and associate their brands with the NEWS for many reasons, but one is it is a positive association.

 

4. Contractors who read The NEWS want solutions

Contractors read trade magazines because they are looking for solutions to problems and new product and service opportunities. Professional contractors self-select when they read trade magazines. Manufacturers know they are getting in front of the contractors who are concerned about personal and professional growth as well as business growth.

HVAC is a fragmented industry. Even the largest trade shows only attract a tiny fraction of the industry. The broadest reach for the best contractors is found in the trade press.

 

5. Trade ads have a shelf life

There is a shelf life to trade magazines. Anyone who has ever walked into a contractor’s shop knows trade magazines hang around. You can see them. They are referenced for a year more or more after their publication date. The ads continue to live.

 

6. Most digital is ephemeral

Marketers like the ability to target with digital. However, it is a crowded field. So much digital noise gets hurled at contractors that they often do not pay attention. If they do not click immediately, the message and ad dollars disappear. Poof.

Even when it is important for a manufacturer to have digital campaigns, they can get that through the trade magazines, which have loyal e-list, e-zine, and social media followings as well as special, downloadable reports.

 

7. Better coverage follows

Once I asked a favor of a trade magazine publisher. He fulfilled my request, stating, “Sure. You’re a ‘friend’ of the magazine.” While I didn’t advertise a lot, I did what I could afford, and he knew that. Plus, he knew I would step up my spending as my business grew. Any contractor with a customer who provides good, repeat business knows that these customers move to the front of the line. The same is true with the trade press.

Trade magazines are a business, and like any other business, they need revenue. They are going to do more favors for the companies that are the greatest source of revenue. They are going to help with favorable ad placement. They are going to help by running more press releases and running more features their supporters’ way. Even if the trade magazine principals deny it, it is only human nature. Editor’s note: The ACHR NEWS has an editorial separation of church and state, so while we disagree with Matt Michel’s opinion on this (at least as far as our publication goes), we also believe in free speech, so we left this point in the piece.

 

8. We need the trade press

Trade magazines play a vital role in the industry. Everyone would be worse off without them. By advertising in the trade press, manufacturers not only help build their brands within the trade, they also help preserve a vital third-party communications channel.

In my career, I have worked in manufacturing, contracting, contractor support, and industry events. I have always turned to the trade press as my first choice for reaching contractors. I can personally attest that the trade press has always worked with the caveat that my effectiveness hinged on the quality and precision of my messaging, not the medium.

Trade and consumer advertising are complementary, not exclusive. For most manufacturers, the money comes from different budget sources. Regardless of budget sources, before a manufacturer can have a good consumer advertising program, the manufacturer should first establish a good trade advertising program.

KEYWORDS: brand awareness in HVAC digital marketing HVAC consulting Marketing and HVACR pay per click

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Matt Michel is a serial entrepreneur and founder of Service Nation and other contractor organizations. He is a recipient of the ACHR NEWS’ Legends of HVAC Award and was named by the NEWS as “one of the top five business advisors in the HVACR industry.” Contact him at (214) 995-8889.

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