1-800-Got-Junk? Article
| Got-Junk franchise branches into commercial arena with computer disposal < United States > August 27th, 2008 Memphis Business Journal - by Trey Heath When others see the recent economic woes as a time to scale back, Chris Gammill, franchise partner for 1-800-Got-Junk?, sees green.
The "junk" disposal specialty business has seen its gross revenues grow by more than 15% to about $400,000 this year thanks to a new business plan that is focusing on meeting the need of commercial property managers dealing with newly vacated space. "We've found that this is going to be a great niche market for us," Gammill says. "In a downturn economy, people are still doing business, but people are moving to smaller offices. All of the furniture doesn't fit in the new office." The result is more customers for Got Junk, which offers same-day disposal of materials. Gammill says growth in the commercial market is expected to contribute about 50% of Got Junk's business this year compared to just 30% in years past. Got Junk's new focus has derived from the economic factor that has shaken companies throughout the U.S. -- the housing market. In years past, the company has depended on business from builders and home renovators to help drive profits, Gammill says. But with fewer homes under construction, Got Junk decided to try expansion in other venues. "We've kind of made a conscious effort with the state of the housing market to look at what segments could be beneficial and who we could service," Gammill says. "We have a huge gold mine that we have targeted, which is the commercial segment of our business." To help with growing new customers, Gammill enlisted the help of long-time friend and former Shred-it operations manager Roger Barnhill to take over as manager of sales and marketing. "He has come out of retirement to help me with this endeavor and he was amazed that we never pursued (commercial) business before," Gammill says. According to Gammill, Got Junk is the only insured and bonded company of its kind in Memphis. The company also offers specific disposal services for more sensitive materials, such as the information left on computers and networking equipment that are being disposed. Got Junk charges a $5 fee per computer monitor because of the amount of lead contained inside the monitor, but does not charge an additonal fee of disposing of other sensitive computer equipment. "We can provide certificates of destruction and recycling for (computer equipment)," Gammill says. "Places like law firms are so worried about what is on the hard drives and the memory. There are so many issues that have to be taken care of, so you can't just throw them in a Dumpster." A 20 cubic yard Dumpster can cost more than $400 after factoring in fuel surcharges, delivery and pick up fees and daily rental rates. Gammill says Got Junk can provide same-day disposal for, at times, a quarter of the price of a Dumpster. But even though Gammill says servicing the needs of commercial property managers could grow to more than half of Got Junk's business in the future, the company has struggled to market its complete service offering. "Everyone I talk to says they didn't know we could do that. People think we are 1-800-go-get-grandma's-antiques," he says. "We are not out to resell or warehouse junk. We want to move it safely and properly and dispose of it safely and properly." The company has enhanced its reputation thanks to its record of meeting deadlines, says Jerry Wheeler, owner of Arlington Home Improvements. "When they say someone is going to be there, they are there," Wheeler says. "When you recommend someone and they don't show up, it really makes you look bad. I've used several other companies that have done that and now I just don't use them." http://memphis.bizjournals.com/memphis/stories ... |
![Franchise-Hit [logo]](../images/header-logo.gif)








