The Masthead

(photo courtesy of Perikilis Ripis)

There are many images that come to mind when pondering why and how people react in times of distress.  Think about the mountain climber.  Think about someone dangling between the top – which is up! – and the steep drop, which is down.

Think about someone who may be too scared to move…

…to concerned to plan the advance, up.

The solution to the problem of stress and pain rarely come from looking down.  The answers lie in the climb up.

Don’t think down.

Don’t plan down.

Look up.  Think up.  Plan and act to move UP!

An Exclusive Interview with Doug Gorman

1. (Question from www.MHMSM.com by Tony Kovach for Doug Gorman). First, Doug, thanks for taking the time to do this interview. While you are widely known in the industry, please give us a brief background on your many roles and history in this industry, for those who may be new and don’t know you as well as they should yet.

My experience with the industry began in 1971 in the role of a consumer. My wife and I purchased a 12×60 three bedroom front living room which at the time seemed to have plenty of room for us as newlyweds. Shortly after that I went to work for the retailer who sold us our home and have been in the industry continuously since then. My industry work experience has included retail sales, sales center management, multi-location retail management in the Southeast and the Southwest. Field sales for manufacturing covering five sates in the Southeast, multi-outlet retail modular sales management and 22 years of owning a retail sales center in Tulsa, Oklahoma. I have served as the president of our state association in Oklahoma, chairman of MHI’s Federated States Division, chairman of MHEI, the sole retail representative to NFPA for five years prior to the creation of the Manufactured Housing Consensus Committee and for close to ten years now as a member of the Manufactured Housing Consensus Committee.

2. There is a lot of discussion going on in the Industry these days, and we’d like to get your take on some of those timely topics. For example, there is a new initiative out there to launch what is dubbed the MHIDEA, the MH Independent Dealers Association. What are your thoughts on the matter? What can you tell us about R E Crawford, George Allen, Ken Rishel and some of those backing or supporting that initiative?

I believe MHIDEA is a worthy endeavor and its creation is being undertaken by some of the most credible people in the industry. Retailers have numerous issues that can get lost in the broader efforts that are undertaken by MHI. I had hoped for years that the National Retailers Council (NRC) would serve that purpose, but I have not seen it materialize. I don’t fault MHI for that failure. The decline in retailer population has certainly been a factor and for that same reason could limit the success of the efforts around MHIDEA. The total retailer focus of MHIDEA may give it some strengths that are not inherent in NRC.

As a preface to the question that follow, Doug, let me remind our readers that personally and editorially, www.MHMSM.com believes in the strong potential of our industry’s future. I could point to virtually every article, almost every blog post that underscores that fact. But At the same time, we have to look at real world challenges and address them. Many today are scared. So the following are not meant to be ‘doom and gloom questions, but rather to get a feel for how your take on such industry issues as matters currently stand, and to understand what we face in order to address it properly.

3. George Allen is one of those gents that most people in the industry know, especially in the LLC world. Allen has written about what he calls a ‘perfect storm’ or a ‘conspiracy’ to kill HUD Code housing by choking off finance initiatives in Washington, such as implementation of the FHA Title 1 and the “Duty to Serve” passed by Congress in 2008, and what amounts to concerns over leadership from national associations on such issues. How would you respond to that type of concern from a respected and informed industry leader?

I do not have any specific knowledge of a conspiracy to destroy our industry. At the same time I find many of the actions taken in Washington are in fact resulting in driving up costs for our industry’s clients while reducing the financing options available. If it is a conspiracy, those responsible are being remarkably successful as we look at a 90% drop in industry shipments. I don’t read a lot of news coverage of any other industry taking a hit of that magnitude.

4. It seems obvious that manufacturers and retailers – and these days, retailers often means land lease communities (LLCs) operators – have a natural need for each other. What concerns do you feel as a respected retailer who has years of manufacturing experience over the steady decline in new home shipments? What do you see as the needs to turn that 12 year decline in shipments around?

Clients want what we build. They are denied the ability to purchase our homes in many cases because of zoning issues and because of the inability to obtain financing. The zoning concern has to be addressed at the state level to achieve significant success. Improvement of financing will most likely only be achieved through increased pressure from our representatives in Congress to improve the application of existing programs.

5. Some have speculated that we are looking at the end of the HUD Code industry by 2020, others have said 2016. I spoke with a senior executive in the manufacturing world very recently who told me there is maybe 24 months to turn the industry around or many/most of the factories will be gone. What are your thoughts on the time line, and why don’t we see more being done to impact ‘saving our industry’ now?

I would not dispute either of the forecasts mentioned. Our program is the only Federal building code for and is administered by HUD. As an industry we certainly have a very real danger of national shipments continuing to be so low that we become irrelevant in the scheme of the Federal budget. If that were to happen manufacturers would lose the preemptive benefit of the federal code. They could possibly continue production meeting various individual state codes that might exist, but the federal umbrella would be lost.

6. You have expressed in the past your viewpoint on Danny Ghorbani’s importance at MHARR, saying “The industry needs Danny.” Can you elaborate on that, please?

For many of the same reasons that retailers may feel a need for a dedicated retailer trade association, many manufacturers feel a need for MHARR. I have no problem with MHARR’s position that their exclusive objective is to monitor regulatory events as they may affect our industry’s manufacturers and ultimately the cost of the home to our clients. Danny Ghorbani has worked tirelessly in this regard for many years. I do not always support or agree with a particular tact or undertaking by Danny, but the industry does not have anyone else who so fervently monitors the effects of proposed undertakings by our federal government.

As retailers, we do not understand to any significant degree the possible impact for instance of the current efforts by HUD to increase monitoring costs through an effort intended to improve quality control. While I believe the effort by HUD is well intended, I am also aware from conversations with manufacturers that many unintended consequences will drive up costs with no corresponding benefit to our client. MHARR will seek to route these efforts through the Consensus Committee. In HUD’s defense, a proposal on this subject was worked on by the MHCC, but was not moved forward due to lack of information regarding costs.

7. We did an exclusive interview posted on my blog with Eddie Hick’s recently about his initiative to promote product placement as an image building tool. During that interview, Hick’s said, and I’m quoting: “Well, I don’t think we need to wait and get a group like MHI involved. In some ways, they’ve failed to move this sort of thinking ahead on the image building issue.” As someone active with MHI and on the national scene, how would you respond to that comment and concern?

I would support any effort that Eddie can take in that regard. His idea makes sense and he sounds like he knows people that can help him accomplish his proposal. I don’t fault MHI and I don’t think Eddie does either. It is a statement of fact that MHI has not gotten involved in the RV type image building campaign. MHI was confronted by an industry made up of companies facing enormous cash demands in the face of the previously mentioned 90% decline in shipments. Major industry players such as Fleetwood, Patriot, Wick and Champion would ultimately face bankruptcy. That scenario is a difficult setting for raising millions in cash for a national image campaign.

8. Doug, any other thoughts you’d like to share about needs and issues facing the HUD Code and factory built housing industry today? What are your reasons for being optimistic about the industry potential and future?

As an industry we face many challenges. The SAFE Act will drive up costs for our clients while reducing the number of lending options. New FHA guidelines will also increase the costs of financing and increase the amount of cash needed to purchase a home. The new appraisal guidelines that went in to effect on February 16th will make appraisals more difficult especially with those appraisers that do not understand our product or do not understand the difference between an entry level home and a high specification home.

The Duty to Serve issue needs to be pursued as it holds huge potential for our industry. The government needs to move forward to fully implement the FHA Title I program and in light of 3285 retire the current permanent foundation requirements of the FHA Title II program.

Many of the concerns noted affect all housing while others are specific to our industry. I remain optimistic because the consumers want what we are offering. No other housing segment can touch what we offer. I can sell a three bedroom, two bath home for less than $30,000 and I can offer a two story modular for under $200,000. Isn’t life grand? Now if we could just have a good drought.

In our Monday morning emailing today, there were two items that need correction:

While we routinely report, share news, interview industry personalities and print articles by various writers, the reporting may or may not represent our personal views or that of our trade journal on a given subject.

By way of explanation of how an error like this occurs, while we have numerous writers, all the editing, outreaches, IT and much more at www.MHMSM.com are done by only a few hands. In doing a lot with a little, it is easy to overlook a word, grab the wrong draft of a message, and so on. The good news is that we continue to grow rapidly. February was another record month as will be documented again soon. We continue to be the largest, fastest growing and #1 source for factory built housing news and views that you can use.

We will use this glitch above to say that our ability to continue to improve and grow can be accelerated with more sponsors and volunteers.

Just as we invite more writers and readers, so too we need to invite more firms and individuals to sponsor/advertise with us!

We get tons of messages, reports and calls that tell us that you like what you see here at www.MHMarketingSalesManagement.com, thank you. If you need to reach thousands of industry professionals every week, please advertise, sponsor and/or volunteer time.

By working together – through the support of advertisers, sponsors and volunteers – we can accomplish great things for this industry not ‘someday’ but this year, in 2010! Thank you and again for your support and time, and my apologies for the errors noted above.

Corrections 3.8.2010, Tony Kovach’s Masthead Blog, MHIdea.org, www.MHMSM.com

It goes without saying that the best and brightest of us all need help at some time. The truth is, if you are an owner or manager, you likely need help every day. That is why you have staff! But there are times when we need help and we just don’t reach out for it. What brings this top of mind for me is an all too personal incident where I was the one guilty of not reaching out for the help that was readily available. Come along for the brief ride, and see if this lesson might be useful to others too…

About 5 days ago, I started suffering from some sort of sinus ailment. Stuffy, congestion, runny nose, we’ve all been there, right? Well, yes, but maybe not quite the same as my scenario, because the mother of our son happens to be an MD. So here I am, taking my own (non-medical, treating my own symptoms) advice, rather than turning to the side and saying, ‘Honey, what is the best thing I can do with these symptoms that make me feel miserable and are slowing me down?’

doctor-patient-courtesy-of-the-US-Army

The symptoms that we suffer from may not be personal, or physical. The pain may be professional. It might be our business or the Industry in general that is ailing. What do we do when we are suffering? Some people run STRAIGHT to the doctor for almost anything, for some of us – perhaps it is generational in part? – we only go to the doctor kicking and screaming. Ladies sometimes like to tell us guys that we make lousy patients. They remind us that they go through stuff routinely – for billions of women, monthly – that we men simply couldn’t handle.

To be experienced – or expert – in one area doesn’t mean that we are expert or experienced (enough) in ALL areas! You may have grown your business to a certain point for any number of reasons. That’s great, kudos! Okay, but now, if it is failing to perform in this or that area, what will you do? Will you diagnose yourself? Give yourself medicine?

I didn’t study biochemistry. I didn’t study pharmacology, or Gray’s Anatomy and a host of other subjects related to medicine either. Dr Mom did. So why would I think that I could do this congestion issue on my own? Good at some things doesn’t mean ‘good’ at EVERYTHING!

There are times that we all need a little outside help. Feeling lousy, but seeing all that needed to be done, I kept trying to keep it all going, all while my head was exploding. Having shared my dilemma in part with Tim Connor, he emailed me back to say, “Go to bed, man. And chill. The world will wait!!!” I needed to hear that; Tim is a man with a good mind and a good heart. Not just a good pro, Connor is real gent.

Turn-arounds of locations, marketing and sales management systems are what pay my bills. I love the time I invest/volunteer in the www.MHMarketingSalesManagement.com online trade journal! But it is marketing (or other services) for industry clients that keep the check book happier. In my marketing role, I deal with a variety of media. Jack Walsh, my award winning Chicago SunTimes news group media rep, knowing me to be a driven, ‘type A’ sort of guy, likes to remind me: “It is only advertising man! It isn’t brain surgery! If something gets goofed up, we can always correct it and move on! No one will die or get paralyzed if you make a little mistake.” I need to hear things like that from my buddy Jack, to keep ‘type A’ from driving someone – that day, myself – too far.

We all need a little help some time.

Where do you need help? Where does the Industry need help?

Where will people turn to for help, today? How long before you – or I – reach out to the right person with the right skills to give us the right advice that will move your cause or the industry’s cause ahead?

One key reason we established this www.MHMSM.com platform for the factory built housing industry is precisely to provide a forum where the best talent can come to the table to share their advice and perspective on timely needs and issues! We all have areas we can help others with! We all have areas that we need help from others too!

• You may be one of the best and brightest experts in some aspect of our industry.
• You may be knowledgeable about many aspects of our Industry or your business.

All those are good reasons to consider writing for the thousands who come weekly – or daily – to www.MHMSM.com for answers, news and views as swelling nubmers of industry pros are doing. Pardon the sincere invite to write, back to the topic…

However the best accountant in the world doesn’t make that accountant qualified to render advice on installations! You might be the George Porter of installations, but does that make Porter a community management whiz too? George Allen may know tons of the key people in the LLC world and he has literally written the book on LLC management, but does that mean he doesn’t need a George Porter for advice on a critical installation? They may be pros at their respective fields, but does that mean they don’t need someone to assist with marketing or sales systems that work today? Does one person’s expertise mean that they don’t have to have assistants, associates, their own experts to guide them where they need help?

Every advertisement for ‘help wanted’ is an acknowledgment that we can’t do it all alone! Every job that is filled in your company means there is a need that exists there! Because…

We all need a little help some time.

What is it that keeps us from reaching out to an expert in the first place anyway?

Sometimes help starts with an email, or a phone call. Sometimes – as noted above – it starts out by turning to our loved one and saying, “Sweet heart, I’m not doing so well. What can you suggest to help me remedy this congestion and sinus pain?” Sometimes it means turning to another professional, dropping the words ‘sweet heart’ and saying, ‘Here is my issue, can you help?’ If the other person is a REAL pro, they will ask you some pertinent questions before saying, ‘yes I can.’ If they are a true pro, they may start with the words, ‘that depends.’

• Are you willing to listen?
• Are you willing to do what it takes?
• Do you really want to grow your operation (again, or for the first time), or do you just want someone to gripe about how bad things are?

In my marketing/sales management/turn around guy role, I did an article for the now defunct Manufactured Home Merchandiser Magazine, that was later republished here. I outlined the steps of the turn around process for community owners, but the principles would be similar for any retail operation. I called it Saving the Patient, and the irony is, here I am telling you that I need to be a patient sometimes too.

Because we all need help from someone else sometimes.

With my congestion and sinus issue, I stopped taking my own advice. I set aside the machismo non-sense. I stopped doing what I wanted to do. I turned to someone else – in this case the gifted and lovely lady who said ‘yes’ – and I asked her what to do. I listened to what she had to say. I took her advice. I woke up better the next day, and better yet the day after that. In fact, the very next morning, I felt so much better I started the first draft of this blog post! Before long, I should be good as new.

Admitting we have a need is the first step.

Admitting we need someone else is the next step.

Then finding that ‘someone else’ is the following one. Then taking that someone’s advice…is next. Follow the prescription to completion, and professional or personal health is just around the corner. Because…

We all need a little help some time.##

“A phoenix is a mythical bird with a colorful…tail…near the end of (its life) it builds itself a nest of twigs that then ignites; both nest and bird burn fiercely and are reduced to ashes, from which a new, young phoenix…arises, reborn anew to live again.”

Quote from Wikipedia online encyclopedia. http://en.wikipedia.org/wiki/Phoenix_%28mythology%29

Let me say what you know. We aren’t the only ones out there with turn-around ideas! In the last few weeks, a number of positive efforts are underway, new initiatives have been revealed, soon will be publicized or will be launched. This is important for an industry that has been hungry for good news. While this doesn’t mean that we are out of the woods, it does mean that many keen minds and dedicated parties are at work to effect the great turn-round for Manufactured Housing.

Here is a partial run-down, in alphabetical order:

• George Allen – will unveil details on his concepts for an industry turn around. George needs no introduction, and you know that something he and his associates present should have a lot of careful thought behind it. Stay tuned!
• Eddie Hicks – see the exclusive interview we recently posted on his initiative, which is bound to get people talking and thinking. Click here for what many are already calling a great read on an innovative concept.
• Ken Rishel and company also needs no introduction. Ken continues to promote the gospel of captive finance, a message that is spreading far and wide. We will share an exclusive interview with Ken Rishel in about two weeks, so stay tuned to learn more.
• Stephen Wheeler – soon will announce details on our pages about a program already underway that has big players in the MHCommunities world already involved, with more sure to follow. Wheeler is one of those keen minds with the drive that leads to successful results for all involved. We will either do an interview with Stephen or will present an article by him, with our target being the next issue which goes live in mid-March. Watch and listen closely to this gent’s successful program; stay tuned for details!

We’ve noted in our pages before the saying, quoted by President John Kennedy years ago, that the Chinese character for crisis also spells opportunity. You will see that in the thinking of Rishel, Wheeler, Hicks and while the details of Allen’s plan are not yet unveiled as I write this, it is bound to be there too.

Now besides these well known players, there is ongoing work in Washington and in your state capital as well by association leaders dedicated to making the turn-around of our great industry a reality. Please lend them your time and you diligent support. We are all in this together. Without our associations, where would be in the efforts at various capitals? Associations need us and we need them!

Now besides insights from these pros previously referenced, others were in the mix of recent conversations at www.MHMSM.com head quarters.

Another respected industry veteran made the comment to me recently that ‘We don’t have a product problem, we have a communications problem.’ He went on to say that winning over more of the home buying/home owning public will naturally lead to lining up the financing and resolving the regulatory challenges that our industry has struggled with.

Another key statement share with me in recent days was this: if more sales people were more focused on closing the business that is already coming to their locations, our industry could easily double sales this year even without a ‘new image or marketing strategy!’ This is one reason why our pages routinely feature articles on sales skills and on the marketing that brings those customers in.

Do the basics right every day, and those basics will take care of you and your firm.

There are Industry locations and enterprises that are making money in this economy. My philosophy always was, if someone else can do it, I can learn from those leaders and get a similar result too. I’m sure that is the attitude most presidents, executives and sales managers would want their front line sales agents to have! Which, by the way, is a great reason to have YOUR TROOPS reading solution oriented veterans like ours every day.

Another thought shared by a key leader in a conversation with me this past Wednesday:

• We as an industry have three and only three critical things to focus on:
1) Implementing the Congressionally mandated Duty to Serve,
2) Bringing Congressionally mandated FHA Title 1 Financing online and
3) the full implementation of the MHIA of 2000.
• Rapidly do the above, this veteran said, and we’ll grow by 50,000 shipments in one year!
• Since total shipments for 2009 are 49,789, down 39.2 percent from 2008, read ‘doubling the Industry’s business’ by     doing those 3 things!
• It should be noted that the same gent felt that more support needs to go to MHARR to make that a reality.

Your thoughts on these 3 points and related?

We at www.MHMSM.com have initiatives of our own on tap, like the Virtual Louisville Housing Show © aka Virtual Housing Show 2010 © , please see our IT Manager and StarShip Commander Bob Stovall’s post on that subject. Hundreds have expressed interest, so statistically that means there are thousands of Industry Pros out there who are interested but just haven’t formally raised their hand, yet!

We will be talking with MMHF leaders regarding the ideal name for this event, and what makes the best sense for advancing a cause that many feel can ‘double business’ in 2010; and move our industry ahead for years to come. Stay tuned!

Part of the turn around of the industry will come from voices new to the national stage but naturally ‘turn-around’ efforts and plans will also include the work of seasoned veterans like the ones noted above. It should go without saying that it takes understanding to effect change. Paraphrasing one pro last week, ‘we have to stop looking for the silver bullet.’ It is in large part about getting financing and doing the basic correctly. Our writer Mike DuPure said months ago here on www.MHMSM.com that the great Industry turn-around will be effected this way:

“It is about back to the basics and back to the Future.”

To help get both the basics and to encourage the rise from the ashes of a brightly burning, brilliant future, we routinely provide great content in our online trade journal to help you make the most of the business that is already at hand.

Alphabetically:

Joe Adams – exclusive new series coming up in March. Adams says this will be his first of the kind ever for our industry! I’ve seen the initial installment, an eye opener, stay tuned!
Chad Carr – a guru in the world of prospect and lead management. We are pleased to have a gent of this caliber sharing his fine writing with you here.
Tim Connor – we love featuring this renowned author, trainer, coach and speaker; we routinely get great feedback on his articles and blogs!
Suzanne Felber – the LifeStylist, with great insights on trends and in design, décor, building around the client’s LifeStyle and more! I’m a personal fan of “Z” and if you read her, you will be too!
Doug Gorman – periodic contributor and one of the most volunteer minded leaders at the state and national level. Doug is super-involved, so we are glad to get his time when he can spare it. Please let him know that you appreciate and respect his efforts, and may many more women and men in our Industry follow his example of self giving for the good of all.
Tony Kovach – your editor, writer and blogger.
Greg McClanahan – exemplifies the meaning of the word, gentleman. Greg’s unique, accredited and memorable Around the Campfire soft skills development and training approach are found here exclusively, and with our thanks.
Bob Stovall – Bob’s skills are amazing, the IT and web wizard behind our rapid growth and success! If you want to know how to do more online, you’d better tune into Bob’s articles and blogs routinely.
John Underwood – exclusive new series, launched with the Industry Voices Guest Blog. John is already stirring up positive reviews among industry pros who are pleased to see him writing here on www.MHMSM.com!
Don Westphal – exclusive, new content that should get community owners and developers thinking! Watch for an exclusive A Cup of Coffee with…DON WESTPHAL interview in March.

We’ve brought you a number of professionals, like Dan Rinzema, Don Westphal and Suzanne S. Felber who will be presenting ideas at MHI’s April Congress and Expo that in some cases you’ve already seen previewed right here on our pages.

We are bringing you America’s Motivator Zig Ziglar.

We’ve brought you articles by attorney and author Nadeen Green.

You can go to the archives and read Association Leaders such as Thayer Long or Danny Ghorbani, Ross Kinzler, Amy Bliss and Jaime Hammons.

We’ve brought industry rank and file, owners, presidents, marketers and more; dozens of names old and new! We done this so that you and our thousands of other INdustry readers can dig more deeply into issues and consider the many possible ways to move ahead into the future were opportunity awaits.

In addition to the names previously mentioned, you’ve met here at www.MHMSM.com:

Faith Barr, Linda Beem, Jerry Bennett, Rachael Biermann, Beth Monicatti Blank, Douglas D. Chasick, Mike DuPure, Sherrie Franklin, Susan Frost, Ken Geljack, Scott Jones, Greg Katanick, Richard J. ‘Dick’ Klarchek, Steven Lefler, Michelle Nichols, Chris Olvera, Dennis Peters, Michael Sater, Tim Saville, Kent Stichter, Tim Siahatgar, Joe Summers. James J. Talerico, Jr., Heather Vela, Tom Zagorski and more!

Authors writing here for you with names literally From A to Z! If I’ve missed someone, my apologies, but we’ve had dozens of authors as you can see from so many different disciplines in our industry.

We invite other industry professionals, to join our growing ranks of fine writers. If you have ideas you want to share in writing or via a video with thousands of industry pros every week, please see the about us page on our main website. The stage is broad here and we love to share it with you. Because…

…this is the time and this is YOUR place to be heard!

This is a key place for Industry Voices to be seen and read.

From an exclusive interview which will be published in our next issue – which will appear in Mid-March – I’d like to preview a compelling quote from a respect leader:

“Each of us should start the day asking ourselves: “Is what I have done in the past working for me today??????????????? If the answer is “no”, then commit to change or step aside and pass the torch to a new generation.”

I think that is a compelling thought. Let’s ask ourselves that question every day, is what I have done in the past working for me today? If the answer is “no,” then commit to change. Change yourself, bring onboard or team up with skilled agents of change that can move you to where your business should be! Because…

Crisis spells opportunity for those who see it and act upon it.

Fire can kill, but in nature what fire often does is burn away what is already dead. Like the legendary Phoenix – that rises to new life from the ashes – there are movements and signs of a turn-around and a brighter future. That is a type of new birth, a resurrection, a Phoenix Rising.

From out of the fire and ashes, there are rising ideas and efforts that can transform our industry for years to come. We want YOU to be a part of it!

At the same time, let’s not kid ourselves. There is work to be done, quite a lot of it. If you drilled down what each of the professionals who writes for us, they might say something like this:

We need to follow best practices. We need to take care of our customers. We need to focus on the basics. We need to bring the best of the past and unite that with the best of the new to build a brighter future!

People are making money in our Industry – today, in this economy, with our current challenges – so still more can profit today in our business too.

Be Informed.

Study the issues. Study the plans, without prejudging them. We need to analyze and move with what works and what shows promise. With hundreds of thousands in our industry, there will never be 100% consensus on anything. So don’t wait for total unity! Rather, after some study: pick your favorite strategies, efforts and associations, and support them with your time, talent and treasure.

From out of the ashes of past and current challenges, there are efforts like those noted above that can lead us to new glory days ahead. We plan to be a part of them, and to give voice to them

Stay engaged, stay tuned, reading daily industry news updates, numerous weekly blog posts including our hot new INDUSTRY VOICES Guest Blog, our great featured writers and more. You can be a part of the conversation in many ways, see our about us pages for details or just post your comments on articles, email or call them in.

We want YOU to be a part of the Phoenix rising like a new dawn for our industry! Working together for that great goal, we can make it happen!

www.MHMSM.com did an exclusive interview yesterday with Industry Guru, Eddie Hicks, noted consultant and multi-decade veteran of retailing, development, project financing, and more.

The discussion was far ranging, here are some of the highlights.

Q by Tony Kovach:
You came out recently with an article in The Journal that called for an Ad Hoc Committee to tackle the issue of image building for the industry.

A by Eddie Hicks:

Our industry’s (public) image hasn’t kept up with substantial improvements in our products. This has impacted our industry’s efforts in Washington, with HUD and others to move regulatory issues ahead. For example, the implementation of Title I lending was passed in 2008 by Congress and signed into law by then President George Bush. For regulators, Title 1 implementation isn’t a priority. They don’t consider our industry’s influence that strong. They think spending the majority of their time on the more preferred FHA Title II financing programs for so called conventional housing is more important.

Now if we changed our image with the public, if we created a positive new public image similar to what the RV industry did with its “GO RVing” campaign, these sorts of delays wouldn’t be happening.

Q. So what do you see as a way of changing that image?

A. I think we should get to the source of the information which most people use which is TV. Let’s get creative. Let’s influence TV shows to project a good image of manufactured homes.

Q. How do you think that could be done cost effectively?

A. By using Product Placement and/or producing creative new shows which feature m/h in a positive light eg: a new sitcom, or a reality based series.

Q. You mean like planting the product into the story line, like having a Chevy in a movie?

A. Precisely. Make the product part of the background for the TV show. It could be a sit com or other show. Why not have the settings for a TV show as some clean, upscale manufactured home community? Why not have the characters living and loving their homes as part of the background to the story? This could be a way with minimum dollars to influence the public in a profound way.

Q. Interesting concept! I’ve watched this done with products before, but I’m not sure if I’ve ever seen this done or proposed for manufactured housing. Great idea, Eddie. That said, how could we (as an industry) advance a product placement approach for use on TV?

A. I have connections with the entertainment industry. Some of them include a cousin who produced TV shows like Magnum PI, Battlestar Galactica and others. A nephew of mine produces 2 minutes to 30 minute spots for casinos. Potentially through connections like these or others we could advance a story line for a TV series that could use the product placement of clean, appealing upscale manufactured home living in a positive light.

I know others with TV production connections, clients or people I’ve met, like the producer of Cheaters. Do you know that show? We could get together with people like those who know how this is done and think it all out.

Q. Actually, Eddie, I don’t watch TV, I’ve heard of the show, but I have never seen it.

A. Wow, how do you get your information (he says with tongue in cheek)? (Eddie’s question; Tony’s answer:) I’m one of those guys who reads and likes to talk to people who know. Internet, magazines, books, etc. I’ll watch a DVD or video on line at times too.

Q. So in your view, Eddie, how would we move something like this forward?

A. Well, I don’t think we need to wait and get a group like MHI involved. In some ways, they’ve failed to move this sort of thinking ahead on the image building issue. I think we can hire a consultant for modest dollars, someone who knows the entertainment industry and how to get things like this product placement for image building done. I know a guy in Central Florida who had a nice boat. A film producer paid him handsomely to shoot scenes using that vessel in a boat yard. What we would want to do is shoot something like this in a clean, new manufactured home community, showing intelligent, active, people living normally.

You can tell your readers that if they are coming to Congress in Vegas, to contact me directly and get involved in this Ad Hoc Committee effort, we’ll have some interesting people for them to meet and get involved with. By the way, I don’t want to be in charge of an effort like this, I would like to help get this or other good ways to build image going. We have a lot of smart people out there who are involved in our industry, and I think we can “glean” some creative and resourceful ideas from them. Far be it for me to be the only one with ideas.

Q. It seems to me like some community owner or other owners would be willing to fund a concept like this.

A. Not necessarily so. Many of my clients are in the communities business. Most of the all age community owners are hurting. Many people in our industry today are just too focused on surviving instead of planning ahead. Back in the late 90s, or early 2000s, when people were still selling like crazy and making money compared to today, that is when we should have started something like this. But too many people were too busy thinking ‘today,’ instead of planning ahead. Look at where we are now!

I think we need to turn to manufacturers or maybe lenders to get something like this done. They have the incentive and the means. It would be nice to get someone like Warren Buffett and his organizations at Clayton, Vanderbilt, and 21st Mortgage behind it too.

It seems to me that too many people in our industry don’t realize the importance of getting financing going. That is the lifeblood of our industry. Implementing FHA Title I would be a big step ahead to getting lending going, and thus driving more retail sales again. I can’t understand why there isn’t a more forceful push to do that in Washington.

Q. That sounds like something like Danny Ghorbani at MHARR might say.

A. Danny Ghorbani is brilliant. Danny is a master of understanding the importance of financing to moving (MH) product. I’d say that maybe 1% of new homes sales today are cash sales, so the other 99% are financed. We as an industry need financing!

Ken Rishel is another one of those industry pros who are working hard on the captive finance side of this picture. Ken and Precision are doing good work too.

Nothing happens until a sale is made! Sales are made 99% of the time through financing. So why aren’t we as an industry spending more focus on getting financing going again? Without financing, without a sale, manufacturers don’t build, transporters don’t move homes, set up and installations crews don’t work, suppliers don’t sell parts, lenders don’t lend, insurance companies don’t insure and so on.

If we can fix financing and fix our image issue, if we can get good things like FHA Title I lending going again, we’ll see sales rise in our industry.

—————————– end of interview —————————–

You can contact Eddie Hicks at: www.mobilehomepark.com, 813-661-5901 or via email at easteddie@aol.com

www.MHMarketingSalesManagement.com plans to do more interviews with industry pros – such as Eddie Hicks and others – in the days ahead. You’ll see more feature articles from top names too. These are scheduled to star with the new March issue, that will go live circa the middle of the month.  Stay tuned!##

Ever take one of those two week ‘mini-semester’ classes in college? Or do a workshop or seminar series live or online? Well, this posit is going to be even faster than those classes by a long shot! But it will introduce you to an important topic, and you’ll rapidly see the value and importance.

Cross Marketing is a form of synergy. It is working together to achieve the ‘win-win’ or as our writer Mike DuPure likes to call it, “The Double Win.” It employs elements of Tim Connor’s fine article on a related topic as well, what I learned as the ‘Rule of Reciprocity’ by psychologist Robert B Cialdini, PhD whose book Influence was called “A landmark publication in furthering the persuasion process.” per Jacob Jacoby, PhD, the Director of the Institute of Retail Management at New York University. Influence is a great read by the way, I recommend it. Cross Marketing is what savvy promoters do. You point the finger of praise at person A, they share the pat on the back with you.

When done sincerely and properly, Cross Marketing is amazingly effective.

Movie makers love to cross market. You see the names of the stars; Star A adds a pull that the other stars alone don’t get. As I’m writing this, I picked up a video off the shelf: Lethal Weapon 4. Mel Gibson, Danny Glover, Joe Pesci, Rene Russo, Chris Rock, Jet Li. There are many forms of cross marketing at play here. There was the original Lethal Weapon Movie (by the way, we could be talking about Rocky, Star Wars or any number of ‘series’ of movies). There was the original cast, the original stars – in the case of Lethal Weapon, it began with Mel Gibson and Danny Glover. In Lethal Weapon 2, Joe Pesci was added. In Lethal Weapon 3, Rene Russo joined in on the fun with the cast from 2. Each star, each ‘name’ brought new people in to fill the seats, the original ‘names’ already had a following of their own, and the movie series itself had its own following. Cross marketing. Synergy. Win-win.

As an interesting aside, do you think that the politics of each of these actors named above are the same? Not a chance.

Mel Gibson, for example, is strongly pro-life. In Lethal Weapon 3, one of the characters is wearing a ‘pro-choice’ t-shirt. But these professionals ignored parts of the story that contradicted their own beliefs, pulled together for a specific project and they set the other issues aside to complete their project professionally and successfully. The differing styles, religious or other belief differences, were all set aside. By making movies like Mad Max or Lethal Weapon, Mel Gibson earned millions that allowed him later to do what he wanted to that was more in keeping with his core values. The point of this aside is, you have to be able to set aside some things in order to achieve other goals that may be of importance! This ‘aside’ is in fact an element of cross marketing too.

Book publishers cross market all the time. You see an author, say John Grisham. He wrote The Firm, The Client, A Time to Kill and a whole host of other novels. You’ll see the name of other books by the same author on the jacket or cover of the latest book. This is a form of cross marketing. Trailers before a movie starts, is cross marketing.

Now bring these illustrations of cross marketing closer to home, by using the following example.

Let’s imagine your factory built housing business website as your ‘podium.’ You are in a room with some people. You state your message. That’s good. You tell people why they should do business with you. That’s good. You may even have a testimonial or two. Good as well.

But now, imagine this. Person A is on a different website, and they are praising you, or giving you a Pat on the Back from their website. Now, that has added power!

Says, who? Well check out this video (if you haven’t already) on Bob Stovall’s article list to see the stats. Social media, what some call Socialnomics is perhaps the hottest trend in marketing. I was walking in a nearby, upscale mall in a posh Chicago Northshore neighborhood, and saw this huge ad for a university, and where did they want to drive their inquirers too? Their Facebook page! Why? Because being on Facebook or Twitter is a form ‘social’ form of cross marketing. To millions it feels more like a third party endorsement than an ad does.

Imagine you open your store up on a busy street. That’s good, a whole lot better than some quiet side road that millions will never find. What can be better is to open in a busy mall. Lots of people are coming around, right? They may be coming for Store B, and all of a sudden, they find YOUR store, Store A, as they are walking by! That’s a form of cross marketing. But to take cross marketing one step better, the savviest of those store fronts do their own advertising and marketing. They want to bring you to THEIR store. They don’t just count on the mall’s message or the mall’s core traffic. Have you ever seen a dead store in the middle of a busy mall? I have. Dollars to donuts; that dead store is doing zero or close to it direct marketing. You don’t want to be at either extreme on the spectrum. Get that combo of direct marketing and cross marketing going, and everyone, everyone in the mix wins.

The modern ‘auto-malls’ or ‘magnificent mile of cars’ are a form of cross marketing. Back in the day, Shields Boulevard was an amazing form of it for manufactured housing! In the early 1980s when I got my start in the retail side of the manufactured housing sales world, Shields Boulevard had 52 retail centers (back then, we called them dealerships) on a 3 mile stretch on South Shields. Ma and Pa locations were next door or down the street from the ‘Big Boys’ and they were hoping their little sign – direct marketing in the midst of cross marketing – would attract people into their location.

So how do you cross market in our industry? On the business to business level, let’s take a look.

As was noted in a feature article on LinkedIn, and alluded to above, social networking is a form of cross marketing. Professionally and intellectually, an ezine or Manufactured Housing INdustry trade journal like www.MHMSM.com can be a platform for cross marketing too!

You see people writing here about a variety of themes. There are featured articles. There is our popular, new INDUSTRY VOICES Guest Blog. There are news items to bring readers, the photo gallery, press releases and a growing number of resources. Speaking of all of that, an association leader who I spoke to not long ago was telling me ‘Wow, it is amazing how much you information and how many resources you have up here!’ A company president said, ‘You’ve accomplished in a short period of time what _____(think, big name pro)_____ wanted to do but hasn’t pulled off yet.’ I am routinely pointing to our team of writers, volunteers and our webmaster Bob Stovall – because without them, this would be one person on a soap box; not the chorus of voices that we are professionally singing like Handel’s “Messiah!”

Do you think all of us agree on every little thing? We may on some items, but may not on others. Why would someone like Thayer Long, who heads up 75 year old MHI, why would he want to be here? Well, there are many reasons. Cross marketing is a nice phrase that can catch them all. But let’s look at the power of cross marketing for a moment, and use MHI’s Mr. Long as an example.

The Google search above was done at 8:58 AM 2.24.2010

Now keep in mind, that Thayer’s own website and a host of other venues would have his name. Yet, thanks to some SEO wizardry by our masterful Web Master, you see that many top ten results came from our interview called a Cup of Coffee with Thayer Long and also his TRENDS 2010 Survey replies. A win-win for all involved? As they say in neighboring Wisconsin, youbetcha.

Another well known industry personage recently joined our ranks whose name is well know, whose cross marketed with others too. Chad Carr of Rainmaker software joined just about 2 weeks ago, and already his writing with us ‘pays off’ in the form of good cross marketing and good SEO (Search Engine Optimization).

Google search done at 6:42 PM, 2/24/2010

These are examples of the power of cross marketing.

Now let’s go back to our examples. You may not be impressed by Writer X, they may not connect with you for whatever reason. As a quick aside, I learn from every Industry writer, even if I may disagree with some part of what they are sharing. Why? Because they give me a fresh perspective! They can keep you or me from getting locked into a straight jacket of thought. I’ve often gotten ideas that paid off handsomely from someone I disagreed with, by analyzing their position or method, and then refining it into something that worked for me or my clients. Equally important, sometimes that person that I thought was ‘wrong’ turned out to be dead-bang right! Okay, so Writer X may not connect with you, but Writer A or B does! Writer A or B may or may not know each other, but the reader traffic that Writer X attracts can help them both.

Sometimes Writer A will look better to a given reader precisely because Writer X is in the mix.

Remember, since your tastes, mine and the next person’s differ, this isn’t about ‘better’ or ‘worse’ it is about some writers ‘connecting’ more with a segment of readers than another. To go back to our hit fiction book author John Grisham, noted above, some people love his work; others would never pick up a book written by him again. Go figure. But a good book store – which deals in a type of cross marketing by offering a variety of authors, genres, etc. – gladly features Grisham, even knowing he won’t connect with everyone. Different strokes for different folks.

I plan to do at some point an article about writing and its power, but hopefully these ideas also suggest a start to that timely topic. We’ve all heard that “the pen is mightier than the sword,” well if so, then the Internet’s Ionic Pen is mightier than that Bic pen will ever be! I’ve got a thin volume on my shelves entitled, ‘Will you put that in Writing?’ because executives often want a memo, power-point or paper on a topic so they can share it with others, and study it themselves. In some professions you must “publish or perish.” More and more, in the Internet era, publishing is a wise move too. So if publishing is good, then being published even more is…even better! Writers write for a reason. I don’t just publish on our www.MHMSM.com industry trade journal website; I’ve been published on others too. All of it is good cross marketing.

Savvy writers submit their work here at www.MHMSM.com in part because it is a form of cross marketing. It is a win-win for EVERYONE involved; the readers, the writers, the industry. Everyone participating wins. Those who don’t – currently – participate can begin to win simply by jumping in!

At a time when our industry has trended down for a dozen years, we HAVE to have a wide variety of ideas and view points to consider! It isn’t enough to have one or two people on a topic. We need and want ‘the proven veterans,’ the known names; but we also need and want the new names – or at least new on the national stage – they may be well known in their own market. We need those new ideas, test them against the wisdom of the past and in the exchange of ideas – in the cross marketing of ideas – see where it takes us.

I’ve been told by people who’ve published in this industry that we get tons more comments their print publication ever did. Precisely because we are online – YOU, our reader have the ability to comment. When can you connect? Well, if you wanted to – right here, right now! Right here; Right Now! – now there’s interaction! We could show examples where just a COMMENT posted by a ‘known name’ in our industry on a blog post earned him a top ten rating in a google.com search done earlier today. The more who are ‘on the stage,’ the more who ‘share the podium,’ the more traffic you get individually and collectively! This is cross marketing online at its finest.

So even beyond writing or posting a comment, there are other advantages beyond cross marketing. Via comments on articles and blogs, via news from sometimes opposing camps in the industry and comments on those, a conversation or discussion can develop over time. Posted comments – especially when you register and then log into our Disqus system – allows you to follow the threads of comments, jump back in and also to post your name and company website. It can be a simple form of cross marketing…

…then, when you connect on Facebook as a Fan, follow on Twitter, or get LinkedIn with me or other writers, you’ll simply be amazed as to how Socialnomics, how cross marketing can benefit you AND the others involved.

Don’t look at someone else in our business and think ‘competitor.’ Think cross marketing. Think Synergy. Think Win-Win. The more you do, the further ahead you will be. The further ahead you get, the further ahead the industry gets.

The Turn-Around can be easy, we need to think about free opportunities like www.MHMSM.com or low cost – highly effective – Cross Marketing in ways like The Virtual Louisville Housing Show © can provide. Be at the virtual ‘auto mall’ cross marketing approach and be part of the future that is growing, not the past that may be dying or dead!

We hope this intro has stimulated both your thinking on cross marketing and helped you to understand some of the ‘thinking behind’ and some of the behind the scenes work and benefit that goes into an INdustry © project and platform like www.MHMSM.com!

Cross marketing, it can be a wave for the future success of whatever it is you are doing or promoting. Give the other gal or guy some attention. Be part of the group, not just sitting on the sidelines. Be part of the conversation, even if it is just to say, well done, or I see it differently because of x. Keep comments clean, don’t attack a person, but politely question or differ with their idea if you have reason to do so. Be happy if they have a different viewpoint. It all creates interest, it can provoke thought and thoughts can lead to the cures for our industry’s ills. Interest and discussions boil down into opportunity. Opportunity, if you knock and keep on knocking, is the door that when opened leads to success. Make cross marketing part of that success.##

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