The Feast-or-Famine Cycle Is Killing Your Business
Let’s talk about something that keeps trades business owners up at night: the feast-or-famine cycle.
Summer hits and you’re drowning in AC calls. Winter comes and heating work keeps you busy. But then spring arrives and… crickets. Your phone stops ringing. Your guys are sitting around. Your cash flow disappears.
You’re not running a business—you’re riding a roller coaster.
Meanwhile, your fixed costs don’t care about seasons. Truck payments, insurance, payroll, rent—they all keep coming whether you’re slammed or sitting around waiting for the phone to ring.
There’s a better way: service memberships.
Not as a way to squeeze more money out of customers, but as a way to provide better service while building predictable revenue that smooths out those seasonal swings.
Why Memberships Are a Win-Win (When Done Right)
For your customers: They get priority service when they need it most, discounted repairs, peace of mind knowing their systems are maintained properly, and a relationship with a company that knows their home.
For your business: Predictable monthly revenue, deeper customer relationships, scheduled work during slow periods, higher customer lifetime value, and protection against seasonal downturns.
The key is making it about service first, revenue second. When customers see genuine value in what you’re offering, memberships sell themselves.
Annual Memberships: The Sweet Spot for Most Trades
Monthly memberships sound good in theory, but they’re a lot of extra work. Monthly billing, monthly scheduling, monthly communication—it’s administrative overhead that most smaller trades businesses don’t need.
Why Annual Works Better:
- One payment, one renewal date to track
- Scheduled maintenance during your slower seasons
- Less administrative work for your office
- Customers aren’t thinking about the cost every month
- Easier to deliver consistent value throughout the year
For most trades businesses, annual is the way to go. Keep it simple, keep it valuable, keep it profitable.
No-Brainer Pricing: Make It Obviously Worth It
If customers have to think hard about whether your membership is worth it, you’ve priced it wrong.
The best memberships are priced so that customers would be crazy NOT to sign up. Here’s how to think about it:
What does one emergency call cost them? If your typical emergency service call is $300-500, your annual membership should save them that much or more.
What does preventative maintenance prevent? A $200 annual membership that prevents a $2,000 HVAC replacement isn’t a tough sell.
What’s the peace-of-mind worth? Knowing they have priority service and someone who knows their systems has real value.
Example pricing structure:
- Annual membership: $299
- Includes: 2 seasonal tune-ups (normally $150 each)
- Bonus: 15% off all repairs, priority scheduling, free diagnostics
- Result: Customer saves money from day one, you build recurring revenue
What Should Your Membership Actually Include?
The best memberships solve real problems customers actually have. Don’t create artificial value—provide genuine service.
For HVAC businesses:
- Spring and fall system tune-ups
- Filter changes and reminders
- Priority scheduling during peak seasons
- Discounted repair rates
- Free diagnostics on system issues
For plumbing businesses:
- Annual water heater flush and inspection
- Drain cleaning service
- Water pressure testing
- Priority emergency service
- Discounted rates on major repairs
For electrical businesses:
- Annual safety inspection
- Outlet and switch testing
- Panel inspection and cleaning
- Priority service calls
- Discounted electrical work
The key: Pick services that genuinely help customers while using your slower periods productively.
Year-Round Enrollment: Every Customer, Every Call
Don’t wait for slow seasons to push memberships. Make them part of your standard service offering from day one.
Start with the first call: Your CSR should mention membership options when booking: “We also offer annual service plans that include priority scheduling and discounted rates. I’ll have the technician explain the options when he’s there.”
During every service call: Technicians should have a simple process to discuss membership options with every customer. Not pushy, not sales-y—just informative.
The goal isn’t to sell everyone immediately. It’s to make sure every customer knows the option exists and understands the value.
The Customer Connection Process That Actually Works
Here’s where most membership programs fail: technicians rush through the sales pitch instead of making a genuine connection.
Slow down and actually listen. When you arrive at a job, don’t just focus on the immediate problem. Ask about the home, the systems, any ongoing issues they’ve noticed.
Walk through the home with the customer. Look at their HVAC system, water heater, electrical panel. Help them understand how everything works together.
Listen to their concerns. Are they worried about system age? Concerned about energy costs? Nervous about emergency breakdowns? Address their actual concerns, not imaginary ones.
Share what you see. “Your water heater is getting up there in age. Nothing wrong with it now, but these are the signs to watch for…” This positions you as an advisor, not a salesperson.
Then introduce the membership naturally: “This is exactly why we offer our annual service plan. We can keep an eye on all these systems and catch small issues before they become emergencies.”
Handling Objections Without Being Pushy
Common Objections and Professional Responses:
“I don’t need that much service.” “I understand. The thing is, most people don’t think about their HVAC system until it breaks down on the hottest day of the year. This just ensures everything’s working properly and you never have to worry about it.”
“That seems expensive.” “I get it. But think about it this way—one emergency call typically costs $300-500. This is $299 for the whole year, includes two tune-ups, plus you get priority service and discounts on any repairs. You’re actually saving money from your first service.”
“I’ll think about it.” “Absolutely. Here’s what I’ll do—I’ll leave you some information about it. The plan starts whenever you’re ready, and you can always call us with questions. The important thing is that you know it’s available when you need it.”
“I can do my own maintenance.” “That’s great—a lot of homeowners are handy. The thing is, we have specialized tools and can spot issues that aren’t obvious. Plus, if something does go wrong, you have priority service. It’s really about peace of mind.”
The key is addressing their real concerns, not arguing with them. If they’re not ready, that’s fine. Plant the seed and follow up later.
Making It a No-Brainer: The “Free” First Service
Here’s a strategy that works incredibly well: offer the first service included with membership signups.
Example: Customer calls for AC repair in July. You fix the problem for $350. Before leaving, you explain the annual membership:
“For $299, you get spring and fall tune-ups, priority service, and 15% off repairs. Since you’re signing up today, I’ll count this service call as your summer tune-up. So you’re really getting a year of coverage plus today’s service for $299.”
Suddenly, a $299 membership costs them negative $51. That’s a no-brainer.
Implementation: Keep It Simple, Keep It Consistent
You don’t need complex software to start a membership program. You need consistent processes and good communication.
Basic requirements:
- Simple tracking system (spreadsheet or basic CRM)
- Scheduled reminders for annual services
- Clear communication about membership benefits
- Trained technicians who understand the value proposition
- Follow-up system for renewals
Start small: Begin with your best customers who already trust you. Get the process working smoothly before rolling it out company-wide.
Track what matters: Member retention rate, average member lifetime value, percentage of calls that convert to memberships.
The 50% Goal: More Than Half Your Customers Should Be Members
If you’re doing this right, 50%+ of your customers should eventually become members. That’s not unrealistic—it’s a sign that you’re providing genuine value.
Think about it: If your membership program is genuinely valuable, why wouldn’t most customers want it? If they wouldn’t, you need to adjust the offering or the price.
Companies with strong membership programs often see:
- 60-70% customer retention rates
- 30-40% higher lifetime customer value
- Smoother cash flow throughout the year
- Less dependence on emergency calls
- Stronger customer relationships
Beyond Revenue: Memberships Build Better Relationships
The best thing about membership programs isn’t the recurring revenue—it’s the relationships.
You’re not just a vendor anymore. You’re their trusted home service partner. You know their systems, their concerns, their family situation.
Customers call you first because they know you’ll take care of them. They refer you more because they feel connected to your business.
Your team enjoys the work more because they’re not always dealing with emergencies and stressed customers.
Emergency calls become opportunities to show existing members why they made a smart choice, and to show non-members what they’re missing.
Seasonal Planning: Use Memberships to Level Your Schedule
Smart membership scheduling turns your slow seasons into productive seasons.
Schedule HVAC tune-ups in spring and fall when you’re not slammed with emergency calls. Customers get better service, your team has steady work.
Plan plumbing maintenance during slower months. Water heater flushes, drain cleaning, pressure testing—work that prevents emergencies later.
Use membership appointments to fill gaps in your schedule. Instead of having guys sit around, they’re providing value to your best customers.
The Renewal Conversation: Keep Them Coming Back
Renewal shouldn’t be a sales conversation—it should be a relationship conversation.
“How has your experience been this year?” Let them tell you what worked and what didn’t.
“Here’s what we found during your services…” Remind them of the value you provided throughout the year.
“For next year, we’re thinking about adding…” Get their input on potential improvements.
“Any questions about renewing?” Make it easy to say yes.
Most members who had a good experience will renew automatically. The ones who don’t usually have specific concerns you can address.
Common Mistakes That Kill Membership Programs
Making it too complicated. Keep the offering simple and the benefits clear.
Pricing it wrong. Either too expensive for the value or so cheap customers question the quality.
Inconsistent delivery. If you don’t deliver on what you promise, members will leave.
Pushy sales tactics. Memberships should feel like a natural extension of good service, not a sales pitch.
Poor follow-up. If you don’t remind members of upcoming services, they forget about the value they’re getting.
Not training technicians properly. Your team needs to understand and believe in the program to sell it effectively.
Getting Started: Your Membership Action Plan
Your 7-Step Launch Plan:
- Define your offering. What services will you include? What’s the annual price? What are the member benefits?
- Price it as a no-brainer. Members should save money and get better service from day one.
- Train your team. Everyone needs to understand the value proposition and how to present it.
- Start with existing customers. Your best customers are most likely to become your first members.
- Create simple tracking systems. You need to know who’s a member and when they’re due for service.
- Measure and adjust. Track conversion rates, retention rates, and customer feedback.
- Be patient. Membership programs take time to build momentum, but they’re worth the investment.
The Bottom Line: Predictable Revenue, Better Service
Memberships aren’t about squeezing more money out of customers—they’re about providing better service while building predictable revenue.
When done right, they solve real problems for customers while solving the feast-or-famine problem for your business.
Your customers get priority service, peace of mind, and a relationship with a company that knows their home.
Your business gets predictable monthly revenue, deeper customer relationships, and protection against seasonal downturns.
Start small, keep it simple, focus on value. Don’t try to build the perfect program from day one. Build a good program and improve it over time.
Because in the trades, the companies that survive long-term aren’t the ones that are busiest during peak season—they’re the ones that stay busy year-round.
And memberships are how you get there.
