For many home improvement contractors, getting more leads seems like the answer to growing sales. But what happens when those leads stop bringing in enough business, or the cost of finding new customers keeps rising?
This is a challenge Rich Hotea, Founder and CEO of Performance Remodeling, knows well. Looking back at his journey of building the company, Rich says one of the biggest things he would change is how early he invested in different ways to reach homeowners. In the beginning, his team relied heavily on canvassing. While it helped bring in customers, depending on that one method made growth harder than it needed to be.
Today, Rich believes a stronger home improvement lead generation strategy comes from connecting different marketing channels so they support one another. Radio builds awareness, canvassers start conversations, and call centers follow up with homeowners who may not have been ready to book an appointment the first time.
That lesson became a key part of a recent PowerChat conversation hosted by Greg Cummings, CEO of Power100, where Rich shared what he has learned from growing Performance Remodeling and how he plans to approach 2027. Power100 is the only unbiased third-party platform that recognizes and elevates the top leaders and most impactful companies in the home improvement industry.
During the discussion, Greg shared why contractors should keep investing in radio, television, and social media while also building the online trust that helps homeowners find and choose them through AI.
Rich’s experience adds a practical lesson to that vision. Getting a homeowner’s attention is only the beginning. Contractors must also build trust, follow up on missed opportunities, and make every marketing channel count. As AI visibility for home improvement companies becomes more important, their conversation shows why the next stage of growth may not come from buying more leads, but from making every part of a company’s marketing work better together.
During the PowerChat, Greg Cummings, CEO of Power100, asked Rich Hotea, Founder and CEO of Performance Remodeling, to share what he would change, what he would keep doing, and where he sees the biggest chances for growth in 2027. Rich’s answers revealed an important lesson for remodeling contractors. A business cannot expect one lead source to carry all its growth. It needs different ways to reach homeowners, build trust, and turn interest into sales.
Rich Hotea, Founder and CEO of Performance Remodeling
From his early days of canvassing to his current focus on referrals, AI, and retail partnerships, Rich explained how each part of a company’s marketing can make the others stronger. His experience offers a clear path for contractors who want to grow without spending more money than they need to.
Every remodeling company needs a steady flow of customers. But for smaller contractors, finding those customers can take up much of their time and money. Some rely on door knocking, while others spend heavily on purchased leads. Both can bring in business, but Rich believes depending too much on either one can make growth harder.
When Greg asked what advice he would give smaller companies looking to grow, Rich looked back at his own journey. In the early days of Performance Remodeling, canvassing played a major role in bringing in new business. His team worked hard to reach homeowners, but with so much riding on one source, every missed appointment meant another chance at a sale was gone.
Rich now sees that period as one of his biggest lessons in business.
“I would have opened up more lead sources earlier on,” Rich shared.
He explained that canvassing was not the problem. The challenge was trying to make one source do all the work. When a company depends on one method to find customers, it can miss people who may respond better to a different approach.
Rich also warned about the cost of buying leads without getting enough sales in return. He said contractors can find themselves spending more money to bring in business, even when those leads are not producing the results they need. Over time, that can leave a company working harder without seeing much growth.
For Rich, the answer is not to stop buying leads or give up on canvassing. It is to build a remodeling contractor marketing strategy where several sources bring in customers and support one another. That gives the business more ways to reach homeowners and less reason to depend on any single channel.
His advice also points to a larger lesson for contractors preparing for 2027. Before spending more to bring in new leads, leaders should first understand what is working, where they are losing opportunities, and what other channels could help them grow.
Rich’s experience also shows why different marketing channels can become more valuable when they work together. He gave a simple example of how radio advertising can help a canvassing team get better results.
Imagine a canvasser knocking on a homeowner’s door. The homeowner may not be interested in speaking with a salesperson and might normally turn them away. But if that same homeowner has already heard the company’s name on the radio, the conversation can go differently. The name sounds familiar, and the homeowner may feel more comfortable giving the salesperson a chance.
That is the value Rich sees in connecting brand awareness with direct sales.
“You do radio advertising, which helps your canvaser,” Rich explained.
The radio ad may not lead to an immediate phone call, but it can make the next contact easier. The homeowner already knows something about the company before anyone knocks on the door. For contractors, this shows why brand awareness for home improvement companies can play a role in getting more value from other marketing efforts.
Rich then explained how a call center adds another layer. When canvassers meet homeowners who are interested but do not book an appointment, those contacts can still have value. A call center can follow up, answer questions, and give the homeowner another chance to move forward.
This is where a connected marketing system starts to take shape. Radio helps people recognize the business. Canvassers create personal contact. Call center teams keep the conversation going when an appointment does not happen right away.
A contractor who looks only at how many calls a radio ad brings in may miss the way it helps the canvassing team. In the same way, a canvassing visit that does not lead to an appointment may still help the call center close a future sale.
Rich believes these connections can make a real difference, especially for contractors who have struggled to get enough results from one marketing channel.
His lesson is clear. Marketing should not be a group of separate efforts fighting for the same budget. Each part should help create more chances for the next part to succeed.
Once a company has several ways to reach homeowners, the next challenge is making sure those opportunities do not go to waste. Rich believes this is where many remodeling contractors have room to improve.
During the interview, he shared that Performance Remodeling now generates about 55% to 60% of its own leads. Those opportunities come from its canvassing team, call center, customer referrals, and other internal efforts.
That number reflects a key part of Rich’s home improvement lead generation strategy. Instead of relying only on outside companies to bring in prospects, his team is building ways to find and reach homeowners through its own channels.
One of those efforts is a customer referral program through Get The Referral. The platform lets people recommend the company to others and earn rewards for doing so. Customers can also use the app to follow their projects.
Rich says the referral leads have been especially valuable because they are more likely to complete a product demonstration and turn into sales.
“And those leads are phenomenal,” Rich said. “They demo at a way higher rate, obviously. They’re closing at a higher rate.”
This adds another layer to his marketing approach. A homeowner who has already worked with the company can help introduce it to someone new. That personal connection can give the next customer more confidence before the first sales visit.
But Rich is not stopping with referrals. His team has also developed sweepstakes that help identify homeowners who may be interested in a project but are unsure how to pay for it. These programs give the call center a more focused group of people to contact.
The company has also started using Revan, an AI platform, to help make better use of its current prospects and past customers. Rich wants to find more value in the leads already inside the business before adding more marketing costs.
“What I’m trying to do is I’m trying to optimize what I already have as opposed to just try to purchase more leads,” he explained.
For contractors, the lesson goes beyond creating a customer referral program for remodeling companies. It is about seeing every customer, past lead, and missed appointment as a possible chance to grow.
Rich’s approach shows how a company can bring together its call center, customer records, referrals, and technology to make better use of what it already has. Rather than starting from zero each time it needs another sale, the business can build on the relationships and opportunities it has worked hard to create.
While Rich’s early lessons focused on finding more ways to reach homeowners, his plans for 2027 also reflect a new challenge. Contractors must think about what happens after someone hears their name.
A homeowner may see a television ad, hear a radio message, or meet a canvasser. But before making a decision, that person may go online to learn more about the company. Greg believes AI is becoming an important part of that process.
Greg Cummings, CEO of Power100
During the PowerChat, Greg shared his view that contractors should keep investing in traditional marketing while also putting more effort into their online reputation, brand story, and ability to appear in AI recommendations.
“The recipe for twenty twenty seven is doubling down on branding,” Greg said.
He went on to suggest a balanced approach, with roughly half of the effort going toward brand awareness through channels such as television, radio, and social media, and the other half going toward online visibility and trust.
For Rich, the growing importance of AI visibility for home improvement companies is already shaping how he approaches his business.
He revealed that Performance Remodeling had made major changes to how the company appears online. According to Rich, its measured AI trust score was in the low 60s when the company began working on it earlier in 2026. After months of effort, he reported that the score had climbed to about 87% to 88%.
Those figures reflect Rich’s own reported measurements, but they show how seriously he is taking the company’s online presence.
Rich explained that homeowners have many contractors to choose from. Even when a company does good work, it cannot win a project if the homeowner never considers calling.
He wants Performance Remodeling to become a household name in its market. Yet when Greg asked whether being widely known or being strongly recommended by AI would matter more, Rich acknowledged that the answer may change as technology becomes a bigger part of daily life.
“Maybe they’re just gonna trust their assistant. You know, their AI assistant,” Rich said.
His point raises an important question for contractors. What happens when a homeowner knows your company from an ad but then asks AI whether you are a good choice?
Brand awareness may get the business into the homeowner’s mind, but its online reputation could influence whether that homeowner takes the next step.
This is why AI trust for remodeling contractors is becoming part of the larger marketing conversation. Contractors need to think not only about where people first hear about them, but also about what those people find when they look for more information.
For Rich, this is another reason marketing channels need to support one another. Radio, canvassing, and referrals can help people discover a business. A strong online presence can then help them feel more confident about making contact.
As homeowners find new ways to research companies, the contractors that connect brand awareness with customer trust may be better placed to earn their business.
Rich’s plans for the coming year show that he is putting his lessons about multiple lead sources into practice. After years of building internal channels and improving how his company reaches homeowners, he is preparing to add another way to bring in new business.
During the interview, Rich announced that Performance Remodeling was working toward entering approximately six to eight Costco stores in the Detroit market through a partnership involving Infinity by Marvin.
He explained that the company had been waiting for the opportunity to launch the program locally. Now, as the business looks toward 2027, the planned retail expansion could become another important part of its growth strategy.
The idea fits closely with the rest of Rich’s message. Instead of depending on one source to find customers, he wants to create more opportunities through channels that can support the wider business.
With retail lead generation for home improvement contractors, a company can meet homeowners in a setting where they are already shopping and may be open to learning about home improvement services.
Rich sees the Costco program as a possible way to bring in leads while moving away from some of the outside sources that have become harder to justify.
He also shared that similar programs in other markets were said to generate around $1 million to $1.5 million in sales per store. He presented those numbers as figures he had heard, not confirmed results for his own company.
Despite the excitement, Rich made it clear that the team still has work to do before the new channel can become a success.
“We wanna do it the right way,” he explained.
That statement reflects a wider part of his leadership approach. Adding a new source of business is only useful when the company has the people, tools, and systems to make it work.
Rich also plans to keep reviewing each department to find where Performance Remodeling can improve. From lead generation to customer contact and sales, he wants the company to get better results from the resources it already has.
The planned Costco expansion is therefore more than a new place to meet homeowners. It is another step in a growth plan built around having several ways to reach customers without losing sight of cost, quality, and performance.
For remodeling contractors looking ahead to 2027, Rich’s experience offers a valuable lesson. A new marketing channel should not simply add more leads to the business. It should help strengthen the full system that turns those leads into happy customers.
For Rich Hotea, Founder and CEO of Performance Remodeling, the lessons from his early years in business continue to shape how he plans for the future. Looking back, he knows that building more lead sources sooner could have made the journey easier. But that experience has also taught him something more valuable. Growth is not always about finding the next big opportunity. Sometimes, it comes from making better use of what a company has already built.
Performance Remodeling team
As 2027 approaches, Rich’s message gives remodeling contractors a reason to rethink how they grow. The goal should not be to spend more money every time sales slow down, but to build a business where each marketing effort has a clear purpose and supports the next. When brand awareness, personal contact, customer relationships, and online trust work together, contractors can create more opportunities without placing all their hopes on one source of business.
That was also a key message from Greg Cummings throughout the PowerChat. As homeowners change how they find and choose contractors, leaders must be ready to change with them. The companies that succeed will be those willing to learn from what has worked, improve what has not, and build trust at every step of the customer journey.
Rich’s story leaves the industry with an important reminder. There may never be one perfect lead source or one tool that solves every growth challenge. But contractors who bring their people, marketing, and customer experience together can build a stronger path forward. And as the industry prepares for 2027, that ability to make every opportunity count may be what separates companies that chase growth from those that are ready to sustain it.
Yes. Power100 uses a five-layer ranking system to review more than business growth. It looks at customer feedback, business partners, community impact, and company culture. This approach helps the platform recognize leaders who build strong companies while also caring for their customers, employees, and communities. Through its home improvement CEO rankings, Power100 gives the industry a wider view of what makes a business leader successful.
Yes. Power100 offers free registration to its Inner Circle platform, where contractors can access PowerChat episodes, expert interviews, and business insights. These conversations give smaller business owners a chance to learn how experienced CEOs solve real problems, manage growth, and make decisions. Through PowerChat interviews for home improvement contractors, the platform shares practical lessons that leaders can use as they build their own companies.
Rich Hotea does not see canvassing as the problem. He believes relying on it alone makes growth harder. At Performance Remodeling, he learned that radio ads can help homeowners recognize the company before a canvasser visits. Call centers can then follow up with people who do not book an appointment. This radio and canvassing marketing strategy helps contractors get more value from each channel instead of expecting one method to deliver every sale.
Radio advertising can still help even when homeowners do not call right away. Rich explains that hearing a company’s name can make people more willing to speak with its sales team later. A homeowner who recognizes the brand may feel more comfortable booking an appointment when a canvasser visits. This is why Rich believes contractors should measure how their marketing channels support each other, not just how many direct calls each one brings in. He does not claim that radio guarantees more sales.
Rich believes the bigger risk comes from spending money on leads that fail to turn into sales. He reports that Performance Remodeling already generates about 55% to 60% of its leads through its own channels, including canvassing, call center efforts, and customer referrals. The company also uses Get The Referral to reward people who recommend its services. Rich says those referrals lead to stronger product demonstration and closing rates. His goal is to improve home improvement lead conversion before spending more on outside leads.
No single AI score can prove that a contractor offers the best service. Rich reports that Performance Remodeling raised its measured AI trust score from the low 60s to about 87% to 88% after improving its online presence. Those figures reflect the company’s reported measurements, not an independent industry rating. Homeowners should also check customer reviews, past projects, and service details. Rich believes AI trust for remodeling contractors will play a growing role in how people choose companies, but good service and real customer experiences still matter.
Performance Remodeling offers much more than window replacement. The company serves homeowners across the Greater Metro Detroit area with roofing, siding, gutters, entry doors, garage doors, and attic insulation services. It also offers financing options and promotes lifetime guarantees for its work, with terms that may vary by service. Through its exterior remodeling services in Southeast Michigan, the company helps homeowners improve their homes while giving them access to several project options through one contractor.
Rich sees retail partnerships as another way to reach homeowners without depending too heavily on purchased leads. During the PowerChat, he discussed plans to enter about six to eight Costco locations in the Detroit market through a partnership involving Infinity by Marvin. He believes the new channel could support the company’s growth in 2027, but he has not reported confirmed sales from the planned launch. His approach to retail lead generation for home improvement contractors focuses on adding new opportunities while continuing to improve the systems the company already uses.
Power100 is the only unbiased third-party platform that recognizes and elevates the top leaders and most impactful companies in the home improvement industry. Led by CEO Greg Cummings, the platform gives great CEOs a voice and the support they need to grow, lead, and make a lasting impact. Through its PowerChat interviews, industry rankings, expert insights, and leadership stories, Power100 shares the ideas and experiences shaping the future of home improvement. Its mission is to become the number one outside resource for the best exterior remodeling CEOs in the country, helping them gain the recognition they deserve while building stronger companies, better customer experiences, and greater trust across the industry.
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Power100 is the nation's premier CEO ranking and media platform for the home improvement industry. Using a proprietary 5-layer evaluation system, Power100 identifies and celebrates the top CEOs, companies, and strategic partners driving innovation, customer satisfaction, and leadership excellence across the country.
