6 Unsolvable Plumbing Problems (and Why They Don’t Matter)

Every plumbing company has problems. Some are internal and largely in the control of the owner. Others are external and owners often feel helpless in the face of them. In truth, you have more control than you think. It all depends on your approach. Here are six common problems that most plumbers consider unsolvable, but are not even problems.

1. The Problem of DIY 

As long as there’s been hardware stores and big box retailers, plumbers have complained about DIY. Fortunately, DIY is not really a problem. If a handy person fixes his own plumbing problems, he’s not your customer. If an incompetent person tries to fix his own plumbing problems and messes things up, you get more work.

People take on DIY for one of two reasons. Some enjoy doing things for themselves. Others don’t enjoy it, but cannot afford to hire someone to do it for them. In either case, these are not your customers.

Fortunately for plumbers, Zoomers are the most mechanically incompetent generation in history according to recent surveys. One of four can’t change a ceiling fan light bulb. Some believe climbing on a ladder is too risky. Others worry that the bulb will be too hot. DIY is not much of a problem and becoming less of one.

2. The Problem of Changing Technology

Plumbing has been around since Roman times. Change comes slowly to the plumbing world. But lately, the pace of change has been breathtaking. The government is meddling more than usual. A lot of marketing has gone digital. Artificial Intelligence is impacting service businesses everywhere. It’s hard to keep up.

Fortunately, there’s a new tenor in Washington and the regulatory pace is slowing. Plus, with more plumbers chasing digital marketing, traditional approaches are less crowded and still effective. There’s no need to be on the cutting edge of AI. Let the pioneers take the arrows. When things have stabilized, you will be able utilize it to solve other problems you face. Changing technology is not an urgent problem and likely to be more of a solution than a problem over time.

3. The Problem of Private Equity

Private equity is swooping in and buying up plumbing companies. When they buy them, they have unmatched buying power and sophisticated marketing. How can an independent plumber compete?

Private equity is not nearly the problem most plumbers fear.

PE may buy better, but they also carry more overhead and one of their default actions is to raise prices. This creates a higher ceiling for plumbers who want to increase prices. Their marketing tends to be digital and driven by a central office, which can be effective but overlooks traditional marketing. Not only is PE not a problem, plumbers should celebrate the presence of private equity because it promises a lucrative exit when the time is right.

4. The Problem of the Shortage of Labor

The first plumbing centurion in Rome probably complained about the lack of Romans who wanted to fix things. Certainly, it will get harder with the mechanical ineptitude of zoomers. On the other hand, AI is reducing employment opportunities in many white-collar fields, making the trades more attractive.

Perversely, private equity can help plumbers land experienced mechanics without baggage. While PE does tend to pay more and offer better benefits (both of which can be matched; it’s a decision and pricing exercise), lots of plumbers resist the pressure to sell, sell, sell, and prefer family businesses where there’s a personal relationship with the company owner. While plumbers looking to change jobs often bring baggage, these plumbers do not. The shortage of skilled labor remains a problem, but is looking like it will be less of one moving forward.

5. The Problem of Disloyalty

Plumbers have entrepreneurial seizures and quit to start their own companies every day. It’s how most companies start. Many of them moonlight at first (some using the company truck and parts). Others even try to take customers with them. This is not the problem it seems.

If a plumber wants to strike out on his own, he will. However, you can make sure he leaves with a full understanding of overhead and pricing so that he becomes a good competitor and doesn’t undercut the market. If he fails, welcome him back. He will discourage others from jumping and become a better employee after experience running his own show.

If it’s discovered that he used your parts in a moonlighting venture or tried to take your customers, you are better off without him. In the Parable of the Shrewd Manager, Christ said, “Whoever can be trusted with very little can also be trusted with much, and whoever is dishonest with very little will also be dishonest with much.” Disloyalty is small problem that prevents a bigger problem.

6. The Problem of the Economy

Many plumbers lament the economy. They think that tariffs are hurting, interest rates are hurting, and unemployment is growing. Ignoring the self-inflicted wounds of COVID, there have been 11 recessions since World War II. They averaged 11 months in length and resulted in an average GDP reduction of 2.2%. The worst was the Great Recession of 2008/9, which lasted 18 months and saw a 4.3% GDP reduction. By sheer hard work and force of will, you can step up your game and overcome a 5% hit. A recession will not damage you unless you let it.

Moreover, during a recession, your plumbers are less likely to quit, and more plumbers are available to hire as competitors panic and start trying to save their way to prosperity. As your competition cuts back, you can pick up the pace and take customers from them. Recessions are opportunities to grow your market share. They are opportunities, not problems.

Every coin has two sides. Every problem brings an opportunity with it. Whether you are consumed by the problems or encouraged by the opportunities depends on your approach and your mental fortitude. You have more control than you think, and how you approach problems and opportunities will be absorbed and reflected by your team.

Want to cruise through the next downturn? Join the Service Roundtable at www.ServiceRoundtable.com and buy a copy of Matt Michel’s book, “Contractor Stories” on Amazon.