It's All About the Lift
Why Owning Installed Sales Capabilities Matters
In the early stages of every major initiative, there’s a discussion around metrics. Which metrics will be the best measure of success?
1. Engagement?
2. Consumer ratings?
3. Impressions?
There are more metrics at our fingertips than ever before.
In my five decades of experience with installed sales (starting in high school), and after touching nearly every facet of the business, while also observing more than 200 distinct installed sales operations, I’ve learned which metric is the source of truth for success.
The long-term viability and ultimate strategic worth of any installed sales operation invariably hinge on one critical, holistic outcome: LIFT.
Beyond the Dashboard: Understanding True Performance
Many organizations enter the installed sales market primarily to capture the large ‘Do-It-For-Me’ (DIFM) segment, which often represents half or more of their potential buyers. Initially, however, their focus tends to land on a dashboard of ‘feel-good’ operational metrics. These include crucial indicators like customer satisfaction scores, first-time completion rates, installation turnaround times, error reduction, and installer retention – key operational metrics. Achieving excellence in these operational areas is vital for a smoothly functioning service delivery engine and a positive brand perception.
My experience shows a counterintuitive truth: operational excellence alone doesn’t ensure survival, as strong operational metrics can mask underlying financial failure. Conversely, significant financial contribution (positive EBITDA and ROI) can drive long-term success even with average operational performance. Ultimately, achieving ‘Lift’—the integration of both operational effectiveness and financial value—is the true measure of success.
Deconstructing ‘Lift’: The Synergy of Metrics, EBITDA, and ROI
“Lift” is the holistic result achieved when an installed sales division is strategically designed and operated not just for service quality, but for overall financial impact. It signifies that the division is successfully orchestrating all its operational components—the ‘feel-good’ metrics—in a way that generates tangible incremental profit (Incremental EBITDA) that wouldn’t otherwise exist. This profit arises primarily from capturing DIFM product sales, associated service revenues, and related growth enablement initiatives.
Furthermore, true Lift implies that this incremental profit yields a compelling Return on Investment (ROI) when weighed against the capital, resources, and effort required to build and operate the division. It’s this complete picture – efficient operation driving measurable incremental profit that justifies the investment – that constitutes Lift. It transforms the installed sales function from a potential cost center into a strategic, value-generating asset. Viewing these components (operational metrics, Incremental EBITDA, ROI) in isolation misses the essential synergy that defines a truly successful, sustainable operation.
The Fundamental Purpose: A Strategic Imperative
The strategic imperative for installed sales transcends mere service fulfillment; it is to achieve Lift. This means aligning every decision and process to demonstrably contribute optimal incremental profit and strong ROI through efficient operations. Focusing solely on operational metrics risks misallocated resources and disappointment, whereas recognizing Lift as the true north star allows organizations to build divisions that deliver sustainable competitive advantage and financial value.
Summary
In essence, “Lift” represents the true measure of an installed sales operation’s success and strategic value. It moves beyond surface-level operational metrics to encompass the crucial integration of efficient operations with tangible financial contribution. Achieving Lift means demonstrably generating incremental profit (EBITDA) and delivering a strong ROI, thereby transforming the installed sales function into a sustainable, value-generating asset for the host organization.
