By Contributor,Dan Ringo

Copyright forbes

Beer or Champagne

The question for every skilled trades business is simple: are you selling beer or champagne? Both have value, both have customers, and both can succeed—but the way you present your brand determines who hires you. For owner-operators and small-business CEOs in HVAC, plumbing, and electrical contracting, branding isn’t optional. It’s the frontline strategy that decides whether you win the customers who actually fit your business model.

The stakes are high. Service industries rely on reputation and trust. According to Hubspot 2024 State of Marketing Report, 55% of small business owners say brand presentation is the single most important factor in customer acquisition. For the skilled trades—where margins are tight and competition fierce—clarity and precision in targeting isn’t a luxury, it’s survival.

Define Whether You’re Beer Or Champagne

Before you spend on advertising or vehicle wraps, determine your positioning. Beer branding signals accessibility, affordability, and community. Champagne branding signals luxury, exclusivity, and premium service. Both work, but not at the same time.

Consider HVAC. A contractor marketing itself as the “Mercedes-Benz of climate systems” cannot look like a discount repair shop. Confused customers walk away. Harvard Business Review research shows that companies with clearly differentiated brand positioning outperform competitors in customer loyalty by 20%. That clarity starts with deciding: are you selling everyday value or premium precision?

Match Brand Strategy To Customer Expectations

A strong brand strategy is more than a logo—it’s the DNA of your company. In a recent Forbes article,19 Key Data Points were identified to help boost marketing efforts infusing tips for using a social media marketing strategy for businesses to find their base. Branding firm Crowdspring notes Five Branding Mistakes That Will Cripple Your Small Business. These mistakes not only misalign branding, waste money and even worse, damages credibility. Customers notice when image or presentation does not match delivery.

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For example, “beer” HVAC companies attract price-sensitive homeowners with approachable technicians, colorful trucks, and Facebook posts filled with quick DIY tips. “Champagne” HVAC companies instead highlight smart-home integration, energy efficiency, and polished service vehicles designed to appeal to affluent clients or commercial customers. Both approaches can thrive, but only when brand strategy mirrors customer expectations.

Align Marketing Tactics With Audience Behavior

Marketing misfires are expensive. What Percentage of Revenue Should Be Spent on Marketing? U.S. small businesses spend an average of 8.7% of revenue on marketing, with service-based firms reaching as high as 11.8%. For an owner-operator grossing $1 million annually, that’s up to $118,000 per year. Every misplaced ad is a direct hit to profit.

Plumbing and electrical firms demonstrate this divide. A beer-branded plumber might use humor, sponsor youth sports teams, and emphasize affordability to appeal to everyday homeowners. A champagne-branded plumber highlights discretion, upscale remodel partnerships, and minimalistic web design to win high-end clients. Similarly, electricians can brand themselves as community go-tos for small residential jobs—or as precision contractors for developers by showcasing certifications and commercial expertise.

Spend Smarter, Not Louder

Targeting your audience means knowing where not to spend. Michael Gerber, author of the E-Myth and its subsequent progeny, “There’s Only One Exactly Right Way to Do Everything.” Well, this is very applicable when it comes to your company’s branding as thinking there’s no single right way is the fastest way to waste time and money in trying to land customers. Knowing who you are trying to reach is the vision which has to drive every dollar.

Before committing budget, ask three questions: Who exactly is my customer? What appeals to them emotionally and visually? And does my brand reflect the experience I want them to expect? McKinsey reports that businesses leveraging market analysis are 60% more likely to increase ROI from marketing campaigns. For trades businesses, that could mean the difference between profitability and wasted spend.

Build Relatability That Drives Growth

Relatability is often underestimated in the trades, but it’s the glue that builds customer loyalty. The Financial Times reported that Guinness boosted sales when it shifted branding to Blends Heritage With Marketing Savvy to emphasize inclusivity and connection. In —expanding reach without alienating core fans. Skilled trades companies can do the same by tuning tone, visuals, and messaging to the customers they want most.

Ultimately, your brand is the signal your market responds to. If you’re selling beer, sell it proudly—celebrate accessibility and everyday value. If you’re selling champagne, make sure your brand sparkles with premium cues. In both cases, the goal is alignment. Clarity and consistency attract the right customers, build trust, and drive sustainable growth in one of the most competitive sectors of the economy.

For more articles like this follow me at Dan Ringo.

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