Rotary Meeting Tuesday April 14, 2020
The Club met virtually via Zoom at our regular meeting time - 12:00 noon. President Craig called the meeting to order shortly after 12:00 and Karen Nelson led us in the pledge and prayer.
ATTENDANCE
There were a total of 36 persons in virtual attendance. Our guests included our speaker Courtney Bailey and John Bailey's wife, Jane.
PROGRAM - Courtney Bailey of Bailey Bus Company - Effects of Covid-19 on their business and how they have diversified to adapt
Business Affected - Covid-19 and the resultant governmental response had a major impact on their business. 75% of their business is on the Bus side and 25% is private. Literally overnight on March 15, 2020 they were effectively shut down by State and Federal regulations, losing $500,000 in trip cancellations. On 3/17/20 they were forced to lay off 51 of 57 employees. The travel industry in the U.S. and the world has been greatly affected by governmental bans on travel to curb the spread of the disease.
Diversification - In past years they had been regularly using electrostatic fogger machines to cleanse and sanitize their busses. This a process whereby an electronic charge attaches water vapor to a non-toxic disinfectant then sprayed on surfaces. They realized there would be a need for this application in businesses to protect workers & customers from the virus. But they needed more machines, solution, training etc before a business could be set up.
Steps they had to undertake to turn this into a business:
1. Can you operate during the shutdown - i.e. would this be considered an "essential business" by the State?
2. Educate themselves about the sanitizing process especially on a large scale - the solution used, proper mixing for large scale operations, purchase and maintenance
of machines
3. Create efficiencies - how to change from small application - busses - to large ones - buildings. How to move about large areas carrying a 12 lb machine, plus
solution, plus maintaining power supply to the machines. Issues had to be resolved such as transporting the machines and solution, utilizing generators for power,
buying solution in bulk and storage.
4. Set up procedures to operate - safety, training, proper payment of employees, identifying potential customers
5. Marketing - kept it simple, using mailing to customer base, & social media
Week 1 - cleaned 72 areas, 672,000 sq ft and 3 employees.
Week 2 added 2 employees; week 3 added 2 more; then 4 more until now they are up to 16 total people.
They have been able to pay 100% of the health costs of their employees. Their customers include banks, convenience stores, manuf plants. They are also offering to clean vehicles of first responder agencies for FREE at their location twp fire, police ambulance and can do 55 vehicles per day.
They have now become an area distributor of the solution for the manufacturer - storing and delivering it to customers.
Additional Diversification - They believe that diversification is a key to remaining a vibrant business. Other examples include:
- They are expanding the use of their existing garage and mechanics to service vehicles for the public in addition to their own company vehicles.
- They have partnered with a Spanish Bus manufacturer, Irizar, to become an East Coast dealership.
- They now Reposition Repossessed Vehicles by prepping them and delivering them for re-sale.
NEXT WEEK'S PROGRAM - RALPH JODICE - RALPH'S 8 ATTRIBUTES OF SERVICE