Matthew Zucker has cultivated successful sales teams in a variety of industries, but security seems to be where he has found his home. He was introduced to security in the early 2000s working for an integration company, and the evolving technology, recession-proof environment, and ability to sell a product that makes a positive impact on the community were all reasons for him to dive deeper into the industry. “Two colleagues and I decided we could make a greater impact in this industry,” Zucker says.
With a well-crafted business plan and financial support in hand, Zucker, along with Larry Shiner (CEO) and Robert DeGennaro (CFO), took the leap and formed Beacon Protection LLC, bringing in a fourth partner with an operational background, Adam Wilder (Chief Operations Officer), to hit the ground running. “We quickly started recruiting top talent within the industry and we were on our way,” Zucker says.
That was 2013. Four years later, the Totowa, N.J.-based company has posted a three-year growth rate of nearly 140 percent and is coming of its best year in gross revenue.
Growth Starts with People
There have been a number of trends, strategies and best practices that have powered Beacon Protection’s fast growth, but building a staff is perhaps the most important, according to Zucker, who is the company’s president of sales. “Before establishing a plan for growth, you must ensure that you have a solid staff as well as resources,” he says. “Our company is only as strong as the people who embody our mission and go above and beyond to see the company succeed and to make customers satisfied. There is nothing more powerful than our employees’ dedication and passion to make current and potential customers happy.”
To form such a loyal staff, Zucker believes in applying the company’s core values to its new hires. “We are diligent about our hiring strategies and the type of people we bring into the organization that can contribute to our overall company vision,” Zucker says. “We like to establish an environment that creates a positive and ambitious attitude that drives behavior to make the company successful.
“I consider this business a team sport – it requires passion, allegiance and enthusiasm, and we cannot reach our strategic goals without establishing the culture of empowerment,” Zucker adds.
The secret to Beacon’s success is the ability to attract talent to the organization by highlighting its brand, compensation, benefits, training, and as well as presenting an avenue for continued career growth. “It is important to show the sustainability of our industry through our cutting-edge technological products and the overall health of the company,” Zucker says.
Training goes hand-in-hand with that philosophy; in fact, Zucker emphasizes that any security company, to be successful, must have a laser-like focus on continuing education. That education must quickly filter down to installers so everyone is on the same page about how to implement and successfully integrate high-tech security products. “Training technicians to be able to successfully install and educate clients on flexible technological solutions will continue to challenge the growth of our sales production,” Zucker says.
Handling Growth
To handle fast growth, a company’s managers must stay focused on their strengths, set achievable goals for individuals and the overall company, and be prideful when objectives are achieved, Zucker says.
“Most importantly, as a leader within your organization, you must show passion,” Zucker adds. “If you love what you do, employees and colleagues will find that devotion contagious. Being enthusiastic and inspired will radiate throughout the organization and lead to a stronger product offering to your customer. A company is not successful by the efforts of one individual – but rather a team effort that will take you to the next level.”
Zucker feels that creating a unique mix of ideologies and emphasis on certain principals helped create success at Beacon Protection. “We define our company culture with transparency, having a strong vision, and maintaining high values, as well as a willingness and ability to embrace those values,” he says.
Next on the list of growth strategies for Beacon Protection is brand management, along with customer acquisition and attrition management. Zucker says he spends a lot of time pondering personnel and customer satisfaction. “Continued growth of human capital within your professional organization is a constant challenge we all have within the security industry,” Zucker says.
“With the constant growth of our customer base, we must always keep our high quality of customer service as a primary focal point,” Zucker adds. “Our ability to exercise strong discipline has been one of the highest contributing factors to our growth. “We have limited our overreaction to market changes, and more importantly, have stayed the course,” he says.
The company is very careful when calculating and taking risks – particularly in regards to choosing to get involved in complex projects. This cautious approach includes implementing new lines of businesses or possibly moving into certain geographical markets. “We have to build our customer base intelligently,” Zucker says.
Outside Influences
From the new leadership in Washington to social media, Zucker cites several outside influences that have impacted or are projected to influence Beacon Protection’s growth:
1. The President and Financial Benefits: “The change of political leadership will have implications on the global economy, and many believe tax reform will be at the top of the President Trump’s agenda,” Zucker says.
Focusing on the positive implications of reform, American businesses have been promised favorable tax benefits which Zucker thinks will create financial stimulus. “With businesses having more working capital, it will allow for reinvestment, expansion of work force, and a catalyst for financial production,” he says. “For Beacon Protection, a large portion of our portfolio focuses on commercial properties. If businesses have more disposable income via tax reductions and economic support, we are hopeful this will create sales opportunities for our products and services.”
Zucker expects corporate tax reforms to be passed, with rates cut from 35 percent to possibly 15. “This, coupled with the closing of certain tax loopholes could create a more lucrative cash flow model for us,” Zucker says, noting that all of the proposed tax changes are still in the infancy stage, so there is a wait to see how this will come to fruition.
2. Industry M&A: Tax code changes would play into Beacon Protection’s overall fast-track growth strategy; in fact, acquisition is the top line on its growth strategy chart. To that end, Beacon acquired Gold Protective Services in 2014 and are looking for further opportunities.
“Increased M&A activity within the security space in 2016 has brought positive attention to the public financial space,” Zucker says. “Security companies have been able to capture the evolution of connected home technologies, which has provided companies with additional revenue streams,” he continues.
With security dealers capitalizing on increased RMR opportunities, the attraction for external financial investors has been pushed to the forefront, creating “a rejuvenated enthusiasm,” Zucker says. “Staying agile and allowing yourself the ability to switch direction quickly in response to market changes is critical,” Zucker says.
3. DIY: Beacon Protection prides itself on prompt, state-of-the-art equipment and monitoring services and leans heavily on the Honeywell Total Connect Remote Services package. But in its search for new customers, the company often runs into consumers who have purchased DIY solutions and are either unable to properly install the equipment or have problems teaching themselves how to use it. While he understands a consumer’s desire to save money using a DIY system, Zucker often finds they have buyer’s remorse. Additionally, potential lawbreakers have started to see that DIY systems are an easily hackable technology, as more cringe-worthy cases are seen in the daily press.
Every home or commercial property is different, Zucker points out, so knowing exactly how to provide proper protection takes years of experience. “Our sales professionals are thoroughly trained within Risk Assessment Analysis and therefore are able to see potential vulnerabilities,” he says.
4. Social Media: One key area worthy of focus for Beacon Protection is social media. “The acceleration of social networks has rewritten how companies must approach their marketing strategy and continued efforts to create a formal marketing plan,” Zucker says.
With so much information on technology at their fingertips via social media has created opportunities to enhance the buyer/seller relationship. “Realizing the value of digital technologies through social media has presented opportunities to connect with people in different ways,” Zucker says.
Looking Ahead
Beacon Protection’s business goals for the next 12 months are aggressive. “We are confident in our game plan,” Zucker says, adding that the company’s main goal is to widen its customer base via organic sales and acquisitions, along with geographic expansion.
“Geographically, we will look to expand our sales and customers into neighboring states as well as a continued diversification of products we currently offer,” Zucker says. “We will always look to create more sales but with that growth will come a greater need to keep our retention rates low by making sure current customers receive the attention they deserve.”
Looking at Beacon Protection’s growth over the past three years – growth that catapulted them into the Top 5 of the Fast 50 – they are justifiably bullish as to where they can be in the next five years. “The success of our organization will always stem from a simple concept of finding new customers while retaining the ones we already have,” Zucker says.
Curt Harler is a technology writer and regular contributor to SD&I magazine. Reach him at [email protected].
