Dean Word Competition
Now Viewing Dean Word's competition in: Nonmetallic Mineral Mining and Quarrying
Call Preparation Questions
Customers, Marketing, Pricing, Competition
How does the company differentiate itself from competitors? - Winning competitive bids is normally based on customer service and delivery timelines.
What services does the company provide to support its customers? - Servicing customers is the major differentiator, so many companies go to great lengths to support existing customers.
How many customers does the company have? - Even small companies have many customers.
Do any specific customers account for a major portion of company revenues? - Customer concentration is rare in the industry. Local markets have multiple construction customers.
Who is the company’s primary competition? - In any given market, there will be multiple local and regional companies and, possibly, national firms.
Has the company faced increased competition from large firms without local mines? - Large firms are expanding into new markets by using barges and railroads to reduce transportation costs.
What marketing and advertising does the company use? - Advertising expenses are relatively low compared to other non-production costs. Company executives respond to government requests for proposals and develop relationships with local builders.
Competitive Landscape
Demand is driven by construction spending and agricultural spending on fertilizers. Large companies have some economies of scale in purchasing and administrative systems, and have the production volume to supply large construction projects, such as new highways. Small companies typically own just one mine and compete in a local market based on superior customer service. Annual revenue per employee averages about $150,000.
Full Industry Overview For Nonmetallic Mineral Mining and Quarrying
Business Challenges
CRITICAL ISSUES
Cyclical Construction Spending - The nonmetallic mineral mining industry is cyclical and highly dependent on US construction spending. About 80 percent of US demand is for commercial, residential, and highway construction projects. Local construction activity determines the success of individual companies.
Dependence on Public Spending - More than half of nonmetallic mining demand is driven by public works' spending on highways and public buildings. Local projects depend on government budgets and priorities, which can change with each election. Because publicly funded projects depend on taxes, demographic shifts can also affect the nonmetallic mining.
Industries Where Dean Word Competes
- Construction
- Construction & Design Services
- Commercial & Heavy Construction(primary)
- Construction Materials
- Construction & Design Services
- Transportation Services
- Trucking
