How roofing contractors can adapt to a tighter market

By Jesse Sanchez. 

Industry leaders explain why financial discipline, diversification and customer education matter as roofing businesses navigate economic and insurance pressures. 

During a live Coffee Conversations® discussion at the Florida Roofing and Sheet Metal Association (FRSA), roofing professionals examined the pressures impacting contractor success across the United States. The panel agreed that shrinking backlogs, insurance changes and aggressive pricing are forcing companies to strengthen their operations rather than chase every available project. 

What market shifts are creating the most concern for contractors? 

As contractors adjust to a changing business environment, John Kenney, chief executive officer of Cotney Consulting Group, said several challenges are creating uncertainty at the same time. He shared: 

“I think insurance claims and understanding the industry’s new insurance rules are causing a lot of angst for contractors. AI, robotics and other technologies are also major issues people are trying to understand. Contractors are also watching prices, fuel costs and shrinking backlogs.”  

John encouraged contractors to use slower periods to improve their companies and pursue work that fits their established capabilities. Bridget Jenkins Wilson, owner of Cardinal Roofing, added that roofing is cyclical and contractors should prepare during strong years for the slower periods that follow. 

How can contractors move from storm-dependent work to retail sales? 

Changes in the insurance market are also pushing some roofing businesses to pursue more retail work. Adam Bensman of TAMKO® and the Roofing STRONG Alliance said this transition requires more than simply finding a different type of customer. He explained: 

“The hottest trend in roofing is the shift from storm-dependent to retail-driven business. I am seeing roofing companies that were built to catch or chase storms, but lack formal sales processes and structure, now trying to learn how to sell retail.”  

Adam warned that companies without structured sales processes may respond to pressure by discounting projects below sustainable levels. Bridget emphasized educating homeowners about policies, deductibles, materials and payment responsibilities rather than relying on high-pressure sales tactics. 

What should contractors prioritize during an economic slowdown? 

Although contractors cannot control the economy, John said they can improve their decision-making by developing a detailed understanding of their financial position. He noted, “Right now, you need to know your numbers, understand exactly what your overhead is and focus on the work your business is best suited to perform.”  

That financial clarity can help contractors avoid pursuing unprofitable work simply to keep crews busy. Marc Hansen of JobNimbus agreed that contractors need reliable systems for estimating, customer communication, payment collection and follow-up. Bridget also encouraged companies to examine everyday expenses, material waste and internal financial controls. 

The panel’s message was clear: Contractors cannot control market cycles, but they can control their pricing, processes and customer experience. Companies that understand their costs and serve homeowners transparently will be better positioned for the next phase of the market. 

Listen to the entire podcast or Watch the conversation to learn more about adapting a roofing business to economic and insurance changes.