Owners Jesse Olson & Jennifer Howard Renamed the Business & Redefined Its Purpose—Making a Commitment to Serve Its Team, Customers & Community. Through Their Selfless Focus, the Company Has Grown 60% in 2018 Alone at 14% Net Profit & Has a Bright Future.
by Bob Houchin
For the life of her, Jennifer Howard could not figure out why her then boss, and now her business partner, Jesse Olson insisted on meeting at a bar. “He said to me, we needed to have a couple of drinks to discuss something. I, of course, let my mind get the best of me–and then, it took him six weeks to finally tell me what was on his mind!” Jennifer said and burst into laughter.
“To be fair, I wasn’t trying to be mysterious,” Jesse interjected while sharing in the laugh. “Pinning down a day and time to meet was difficult, but this was important. And I wanted Jennifer’s full attention.”
The two can look back and enjoy this defining moment in their company now, but at the time, Jennifer’s angst had grown, as she anxiously waited for what Jesse had to share. On the date and time of the dreaded meeting, Jennifer arrived at the bar, ordered a stiff martini, and steadied herself for what surely had to be bad news. “I was standing there thinking, ‘Oh my, God. I’ve been with this company 10 years and this is the day I’m going to get fired. But for what?’” Jennifer questioned and laughed once more.
Doubt racing through Jennifer’s mind, Jesse sat down and slid a piece of paper across the bar toward her. Jennifer picked it up and looked intently at the page. Written on it were these words: The Happy Outlet. “Jesse asked me what I thought. It was the new name for the business. At first, I took a big sigh of relief,” Jennifer said and chuckled. “Then, I really looked at it, and I loved it.”
Today, Jesse and Jennifer share ownership in The Happy Outlet. Prior to this fateful sit-down between the two, the company had been known since its launch in 2000 as Sierra Nevada Electric. “Everything here in northern Nevada is called Sierra Nevada something,” Jennifer explained. “Even our power company is called Sierra Pacific Power—so, we’d get calls from people trying to pay their bill. Homeowners would call and mention this was the first time using us, even though they were in our system. Everybody remembers The Happy Outlet.”
“The name is meant to be a double entendre. We’re an electrical company obviously, but The Happy Outlet is also an outlet for happiness,” Jesse said earnestly. “That’s what we wanted our business to be.”
As Jesse and Jennifer worked intently on rebranding their business, they managed to find a little time to both read the book, Uncontainable, by Kip Tindell. “[Fellow SGI member] Patrick Somers recommended the book, and it lit a fire under us. We wanted a business where everyone was as passionate about it as we were. We realized we really needed to invest in culture,” Jennifer stressed. “Culture meant giving our team the best company we could. Sure, we needed to provide above-the-market pay and benefits, but we also needed to provide a great work environment where it felt like a family and we all were driven by a common purpose.”
That purpose had yet to be defined. Certainly, this idea of being a business that is a happy outlet had been festering within both Jesse and Jennifer. But what did it entirely mean? “I’m an abstract thinker. It takes me a long time to articulate what’s going on in my mind,” Jesse said. “It was never a conscious effort to rethink our culture when we changed the name, but that’s what happened. I call it serendipitous. Something led us this way.”
Following much contemplation, the two penned the company’s purpose. It can be found on its website and is talked about frequently. It reads: “We created The Happy Outlet because we believe that we all can use our unique skill to help make the world a happier place. That’s why our purpose—above all things—is to inspire happiness in ourselves, our teammates, clients, colleagues, and our youth.”
“When I wrote it, instinctively, I knew it was something important to me. Our world is full of negativity. To ‘inspire happiness’ in others, throughout your business, is such a worthwhile aspiration,” Jesse stated with conviction. “It impacts how we do business. We believe if we make our employees happy, they will make our customers happy. And if our customers are happy, our community is happier.”
Make no mistake, as a result of inspiring happiness, The Happy Outlet is making money. This year alone, the company has grown 60% at a healthy net profit of 14%. There was a time, not long ago, when times were not so happy. The profit margin was razor thin and frustrations were incredibly high. Rather than having time to focus on the business’ long-term purpose, Jesse and Jennifer exhausted themselves, simply making a living.
Before The Happy Outlet There Was Sierra Nevada Electric
Any story recounting the history of The Happy Outlet must begin with its founder, Jesse Olson. From a young age, Jesse showed entrepreneurial spirit. In high school, he ran a small business out the bedroom of his parents’ home. Although, when it came time to decide what the next phase of life would be, Jesse seemed more interested in building structures than businesses.
“I wanted to go to school to become an architect,” he said. “I ended up taking a summer job with an electrician. He did residential service. I really enjoyed the work and the money. So, I stayed with it.”
In 1997, Jesse’s family decided to relocate from his hometown of Portland, Oregon, to Carson City, Nevada. His next job would be much different than the one he’d held for the last four years. “I actually ended up going to work for a place called Meek’s Lumber,” he recounted. “I did sales, inventory, purchasing. I really got some valuable retail experience.”
Jesse also made some solid connections among the contractor community in town working at the lumber company. “It was an easy leap to eventually start Sierra Nevada Electric in 2000 because I had met so many people. I would work weekdays, run emergency calls in the evenings, and then work all weekend. The lumber company didn’t mind because I wasn’t taking business from them.”
Jesse Hires Jennifer & They Battle the Recession
By 2007, Jesse had left Meek’s Lumber and was operating Sierra Nevada Electric full-time with two other electricians. Business seemed to be running well—so well, Jesse desperately needed help answering the phones and managing office affairs.
“I knew Jennifer’s brother-in-law. I found out she was looking for work, and I needed help. It was pretty much a slam-dunk decision,” Jesse recalled. “Here we are 13 years later.”
“Back then, much of the work we were doing was insurance work. My first job was to get up-to-speed and hunt down money people owed us. It was a struggle to get contractors to pay. And then everything started falling apart,” Jennifer said stoically. “About a year after I started, the economy went into recession, and we had to lay off our two electricians. It was just Jesse and me for a long time.”
Insurance work may not have paid promptly, but at least it paid. “It definitely was what carried us through the recession, when things got really bad,” Jesse said. “I really hate saying it, but homes still burn down, and floods unfortunately still happen. Those people needed help, and we needed the work.”
Business picked up by 2010, but Jesse and Jennifer had met a different set of challenges. They struggled to find quality electricians to add to the team—no one seemed to have a good attitude. The company also felt disheveled and disorganized. “I like to say that we had ideas on how we wanted to grow, but we didn’t know where to start,” Jennifer admitted.
“We weren’t bankrupt or anything, but we weren’t turning much of a profit. We basically were spinning our wheels. We had enough cashflow to keep things moving, but that wasn’t good enough for us. We wanted something more,” Jesse added. “At that point, we didn’t have the direction we know we needed—it was open doors and make money, same as it ever was.”
Jesse & Jennifer Go to Profit Day & Leave ESI Members
By 2014, Jesse and Jennifer had grown tired of their frustrations and began actively seeking help. They contemplated purchasing either a Mister Electric or Mister Sparky franchise. “We thought they could provide the support we needed. Looking back, knowing what we know now, we wanted systems and procedures. We just didn’t know what to call them,” Jesse said.
“It’s like we had a lot of the stepping stones, we just didn’t know how to place them,” Jennifer added.
At that point, the Mister Sparky’s parent company also owned Electricians’ Success International [ESI]. Jesse’s interest in the franchise turned into representatives from ESI inviting him to a Profit Day seminar to learn about its organization. Jesse and Jennifer agreed to attend.
“The entire Profit Day, Ray [Last] and Patrick [Foppe] talked about everything that we ever wanted to do with our business,” Jesse explained. “Jennifer and I went out in the hall to discuss if we should join. I told her, ‘What do we have to lose? Let’s spend the money. We won’t be any worse off, honestly. You have to take a risk every once in a while.’”
Jennifer proved to be more of a skeptic. “Initially, I thought it was a scam,” she freely admitted. “What really helped was listening to Jim Dorrough [from Kanon Electric]. He came down from Washington to talk to us. His story really had an effect on me. He was very humble and sincere about his journey—you could tell he was being real,” she said. “I also liked the idea of really focusing on customer service. So, I told Jesse, ‘Let’s do it. If nothing else, they have a six-month, money-back guarantee.’”
Executive Perspective Initiates Change
Jesse and Jennifer’s first act as new ESI members involved flying across country to Executive Perspective (EP) in Sarasota, Florida. They can’t remember how they managed it, but they remembered it being a good week, albeit a mentally taxing one. “We had a plan put together before we left,” Jesse said. “We were excited about getting to work.”
The first change was not one Jennifer looked forward to enacting. “Everyone in our community still does free estimates—we’re still the only ones who charge,” Jennifer said with frustration. “As soon as they started talking about dispatch fees at EP, I knew it was going to be a hurdle.” But it was a hurdle Jennifer prepared herself to leap.
“We have quite a few clients who’ve moved here from California. You can tell they’re from California because they always ask how much we charge for an estimate. Everyone must charge out there, and they’re okay with it,” Jennifer explained. “So, when we first started the dispatch fee, in my head, I told myself to treat every client that calls as one who expects an estimate to cost something. It helped me get in the right mindset.”
The implementation of the fee wasn’t flawless, and The Happy Outlet still patiently communicates the value of their services to homeowners conditioned to demand free estimates. However, it’s been a worthy endeavor. “You really have to sell the value of your services before you hit them with that dollar amount. The minute you tell them how much your dispatch fee is, they don’t hear anything else,” Jennifer stressed. “I love that the dispatch fee identifies, who I call, the lookie-loos. If they’re not willing to pay a dispatch fee, they’re not serious about us coming to their home.”
“The money is nice from the dispatch fees, but the filter is why I like them,” Jesse added. “It still frustrates me to this day to think of all the time we wasted doing free estimates. I don’t know of anyone else who works for free. But I’m thankful that’s ended now and we’re more efficient with our time.”
The second significant change didn’t happen immediately. Jesse and Jennifer knew they needed to increase their pricing, but they wanted to ensure they did it correctly. “Before jumping our prices up, I wanted to verify that’s what we should be doing,” Jesse said. “I looked at all of our tickets over the previous two years, and then we built our own book from the ground up. Price is a sensitive topic, and we wanted to be sure we were being fair to both our clients and our business.”
When it came time to utilize the book, it was only Jesse and field electrician, Jack Hay. “We both stumbled through the guide at first. We had to learn what to say, how to build value, and how to properly handle objections,” Jesse said. “But we could see it was working. We were happier, and more importantly, our clients were happier.”
Mixing Technology with Personal Touches
The company has evolved greatly since the initial implementation period. Look no further than its name, The Happy Outlet. Some time ago, Jesse and Jennifer also outfitted all electricians with tablets. “We use ServiceTitan. All our services and tasks are in it. You can build estimates within it,” Jesse explained. “We try to provide as many options as we can, so the customer has choices. All options should be presented as do nothing, must, should, and could.”
“Having a tool like ServiceTitan is so nice because you can check your numbers at any minute of the day. And there are times where we do that,” Jesse said with a laugh. “I know SGI’s ServiceLine has come a long way, but it wasn’t available when we needed to make the transition.”
The move toward modernization hasn’t changed every aspect of how Jesse and Jennifer conduct business. “We still bring a spiralbound price book into the home,” Jesse insisted. “We tried converting it to a PDF and putting it on the tablets, but it’s just not the same. We would invite a homeowner to flip around on it, but they wouldn’t. It’s still a device—and it isn’t their device. People aren’t comfortable leisurely reviewing it like we found they are with a book. And the book still has a tremendous amount of value for presentation purposes and demonstrating your value.”
Other personal touches exist at The Happy Outlet using paper as its medium. “We still give our customers warranty cards. They’re about the size of a postcard and printed out on cardstock complete with a gold seal. The tech fills out his name, what he did, and the date of service. It becomes part of the closing packet we present to every new customer,” Jesse explained. “I tell the guys all the time, even if you buy a smart TV today, it’s going to come with a warranty card in the box—something tangible.”
“We also still send paper thank-you cards signed by the electrician,” Jesse said. “We love instituting technology where possible, but there’s something classy about paper.”
Maximize HomeAdvisor Leads with a Strong Call Center
Repeat and referral customers created a solid foundation of business for The Happy Outlet, but Jesse and Jennifer knew the only way to grow was to get in front of new people. Jesse manages the company’s marketing, and he emphasized the incredible success the company’s enjoyed utilizing HomeAdvisor. “By far it generates our highest call volume, our highest average ticket, and the highest ROI for us,” he said matter-of-factly. “We now outspend everyone else in our market, but I’m fine with it given the results.”
For those unfamiliar with HomeAdvisor’s website, a homeowner requests to be contacted by an electrician. That person’s information is then given to three companies. It’s a race to see who can contact the individual first. “Rebecca [Tenorio] and [Jessica Coratibo] know those calls are a priority. And HomeAdvisor integrates with ServiceTitan, so the new lead pops up on their screens, too,” Jesse explained.
“We call them immediately to try to book the appointment,” Jennifer added. “If we don’t get ahold of the person right away, we’ve had a lot of success in calling them later that day. Maybe they’re on the phone with someone else? Sometimes they just don’t answer because they don’t your number.”
Sometimes the homeowner chooses not to schedule because of the dispatch fee or they already booked with another company. “We will call those people the next day to make sure the other electrician arrived,” Jennifer explained. “A lot of times, we’ll hear, ‘The other guy wasn’t able to get out here, or they missed the appointment and said they’ll be back today.’ In those situations, I will tell them that we can have someone at their home in an hour. And they’ll take us up on the offer.”
“The follow-up is huge. Even when we call back and don’t book those calls, people are impressed. They see that we care. They may not have used us this time, but they’ll remember us for next time,” Jesse mentioned.
“Goes back to our purpose: to inspire happiness,” Jennifer made sure to add.
Take Risks to Find the Right People
Elevated call counts and increased pricing have been the ideal combination for growth for The Happy Outlet. Growth comes in the form of additional trucks that need electricians. Jesse and Jennifer make recruiting a priority. “We do everything imaginable to spread the word that we’re hiring—even if we’re actively not,” Jennifer explained. “I’m always talking to people, we have signs on the back of our vans, we’ve done signs in supply houses. We’ve done it all. You have to.”
When interesting resumes find their way into Jennifer’s email inbox, she moves into action, calling candidates quickly. Those who do well with a phone screening are scheduled for an interview. Jennifer has a few critical questions she likes to ask experienced electricians.
“We take them into our conference room. One of the first questions I’ll ask is, ‘If you had to provide an estimate for what should be done in this room, what would you tell me needed to happen?’” she explained.
“I should add,” Jesse interrupted, “there are at least 10 different things that could be pointed to. It wasn’t intentional originally—it’s one of those typical situations where the last work an electrician does is his own. But now we use it to our advantage.”
“I like to ask it because it shows if they’re observant. We like to see what upgrades they would recommend,” Jennifer said. “Question two is, ‘Walk me through your typical service call.’ I want to see what habits they have. I want to know what training will be required. And I watch them as they answer. What kind of mannerisms do they use? That’s what they’ll do in a home when talking to your clients.”
Interviews are equally intense for candidates interested in a CCR position. Jennifer will give people their script and allow them several minutes to study. Then, she asks they read it aloud. She wants to hear how they sound and see if they can show comfort in a typically uncomfortable situation. “Hey, the interview process should be hard,” Jennifer said. “That’s the only way you can find good people.”
Jesse and Jennifer have learned—when they find a good person, act now. “If a good electrician comes along, we’re going to make a space for him,” Jennifer said flatly. “We will figure out the call count later. Jesse and I now use hand signals to one another to indicate if we like the guy or not. We don’t want them leaving without an offer. We made the mistake of sending guys home, so we could talk. We would call them the next day, and they’d already taken another job.”
“As long as they pass the drug test and background check, we’re willing to take risks on guys,” Jesse explained. “In business you have to take risks at times.”
Train with Purpose
Jesse and Jennifer feel like they can take hiring risks thanks to their elaborate training regimen they’ve instituted for The Happy Outlet. New hires are not expected to produce immediately. Instead both new electricians and call-takers undergo a roughly two-week onboarding that includes office instruction, observation/ride-alongs, and hand-holding. They want to ensure new employees understand precisely what they should be doing and what’s expected of them.
Training does not stop once the onboarding has been completed. Training has been engrained in The Happy Outlet culture. Jesse broke down the anatomy of a service call into five pairs of steps. Each pair reflects one of the team’s core values. The steps are: practice and be ready, show respect, give empathy, reassure your client, set the expectations, share options and advice, overcome objections, review the work, ask for feedback, and aim for an ear-to-ear grin. Jesse developed an hourlong training session for each.
“The idea is you’ll go through all the steps of a call about four times a year. It serves as constant reinforcement,” he said. “I’ve created these steps to better reflect our core values, and of course, our purpose of inspiring happiness. Do that first. Electrical work is your vehicle. KPIs, your average ticket, that’s the result, not the goal,” Jesse explained.
Technical training is also conducted every Thursday morning by Jesse for the team. “[SGI Coach] Jared Dean spoke at the last Expo about the value of immersion training. Not having to worry about anything but getting better,” Jesse said. “We immediately incorporated a full day every quarter to practice for the entire team. Office staff will help techs and vice versa. It’s no holds barred. Be a difficult customer. Object to the price. It’s all going to be done in the spirit of helping your fellow team member succeed.”
Jesse and Jennifer realize the development of individuals can’t always be accomplished through training alone. Time must be set aside for one-on-one interaction. That’s what they do. After their Wednesday meetings, Jennifer will pull aside an employee for 10 to 15 minutes. “We just want to make sure they’re doing okay. We see if they have any questions or if we can help with anything—professional or personal,” Jennifer said. “It’s also time for us to work with them on something if it’s needed. It gets it out in the open. We try to keep it very upbeat and positive.”
“Additionally, in January 2019, we will be starting two unique programs. The first is called 360 Feedback. It’s ideal for companies whose teams are not often under the same roof. Rather than doing a dreaded annual review, bi-annual ‘coaching’ sessions are conducted, including feedback from the team member’s peers. This is akin to the feedback one receives in the form of customer reviews. The process also includes the team member providing a self-assessment. In this way, the manager/coach can better help the team member grow, using feedback from a variety of sources. Unlike the old reviews that focus on how you’ve performed in the past, 360 Feedback is a very forward-looking process,” Jesse shared.
“The second program is the Dream Manager program,” he continued. “The Dream Manager’s role is to help each team member articulate their goals, create a plan of action, and encourage accomplishment. We’ll create a ‘dream board’ where you can share your dream with others, and the whole team can root each other on. The idea is to take those goals and help them see how their role at The Happy Outlet can help them realize their dreams. We’ve already hired a Dream Manager to start in January, and we are excited to see the positive changes happen in our team.”
Upward Mobility for Everyone
Jesse and Jennifer have been working together since 2007 when it was just the two of them, struggling to survive a gripping recession. They wore all the hats of the business. Now, 13 years later, thanks to growth and the development of other team members, they have begun the slow process of distributing those responsibilities.
The Happy Outlet most definitely finds its office in transition. Jennifer relinquished her role as CCR two years ago when Rebecca Tenorio was hired. Now, Rebecca is assuming Jennifer’s role as dispatcher after Jessica Coratibo was hired as a CCR.
“Upward mobility is important for everyone,” Jesse said. “Jennifer has moved up from receptionist to co-owner, and I want that opportunity for everyone that wants a career here.”
Upward mobility has been important for Jesse himself. When Jennifer and he returned from EP, he had a goal of removing himself from the field. That did not happen until only a year ago. “That’s my fault,” Jennifer admitted. “He was our most productive electrician in the field. I think I begged him to take at least one call a day.”
“But I finally put my foot down. I was done,” Jesse said. “Just as Jennifer is now freeing her time up to get more accomplished, the same happened for me. The things I knew I needed to do, and the ideas I wanted to see to fruition, I have time to do. Above all, I now have the time to help everyone else.”
“I manage our marketing and bid large jobs, but I’m also in charge of our training,” he continued. “I’m not a natural trainer. I’ve taken a lot of Learning Alliance classes and read many books to help myself. And I had the time to work on that by not being in the field.”
Jesse and Jennifer agreed that their current team is the best they’ve had. “Jack, David, Dave, Kevin, Rebecca, Kev, Shaun, Ryan, Luis, Jessica, and Victor are some of the most dedicated people we’ve had the privilege to work alongside,” Jesse said. “We’re excited to see how our people continue to grow into new positions as we continue to grow.”
The Happy Outlet is the largest and strongest it’s ever been. “We did $1.2 million in 2018. We are planning on doing $1.9 million in 2019 and $2.5 million in 2020,” Jesse outlined. “Oh, and next year, we’d like to buy a new building. I don’t see why we won’t accomplish these goals—we’ve hit every single one we’ve had since joining ESI.”
The goals have been attainted due to the hard work and attention-to-detail of both Jesse and Jennifer over the last four years. Certainly, there have been setbacks and difficulties, but neither have dampened their determination to transform Sierra Nevada Electric into The Happy Outlet.
Customers aren’t the only ones who’ve taken notice. Jesse and Jennifer recently added two new electricians to the team who came from strong competitors. They pursued positions at The Happy Outlet because they caught wind of the uplifting, desirable culture of the company. One of their apprentices inquired about a job for the same reason—his friend enjoyed working for and with Jesse and Jennifer.
Even The Happy Outlet’s competition holds the company with high regard. “We have competitors who send us work all the time,” Jennifer said. “I think they do it because they’ve heard our reputation of treating people honestly and focusing on delivering great service.”
“There’s no reason we should have animosity toward others as competitors. We’re in a small community, but there’s plenty of business for us all,” Jennifer continued. “It goes back to that core purpose Jesse talks about all the time. Let’s inspire happiness.”
The results will follow. Jesse and Jennifer have proven it’s possible.
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The Happy Outlet’s Company Purpose & Core Values
The Happy Outlet’s Owners Jesse Olson and Jennifer Howard are passionate not only about their business, but the impact it can have on its community and especially their team members. It’s that passion that helped them construct The Happy Outlet’s purpose and core values.
The Happy Outlet’s Purpose: Inspire Happiness
Our purpose—above all things—is to inspire happiness in ourselves, our teammates, clients, community, colleagues, and our youth.
The Happy Outlet’s Core Values
Heart – You Love – Happiness begins with an open heart. The heart allows us to feel empathy, compassion, and respect for others.
Ability – You Can – The path to happiness is in your hands. Have confidence in your abilities, the courage to challenge yourself, and the strength to realize your full potential.
Passion – You Learn – Passion is the energy that drives happiness. It feeds your curiosity, powers innovation, and fuels your dreams.
Pride – You Matter – Happiness arises from pride in your work. Be consistent and you will succeed. Aspire to do your best and you will be valued. Believe that what you do matters and you will live a meaningful life.
You – You Inspire – You inspire happiness in others. By practicing heart, ability, passion, and pride in equal measure, your balanced spirit lifts up those around you.