September 26, 2023
Published by 
Dan Isard on September 26, 2023
Dan Isard on September 26, 2023In the last generation or so, the funeral industry has lost more than 2,000 funeral home rooftops – from about 22,000 to just under 20,000. How many more are on the brink of going under in the next decade? This month, I offer my assessment of why funeral home businesses die. Charles Darwin is well regarded as a naturalist and biologist, but his thought-provoking propositions dealing with evolution do not just apply to zoology. I believe they equally apply to economic matters. When it is too easy for people to make lots of money, a Darwinian “economic pall” will occur so that only the best and brightest can dominate the business landscape. In short, I think businesses must “migrate, mutate or die.” Some think prejudicially that cremation is a factor in funeral home failures. I disagree. Cremation is only the […]
September 23, 2023
Published by 
Foresight on September 23, 2023
Foresight on September 23, 2023Succession planning is an essential process that ensures the seamless transition of leadership and ownership within a business, from one generation to the next or even to new proprietors. In the traditional world of the funeral profession, where family ownership has long been the norm, passing down the business to the next generation was often seen as an inevitable path. However, the landscape is shifting. Sustaining and growing multigenerational funeral homes has become increasingly challenging. In this blog post, we will delve into the intricacies of succession planning in the funeral profession, using insights from the 2023 NFDA Member Succession Planning Study as our guide. We will explore the evolving challenges faced by funeral professionals, delve into the critical elements of succession planning, and emphasize the necessity of early preparations and expert guidance. The Changing Landscape of Succession in Funeral […]
August 28, 2023
Published by 
Jarod Bernat on August 28, 2023
Jarod Bernat on August 28, 2023Over the past few decades, we saw the introduction of the FTC rule requiring funeral homes to provide families with GPL’s when requested, the introduction of the internet providing a whole new interface with consumers, and the newest FTC rule requiring online access to GPL’s in some states. Given that the industry is well-known for not being early adapters to new technology or trends, it is no surprise that there has been significant pushback to the utilization of the internet to display pricing within the profession. Business owners fear that when prices are posted online, they will be compared to their competitors, and prices will become a race to the bottom. But while this may seem like the only possible conclusion at first glance, there is much more to consider as the internet can really be a massive opportunity to […]
August 28, 2023
Published by 
Nicole Vullo on August 28, 2023
Nicole Vullo on August 28, 2023Funeral service consumers are speaking up, but are we listening? A little-known fact about me – I am a sucker for greeting cards and quotes. I cannot get enough of them and will easily spend hours browsing for the perfect card to give a loved one. Some may find them cheesy and cliché, but I am not one of them! I want to begin with a quote from famous novelist Ernest Hemingway, who once said, “When people talk, listen completely.” Are you still with me? Those words of Hemingway’s are a solid example of what should be a guiding principle for funeral home owners and cemetery operators when dealing with client families. Okay, one more and I promise I’m done. This is from Epictetus, a Greek philosopher. He states, “We have two ears and one mouth so that we can […]
August 28, 2023
Published by Dan Isard on August 28, 2023
Dan Isard on August 28, 2023In the June 2023 Memento Mori, I explained why no one has yet to develop Key Performance Indicators (KPIs) for a cemetery. That doesn’t mean that cemeteries should wonder aimlessly in their operations, bumping into financial walls at each turn. Below are my management objectives for running a cemetery—with or without advance sales. Revenue Revenue is the key starting point of operations. You should not be confident that since you have plenty of lawn space that you are a well-run cemetery. Revenue is the key. More revenue is more beneficial than less. Revenue is driven by four items. These are: Sales of Merchandise Cemetery Service Revenue Endowment Care/Perpetual Care Trust (“EC/PC Trust”) Income Sales of Interment Rights In your bookkeeping, you should separate the At Need Sales Revenue from the Advance Sales Revenue. Each of the first three items above […]
August 28, 2023
Published by 
Chris Cruger on August 28, 2023
Chris Cruger on August 28, 2023Written By Chris Cruger and Alice Adams The phrase “Post-COVID” has been so overused, it sounds more like an excuse than a time reference. However, reality tells us almost every aspect of American life changed between the onset of the pandemic and now. This article discusses pre-need sales, examining what’s changed since COVID and how you can elevate the success of your pre-need program. Consumer Attitudes Since COVID Beginning in mid-February 2023, The Foresight Companies launched its fourth annual survey, one for consumers (4,587 respondents) and a second for the deathcare industry (155). The results were recently compiled and analyzed, and we want to share our findings. Our consulting practice is data-driven, and our business analyses, property valuations, recommendations for change, and market evaluations are determined based on the 100 years of combined experience of our principals and supported by […]
August 28, 2023
Published by Dan Isard on August 28, 2023
Dan Isard on August 28, 2023The chemistry of funeral service is changing dramatically and I fear the profession is at the point of crossing the Rubicon, i.e., the point of no return. Funeral providers currently face declining funeral gathering rates, meaning they won’t need (and might not be able to afford) their 10,000-plus-square-foot buildings. Thus, the average revenue per call is declining because when a family doesn’t hold a gathering before the disposition, some five points of sale are eliminated from your general price list. Funeral service today is just that, a service. For you youngsters, prior to the early 1980s and the issuance of the Funeral Rule by the Federal Trade Commission, funeral homes were in the merchandise business. They sold the casket and all the other services – embalming, facility use, livery, etc. – were pretty much included in the price of the […]
August 16, 2023
Published by Foresight on August 16, 2023
Foresight on August 16, 2023In the ever-evolving digital landscape, funeral homes and cemeteries face new challenges and opportunities in connecting with their communities. In this blog, we will delve into how to improve the foundations of your digital presence for your funeral home or cemetery . Local Search Ranking Performance: For funeral homes and cemeteries, local search ranking determines how easily potential clients can find them when searching for funeral/cemetery services, arrangements, or other relevant information. Google, as well as other prominent search engines, use the IP address of the user’s device to determine their approximate location. This helps Google understand which area the user is searching from. High local search ranking ensures that the funeral home’s website and information appear at the top of search results, increasing its visibility and chances of being chosen by those in need. Search Engine Optimization […]
July 27, 2023
Published by 
Gabriel Ngo on July 27, 2023
Gabriel Ngo on July 27, 2023Putting together a winning team employing hourly workers and part-timers as a solid foundation. “Culture is defined and created from the top down, but it comes to life from the bottom up.” – Mike Smith, former Atlanta Falcons head coach and 2008 NFL coach of the year You’re probably already thinking that this quote is all well and good, but who has time for culture when your business is short a li-censed staffer or two (if you operate a larger business) and the other licensed staff is on vacation this week? I get it. Businesses across all professions and industries have been battling staffing shortages and talent retention challenges. To that extent, funeral home businesses are no exception. They are not only part of the rule but also have licensing requirement issues (in some states, dual licensing) to contend with […]
July 27, 2023
Published by Gabriel Ngo on July 27, 2023
Gabriel Ngo on July 27, 2023Upping Your Game as a Virtual Business “HARD CONVERSATIONS” and “NORMALIZING DISCOMFORT” are two concepts that funeral, cremation, and cemetery professionals handle and deal with daily. We all recognize the ideal of “being your best on the family’s worst day,” or something very similar, and take it as a rule in serving the families who come to us. Certainly, we all have been called on and have exemplified this in person through various aspects of serving families who need our services. But how do we continue to do this (much less do it better) in a “brave new world” where more and more consumers depend on the internet—whether it be in educating themselves before deciding or by reading reviews from other client families when deciding about choosing your firm? I published an article on e-commerce in the July 2022 issue […]
July 27, 2023
Published by 
Jared Tanke on July 27, 2023
Jared Tanke on July 27, 2023One of the important steps to take when considering selling your business is to review your financial health. Part of this is to review any addbacks or adjustments to your EBITDA Figure. As this is of high importance to potential buyers of your funeral home or cemetery, we asked Jared Tanke to walk us through some examples. Question: I am reviewing my 2023 information to prepare for a potential sale. What expenses can be added back to my financials? Jared Tanke: When it comes to evaluating the financial health of a funeral business for potential acquisition, one key metric that buyers often consider is EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization). However, it is important to understand that EBITDA alone may not always provide a complete picture of a company’s profitability. To accurately assess the true financial performance, buyers […]
July 27, 2023
Published by Dan Isard on July 27, 2023
Dan Isard on July 27, 2023Being born into the deathcare business is the way that most of the owners and leaders of cemeteries and funeral homes chose their careers before 1970. Almost 75% of cemeteries or funeral homes were transferred from family member to family member. Families that wanted to increase the odds that the next generation would take over the business had large families. But family or not, those who chose to come into the cemetery business started in one of three career paths: outside, administration, or sales. If you were a kid who didn’t like sales, then it was either wear the outdoor uniform or sharpen your pencil. In thinking about the future, I am going to focus on the path to working with a cemetery more than on the path to working in the funeral services business. That said, it should be […]