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Calculating the ROI of Commercial Flooring
Tuesday, September 27, 2016

There are a lot of factors to consider when building or remodeling a commercial space. Flooring is just one component of the overall plan, but like every other decision that has to be made, there are aesthetic, practicalities, and budgetary concerns to weigh. When you’re helping clients make decisions about the countless factors that go into creating the perfect commercial space for their business, one thing everyone can understand and utilize is ROI.

Return on investment, ROI, is a useful tool for making a decision between a number of options that could all seemingly be equal. To calculate the ROI on a flooring choice for a commercial building, start by looking at a few essential questions:
  1. How much will ongoing maintenance cost for each flooring type you’re considering
  2. What are your projected annual supply costs and man-hours associated with each choice?
  3. How long do you expect each type of flooring to last?
  4. What is the cost of removing flooring from a space?
  5. Do you need to be concerned about slips and falls? What costs could potentially be associated with a claim related to a slip or fall?
  6. What could be gained from providing a highly pleasant environment? How would the bottom line be affected if salaried employees stayed one extra hour per week due to the environment or if the workspace could reduce employee sick days?
Historically, when people consider cost savings over the life of a commercial space, HVAC and lighting are the first things to come to mind. However, flooring can reduce lifetime cost of a commercial building as well. By reducing maintenance supplies and service, lowering insurance premiums, and extending the life cycle, certain flooring choices can lower the overall cost of building, remodeling, or even simply occupying a space.

Creating  a  High-Performance  Environment

Every environment has an impact on the people who use or occupy it. Great designers will consider the intended use of the space they are creating as well as how that space will influence the people using it. Business environments typically want to inspire productivity and creative problem solving; retail spaces aim to encourage enthusiasm for the products on the shelves and a relaxed, excited, or happy feeling for shoppers; and the hospitality industry works to help guests feel comfortable, relaxed, even pampered. In every scenario, the goal is the same: motivation.

The next factor to consider is universal: safety. Every commercial space needs to account for the safety of anyone who walks through the doors. In this case, the differences in flooring choices will come down to how the space will be used, who will be coming and going, and how much traffic is expected throughout the building.

Finally, consider efficiency. Even if a flooring choice will look gorgeous, if it will hinder movement from one part of the building to another, it will decrease your client’s ROI.
  1. Does the flooring you’re considering reflect the company identity? Does it inspire and motivate your employees, visitors, and guests?
  2. Will your choice reduce risk? Will it keep employees and visitors safe?
  3. Can people move about the space efficiency and will it be cost-effective to maintain?
When your clients look at the larger picture, they can often come to a sound decision about flooring that will meet all their needs. Encourage them to think about today and the future as well as style and practicality, and the best choice will undoubtedly become clear.

Trust CDC for all of your flooring needs. We carry the best products available and are always here to help you find just what you need. Give us a call to find out more about the products we stock.



 
 
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CDC Distributors, Inc. is a flooring distributor headquartered in Cincinnati, Ohio (with locations in Louisville, St. Louis, Columbus, Detroit, Springfield, Indianapolis, Grand Rapids, Cleveland, and Evansville).

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