Red Star Electric Corp.
Editor’s note: This is the first interview for our new series, Rockland Famous – Interviews with industry leaders and influencers in Rockland County NY, who seek to make a difference in the place we call home.
By Irene Gutmann
Rockland County, NY – Twenty years ago – in the months that followed the tragedy of September 11, 2001, Steve Costanzo was a young electrician working two jobs. He came home one Friday night wondering if he had what it takes to go out on his own.
By Monday, decided to start his own company, Red Star Electric. He continued to work at his current jobs, and steadily grew his own business day by day.
It has been 20 years since then, and Steve has never looked back with any regret whatsoever.
Steve did not want his company to have the problems that other companies had. Over time, he became a strong leader and did things differently. In return he has created results that most entrepreneurs dream of – lots of work, many happy customers, and a team of seasoned, loyal team of electricians.
Costanzo’s success is inspiring, and his strategies can be applied to many businesses:
Quality: “I set my own standards” said Costanzo. Those standards are very high, and are met consistently. “We give exceptional customer service. With so many people being ripped off these days, honesty and doing the right thing goes a long way and it’s a breath of fresh air to a lot of home owners.”
For example, many contractors will give a low price over the phone to get their foot in the door. When they show at the customers house, they come up with reasons as to why they have to charge more.
In contrast, Costanzo sends very seasoned electricians to a homeowner to give an accurate flat rate so that there are never unpleasant surprises. “It’s a much more honest way of doing business,” said Costanzo.
Finally, Costanzo points out that each job that Red Star conducts includes a free safety inspection with a written report to the customer.
“This is where we set ourselves apart from about 90 percent of others in our industry. Nothing against them, but most electricians do the job and leave. We worked hard to include the info the customer needs to make decisions, as well as be reassured their home or business is taken care of by experts.”
Feedback and Advertising: “My guys have over 15 years of experience so we rarely have to go back. They do things right the first time. After a job is completed, the office calls up to make sure that everything is okay.”
“Even when clients are happy, we ask ‘is there anything we could have done better?’ We always want to find ways to improve customer service.”
Consequently, they get great reviews and lots of referrals. They also do a lot of advertising which keeps the phone ringing.”
Creating a strong team and a culture of respect: The most important thing that Costanzo has done differently is to put a lot of time and effort into building a team of talented people – and never taking them for granted. He knows that his success is based on a team he can trust and vice versa. “Without them, I’m nothing,” he said.
“I treat my guys very well. They get paid well. They get commission on jobs they sell. I try to keep them happy,” said Costanzo. “We encourage family time because we don’t want to burn anybody out. We create a culture of fun and high standards.”
“I had jobs where you’d wake up in the morning and you’d instantly have a knot in your stomach and because you are going someplace that you don’t want to be,” Costanzo said. “That’s a horrible feeling! I built this business to make it a place where people want to go.”
“We have a meeting every morning,” said Costanzo. “I ask about their weekends and take a genuine interest in their lives. We talk about what we are going through and we try to help each other out.”
“I don’t micromanage them,” he said. “They all have 15 years of experience. They plan the jobs, lay them out, they do a great job. Trusting them is so important. You have to let people know that you care about them. And it has to be genuine.”
His team members have a sense of ownership in the company. “Whenever we bring in a new hire, they go out with one of my guys to see it they are really good and that they meet our high standard of excellence.” They want it as much as Costanzo does.
When asked what he most wants people to know about electrical work and safety, Costanzo said, “If I could give one piece of advice, I would say if you don’t have an electrical background, don’t do the work yourself. It can do a lot of damage – and become costly and dangerous. For example, a lot of time, you can do something and it’s working but that doesn’t mean it’s not dangerous. The breaker wont trip, somebody can get electrocuted, or it could be a fire hazard. It’s not a hobby. You have to be trained in this and most home owners are not.”
Red Star Electric is located in White Plains, NY. They provide service to Rockland County, NY and Westchester County, NY.