Brand New Brand

Brand New Brand

An almost 10-year-old company rethinks its

customer image during tough economic times.

The Progressive brand name carries a positive image in the minds of many consumers - which is a good thing for Michael Corley, since that's the first word of the company he presides over, Progressive Employer Services.

The bad news: When Corley had a telemarketer call a random sample of potential customers a few months ago, the responses were mostly negative. The potential customer either said he already has car insurance or he doesn't need a new job.

"He spent 30 seconds explaining what we aren't, as opposed to what we are," Corley says. "And you can't do sales like that."

The experiment was further proof that Corley and his top executives were on to something with their mission to alter potential customer's first impressions of the company, which is known as a Professional Employer Organization (PEO). The timing is dead on: PES turns 10 years old in 2009 and over its inaugural decade, the company has evolved from focusing on just payroll and worker's compensation insurance services to a full human resources outsourcing agency.

The company is taking a combination of small and big steps to change its image. It's redoing its Web site and is going to tinker with its logo, to emphasize PES over Progressive. It's also planning to continue going after potential business in the Hispanic market, both on the Gulf Coast and in the Miami area.

The challenge now isn't only getting the word out about the changes, but it's getting the word out at all, considering the company's annual revenues are down about 10% in 2008. Many PEOs on the Gulf Coast are struggling through the economic downturn.

"We are going to get out of our comfort zone," Corley says, "and find a different way of doing business."

Steve Herrig, the Review's Entrepreneur of the Year for the Sarasota-Manatee region in 2007, founded PES. Herrig put more than $1 million of his own money into PES during perilous times in 2003, when the company nearly collapsed during a massive industry slump brought on by changes to Florida's worker's compensation insurance regulations.

The company made a roaring comeback as annual revenue increased 56%, from $20.7 million in 2004 to $46.8 million in 2006. The growth was mostly accomplished by riding the then-booming construction industry, but that was also when the company began the process of expanding its business offerings.

In 2008, however, Corley is projecting revenues will only hit $38 million. He's projecting $40 million in 2009 revenues, a positive outlook not shared by all PEOs on the Gulf Coast.

The redesigned Web site and logo improvements are one reason for Corley's positive outlook. He also says most of the company's employees have learned through trial and error how to do more with less. And finally, the company is expanding its potential customer base to, as Corley says, "anyone who is an employer."

Recent new clients PES has signed up include a country club, hotels and even a CPA firm.

-Mark Gordon