The growth story behind The ProGroup

What started as a single specialised service has grown into a nationwide, multi-division franchise network. The ProGroup Director Alan Williams and General Manager Duane Moul share how they’ve built a sustainable franchise model, adapted to market shifts, and turned business challenges into opportunities.

Duane Moul joined The ProGroup in 2010 as a franchisee for its initial GroutPro franchise, servicing the Kapiti Coast. Two years later he added the new  Deck&FencePro brand. Today, Duane manages all the day-to-day operations of The ProGroup which now has a further five brands.

Tile restoring business GroutPro started as a standalone brand in 2009 and was the beginning of what’s now a seven-division home improvement franchise business, The ProGroup with over 55 franchises from Northland to Southland.

During this time, Duane has worked closely with the company’s founders, taking on a leadership role as General Manager in 2016. Meanwhile, Alan Williams acquired The ProGroup in 2017, bringing a fresh perspective to the business and driving its expansion across multiple service divisions.

“GroutPro saw very quick growth within the ProGroup brand. We were able to go from zero to pretty much filling the whole the country with a GroutPro franchise within the first couple of years,” Duane says.

Duane says that the idea for GroutPro came when the founders noticed that once tilers installed tiles, they weren’t keen to go back and do maintenance work, while DIY products didn’t make the old tiles and dirty grout look sparkling new either.

With exclusive products and the latest tools, GroutPro is able to make old tile areas look brand new, with a particularly focus on renewing bathrooms.

Homeowners request the services before selling their house and real estate agents also often recommend it as a service to add value to the sale.

“For people who are looking to sell their home – and they might have a bathroom that looks beyond its best and want to bring it back to looking nice and refreshed again –  that’s a lot of our businesses restoring showers in particular,” Duane says.

Recognising the potential for expansion, the company evolved into The ProGroup, which includes seven divisions: GroutPro (the most popular with 33 nation-wide franchisees), Deck&Fence Pro, GaragePro, Prep&PaintPro, LouvreRoofPro, GrassPro and RainWaterPro.

However, Duane says that expanding via franchising comes with its own set of challenges.

Finding franchise partners in some regions has been difficult, particularly in rural areas where the DIY mindset is strong.

“In some parts of New Zealand, there’s still a very strong ‘I’ll just have a go at it myself’ mentality,” Duane says.

All franchisees receive thorough training, and a full tool kit before they begin operation.

The right attitude – is what Alan and Duane always consider first when looking for a franchise partner.

“We can train pretty much anybody to do the actual operational work. What we really look for is personality – someone who has pride in their work, is good with people, can build relationships, and install confidence in customers,” says Alan.

Product innovation and adapting to trends

One of the company’s biggest strengths has been its ability to adapt and introduce innovative products.

Duane says that for a long time cement-based tiles were the only option on the market, until a new waterproof resin-based product called Epoxy came out. “At first, tilers didn’t want to touch it, so, GroutPro specialists got training in it and were installing epoxy grout.”

While most of the company’s expansions have been successful, not every venture has gone as planned.

Duane recalls the lessons learnt from the RainwaterPro, which focused on capturing rainwater and using it for gardening. The division was launched in the middle of a drought then followed a month later by Cyclone Gabrielle hit New Zealand, causing severe flooding.

 “Nobody wanted to capture water anymore,” Duane says.

“But at the end of the day, you have to try new things to see if they work or not. It’s all about weighing up the benefits and costs of experimenting, knowing that sometimes it just won’t take off.”

The company’s latest venture is particularly trendy amongst Kiwis, who love outdoor living.

Motorised, adjustable louvre roofs from LouvreRoofPro create flexible outdoor spaces, providing protection from rain, sun, and wind.

“These structures aren’t just for leisure,” says Alan. “For many homes, they’re an essential extension of their living space.”

He says that one customer in Flat Bush, Auckland installed a louvre roof on their back deck, effectively doubling their usable living space.

“They later sold the property and were so happy with the investment that they bought another louvre for their new home.”

While demand for louvre roofs has been strong, one challenge has been customer expectations around pricing.

“People sometimes compare our product to the cheaper structures they see at Bunnings for a couple of thousand dollars,” Duane says.

“But what we offer is a high-quality, permanent addition to the home, which naturally comes at a higher cost.”

To address pricing concerns, the company recently streamlined its supply chain, working directly with overseas manufacturers to reduce costs while maintaining quality.

“Prices have come down quite a lot in the last two years,” Alan adds.

What’s next?

The main focus for Alan and Duane is to keep focus on expanding the franchise network and introducing new niche services.

Rather than simply adding more franchisees to existing territories, their priority is exploring new service offerings that can be integrated into its current business model. “We don’t want to saturate our existing territories,” says Alan.

“Instead, we’re looking for additional products and services that our franchisees can offer, giving them more opportunities to grow.”

The challenge, as Duane puts it, is finding that next big idea.

“We’re always looking for that thing that nobody else is doing yet, but that everybody wants.

“That’s the secret to building any business,” he adds.