Navigating the Peaks and Valleys of Construction Sales

In the construction industry, there’s a familiar yet dangerous cycle I’ve witnessed time and time again—something I’ve come to call the Gallagher Curve. It describes a pattern where companies get so busy executing current projects that they take their foot off the gas when it comes to sales. Before long, the work wraps up, and the pipeline is empty. Cue the scramble.

I’ve led teams through this cycle. It’s predictable. It’s preventable. And it’s costly.

Understanding the Gallagher Curve

At its core, the Gallagher Curve illustrates a recurring pattern:

• As workloads increase, all energy shifts to project execution.
• Sales and marketing activities slow—or stop altogether.
• Once the current work winds down, there’s nothing waiting in the wings.
• The result? A rollercoaster of highs and lows—busy peaks followed by painful valleys.

This pattern creates a rhythm of chaos: overextension during the peaks, followed by underutilization, layoffs, and morale dips during the valleys.

Why the Curve is So Challenging for Leaders

For those of us in leadership roles, the Gallagher Curve poses some serious challenges:

• Resource Management: When we’re slammed, project managers are stretched thin, labor is short, and teams are overburdened. During the slow times, we face layoffs, lost momentum, and declining morale.
• Financial Instability: Inconsistent workload makes it nearly impossible to plan. Cash flow becomes erratic. We’re tempted to overbook in the busy times and forced into cuts during the lean ones.
• Client Relationships: Quality slips when we’re over capacity, and communication slows. Then when we have time to focus on clients, there are fewer projects to support meaningful engagement.
• Employee Morale: People burn out during peaks and worry about their jobs during valleys. It’s a cycle that erodes engagement, trust, and culture.

Why This Cycle Hurts Companies

The Gallagher Curve doesn’t just create headaches—it undermines long-term success. It creates:

• Operational Inefficiency: Constant shifts in workload throw off planning, disrupt logistics, and damage consistency.
• Limited Scalability: You can’t grow strategically when you’re reacting instead of planning. Imbalances and uncertainty choke expansion.
• Missed Opportunities: Without a proactive sales effort, new business dries up. You risk losing ground in the market—and handing opportunities to competitors.

Breaking the Cycle: How to Overcome the Gallagher Curve

The key to overcoming this cycle is consistency. Even when things are busy—especially when they’re busy—we must maintain focus on sales and future opportunities. Here’s how I’ve approached it:

• Commit to Consistent Sales Activity: Business development can’t be optional. It has to be part of the culture. That means having dedicated people who stay focused on selling, no matter how full the job board is.
• Build a Strong Sales and Marketing Infrastructure: Tools like CRM systems, marketing automation, and BI dashboards keep sales efforts moving, even when project teams are heads down. These systems ensure follow-up, track engagement, and feed long-term growth.
• Be Strategic About Opportunities: Not every lead deserves a pursuit. Focus on work that aligns with your strengths, margins, and long-term goals. Smart filtering helps create a more manageable and sustainable workload.
• Implement a Vision with Predictability: When sales are aligned with a broader vision—not just month-to-month needs—we build a healthier backlog. This allows for smoother staffing, stronger cash flow, and better decision-making.
• Focus on Building Backlog: A steady backlog is the best health indicator for a construction firm. It means you’ve sold ahead, planned well, and earned client trust. It’s the buffer that protects against peaks and valleys.

The Benefits of a Steady, Growing Backlog

When we prioritize the pipeline and maintain consistent backlog, everything improves:

• Predictable Business Outcomes: Cash flow stabilizes. We can forecast with confidence and make smarter investments.
• Improved Employee Morale: People aren’t looking over their shoulders wondering if their job is safe. They focus on doing great work and developing their skills.
• Enhanced Client Satisfaction: With resources in place and teams balanced, we deliver on promises, deepen relationships, and drive referrals.

Final Thoughts

The Gallagher Curve is real—and if left unchecked, it becomes a trap. But it doesn’t have to be. With intention and discipline, we can smooth out the highs and lows and build sustainable momentum.

The secret? Keep selling. Build backlog. Stay strategic. The healthiest construction companies I’ve seen are those that don’t just ride the wave—they plan for it. They stay ahead of the curve—literally.

And that’s how we transform a reactive business into a resilient one.

Yes, I (Brian Gallagher) named it after myself. If Newton gets credit for gravity, Maslow gets a hierarchy, and Murphy gets a law about everything going wrong, I figured I could claim a humble curve about construction sales. Galileo got a galaxy. Pavlov got a dog to drool on command. Even Eisenhower got a matrix. Let’s face it—if I hadn’t named it, someone else would’ve slapped their name on it and called it the “Smith Spiral” or the “Johnson Dip.” Naming rights come with the territory. It’s not quite the Pythagorean Theorem or a Nobel Prize, but after witnessing this cycle play out across enough job trailers and boardrooms, I figured I earned it.