A solid part of the business is based on the sale of all kinds of goods and services. And sometimes buyers have a misunderstanding of the term “service,” as something that is inexpensive by default, because they don’t get anything tangible. It’s worth figuring out what a service is and whether it really costs anything.
Service as a line of business
Along with all kinds of free or shareware offers, a fairly wide layer of the service sector consists of paid positions. For example, free medical care and the services of paid clinics adjacent to it. With a fairly wide offer, there is always the opportunity to make a choice that is completely satisfied with the quality and cost. However, it is worth considering the time costs, which become huge when you visit a municipal clinic. It turns out that the services provided by private clinics allow you to get a more attentive attitude to all the needs of the applied client.
The very possibility of providing services on a paid basis is used as a separate line of business, affecting almost all spheres of life. Even if you just look around, you can see a hairdresser, atelier, kindergarten, and these are only visible objects. What is a service? By and large, this is the paid assistance of another person for what the client, if desired, as well as the availability of time and skills, could do on his own. But will there still be time for work and leisure after this?
That is why the service market has always enjoyed well-deserved attention of customers. If you hire a servant, then this too can be attributed to the discussed aspect: the employer, therefore, pays domestic services, provided by an outsider. In this way, it turns out to shift some vitally important processes onto the shoulders of a specially for this hired person.
How to find a free niche in the services market?
We can safely say that services to the population are in good demand, but there are features that are worth considering. Excessive supply with low demand inevitably reduces the profitability of the enterprise, no matter what it does. First of all, it is worth finding out what kind of service is missing in your area. For example, if around, as a rule, there are a lot of hairdressing salons, manicure salons, then it becomes difficult to find a good masseur.
These are not necessarily massage therapists, the market for services is dynamic, the lack of qualified personnel has a wavelike nature. If there is a catastrophic lack of housekeepers, then prices rise. Then women go to this segment who want to get a decent salary, the staff shortage is equalized, and if offers continue to come in, then prices will inevitably drop. In this case, the quality of services becomes an advantage - customers are willing to pay more if they get better service. Therefore, even in a relatively busy niche, leadership can be seized, with emphasis on quality.
Level of competition
Services in most cases are divided not only into paid and free, but also by type of suppliers: organizations and private owners. So, you can order a taxi in the appropriate service or use the services of the so-called bombilla, a car owner, moonlighting as a private driver. In terms of cost this is quite comparable, but in terms of safety - no, it is better to trust an employee of the company.The vast majority of customers understand this, but people often can not resist the opportunity to save a little, so the provision of services by private owners without proper registration will always compete with honest taxpayers.
The number of firms in the selected segment does not play a special role, you always need to look at the specifics. Not without reason, often among potential customers you can hear the assertion that there are many offers, but no choice. Therefore, the services provided are formed without taking into account demand, do not give a guarantee of quality, or there are still some shortcomings.
Unique selling proposition
Creating a unique selling proposition is a good tool in the competition. In the end, what is a service if not a product that is not a tangible item, but some kind of action in favor of the buyer? As an example, we can cite such a technique as a combination of services in one trading proposal.
Services such as passenger transportation and guided tours are excellently combined. Of course, they can be ordered separately, but together they constitute a convenient package that can be in demand by solvent customers. Often, the development of unique trading offers raises the level of profitability of an enterprise at times.
What is a service with related products
Another form of a unique selling proposition is a service, when ordered, you can purchase the necessary related products. As a rule, these products are either not sold through retail chains, or are copyrighted products. In the above example with excursions, it can be a colorful guide or photo album. Sometimes beauty salons sell cosmetics that are difficult to find on sale. In this case, prices for services may vary depending on the goods purchased by the client.
Competitor analysis
Before you open your own business in the direction of "Rendering services", a far-sighted act is to study the offers already available in your region. Perhaps the tenth hairdresser within one city block will be superfluous. Nevertheless, existing enterprises may not satisfy the existing demand due to the inertia of owners who are not trying to create unique trading offers.
Competitor analysis reveals their weaknesses and turns them into their own competitive advantages. This may require additional investments, training of specialists, purchase of new equipment, but in the end, customers will go where they will receive a unique service, the best quality and high level of service.
Customer Demand Analysis
Like trade in all kinds of goods, the service market relies on consumer demand. To a certain extent, it can be influenced by convincing people that this is what they absolutely need. Every day we see similar manipulations in commercials. However, such a global plan to promote your own business requires a solid financial investment. It is easier to offer such services to the population that it is ready to pay without significant investment in advertising.
You can analyze customer demand directly, using the survey method. One person in a crowded place can literally gather enough information in a day to draw conclusions and calculate the feasibility of starting a business in this area of the city.
A way to expand the list of services
If you already have a working business that provides all kinds of services, then you should consider expanding the range. You can attract existing customers to the process, clarify their wishes. Sometimes a new improved quality of service is perceived as a positive update, increasing the degree of customer loyalty specifically to your company.For example, you can shift working hours so that working people do not have to leave the office to take advantage of services. Perhaps some of the services can be provided with home delivery, even if it is a massage session - portable massage tables are used all over the world, but the specialist’s hands remain the main tool.
In search of a new service that can expand the range, you can conduct an analysis of related areas. At beauty salons, solariums are opened, in hairdressing salons they offer computer selection of hairstyles and make-up, and the master’s departure to the house. A veterinary clinic begins to provide a service such as an overexposure or hotel for pets. It is important to be able to look at your specialization more broadly, not to stand still, and then you will become a winner in the competition with other companies.
