| p>You may not think product creations is particularly | | | | could be an entry level product for new clients, |
| important if you have a service business, but it is! | | | | before they commit to a full marketing plan, it could |
| The more products you can offer your clients, the | | | | be an annual product for those companies who want |
| more benefits for everyone: | | | | to keep on top of what the market trends are on a |
| - More value for your clients (assuming of course | | | | regular basis, or it could be a product that some of |
| that your clients want the products you've created) | | | | your clients will buy when they are thinking of |
| - New sources of revenue for your business | | | | developing a new product, and want to research the |
| - Innovation keeps you competitive | | | | market first. Suddenly, from a standard marketing |
| - Client retention as long as you keep giving them | | | | plan service, you have at least one new product to |
| value | | | | sell to new and existing clients, possibly on an annual |
| - Increased lifetime value of your clients | | | | or biannual basis if you position it well. |
| - Higher purchasing frequency by your clients | | | | 2. Talk to your clients and find out what else you |
| This is equally as important for a large corporation as | | | | could be helping them with. Often new services come |
| it is for a small business. If you sell your client or | | | | out of existing ones. For example, once you have |
| customer one product or service once, you will | | | | created a marketing plan for your client, what they |
| always be on the hunt to develop new business | | | | are likely to need next is a copywriting service to |
| opportunities and new clients. | | | | produce new or updated marketing materials - |
| It costs money to acquire new clients - direct sales | | | | brochures, website, company overview etc. Could |
| people, marketing campaigns, telemarketers, setting | | | | you extend your current services into a logical next |
| up distribution channels, retail outlets and so on, | | | | step (next product) for your clients? If you don't |
| depending on your business model. | | | | have such products to sell, your job is done once the |
| Once you capture new clients, you need to grow | | | | marketing plan has been completed. You need to |
| them. In order to do that, you need a range of | | | | continue delivering value to your clients, and building |
| products to sell. | | | | the relationship you have through ongoing contact. |
| How does a service business create new products? | | | | 3. Look at what your competitors are doing. Using |
| There are many steps involved in this process, but if | | | | the above example, you may be thinking about |
| you focus on these few steps, you will be on your | | | | developing a new competitive analysis 'product', and |
| way: | | | | discover that there is an opportunity to specialise in |
| 1. Review all the services you have provided all of | | | | providing competitive market analysis in a particular |
| your clients over the last few years. Take a page for | | | | segment. Keep fine-tuning what you do, and what |
| each main service. Write down all the sub-services | | | | else you could be doing. |
| underneath it, which are all the steps you take to | | | | 4. 'Package' your products. Name them, describe |
| deliver the final outcome for your client. Could any of | | | | them, create the value proposition, price them, |
| those steps become a product on their own? For | | | | protect your intellectual property through trademarks, |
| example, if you develop marketing plans for your | | | | and promote them! |
| clients, and part of the planning process is to conduct | | | | 5. Follow these steps regularly until you have |
| a competitive analysis of the market, could you | | | | successfully developed your own product creation |
| expand on that step and make it a new 'product'? It | | | | system! |