Service vs. Product<\/h2>\n\n\n\n
There\u2019s no denying that services and products are two very different things. In fact, Kuba\u2019s written an entire article on the difference between selling a service and a product<\/a>, the pros and cons of both, and some profitable techniques\/models to follow.<\/p>\n\n\n\n But while the mere concept of both is diverse, I believe that the marketing and sales process is not that different when you think about it. Sounds weird? Hear me out.<\/p>\n\n\n Look at this couch. It\u2019s a really nice couch, isn\u2019t it? Looks comfortable and cozy, the color is nice and the design is modern, yet timeless. Now let\u2019s pretend we\u2019re at a furniture store and you can actually sit in it and feel what it\u2019s like. Stretch out your legs, adjust the pillows. Let me show you how it\u2019s kids-proof, pet-proof, pulls out into a bed, and has storage for your junk. Even if I didn\u2019t just convince you to buy it, I\u2019ve done everything to show you its features and advantages. But I can\u2019t do the same if the couch was non-substantial, can I?<\/p>\n\n\n\n It\u2019s hard to show your prospects the value of something they can\u2019t see or touch. But \u2018hard\u2019 doesn\u2019t mean \u2018impossible\u2019. In fact, you should look at services the same way you look at products: via their assets<\/strong>. If you\u2019d sell a couch by showing how it can fit into your buyers\u2019 lives and make them better, why not do the same for a product?<\/p>\n\n\n\n Approach your service exactly as if it were a product. Paint a picture that will make your prospects see how your offerings can benefit them. Show your clients that you understand their problems and have a way of solving them.<\/strong> Create a promise and stick to it.<\/p>\n\n\n\n The trend of productization <\/strong>– packaging services as products – is a great start to building a marketing prospect. Highlight your service offerings\u2019 benefits, show off their best features, demonstrate some great use cases and you\u2019re already halfway there. See what Castos<\/a>, a post-production podcast company, did: they\u2019ve neatly wrapped their services into three separate packages (bonus points for clear pricing tiers!) and cleverly showcased their details for best results.<\/p>\n\n\n\n How to get to the other half? Let\u2019s see what else you can do to turn prospects into customers and make your business bloom.<\/p>\n\n\n\n Like I mentioned above, never underestimate the importance of your service\u2019s value<\/strong>. Your client has to see the service profitability, and they most likely won\u2019t catch it if you don\u2019t provide enough information.<\/p>\n\n\n\n That\u2019s why one of your first steps towards a successful business would be establishing a website (or a profile at one of the popular platforms for selling services – more on that later) with all the details on your offerings. Carefully plan out the content, making sure it\u2019s clear, informative, and sets you apart from other companies offering a similar service.<\/p>\n\n\n\n Read on to learn how to find a niche for your business.<\/p>\n\n\n According to Henry DeVries at Forbes<\/a>, the secret to selling your services is being a problem solver<\/strong>. Determining how your service aids those who struggle with something (the more mundane, frustrating, and common, the better) is probably the biggest value you\u2019ll have, and will most likely become your best marketing strategy.<\/p>\n\n\n\n If you\u2019re new to the service industries, start simple: wear your ideal customer\u2019s shoes and see the problem they\u2019re facing. How can your service address it? Does it save time, improve the cash flow, give more resources in the long run? If you don\u2019t see a burning problem or there\u2019s no clear explanation as to how your service would solve it, that\u2019s probably a bad sign.<\/p>\n\n\n\n The easiest and arguably the best way to answer the question of \u201chow can I make my prospects\u2019 lives better by solving their problems\u201d would be examining a field you\u2019re familiar with<\/strong>, possibly one where you see an important issue to fix yourself.<\/p>\n\n\n\n Offering services that are similar to your previous experience can give you a head start and make you appear more trustworthy. Finding a panacea to an itch you\u2019ve been scratching yourself for years is a great sales pitch \ud83d\ude09<\/p>\n\n\n\n If there\u2019s plenty of competition out there, look for gaps in the existing offerings<\/strong>. That\u2019s where you\u2019ll find the prospect to grow and win over buyers.<\/p>\n\n\n\n Researching your competitors<\/a> can give you plenty of information to work with, including pricing tiers, marketing ideas, and other valuable resources. Even if you don\u2019t find a single thing that\u2019s missing from the field, don\u2019t worry! Loads of entrepreneurs have succeeded by introducing services or products that simply enhance the existing solutions<\/strong> (some call it piggy-backing off the success of other businesses<\/a>). Tawk.to did just that<\/a> – analyzing the existing live chat solutions led them to an amazing discovery. Most of the live chat users struggled with staffing 24\/7 consultants regardless of the chosen provider. Filling this void got Tawk.to an unbeatable advantage even though they\u2019ve started in a highly saturated market.<\/p>\n\n\n\n Your business only has a 50% chance of surviving five years or longer<\/a>, and your competitors are one of the key threats here. Analyzing their moves periodically should become a part of your business routine, and I don\u2019t mean just poppin\u2019 in at their website and see what they\u2019re up to. You can learn equally, if not more, by attending industry events or checking out their social proof (more on that below). Understanding their strengths and weaknesses will give you a better idea of selling services of your own, especially if you know that your prospect has been considering your competitor as well.<\/p>\n\n\n Find your niche and build your brand from there, both in terms of specific services you offer and the customer service. Be ready to answer questions like \u2018how\u2019s your company better than the next competitor\u2019. And once again: never forget to highlight the value of your services<\/strong>. If possible, provide a \u2018before & after\u2019 comparison to show precisely how your service translates to success via increased conversion rate, more revenue, or other measurable data.<\/p>\n\n\n\n Finding a great idea, a void to fill, a problem to solve is a first, huge step into a successful service company. Mentally packing it into a product that represents certain value and brings benefit to the client is another one. But do you know where it gets tricky?<\/p>\n\n\n\n All these great things won\u2019t take you anywhere if there\u2019s no client to make the sale to. Your prospects need to know that you\u2019re out there – and that your services are trustworthy, valuable, and real. In this part, we\u2019ll cover how to wisely use your resources to build your branding and attract more sales.<\/p>\n\n\n\n When looking for services (or a product), most people turn to others for advice, may it be personal, online review, a testimonial, a case study, or some \u2018Top 10\u2019 articles. No one likes to buy a pig in a poke. Instead, customers choose what others believe to be right. Robert Cialdini, a bestselling author of \u201cInfluence\u201d, coined the term \u201csocial proof\u201d to explain that behavior.<\/p>\n\n\n\n Make sure that each client leaves some sort of social proof<\/strong> for the others, like a testimonial, a review, a reference, or a case study they agree to be a part of. Look for portals like Clutch, Yelp, or GoodFirms that gather information about companies straight from their clients, but step outside this box as well: LinkedIn, Glassdoor, and even Google Maps are great tools to boost your online presence and show prospects how they can benefit from buying your services.<\/p>\n\n\n\n Ask whoever you can to provide valuable and thorough information about you and your services. Believe it or not, but positive reviews from your team members also influence your PR<\/a>.<\/p>\n\n\n\n The sales process is a delicate construct. If we were to come back to that couch-selling scenario, it\u2019s quite easy to showcase its advantages. It\u2019s a tangible product that you can even test before you buy it.<\/p>\n\n\n\n Sadly, the only tangible thing in a service-based business is<\/strong> you<\/strong>. You\u2019re basically the product you\u2019re selling. That\u2019s why you need to constantly show how working with you as a person (even if in the end it won\u2019t be you who\u2019ll deliver the services) will bring benefit to your customers.<\/p>\n\n\n\n Make yourself (or your company) a part of your service offering. Turn yourself into a strong brand: if you want prospects to turn into clients, they have to perceive you as a reliable person who\u2019s worth their trust, time, and money. Demonstrate that you understand their problems and challenges and care about solving them.<\/p>\n\n\n\n A personal approach may take time, but it\u2019s well worth it. Start building your business relationship with customers by asking effective questions that\u2019ll get you to identify their problems quickly and propose solutions<\/strong>. You can start with a list of general inquiries such as \u2018who are the decision makers\u2019, \u2018what\u2019s your budget\u2019, and \u2018what\u2019s the deadline\u2019, and work your way from there. Reserve some time to visit your customer\u2019s website or take a look at what their competition is up to. A study by Gong.io proves that most successful salespeople uncover between three to four business problems<\/a> in the sales process.<\/p>\n\n\n\n Be open and honest. Customers like to ask questions themselves, and boy, will they do it! Answer thoroughly and with patience, be one of these people who\u2019re always happy to help and ready to clarify any confusion now or in the future.<\/p>\n\n\n\n Successful service providers use the knowledge mentioned above to their advantage and create powerful proposals. Aside from the obvious confident attitude and problem-solving approach, work on your language – one of the key marketing techniques. David Newman<\/a> likes to use the \u201cso-that\u201d phrases to present the outcomes of your offering.<\/p>\n\n\n\n \u201cSo-that\u201d phrases help service businesses to show their best features and translate them to the customer\u2019s gains, like \u201cso that you cut costs\u201d or \u201cso that you have a steady stream of content appearing on your social media channels\u201d. The bottom line here is that the language of gain does wonders to selling services<\/strong>, so learn how to use it for your business.<\/p>\n\n\n\n Customers like convenience. Let it be service or product offerings, if it\u2019s not available with minimum effort, finishing the sales process gets very tricky very fast.<\/p>\n\n\n\n According to Towards Data Science blog<\/a>, as many as 30% of the customers abandon their online carts before proceeding to payment, even though they\u2019ve entered all the personal information and other necessary details. A study by Visa<\/a> shows that the simple act of getting a credit card out of the wallet could result in canceling the sale. And getting a company to pay you – with accountants perpetually on sick leave or buried under other paperwork – can be a tough task as well.<\/p>\n\n\n\n Introducing swift and painless ways of purchasing and paying for your service will reduce the abandonment rate and gain more customers for your business. When establishing your service company, immediately decide on the purchase process and delivery method<\/strong> that\u2019ll be the most convenient for your customers. This will save you and your clients tons of time.<\/p>\n\n\n\n Using pricing tiers<\/a> is a great way to provide services to a greater range of target customers. Companies like Netflix use this trick to draw people to premium packages that appear to offer the best value for the price.<\/p>\n\n\n\n Differentiating your prices gives you the prospect of attracting clients with various budgets, but also those with diverse needs. An entire company may look for a well-rounded package of services, while an individual customer with fewer resources might settle for a basic deal that still results in mutual success.<\/p>\n\n\n\n When developing a tiered pricing strategy, think of the factors like frequency of use, value, functional differences, and target customers. Also, look at how other companies in your field price their services.<\/p>\n\n\n\n When selling services, you need to reach out to your customers quite often, and not just when there\u2019s a problem to fix. A proactive attitude can work wonders for your sales, especially after you deliver the service. Following up and staying in touch with your customers is a great way to build strong relationships<\/strong> and get clients to come back again and again for the same – or more – services.<\/p>\n\n\n\n Great service-based companies leverage communication at each stage of the business process instead of keeping it strictly to the salespeople. They make it a part of their brand, giving the customers even more reasons to choose their services.<\/p>\n\n\n\n At Zendo, we offer simple tools for instant customer communication that makes the sales process a breeze. A single channel for one source of truth makes your team stay on the same page regardless of their previous engagement with the client, and notifications help you keep track of the customers that could use a follow-up.<\/p>\n\n\n\n What\u2019s more, the integrated payment feature that makes it possible to transfer the money without even leaving the conversation reduces the abandonment problems we\u2019ve discussed above. All that makes for space where both sides of the business can reach each other anytime<\/strong> and anywhere, no fuss.<\/p>\n\n\n\n Some sales will fail – that\u2019s the part of the business. But a lost customer is still an asset, as long as you know how to make use of the information they\u2019ve left you<\/strong>. These can be extremely valuable for future marketing efforts and pricing strategies.<\/p>\n\n\n\n Why do clients choose other companies over yours? The most obvious and the most common factor is money. The other is the conviction that another offer will give them more opportunities (for example, if the company has more resources, skills, tools, or experience). Some customers will turn away simply because they didn\u2019t trust you or didn\u2019t perceive you as confident enough.<\/p>\n\n\n\n Review the calls, email exchanges, and other points of contact you\u2019ve made with the prospect that failed. Look for red flags and think how you could prevent them in the future.<\/p>\n\n\n\n Hopefully you didn\u2019t expect a single solid answer here, because there\u2019s no universal recipe for selling services with absolutely no problems along the way.<\/p>\n\n\n\n Different types of services will sell best on different platforms, like Fiverr<\/a>, Upwork<\/a>, PeoplePerHour, or another website. You should carefully weigh out the pros and cons of each solution and decide on the one (or more!) that work best for you and your business needs. Still, I believe that no matter what\u2019s your style, some skills and strategies always come in handy.<\/p>\n\n\n\n Set out your company with confidence and expert knowledge (afraid of the imposter syndrome? Well\u2026 fake it till you make it \ud83d\ude05). The more you find out about your potential buyers and other companies in the ring, the better the head start.<\/p>\n\n\n\n Make use of anyone who can give you any kind of social proof to get started with and work on your personal brand before kick-starting the business. Highlight your skills as a professional, but don\u2019t forget about the soft ones: presenting yourself as a trustworthy, solution-oriented person who knows what they\u2019re doing.<\/p>\n\n\n\n Just like some tricks will always check out, it\u2019s better to avoid some acts altogether. <\/p>\n\n\n\n Can\u2019t swim? Then don\u2019t dive head-first into a shark-filled ocean. If you\u2019re new to the world of services, start slow,<\/strong> especially if it\u2019s a way to differentiate your current business spectrum and you already have some actual products available. It takes time to learn new tricks and find a new way of approaching your customers.<\/p>\n\n\n\n Speaking of customers – avoid treating all of them the same way. Using templates to communicate may save you time, but a personal approach shows that you care about solving their problems (in fact, some platforms will even ban you for copy-paste offerings!).<\/p>\n\n\n\n![\"Let](\"https:\/\/getzendo.io\/wp-content\/uploads\/2021\/05\/HowToSellServices_couch2.png\")
<\/figure><\/div>\n\n\nPlanning To Sell a Service: Where To Start<\/h2>\n\n\n\n
![\"How](\"https:\/\/getzendo.io\/wp-content\/uploads\/2021\/05\/HowToSellServices_planning2.png\")
<\/figure><\/div>\n\n\nLearn What Your Ideal Customer Needs<\/h3>\n\n\n\n
Best Ways To Locate The Need For Services<\/h4>\n\n\n\n
Stand Out From Other Service Providers<\/h3>\n\n\n\n
![\"Never](\"https:\/\/getzendo.io\/wp-content\/uploads\/2021\/05\/HowToSellServices_standing-out.png\")
<\/figure><\/div>\n\n\nHow To Get People To Buy Your Services<\/h2>\n\n\n\n
Put That Social Proof To Work<\/h3>\n\n\n\n
Get Communicative<\/h3>\n\n\n\n
Individual Identification & Communication<\/h4>\n\n\n\n
![\"A](\"https:\/\/getzendo.io\/wp-content\/uploads\/2021\/05\/HowToSellServices_communicating2.png\")
<\/figure>\n\n\n\nPowerful Proposals<\/h4>\n\n\n\n
Make It Easy To Purchase Your Service <\/strong><\/h3>\n\n\n\n
Consider Pricing Tiers<\/h3>\n\n\n\n
Offer Great Customer Service & Follow Up<\/h3>\n\n\n\n
![\"Zendo](\"https:\/\/getzendo.io\/wp-content\/uploads\/2021\/05\/HowToSellServices_zendo-communication.png\")
<\/figure>\n\n\n\nLearn From Your Mistakes<\/h3>\n\n\n\n
What Is The Best Way To Sell Services<\/h2>\n\n\n\n
Best Game Plans For a Service-Based Business<\/h3>\n\n\n\n
What To Stay Away From<\/h3>\n\n\n\n
![\"\"](\"https:\/\/getzendo.io\/wp-content\/uploads\/2021\/05\/HowToSellServices_infographic1.png\")
<\/figure>\n\n\n\n