Now is the perfect time to start your own service business. The service economy is flourishing and accounts for 77.6% of the GDP of the United States. A startup based on professional services is far easier and cheaper to get off the ground than a product-based business. There’s no product design, no manufacturing, no inventory, and no coding needed. Despite the advantages, getting a service business off the ground can be both daunting and exhilarating. You will know you are on the road to success when you pass that first milestone – landing your first client.
Landing that first paying customer validates your business idea and starts the momentum for growth. But before you can sign your first client, you must establish a strong foundation for your new service business. It pays to take the time to develop a business strategy and implement the components you need for sustainable success. It also pays to formalize your business. Consider creating an LLC to protect yourself, and establish a business address, telephone number, and email address.
Create Your Brand
To get started, settle on a name for your business. Check with the state or do a corporate search to see if your business name is available as an LLC. Also check to see if you can buy a domain name for your business. When choosing a business name, be sure to consider branding, marketing, and SEO possibilities.
Before you can attract your first client, you need to articulate your value proposition, which is the foundation of your brand. What service do you offer, what makes it valuable, and why is your offering better than someone else’s?
Your value proposition explains why customers should choose you. Write down your value proposition, concisely describing how your service solves a specific problem or improves a situation for your clients. Highlight what makes your service different and the benefits of using your service. For example, if you offer home services, such as landscaping, roofing, or plumbing services, your value proposition should differentiate you from your competition. Build your value proposition around brand promises such as fast, courteous service and satisfaction guarantees. Consider what your target customer wants from your service, such as guaranteed pricing. Also consider incentives to reinforce your value proposition, such as a first-time customer discount.
Next, identify your target market. Create a profile of your ideal clients, including their specific needs and where to find them. Do some market research to understand your target client better. Then draw up a client persona that includes demographics, needs, pain points, and preferred communications channels. The more you know about your clients, the easier it will be to tailor your market messages to bring in more business.
Once you have defined your brand, you must present it to the world, starting with a website. Your website should be uncluttered and easy to navigate, clearly explaining your value proposition and showcasing your expertise. Be sure to include multiple ways for customers to reach you via email, phone, and social media.
Social media profiles also build brand awareness. Choose the best social media channels to reach potential customers and create profiles for your services. LinkedIn is a logical outlet for reaching business professionals if you offer professional services. If you provide consumer services, target Facebook, Instagram, TikTok, YouTube, Pinterest and other channels. Don’t forget platforms such as Nextdoor for local services. Maintain an active social media presence to show off your expertise.
Getting the Word Out
Once you have created an online presence, including channels for customers to contact you, the next step is to attract new clients.
The easiest place to start is with your existing network. Word of mouth is a powerful marketing tool. Tell your family and friends about your new business and ask if they know someone who can use your services. Personal recommendations are always more powerful because they come with a degree of trust.
Use your social media channels to promote your business. Most social media sites won’t allow you to directly promote your business, but you can get attention by sharing your expertise. Offer expert commentary on topics related to your service area. Use free social media resources such as Craigslist, Nextdoor, Facebook Groups, LinkedIn Groups, Reddit, and Quora.
Cold calling is a necessary part of building a business. Research potential clients in your target market and identify the right decision-makers to contact. Social networking sites like LinkedIn let you target contacts by industry, title, and other criteria. Be sure to customize your pitches and demonstrate you understand the prospect’s business and are ready to solve their problems.
Also consider contacting other service businesses in your area. They may have more work than they can handle and might consider white labeling your services. Or consider how your services might complement other services. For example, if you do mold remediation and repair water damage contact local plumbers, or if you offer tree trimming services talk to local landscapers.
As the number of gig workers grows, service marketplaces that match service providers with potential clients have emerged. You can bid for freelance contracts on LinkedIn and Indeed. You can also join online freelance marketplaces like Upwork, Fiverr, and Freelancer to bid for projects. After getting some traction, look towards specialized sites such as Clutch to list your business and highlight customer reviews.
As your business and marketing budgets grow, you can experiment with paid advertising to bring in new business. If you rely on web search to attract new customers, consider investing in Google Ads. Google Ads allows you to create ads that target people interested in your service, and you only pay for each clickthrough. All social media platforms also have ways to pay to boost or promote posts. Test carefully, review the analytics and determine which ads and which channels drive the most ROI.
Maintaining Business Momentum
It takes persistence to land your first client. Continue to reach out to potential clients. It takes an average of eight touchpoints to convert a prospect, so be patient. Touchpoints can include social media outreach, email contact, providing educational material, direct mail, customer surveys, and other tools. Choose touchpoints that best suit your business and plan to try to reach prospects eight times over 30 days.
When you land your first client, delivering exceptional value is crucial. Satisfied clients become repeat customers, and they spread the word about your services. Ask for feedback and look for ways to improve your services. Also, ask for customer references to post on your website. Building an excellent reputation will help you acquire new clients and pave the way for long-term success.
When you start a service business, landing your first client requires strategic planning, proactive outreach, and exceptional service delivery. You can attract and land that first client by defining your value proposition, narrowing your target market, and leveraging your online and offline networks. It won’t happen overnight. Persistence and professionalism are essential. With dedication, a clear understanding of your clients, and a strong foundation, you will soon have a thriving service-based business.
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