Service companies are glorious for producing money movement, however they are often troublesome to scale and require in depth consumer communication. 

Productized companies are a well-liked various to the normal service enterprise mannequin as they are typically extra worthwhile and simpler to function.

This publish explains the advantages of productized companies, supplies some examples of what a productized service is, and offers you step-by-step directions on methods to create your personal productized companies. 

What’s a Productized Service?

Service companies often contain exchanging labor and experience for cash. Businesses, freelancers, and even attorneys and plumbers are all thought of service suppliers as a result of they alternate time, labor, and experience for cash.

Most conventional service companies work with the consumer to find out the mission scope after which draw up a proposal for the consumer. 

Productized companies are predefined packages created by the service supplier that state what work they are going to ship and when. From the shopper’s perspective, they’re shopping for the top consequence (e.g., the finished web site) they need fairly than paying a service supplier to work on a customized mission. 

Right here’s an actual instance of a productized service. This freelancer is providing a four-page, responsive web site with a responsive design for $450.   

Under an instance of a freelancer that makes use of the service based mostly enterprise mannequin. 

Right here’s an instance of a freelancer utilizing the normal service enterprise mannequin. Purchasers can inform him what they need, he’ll draw up a proposal, they’ll negotiate, after which he’ll cost $100 per hour to work on the mission.  

This extra friction and work required from the consumer tends to harm conversions. 

What Are The Advantages of a Productized Service? 

Productized companies could seem similar to the normal service enterprise mannequin, however the refined variations can influence what you are promoting’s profitability and your stress degree.

Listed here are a couple of of the highest advantages of a productized service.  

Shut Purchasers Quicker

From a consumer’s perspective, it’s a lot simpler and quicker to buy a service (web site, search engine optimization audit, and many others.) with one click on fairly than reaching out to a service supplier (freelancer, company, and many others.), pitching them the mission particulars after which ready for a pricing quote. 

Consequently, it’s simpler so that you can begin the mission and requires much less consumer communication. 

Keep away from Mission Scope Creep

Many purchasers will ask for extra revisions and favors throughout the mission if it isn’t clearly acknowledged beforehand. Consequently, the service supplier typically works for hours with out pay, or a consumer dispute arises.

As every proposal is customized in a conventional service enterprise, it’s pretty widespread that service suppliers neglect to stipulate gadgets that aren’t included within the deliverables.

Then again, a productized service is far more clearly outlined, stopping awkward conditions.

Should you don’t specify forward of time what’s and isn’t included within the mission, you might find yourself working for a lot of hours with out pay. Or, you might have an ungainly state of affairs the place the consumer is disgruntled as they imagine particular issues had been included within the authentic quote.

With a productized service, all of those particulars are specified within the package deal forward of time, which helps you keep away from mission scope creep.

Scalability

If every mission is personalized for a distinct consumer, you’ll must create a brand new workflow for every mission, which takes extra effort and time.

For instance, in case you’re designing an internet site on WordPress for one consumer, Squarespace for an additional consumer, and GoDaddy for an additional consumer, you’ll want to determine a distinct workflow for every.

Even you probably have the talent set to construct an internet site on every platform, you in all probability gained’t navigate it as rapidly as in case you solely construct web sites utilizing a single theme on a single platform.

It’s additionally a lot simpler to scale a service enterprise you probably have a documented, repeatable workflow that workers can comply with.  

Earn Extra Cash

Productized companies make it straightforward for shoppers to make a purchase order immediately. Consequently, you’ll in all probability make extra gross sales as a result of many shoppers will purchase on impulse. 

Along with incomes extra complete gross sales, productized companies additionally will let you earn more cash for each hour labored. It’s because every mission you full would be the similar (fairly than customized), permitting you to create a typical workflow.

After getting a typical workflow, you’ll full the initiatives a lot quicker, permitting you to cut back the time you spend engaged on a mission whereas nonetheless incomes the identical quantity per mission. 

Moreover, you’ll discover that shoppers are far more inclined to pay a big lump sum of cash for a delivered product (like a accomplished web site) than a excessive hourly charge.

For instance, paying $5,000 for an internet site might not appear unreasonable, although paying $1,000 per hour for an online developer could seem excessive – even when it solely takes 5 hours to finish the web site.  

Examples of Productized Providers

Listed here are only a few examples of conventional service companies that had been reworked into productized service companies.

Graphic Design Providers

DesignJoy is a productized graphic design service that generates over $1 million yearly and is operated by a single particular person, Brett Williams.

To provide you an summary of the way it works, prospects subscribe to his service after which can request a selected design. 

They obtain the design in about two enterprise days, after which he’ll make any requested revisions. 

The fundamental subscription is sort of $5,000 monthly, and the professional subscription is sort of $8,000 monthly.  

The membership pricing mannequin permits Brett to earn recurring income, which provides stability to his enterprise and makes it extra worthwhile basically.

Moreover, as a result of individuals can cancel at any time, they’re extra probably to enroll than in the event that they needed to signal a six or twelve-month contract.

Video Modifying

Video editors can create productized companies by providing a set variety of movies edited in a selected fashion or to a selected size. 

For instance, this quick type video editor affords three completely different packages of 10, 20, and 30 quick type content material edits monthly. 

Prospects should purchase the service with one click on, making it straightforward for the company to earn gross sales with out conducting a discovery name, drafting a proposal, and negotiating with the prospect. 

search engine optimization Audits and Providers

search engine optimization is simple to package deal as a productized service, as you may supply audits, content material, and backlinks as merchandise. 

This search engine optimization marketing consultant even broke down audits into completely different sections that shoppers can order individually. The consumer can see precisely what they’ll obtain they usually can order it with only one click on, making it quick and simple to unravel that downside and verify it off the consumer’s to-do checklist.     

Right here’s an instance of a productized hyperlink constructing service. Every pricing tier varies relying on the variety of hyperlinks monthly, they usually specify the authority of the hyperlinks supplied in addition to extra companies included. 

Web site Design Providers

Web site design companies might be productized by platform, the variety of pages on an internet site, plugins included, revisions, and design.

Right here’s an instance of a productized web site design package deal:

Writing Providers

Writers can productize their companies by providing particular content material inside a set timeframe. You’ll be able to specify the phrase depend, revision requests, and extra add-ons like graphics, search engine optimization key phrase optimization, and extra.

Right here’s an instance of a ghostwriting service enterprise. Prospects can specify if they need a junior, senior, or premium author, after which they’ll choose the package deal with their desired phrase depend and photograph depend.

Prospects then have the choice to pay a set price or they’ll select the month-to-month recurring price.

Authorized Providers

Even attorneys can supply productized companies. 

For instance, this divorce legislation agency affords three completely different productized uncontested divorce companies, they usually value every package deal relying on supply timeline and the kind of divorce. 

As divorces are sometimes lengthy and complex processes, and prospects getting a divorce typically need it executed as rapidly, with the ability to buy the divorce for one set price with an finish timeline can considerably enhance gross sales. 

Actual Property MLS Providers

Actual property brokers can even supply productized MLS companies. 

For instance, this real property group affords 4 packages that owners can order with one click on. The packages embrace the place they’ll checklist the house, how rapidly it will likely be listed, and advertising and marketing supplies like flyers. 

The upper priced packages supply extra premium add-ons, like an internet success equipment, an indication panel, a realtor lock field, and extra.

How To Create A Productized Service

Right here’s a tactical, step-by-step information to creating productized companies. 

Step 1: Outline The Deliverables

To determine what companies to supply, have a look at your most in-demand companies you at present supply and consider which of them you get pleasure from executing essentially the most. 

Subsequent, outline what’s and isn’t included in your productized service. 

For instance, in case you supply writing companies and resolve you wish to concentrate on social media ghostwriting, outline:

• Which platforms you’ll write for (LinkedIn, X, Fb, and many others.)
• The kind of social media publish (thread, quick Tweet, and many others.)
• What number of social media posts monthly
• Revision requests
• Graphics included
• Calls/consultations
• Turnaround time

The extra particulars you embrace in your packages, the extra probably persons are to click on “order now” and convert as a result of they gained’t have unanswered questions.

Moreover, setting consumer expectations at first will keep away from miscommunication that may result in an sad buyer or scope creep.

Right here’s an incredible instance of effectively outlined deliverables:

Step 2: Pricing Your Packages

Providing two or three completely different packages may help enhance conversions and generate extra income as some individuals may not wish to pay an extremely premium value level, whereas others could also be keen to pay extra for a extra unique service.

There are a couple of alternative ways you may create completely different pricing packages:

• Turnaround instances (e.g., 2 day supply versus 7 day supply)
• Quantity (e.g., 5 posts versus 10 posts)
• Add ons (e.g., together with hashtag analysis, graphics, and many others.)

Some service companies additionally supply one on one calls or help, however needless to say the good thing about productized companies is that they reduce consumer communication, permitting you to scale what you are promoting with much less headache. Providing hands-on consumer communication can create a bottleneck in what you are promoting and stress you to ship greater than what’s included within the preliminary package deal. 

Another choice some productized service suppliers supply is a variation of high quality (e.g., junior versus senior author). 

The issue with providing varied ranges of high quality is that decrease high quality work can result in extra buyer complaints if it doesn’t meet their expectations. Moreover, the kind of prospects who’re curious about decrease high quality work are typically decrease high quality shoppers and are sometimes excessive upkeep.

When you’ve outlined your completely different pricing packages, supply a membership or subscription-based pricing possibility, as this may enable you to earn recurring income and in the end make what you are promoting extra worthwhile.

You’ll be able to permit individuals to cancel at any time, however they’re more likely to stay sticky prospects if it requires effort to cancel.

To incentivize individuals to pick a recurring subscription, supply a reduction. 

You probably have sufficient demand, you might completely supply subscription billing and take away the choice to position a single order.  

Step 3: Designing Your Touchdown Web page

You don’t want a full web site to promote a productized service – a easy touchdown web page is ample.

You’ll be able to both construct the touchdown web page your self or rent somebody on Upwork or Fiverr:  

As you’re constructing your touchdown web page, right here’s what that you must embrace:

1. How It Works: Clarify what you supply and the way the supply course of works. For instance, individuals might not perceive how the productized course of works, so clarify every step, what’s required from them, and after they’ll obtain their deliverables. Right here’s an incredible instance of a “the way it works” part:

2. Shopper Testimonials: Embrace examples of your work and consumer testimonials to enhance credibility. Should you don’t have any testimonials, supply to do work at no cost for a couple of influencers in your area of interest in alternate for a testimonial.

3. Key Advantages/Differenatiors: Together with a piece in your service’s advantages and key differentiators (why your service is completely different/higher than rivals) can even assist enhance conversions.

4. Your Pricing: Embrace the pricing packages you outlined above and outline precisely what’s and isn’t included in every. Use a big “order now” button for the CTA, because the phrase “order now” (versus “get began”) reinforces the profit that the consumer can verify this off their to-do checklist.

This can be a nice instance of a effectively designed pricing web page because it consists of an “order now” button and an possibility for stay chat (a low friction, quick response communication technique) in case they’ve any extra questions: 

Step 4: Create an Order and Onboarding Course of

A key good thing about productized companies is that shoppers obtain on the spot gratification after they click on “order now” and might verify that merchandise off their to-do checklist. This on the spot gratification will increase conversion charges and in the end makes what you are promoting extra worthwhile.

Subsequently, an extended and complex order course of can harm your conversion charge. 

To optimize your order course of, make the cost course of straightforward. Provide a easy cost technique individuals belief, like Stripe or Hyperlink. 

For instance, you’ll see this after clicking DesignJoy’s “Get Began” button.

After your prospects pay, the subsequent web page ought to take them to a consumer consumption type, although it’s a good suggestion to additionally ship an automatic welcome e mail that features the consumption type. 

Word: You probably have shoppers fill out an consumption type earlier than paying, you might lose conversions. All the time accumulate cost first.

You’ll be able to create a consumer consumption type utilizing Typeform, and make it so simple as attainable. In case your type is just too lengthy or advanced, individuals gained’t fill it out after which you may’t begin the mission. Should you can’t begin the mission, your shoppers will probably request a refund.

One other professional tip is to ship them an automatic onboarding e mail telling them what they’ll anticipate.

Over time, you may compile an inventory of steadily requested questions and embrace them in that e mail to reduce help.

Step 5: Create Documented Processes 

As you start fulfilling orders, doc every step of the method. Documentation makes it simpler so that you can ship larger high quality work as you’ll make sure to by no means miss any steps and also you’ll refine the method. 

Processes additionally make it simpler so that you can develop into extra environment friendly and spend much less time on every mission. 

Nonetheless, the most important profit is that clear documentation will will let you finally scale your staff and rent others to do the work with out sacrificing high quality.

For instance, in case you’re a YouTube scriptwriter, right here’s an instance of what a documented writing course of may seem like: 

For every step of the method, you might additionally create checklists. For instance, you might have a guidelines for the hook to make sure that anybody you give this transient to (together with your self) all the time delivers the identical high quality work.

These templates enhance the consistency of your work as you construct a staff, and at the same time as a solopreneur, it helps you get the work executed in much less time. 

One other good thing about documented processes is you can publish these processes as free assets to construct an viewers or promote them as programs to earn extra revenue.

Step 6: Construct an Viewers

A key good thing about productized companies is that it’s tremendous straightforward to position an order, so it’s good for changing new prospects. 

Nonetheless, meaning new individuals want to find you and your companies.

We’ve a separate useful resource on the step-by-step strategy of constructing an viewers, however listed here are a couple of professional suggestions:

1. Choose one platform, akin to Twitter, LinkedIn, or YouTube. You’ll construct an viewers quicker by posting a excessive quantity of high quality content material on one platform fairly than posting sporadically throughout a number of platforms.
2. Put up content material (associated to your service/area of interest) persistently. Publish each day in case you select a social media platform, or as soon as per week in case you publish lengthy type content material, like YouTube or a weblog.
3. Funnel individuals to an e mail checklist. The draw back of social media and different content material platforms is that you just don’t really personal your viewers. Construct an e mail checklist so to guarantee they see each bit of content material you publish. 
4. Collaborate with different trade consultants. You probably gained’t earn many followers in your first few months of posting content material, so interview consultants and incorporate them into your content material to amplify promotion.

After getting a documented course of, you may scale your companies. 

Get Extra Assist Constructing And Promoting Your Productized Providers 

These are all the fundamental steps to making a productized service, however if you need extra assist from a neighborhood of entrepreneurs, think about becoming a member of the Copyblogger Academy. 

Run by two seven determine entrepreneurs, Charles Miller and Tim Stoddart, the Copyblogger Academy provides members entry to 9 programs and a neighborhood of like minded friends. 

Members can ask questions in the neighborhood discussion board, attend accountability periods, and luxuriate in entry to unique interview content material from the world’s prime entrepreneurs. 

Be a part of earlier than we increase costs later this yr.