How to Choose & Create a Profitable Service Offering for Your Online Business

New business owners are often willing to work with any clients, but long-term success requires a more selective approach. Of course, there’s no harm in securing an income or gaining valuable experience when you first start out! (Beggars can’t be choosers, right?) But, eventually, you want to choose a specific service offering to highlight your expertise and take your business to the next level.

Why is a Service Offering Valuable to Your Business?

The right service offering will attract your ideal clients and drive up sales! It can also lead to greater happiness and sense of fulfillment, which were likely important goals when you set out on your independent professional journey.

Even if you already provide valuable services to your clients, it can be tricky to identify the most lucrative, beneficial avenues. Trust me! The time you take to figure it out will be worth your while.

Related: 5 Simple Steps to Finding Your Niche as an Online Service Provider

If you narrow your services to something you do consistently well, you can expect higher client retention ratings and steady referral traffic between old and new buyers. On the other hand, not all of your favorite service offerings will be in high demand. 

For example, a funnel builder wouldn’t necessarily benefit from a digital-imaging service offering (unless they were hoping to completely transform their specialty). Focus on a service that’s relevant—something you excel at—that your clients can’t do without! 

What Service Offering is Right for You?

Don’t be overwhelmed by the countless virtual services already in circulation across the Internet! Choosing the best option for your business is easier than you think. Pick something that highlights your unique skills and professional focus.

Here are three things to consider:

Decide Which Service Offering You’re Most Passionate About

It’s essential to consider which service offering is in high demand for your industry. But it’s just as important to advocate for tasks you actually enjoy. You’re more likely to experience success if you’re happy and excited to begin work each day!

If you already offer services, check your sales data to figure out which are the most popular. Believe it or not, you don’t need to offer more than one “golden service.” Niching down to a single service offering allows you to be seen as a true expert. 

 Focus on the Clients You Want to Work With

The service offering you choose should cater to your target audience. Consider your ideal client’s interests, needs, and budget. What reasons might they have to accept or decline your offer?

Decide a few things:

  • Who controls the timeline for your services?
  • Do you prefer working on daily tasks or creative, long-term projects?
  • Will you work completely remotely or in-person from time to time?
  • What will your complete offer include?

If you’ve already worked with clients in the past, dig into your client history data and see if you notice any trends. Your most loyal clients may have things in common to help you tailor your marketing strategy.

Related: How to Find Clients: 9 Powerful Strategies to Bring In New Leads

Price Your Service Offering Accordingly

Consider every expense necessary for your success with your new service offering. For example, a digital marketer might need a specific type of computer software to fulfill service requirements. 

Next, seriously consider the value of your time. If your service offering is particularly labor intensive, don’t short change yourself! Set boundaries to prevent overlap between your service work, other tasks, and your personal obligations.

Make sure a small percentage of your service price goes towards any overhead that your business has, like your website and technology costs. Then ensure you’ll make a healthy profit. 

Related: 3 Key Types of Pricing Strategies You Can Use as a Service Provider

Pro tip: Remember, you have to pay yourself a livable wage. Figure out how much money you need per year in order to support your lifestyle. Calculate how much you need to make per month and how many offers you need to sell in order to hit your goal.

Keep an Eye On Your Service Offering Metrics

The numbers won’t lie! Reevaluate your pricing strategy once or twice a year to ensure your service offering is yielding the results you want (and deserve). Check your monthly income and expense reports to make sure you have a healthy profit margin.

Your data will show you when it’s time to celebrate or make adjustments.

Selecting the right service offering for your business can make you happier and more profitable in the long run. Use your data to uncover the best options for you and your target clients.