Why Productize A Digital Service?
Productizing your service allows you to put an end to freelancing and custom proposals. End the time-for-money exchange between you and clients. Productizing is a systemized approach to selling and scaling online services.
What Does it Mean to Productize a Service?
Productizing a service is a lot like it sounds. Products have a set price and detailed description. Upon purchase, the customer expects to receive exactly what that description specifies, no more and no less. A service can be packaged/bundled and sold similar to how any physical or digital item is sold. This makes providing the service easier and reduces managerial headaches.
Having trouble visualizing a productized service? A design service could offer unlimited design requests for a monthly price. A podcasting service could provide 2 podcasts monthly. Or a marketing company could sell advertising at a one-time cost.
Productizing aligns customer expectations. Your projects stay within the boundaries specified and scope creep becomes a thing of the past. Drafting custom proposals and lengthy contracts will no longer take your time and energy. As a service provider familiar with the struggles of outsourcing to a team, you will appreciate the ease of running a productized service.
The Benefits of Service Productization
Precise Requirements and Expectations
Your product can be described thoroughly with examples and sample reports. Customer expectations are set and project requirements are known.
No Consulting or Time Exchanged
Consulting is a profitable approach but its time-for-money exchange nature makes productizing a more profitable and passive business.
No Contracts or Custom Proposals
With contracts, your sales process becomes exhaustive for every client, proposals take hours to draft and your business is far from a systemized process.
Once you make the move to productize, the systematic nature of the service allows for rapid growth. You are free to scale and grow your team as the orders increase.
Productizing your service allows you to use software like ours which is a huge improvement to spreadsheets, e-commerce and order form tools.
As your product evolves into a system of procedures, you can increase automation as you scale. Outsourcing and using technology is easier when productized.
A Productized Service Is Ideal For:
Freelancers & Service Providers
If you sell services online as a freelancer or digital service provider, productizing allows you to create order forms, accept payments and have a back-end communication platform for your business.
Agencies and Digital Brands
Need a better way to manage your agency or digital brand? Productizing can help you manage your team, handle orders and track projects throughout their development.
Why Startups Are Choosing Productized Services
A service is a complete, done-for-you delivery model that appeals to buyers.
Scaling and driving revenue is easier, more passive and less involved.
Competition is low and productized services are in their infancy.
Service subscribers are less likely to cancel compared to software and other products.
Your first few paying customers serve to validate your idea/service.
A productized service allows you to create an automated system for your business.