1. Its Customer Management
This involves tailoring your service offerings to meet the specific needs of your target customers. When your service offerings cater adequately to the needs and desires of your target customers, you’ll be able to get the most value for your services. Customer management can be done by setting up an efficient and effective customer service department to cater to the requests and needs of customers. It can also be done by setting up efficient self-service options to clients, and basically making your customers feel safe every step of the way in their business and financial transactions with your company.
2. Its Offering
This is a very important aspect that service businesses need to get right. A service business can’t last long with a flawed service offering. The service offering of a service business should effectively meet the needs and desires of target customers, and should also be able to support the longevity of the business, not cripple it. In other words, a service business should be able to find a balance between getting its service offerings to satisfy consumers and sustain the business at the same time.
3. Its Funding
A good funding mechanism is needed to sustain a service business. One great thing about a service business is that it’s not particularly capital intensive, however to sustain the business you can’t afford to have a weak funding mechanism. Pay attention to how you charge your customers and have a basis on which you charge them for your services. For example, will it be based on quality like Starbucks, for which you can decide to charge a premium on your competitive advantage like Starbucks does etc. Also, you should find ways to enhance customer experience while spending less.
4. Its Employee Management
The wealth of a service business is its employees. This is because a service business depends heavily on the knowledge and skills of its workforce. It is therefore important for service businesses to ensure that employee management activities like recruiting, selection, training, job design etc., are good enough to empower employees to deliver excellently and efficiently on your service offerings. This will help you build a great image for your business, help with word-of-mouth (since customers will hardly be able to stop talking about your great services), and can be the basis on which you charge a premium on your competitive advantage of excellent and efficient service offerings.
