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Productise your service business and make more money

Productise your service business and make more money - Guide My Growth

Let’s say you are a business that offers professional services to other businesses and private clients. For example, marketing or business consulting. You charge $30 per hour. You do 38 hours of client work per week, meaning that you make $1140 per week and almost $5000 per month. In addition, you have your business administration and other things that you need to attend to.

To scale your business, you bring in somebody to help you with the work. This will add some revenues, but your costs will also increase because you are now paying a salary. You are also dealing with management issues related to having staff. Plus, your growth is limited to the number of hours that this person is able to work.

Another way to scale your business, is to start working with retainers or subscriptions. You can review the most common business models for service businesses here.

Again, this will increase your revenue, but there is a limit. You cannot take on 50 retainers per month and still deliver the quality that your customers expect (or find time to sleep). And if you bring in more staff, the same applies. Their time is limited to a maximum and with every staff member that you add, you get additional managerial issues.

As long as you are exchanging your time for money, your revenue will be limited. One way to change this is to productise your services.

This article will explain how to productise your service business and make more money.

What does it mean to productise a service?

Productising a service means to package and sell the service as a product. For example, you creating a standard package of services for which you charge a fixed price.


  • A graphic design agency creates a standard package of business services that includes the design of a logo, business card and company letterhead. Instead of offering these services one by one or giving discounts if a customer buys two or more, they sell this package for a fixed price.
  • A training company offers group training sessions about personal development to businesses and NGOs. They productise their services by creating a personal development package that helps participants achieve a specific goal. Their basic package contains 5 training sessions, offered at a fixed price.
  • An agripreneur offers consulting services to farmers. They productise their services by creating a standard package of services to help smallholders access business loans.

Benefits of productising a service

Productising a service offers various benefits to business owners.

Increased predictability and stability

Productising allows service business owners to achieve more predictable revenues by selling a standard package of services at a fixed price. This fixed price could be a one-off price for the package or even a subscription.

This strategy can make it easier to plan finances and make long-term business decisions.

The customer also benefits from this predictability. Since they are buying the package at a fixed price, they can be sure of what they are getting and how much it will cost them. There are no added costs, unless the client wants something that is not included in the package.

Improved scalability

If you productise your service business, it also becomes easier to grow the business. This is because the standard package of services can be sold to multiple customers. This can help increase the customer base, leading to higher sales and more profit.


  • The previously mentioned graphic design business could create multiple types of packages that build on each other. This could include a marketing package or a website design package.
  • The training provider could introduce multiple personal development packages at various levels. The medium level could include 10 training sessions, while the advanced level could include 12 training sessions plus 3 coaching sessions. Of course, the prices would be higher than for the standard package.
  • The agripreneur could introduce additional service packages, based on needs that they have identified among the farmers and smallholders. This could be offering a package of legal services or a package with training sessions about sustainable farming practices.

Increased efficiency

Productising helps service businesses streamline their operations by creating a standard package of services that can be delivered consistently and efficiently. This can help improve the bottom line by reducing costs and increasing productivity.

In summary, productising helps you generate more revenue and grow your business faster.

What are the cons of productising?

Productising also has a few downsides that you need to take into consideration.

Limited flexibility

Productising can limit the flexibility of your business. Because if you only offer standard services, it will be difficult to meet the specific needs of individual customers.

This disadvantage can be avoided by offering custom solutions to customers who want more than what is in the package.

Increased competition

Productising can lead to increased competition because it becomes easier for other service businesses to start offering similar packages.

You can avoid this by making sure you have a unique selling proposition that cannot be easily copied and by building a strong reputation for quality.

Limited differentiation

Productising can make it harder for service businesses to differentiate themselves from competitors on the market, because you are offering a standard package of services.

You can address this by making sure you have a strong value proposition that is based on identifying your Most Profitable Customers and having a solid understanding of what they are looking for.

How to productise your service business

These are the steps to follow if you want to productise your service business.

1. Identify the core service that you offer

Identify the core service that your business offers. Define it in a clear and specific way.

2. Create a standard package

Develop a standard package of services that includes the core service and any additional services that are commonly requested by customers.

3. Set a fixed price

Set a fixed price for the standard package of services. When you determine the price, take into account the cost of providing the services, as well as any additional costs such as materials or equipment.

4. Develop a sales process

Develop a sales process for the standard package.

Make sure that you have identified your Most Profitable Customers so that you know who to target and then test various marketing strategies to determine which ones are most effective.

5. Continuously improve

Continuously review and improve the standard package of services.

One way to do this is to actively ask customers for feedback so that you can fine-tune the package according to their needs. This will also help you distinguish yourself from competitors.


Productising a service business can be a good way to get more sales, increase your profit and grow your business faster.

By following the steps outlined above, you can productise your business in a way that works best for you and your target market.

However, if you choose this strategy, don’t forget to continuously review and improve your standard package of services, by getting feedback from customers and fine-tuning it according to their needs.

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