When it comes to looking for more ways to bring in extra revenue, most owners don’t even think to look inside their own business.
Apple went from being known as the brand that sold personal computers in the 80s to now having a plethora of similar yet distinct products. Now they have phones, mp3 players, tons of different computer peripherals, software — the list just goes on. Starbucks has further monetized their coffee lovers with merchandise like tumblers and even selling the flavored syrups they use in their coffees as a separate product. Even chefs like Giada de Laurentiis went from having a cooking show to now her own line of cooking ware and pasta.
See where we are getting at? Line extensions. What else can you sell to your current market that doesn’t involve an entirely new product? Your customers have a wide range of needs, and if you’re only serving a small portion of it, you’re not taking advantage of the easy money they could be giving you.
Let’s say you’re a local martial arts training school. You sell classes, the branded uniform and maybe even sparring gear. What if you started producing DVDs for those who aren’t local, or even online videos as extracurricular training for your current students?
Even a local plumbing service could benefit from line extensions. Do you get certain tools or parts at a cheaper price? Sell your customers an at-home tool kit that they can use to fix small leaks on their own (this may sound counterproductive, since you want them to call you in times of need, but by empowering your customers, you build trust, which will lead to greater returns later in business).
Or you own a floral shop. Do you sell greeting cards? If you already have a graphic designer working on your website and branding collateral, hire them to produce some exclusive greeting cards for you.
You get the point now. Look deep into your business, your customers, your inventory, your staff. What talent can you harness and make into a new product? What other needs do your customers have that you can accommodate? What other ways can you package your products so it looks and feel different?
Extending your product line can be a viable and quick way for any business to bring in extra income. If you need help brainstorming on innovative ideas, contact us for a free consultation today.