Tag Archive for: Proprietary Process

Scale Your Proprietary Process!

How? 

With eCommerce. 

Let’s discuss further. 

eCommerce Answers the Call

Proprietary Process

Yes indeed, eCommerce allows you to Scale Your Proprietary Process.

However, before we discuss eCommerce, let’s take a look at your business. 

For years, possibly your business’s entire existence, as a custom manufacturer you have made parts or products for other companies.

Similar to most businesses, there are significant pros and cons to this business model.

For instance, a custom manufacturer or job shop typically works with a limited number of customers. 

Unfortunately, many contract manufacturers rely too heavily on just a handful of customers who represent a large portion of revenues.

Time and time again a small job shop lives at the mercy of one or two big customers.

In some cases, a single customer potentially speaks for more than 50% of revenues. 

As a result, the custom manufacturer exists facing a rather large vulnerability.

Meanwhile, the job shop becomes an extension of their customer’s business. Partners if you will.

As a manufacturer, you invested heavily in all of the necessary tools, equipment, and machinery.

Additionally, skills and expertise are developed along with creating a highly trained staff.

Produced these parts and widgets over and over.

Actually, you and your staff could make these products blindfolded. In your sleep.

Suddenly at absolutely no fault of your own, the business dries up.

That one large customer goes away. Vanishes.

What happened? Could this have been avoided?

Did you see this coming?

Otherwise, were warning signs ignored?

Your accountant or business advisor points out this vulnerability over the years and begs you to diversify.

Everyone in the company knew if this particular customer ever packed their bags you would be in deep trouble.

Unfortunately, when that painful day arrives, now what? 

Related Article: 8 Steps to Conquer the “Job Shop Challenge” with eCommerce

 

Exploit Your Proprietary Process 

Marketing is typically not a strength for many custom manufacturers. 

Especially in the digital age. 

Selling to a handful of customers creates an environment where marketing for custom manufacturers is commonly not a top priority. 

Mainly due to the fact that a majority of energy, resources and time are all exhausted on nurturing the handful of existing customers. 

To overcome being at the mercy of serving just a few customers, many custom manufacturers long for a proprietary product. At least a majority that I encounter. 

That is to say, a proprietary product that they can call their own.

However, inventing a new product line or creating a better mousetrap comes with many risks. 

Especially with the high cost of engineering, new product design as well as the expense of attempting to market a new product. 

Excitingly, another option exists.

Above all, this solution keeps you in your wheelhouse and allows you to exploit what you do best. 

Scale Your Proprietary Process!

In other words, convert your proprietary process into a proprietary product line

So, something to strongly consider: Are your current customers the ONLY businesses that need your product?

Also, would your business be much better if you had your own product line to manufacture?

A product line where you could narrow your focus.

Capitalize on the expertise that you and your team have built over the years.

Capture economies of scale.

Create new opportunities and open new doors. 

Maximize your machinery to full capacity.

Most importantly, focus on selling your existing products to new customers in other industries.

Thus diversify to help broaden your base while drastically reducing a major vulnerability.  

Related Article: Captain Your Ship! eCommerce Helps You Stay in Your Wheelhouse

Steps to Scale Your Proprietary Process with eCommerce

Let’s take a look at steps to Scale Your Proprietary Process: 

1) Identify your greatest strength: Identify the product where you deliver the highest value as well as possess the strongest competitive edge over your competitors.

2) Narrow the menu: You cannot be everything to everyone. For example, use the 80/20 Rule. The 20% that generates 80% of your sales plays a critical role as an excellent starting point.

3) Create a product line: Once you identify the products that make the most sense and most importantly, most potential cents, create a product line. As the manufacturer, you can add dozens of products to your eCommerce website without actually producing a single unit. Just-In-Time is alive and well. 

4) Calculate Customer Pricing: The same procedure had a customer submitted a new RFQ. 

5) Add eCommerce to your existing website: Talk with your web designer about adding an eCommerce shopping cart to your current website. 

6) Take Product Photos: Make up a few products that you decide to start with. Take photos of these products to place on the website. You can even use your phone. 

7) Detailed Product Description: Provide all detailed product specs. For example, sizes, dimensions, raw material, as well as any certifications. 

8) Accept Credit Card: One of the many amazing benefits with eCommerce, no receivables. Scaling your proprietary process with eCommerce offers the opportunity to be paid before products are shipped. 

9) Market the heck out of your website: Study, learn and grow into a guerilla marketer. Otherwise, team up with an aggressive online marketing firm. 

10) Join Online Marketplaces: For example, Amazon, Digi-Key, Walmart, Zoro could each become your new best friends. 

11) Test: Test, test, test. Explore, experiment, learn as well as grow while discovering your sweet spot. 

Congrats! You are now an eCommerce Rock Star! 

Wrapping It Up 

Thanks for reading this post. 

Hopefully, you found this helpful as you begin your eCommerce journey. 

Also, check out our eCommerce Checklist: eCommerce Checklist: Manufacturing eCommerce Strategies

Lastly, for additional helpful articles, please click these links below: 

 

Focusing on your core strengths for your keyword strategy plays a critical role in executing a successful eCommerce strategy. 

Especially since targeting your core strengths allows you to better market and brand your business by beating the drum of your specific area of expertise.

Maximize what you know best!

Staying in your wheelhouse also allows you to distance yourself from the competition. 

Remember, there is NO ONE who knows your proprietary process better than you.

Capitalize on Scaling Your Proprietary Process where you have the tools, resources, equipment, machinery, staff, experience, as well as a system in place to tackle customer needs.

Especially as a custom manufacturer where you make parts for other companies such as OEMs as well as provide components that go into a finished good.

As a result, focusing on these specific parts and products provide much greater ammunition for you with your keyword strategy.

Related Article: Hey Manufacturer, Let’s Scale Your Proprietary Process with eCommerce

Core Strengths = Keyword Strategy 

So we have determined that plenty of potential customers would greatly benefit from your expertise who simply do not know that you exist

Not yet anyway. 

The fix?

Start promoting your proprietary process as a proprietary product.

So, how can you convert your proprietary process into a proprietary product?

You may find it difficult to pick a direction or one specific process.

Many of my clients find it challenging to pick one process from their menu. It is like picking your favorite child.

You feel that each area of your business is vital.

However, let’s take a look at your top process.

How?

Do a SWOT on various areas of your company.

Where do your core strengths exist?

Another critical consideration, what does the market NEED?

Many entrepreneurs (including me) confuse what we THINK the market wants as opposed to the market actually NEEDS.

Let’s break down each category to explore possibilities.

First, identify the industries that your customers service.

In addition, is there another industry that purchases components that you produce? Or something similar?

What is the name of that part? Do other industries use another name for that part?

Scale Your Proprietary Process with eCommerce Formula

Therefore, below includes a very simple “Scale Your Proprietary Process with eCommerce Formula” that is full proof: 

Experience + tools + equipment + staff + suppliers + raw material + resources = Your Proprietary Process 

To take it one step further: 

Your Proprietary Process + eCommerce = Scaling Your Proprietary Process with eCommerce 

As we work on your keyword strategy, starting thinking about all of the terms that an ideal customer (soulmate) would type into a Google search. 

That’s the direction we need to head. 

Related Article: Hey Manufacturer, What’s on Your Menu? Perhaps a Plate of eCommerce?

Keyword Strategy for Custom Manufacturers 

To make a comparison for manufacturing, let’s consider a keyword strategy for your company.

For example, if you want to rank for “custom manufacturer” we would face an uphill battle.

Google shows over 600 million webpages for “custom manufacturer”.

“Job shop” produces over 3 BILLION webpage results on Google.

More importantly, that is such a broad phrase any leads that you do attract would likely not fit what you actually do.

We want to promote your specific proprietary processes.

“Custom manufacturer” just isn’t going to produce positive results.

To dig deeper, let’s say you fit a specific industry.

Generic Keywords Will Likely NOT Drive Healthy Leads 

Take a look below at each industry and the number of Google webpage results:

  • CNC Shop = 132 million webpages 
  • CNC Machine Shop = 83 million webpages 
  • Sheet Metal Manufacturer = 213 million webpages 
  • Metal stamping = 394 million webpages 
  • Metal Fabrication = 1 billion webpages 
  • Tool and Die = 2.5 billion webpages 

If you want to rank organically on Google for any of these phrases above, good luck. 

You have a massive mountain to climb. 

Sorry to be pessimistic, “half-empty” or discouraging. 

We just want to take a much more productive and impactful strategic approach that will generate quality leads, sales and ultimately profits. 

Now you might think well, we are a “CNC shop” and that is what we need to target. What do I do now “Mr. Negative”?

First, typically broad keywords are outrageously expensive on Google Ads. Trust me, Google possesses plenty of cash and does not need your donations by implementing a wasteful keyword strategy. 

Secondly, unless you hire a world-class SEO firm, landing a first-page ranking on Google organic search for generic terms seems highly unlikely. 

Additionally, these terms are so broad that you are most likely to receive plenty a bad leads even if you did show up on Google search results. 

We need to narrow the category. 

Finding your sweet spot of expertise allows you to target that specific keyword to help you dominate search.

Related Article: 8 Steps to Conquer the “Job Shop Challenge” with eCommerce

Wrapping It Up 

Thanks for reading this post. 

Hopefully, you found this helpful for your eCommerce journey. 

For additional information, please click links below: