We all have our strengths when it comes to business development and sales. Some companies I reach out to recognize that my expertise is extensive and can apply to just about any industry or project (at least I think so).
However, I’ve also reached out to companies that think my experience doesn’t translate to their business unless you have worked within their industry. Of course, I don’t necessarily agree.
So do you concentrate on a niche or not?
To be perfectly honest, I am torn. I was very niche oriented years ago with Travel and Tourism. It was my background and so many of my referrals came from within the travel and tourism industry. In July 2011 though, my accountant and I had our mid-year review and he expressed concern that I was too heavily concentrated in one industry. I was naïve at that time and stated, “It’s not just one company it’s 10!” what could possibly happen to affect an entire industry?
Diversification within a Niche is Not Enough
And then 9/11/01 happened. Travel and tourism came to a standstill. I lost 80 percent of my business overnight, with several very large contracts cancelling (writing a check to return a large deposit was extremely painful). Granted, much of it came back, but some not nearly at the levels that they had been previously and it took years for that market segment to recover.
Luckily, even though I was naïve, I had taken my accountant’s advice and had started to introduce myself to some other key industries, like Education and Healthcare, that summer of 2001. And slowly over the next couple of years I was able to diversify nicely outside of travel and tourism.
Now, though, I am once again feeling the pull of concentrating on a few niches. While I have a wide variety of clients in industries and size, my bread and butter is in those three industries: travel and tourism, healthcare and education (universities). When I meet new prospects in those industries they seem excited that I have extensive experience in their fields. They have even stated that they are relying on me for best practices as well as sharing what others might be doing (these are not competing companies – we obviously won’t share strategies and tactics of competing brands).
Experience and Education Count
I actually just landed some new business with a company in travel and tourism. They were excited about my cruise industry experience because they support that industry. They indicated that they felt I would be up to speed faster because they didn’t have to “educate” me. And I was just asked to participate in two separate RFPs, one in healthcare, one in Education. Hence, my question, do I stay so focused on my niches?
Understanding your clients’ or prospects’ industry is definitely a benefit that you can tout – and I do and will. And of course, I am going to go all out to win all the new business in those niches that comes my way. However, I am also thinking I need to expand my diversification further, yet again.
So, is it possible to become an expert without actual experience in a particular field?
Research is Crucial for Industry Expertise
Of course, my answer is yes. However, I do realize that it will take some education and research to gain that expertise. I’ve decided that before I even think about approaching a new industry that I’m going to spend a good amount of time researching the market and understanding the trends, best practices, competitors, types of programs they currently promote and how my broad experience can be their solution.
Then, I will research what their key annual events, programs and celebrations are for that industry and how we may be able to utilize them in our pitch. I’ll then focus on the top companies in that field to determine where I want to start my campaign (Do I know anyone there already? Do I have LinkedIn connections – who knows who that I may know, so to speak?). And of course, I’ll start following the companies on social media so I can gain a better understanding of their focus and style.
Then I’ll dive deeper into one or two companies to determine if they are getting ready to celebrate a milestone anniversary or are introducing a new product or service, or if they opening a new division or office.
After all the research, I’ll be better equipped to develop a few unique concepts to demonstrate that I understand their business and can help them stand apart from their competitors or with their prospects and customers.
Recognize It as a Long-Term Plan
In my research I will also look for a few smaller prospects that I can pursue to gain more experience before I introduce myself to the larger companies. Yes, this is a long term plan. However, I am not looking for just a project or two but the longevity that I’ve experienced in my bread and butter niches. Most of which have been with me for more than 15 years, now that makes the effort that’s worth my time.
Danette Gossett is the founder of Gossett Marketing, co-founder of Promotions Rescource LLC and co-author of the best-selling book "Transform" with Brian Tracy. Danette utilizes her more than 30 years of advertising agency and corporate marketing experience to develop effective promotional campaigns and products for her clients. Visit GossettMktg.com or SalesPromo.org and follow us on twitter @MarketngTidbits.