Diversification of your staffing services is one key to business success. Since the staffing industry is extremely cyclical, it is best to focus on more than one niche. When business in one vertical may be down, business in another vertical may be up. Continuation of your revenue stream lets you fulfill customers’ needs and keep moving forward. Of course, expansion into new fields takes knowledge, funding, and process support. Since you most likely need help with all three areas, it is best to partner with a company like Madison Resources that can provide these and other services to aid in your expansion.
Implement these tips to diversify your staffing services.
Decide on Vertical or Horizontal Diversification
Figure out whether you want to diversify vertically or horizontally. If you decide to move vertically, talk with your management team and advisors about how you can go deeper to provide your customers what they need. Also, discuss how you can advance to the next level of product or service offering for your industry. If you decide to move horizontally, talk with your management team, and advisors about what your competitors are offering that you are not offering. Discuss what the related businesses in your industry are, which niche is directly connected to yours, and which product or service offers a complimentary fit. Talk to us for additional insight into deciding which direction may be best for your staffing agency.
Grow Your Expertise
After you decide which niche to focus on, become an expert in the market. You can accomplish this by networking, researching, talking with your customers, and seeing the general trends in your area and region. Also, make sure you are equipped to provide the new services. If you are not experienced in the new niche, you should hire a recruiter and support team with extensive knowledge about the field. They can help you put systems in place to manage your expansion. As staffing industry experts for over 25 years, we can provide additional assistance in this area.
Learn from Robert M.’s Experience
Robert M. approached us when he wanted his staffing agency to expand from the administrative field to the IT field. We talked with him and his team about financing, structuring a deal with a new subject matter expert, and learning about the intricacies of the IT space.
“The Madison team came up with a plan to structure the financing for the new business, made substantial recommendations for structuring the deal with my new partner, spent hours on the phone with my tax and legal advisors, and taught me many of the necessary techniques. The help and speed of response saved me weeks of planning.”
Let Us Help You Diversify
When you are ready to diversify your staffing services, get in touch with Madison Resources. Our seasoned professionals can give you the necessary knowledge, funding, and process support for increased business success. Learn more about our services today.