As a security firm, you naturally expand your security services vertically. You might start with a client by offering a basic security system. Then, you add deeper security features such as video monitoring and supervised open/close procedures. However, you can also review your customer base and invest in horizontal growth.
Horizontal growth within the security niche means adding ancillary services such as compliance reviews. Start by reviewing your customer base and determining if you have a majority of clients in a specific sector. Traditionally, those clients will have looked to you for help with preventing theft, keeping customers and employees safe, and establishing cash handling procedures. At a certain point, you might feel that you don’t have extra services you can offer those clients. But by adding horizontal growth, you can broaden your product line and duplicate those added services to all of your other clients.
For example, you might have a significant number of clients in the food service industry. Restaurants and cafes constantly work to remain in compliance with state and local safety laws. In addition, they have basic UL rules to follow along with any additional reviews that might be required by their commercial insurance carrier. As a safety firm, you can help them meet all those requirements by forming a separate division for restaurant and food service safety.
National Monitoring Center (NMC) can help you build this kind of consulting service thanks to our on-going relationships with organizations like UL. We can direct your investment efforts so that you create these new services quickly. We know the start-up investment for horizontal growth can be steep, and you will need to build the division correctly, with minimal errors.
Expanding your suite of services to your existing customer base can be as easy (or easier) than finding new clients for your core services. Your clients have additional needs within the realm of safety and security. Don’t let that opportunity pass to one of your competitors.
You might even find that horizontal growth will also work in reverse. Once you create a marketing push for your new compliance service, you might acquire clients who have their basic security services with a competitor. Then, you simply back-sell you original services and you’ve doubled the value of offering an expanded product line.