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Does Location Affect Service Businesses

Written by: Stuart Ayling

Article Overview: Recently I spent a night at the Twin Towns Resort, attached to the Twin Towns Services Club on the southern tip of the world famous Gold Coast. See my panoramic view of Greenmount Beach here.

Does Location Affect Service Businesses

Recently I spent a night at the Twin Towns Resort, attached to the Twin Towns Services Club on the southern tip of the world famous Gold Coast. See my panoramic view of Greenmount Beach here.

(Note - in the Australian club scene "services" refers to returned servicemen and women from the armed forces. But the club is not military in nature by any means.)

I was there for a show by Jon English, a popular rock singer and TV personality from the 70's and 80's. I last saw him perform nearly 20 years ago doing the club circuit in Sydney. (Yeah I know I don't look that old, but it's my secret). He's still singing pretty much the same songs - as rock stars do - but now he's got a web site to sell his music, and his son plays in his band!

Back to the story…
I was taking in the vista early in the morning when I started thinking about all the accommodation properties that stood side by side. Each vying for their share of visitors to the area. And that got me thinking about why someone would choose one over another, particularly if you are booking from afar and cannot appreciate the close proximity of each property. (As you can tell, it was not a morning for idle thoughts!) The concept of location led me to ask myself "Does location affect service businesses?"

In the world of retail the golden rule of real estate rings true -
"location, location, location".

A good retail operator will want to be located near the highest traffic area in their shopping precinct or centre. This is usually the food court or one of the anchor tenants (like a supermarket, department store, bank, post office). The retail operator wants to be sure the store is seen, and that customers can easily find it. Traffic = $ales.

What's all this mean for your service business?
Most service businesses are not located in shopping centres. In fact, many do not even have (or need) a typical retail 'front'. But don't be fooled…. location is just as important - but in a different way.

Think about foot traffic in a shopping centre. Everyone looking at the stores as they pass. Now think about your potential customers. Where are they? They're searching for a service provider to solve a particular problem. Where are they looking?

Is your "location" helping you to be found?

When I talk about "location" think about all the places your potential clients will 'see' you. Some of these might be:
When they ask their friends or business associates for a referral.
When they look in their local business directories.
When they search the internet.
When they review members of their clubs or social groups.
When they see your physical premises.
When they check the Yellow Pages.
When they read industry/business publications.
When they see your advertisements.
When they read your direct mail (either on paper or electronic).

Get the idea.
How visible is your business to potential clients?

You need to position your business in high traffic areas. But do this wisely - not all traffic is equal. Base your choices on an understanding of who your prospects are and where they will be looking.

For more information on how to handle the sales process once you have attracted a prospect, read this article.

But before you go…
Honk if you're a Jon English fan!

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