My IAMERS predictions: will your business be thriving in 10 years?
March 28, 2018
Last week, IAMERS had its conference in Charleston, SC. The hotel was lovely and so was the town.
I gave a little talk and offered some predictions about the future, and some recommendations. I'd like to share them with you, so here is a brief summary:
In the future, customers are not going to make a purchasing decision based on price alone. Price, of course, will always be a factor, but not the sole factor.
It is my prediction that firms that add value, and express that in their business model, are more likely to succeed.
If you concentrate on providing up-time to your customers, you are more likely to win the sale.
I predict hospitals are going to consider the total cost of ownership, because CFO's are playing a greater role in purchasing decisions than ever before.
Also, if you want to remain in business, you better be prepared to provide good customer service. The days of pressing 1 for this, and 2 for that, and then being disconnected, are over. Customers have enough choices now, and they will go elsewhere.
Used equipment vendors are finding it more difficult to sell and it is my prediction that the price of new equipment is going to drop.
Because there is greater supply than demand, when it comes to the secondary market, the business of selling parts will become an appealing option for more and more companies.
The companies that give greater thought to how they price their product offering will float to the top. Competition is greater, and you are going to have to sharpen your pencil so that you make a profit.
I predict firms that concentrate on one or two core businesses will succeed, because spreading yourself too thin will reduce your chance of success.
Offering training as part of your product offering will also present an opportunity to grow client bases and business portfolios.
I really believe that the future is going to be about recurring revenue because the profits will be smaller in the future. You need a lot of smaller profits to equal the fewer bigger profits you made in the past.
Embrace IT. It is permeating the industry, so you should understand it and have a product that utilizes it.
Develop a strategy with respect to urgent care facilities. That market has grown to $50 billion dollars, and some of that business has to go to you.
Last but not least, people need to know that you are out there. You need a consistent company message, which you use in print, online and at trade shows. And you need to attend a few trade shows, just to keep yourself from being conspicuous by your absence.
Nobody ran out of the room screaming after listening to my predictions and suggestions, and I was not burned at the stake, so maybe there are a few kernels of wisdom there?
I hope you find some of them useful, or at least interesting.