The rapidity of the changes taking place online are bewildering. They are literally changing the business paradigm and, to established businesses, the threat can be frightening.
However, there are also massive opportunities. Let me give you just one example.
I recently met with the Board of Directors of a not-for-profit that provides advice to disabled people on how to claim direct payments from the government so that they could fund and organise their own support services, including employing care workers.
At present this business is funded by the government to provide this service to the tune of £2.5/£3m per annum. Shortly this funding will be sent direct to their disabled service users who will have to buy-in the advice. This will open up the business to more competition which will drive down prices.
To compound matters, public sector spending will be squeezed as a result of the governments debt problems, so funding for this service will inevitably be adversely affected.
In addition, my prospective client delivers this service primarily by sending out their large workforce to provide face-to-face consultations. Quite apart from the ‘green’ issues this raises, this is an expensive delivery channel that requires expensive training to deliver a consistent service.
I have outlined an internet business plan for primarily delivering their services and training online, thereby dramatically cutting the costs of delivery, giving them the option of competing with other providers who may well adopt this strategy.
I was stunned this morning to receive a polite email putting off my engagement.
The failure is mine not theirs. I firmly believe that I am the best option they have for potentially saving their business – certainly the most cost-effective option. I have failed to convince them of that fact, so the failure is mine.
Their home-made website is currently languishing in the rankings and is clearly not providing an effective service.
Could it be that the dramatic changes needed to their cosy business model has frightened them? Do they not see the threat posed by the internet to their business model , and also the opportunities open to them if they make the changes before others force them down that path?
With the recent changes in internet technology, I see it so clearly that I ache for them.
I believe that to ignore the changes required, is for them to ignore ‘a clear and present danger’. A danger that will not go away but will magnify with time. I hope they don’t realise this too late.
Me, on the hand – well I could offer my services to the highest bidder…
Perhaps you can learn something from this article, even if you only re-think your own internet business plan.
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