Online sales of services in a hybrid model

Even freelancers have their own websites today, and they have a store on them that sells a few physical products. Over time, the needs grow and new ideas emerge, such as the sale of e-books or on-line consultations. What is the hybrid model and how does online sales of services work in this model?

An entrepreneur who wants to appear on the market and generate attractive profits must include Internet activities in his development strategy. Today, in the era of highly developed internet and new technologies, consumers are eager to buy online not only products but also services. We advise on how to start selling services via the Internet.

What is a hybrid model?

The hybrid model is the working name of the ever-changing landscape around you sale of services via the Internet. It may refer to various "connections" both at the interface between traditional commerce and e-commerce, as well as various forms of online sales.

A hybrid is a combination of two seemingly completely different elements and creating a new, coherent whole. We are already used to hybrid cars or bicycles. The former usually have two engines - internal combustion and electric. Bicycles, in turn, can be powered by human muscles or an electric motor.

The situation is similar with the sale of services and products in the hybrid model. We combine elements that seemingly are not suitable for this. We create a whole that works and is appreciated by users.

For the purposes of this article, let's focus on the hybrid model, which mainly includes online stores, where the sale takes place:

• traditional products,
• digital products, 
• Internet services.

This raises certain complications not only at the level of the store's operation, but also taxes or business model. However, let's focus on the practical side, i.e. how the sale of services via the Internet works and how to conduct it efficiently.

Sale of products via the Internet

The first Polish online store was established in 1997. Two years later, Empik and Merlin opened their internet doors. As you can see, the history of Polish online commerce is several dozen years old. Nevertheless, a few years ago there were large, nationwide supermarkets that did not trade online at all.

Most customers today expect immediate purchases and fast shipping. There are still models that combine traditional trading with an online model, for example:

• book the goods on the Internet and buy them in the store,
• buy goods on-line and pick up at the store,
• adjust the parameters of the product on-line and make a purchase in the store faster.

Much depends on the specifics of the industry. Sometimes the dimensions of the goods make it impossible to order it with home delivery. It's worth at least though present an on-line offer with the most accurate price list. Even if the goods cannot be bought "on the spot" in the online store, the client will save time, because he will not have to call or go to the store to check if the selected item is available.

Currently, there are programs that are intuitive to use and make it much easier to sell over the Internet, even for people who are not experienced in it. Moreover, many sellers are working today on the basis of dropshipping. They have products on the website, but they only order them from the supplier when the customer buys something. This is how it is printed on request, e.g. T-shirts or mugs with slogans. Another related model involves ordering a good and having it stored, sold and shipped to an outside company. In both cases, you as the seller do not have to deal with the product physically. You don't even have to touch it!

Regardless of the type of sale that your store will offer, in the hybrid model we combine the order or setting the parameters of the product via the Internet with its physical possession. In this way, you can significantly save money on renting space for a stationary store. Then you can invest this money in online marketing or other departments in the company that currently need it.

You can also have a stationary store, such as the aforementioned Empik. However, thanks to the possibility of hybrid service to your customers, you significantly increase your profits from the provision of products or services. In this way, you also increase your market value and stand out from the competition.

Selling services over the Internet - market research

The first stage of operation in a hybrid model should be a detailed analysis of the market, taking into account its specificity, with an emphasis on the activities of competitive companies as well as the characteristics of the target group. The study should include:

• the number and range of competitors; their offers, characteristics of the services they offer,
• the size and characteristics of the target group,
• possible market niche,
• market entry threshold.

Market analysis will allow you to prepare a plan for selling services on the Internet that will guarantee the expected profits.

Remember that every trader, especially the seller, should know the market he is entering. Especially when deciding on a hybrid sales model, you need to do this stage of your business homework.

With hybrid selling of products, your market is two-fold: online and offline. Therefore, you must be able to generate interesting ads for both the first and the second group of recipients. Here it is especially important to carefully research the needs of the market you are entering.

Selection of sales channels

An entrepreneur who wants to effectively sell his services on the Internet should also prepare a readable, attractive website that will be a specific showcase of his business. The website should be consistent with the visual identity, vision and values of the brand.

Services can be sold through the site. Another solution is to redirect to selected sales platforms on your website.

You can also sell through your social media. However, remember that you should choose one, maximum two sales channels. This is where you need the market analysis we mentioned earlier. Check where your customers buy most often. Maybe it is an online store? Or maybe they prefer shopping via Allegro? Build sales exactly where your products are needed.

The choice of sales channels is also important in terms of the costs you will achieve. If this is your website, they certainly include the cost of paying for hosting and domain. In the case of external sellers - the costs of placing an advertisement or subscription.

When selecting sales channels, it is worth conducting a detailed analysis of potential profits and costs. Choose those methods that will bring you the most profit, minus all costs associated with them.

Sale of services via the Internet - brand promotion

In order for the sale of services via the Internet to bring the expected profits, the entrepreneur must ensure the appropriate promotion of his brand. First of all, it should build a friendly image in social media, based on authenticity. Today, social media is an important element of the functioning of any company. Thanks to them, you can reach a wide range of customers, gain their trust and build strong, long-term relationships.

Other solutions that can help sell services online include:

• banners on websites,
• influencer marketing,
• SEO,
• guest articles on industry websites.

Digital products on your store's website

Selling digital products looks even more interesting than selling services online. For the seller, these are practically nothing but advantages:

• the investment threshold is kept to a minimum - you can sell pdf, picture file, audio file.
• You don't have to deal with shipping and warehousing.
• The products never run out, so in theory it could be a completely passive income.

There are still some stores where a few days pass from the moment the transfer is ordered until the file is sent to the customer by e-mail. Increasingly used but automation. It's invaluable sales support. You don't have to participate in the transaction. The customer receives the file, bill and confirmation immediately after ordering the transfer.

Another interesting aspect of selling digital products is the free pricing. The customer decides that he will pay for a given item as much as the seller wants from him. The physical characteristics of the product, such as the quality of the paper or the thickness of the book, as well as the costs of storage or shipping, do not count here. Instead, you only operate with abstract values, which you can shape mainly through skilful online marketing, as well as your own brand and expert position. On the one hand, this is a plus, but on the other - you have to devote a lot of attention to online marketing in this model, because promotion is actually limited to the web. Do you want to know more? Look the best ways to increase your online store sales. So let's move on to selling services over the Internet.

The sale of services via the Internet is a response to the market needs

The last and newest segment is sale of services via the Internet. The pandemic was a time of heyday of such activity. Suddenly it turned out that a visit to a psychiatrist, accounting advice or yoga training - all of this can be done online via instant messaging. Many retailers still think no one will be interested in online services. The simplicity of implementing such a system makes it really worth having such an option on the website.

The sale of services via the Internet comes in many variants, and there are still new ones:

• subscription, e.g. monthly accounting services,
• on-line booking of physical services, e.g. massage,
• 1: 1 lesson via the Internet,
• access to the webinar, lecture, lessons with other users
• hybrid model: on-line sales and consultation, off-line meeting.

The sale of services via the Internet has proved to be a godsend for many service providers during the pandemic. Some expand their offer and introduce solutions at the interface between a physical and digital product and the sale of services via the Internetsuch as online courses which combine these three features.

For valuable tips, see another Commplace text: Service marketing and product marketing - how do they differ? There, we also noticed that the difference between the two types of marketing is becoming more and more subtle.

How does the hybrid model work for selling services?

In this article, we are talking about a hybrid model that works more and more efficiently on the Internet. What is it about services? You can provide services that are not available online. The best example of this is the work of make-up artists or beauticians. It is not possible to make make-up by voice or video connection.

But you can start selling your services in the virtual world. Consider where you will find your customers. You can start promoting your personal brand on social media, start signing up online for a visit to your salon. In this way, you efficiently reach your customers and give them new opportunities to book appointments.

When you book any appointments online, some of your direct involvement is dropping. Your customers don't have to call you to set an appointment. All they need to do is use the online calendar. This way, they can see all available options and can maneuver them in any way. Depending on your needs. You, on the other hand, can focus on providing the services accurately, without having to participate in the appointment booking process.

Sale of services via the Internet - regulations

Anyone can start selling services via the Internet today. However, many people are surprised that they still have to complete a lot of documents. They are also bound by quite complicated and ambiguous regulations (e.g. tax regulations), because the sale of services via the Internet is still not explicitly included in the law.

The bane of the sellers is the necessity to put them on the store's website regulations and information on the processing of personal data. Hardly anyone loads them, but they must be placed on the website. You can find a lot of free templates on the internet. A shop running similar activities to ours can also serve as a model. You can also commission the writing of the regulations. This may take several hours, but it is a good idea to read the formula and then complete it with your own data and records. There is no single formula that will work in every case. Regulations are a shield that you can defend yourself if something goes wrong when selling services over the Internet. Customers use it very rarely, but when this happens, it would be good if the content of the regulations was not a surprise for you as well.

If the formalities surrounding setting up an on-line store are black magic for you, contact Commplace to find out the best communication strategy on the internet and ways to succeed in e-commerce.

Why is sales in the hybrid model the best at the moment?

Do you get the impression that selling in the hybrid model is not worth the candle? Since it is necessary to write the Regulations and post them on the website, why is it still profitable? If you only have a brick-and-mortar store or offer services in the classic offline model, you also need specific rules. They are designed to protect both you and your customers. Thanks to this, all the principles of cooperation are clear and everyone treats them with appropriate respect.

The sale of your services via the Internet in a hybrid mode is still a very profitable investment. First of all, you can reach many people who are your potential customers with your offer. No matter where you are, you can continue to gain customers. How?

When you list your services in hybrid mode, it is also up to you when you will provide them. You can open the enrollment calendar for the following weeks, and at the same time they are resting on vacation. This way, without your direct involvement and participation, your working hours are filled for the following months.

The sale of products and services via the Internet in hybrid mode is used by more and more entrepreneurs. As we have already mentioned, the pandemic was an excellent inflammatory element, which forced many companies to act in a similar way. Currently, customers can order a product or service online, and pick it up offline. In this way, both they and the salespeople gain time that can be used for personal or business development.

If you are still not convinced of the hybrid model or you do not know where to start, please contact Commplace. We will be happy to answer all your questions, dispel doubts and show you what solutions to individual problems that may arise on your way may be. If necessary, we can also help you launch your first sale of products or services in a hybrid mode on a fixed channel.