Pros and Cons of Marketplaces Like CoachUp and ThumbTack
You want to do everything you can in order to grow your client base. You also want to do right by all of your local customers. This means that it is important to weigh the pros and cons of marketplaces like CoachUp, Thumbtack, Takelessons and others on the market. It has become somewhat common for Individual coaches or trainers to use these systems looking to find more clients for their sports business.
Why Consider a Marketplace?
Many businesses, including ones with a sports or athletic focus, are using one or multiple marketplaces. These marketplaces are helping with two main goals: generating leads and outsourcing tasks (such as getting help with coaching in other areas) to various providers.
3 Reasons to Consider a Marketplace for Your Sports Business:
- You can find more talent, such as additional coaches and trainers. This can be great if you are looking to enhance the offerings you already have within your gym or club.
- You have the ability to find more leads because many individuals choose to use marketplaces as a way of researching the small businesses within their area. They may come across you more easily than if you were to try to advertise on your own.
- It doesn't cost much to get started using a marketplace, which can help you to promote your services and drive more traffic. With low entry cost also comes lower risk, and you can usually leave the marketplace whenever you want or take the client off the service after meeting them.
There are certainly other benefits that you will want to consider to determine if a service like this will provide you with the assistance that you are currently searching for in regards to growing your sports business.
Why It May Be Best to Avoid a Marketplace
- There are going to be some cons when it comes to marketplaces as well. Most marketplaces keep customer information confidential, and it may be difficult to capture customer data because you are going through a marketplace as opposed to your own website.
- Often, people get what they pay for, and this is something that may take some time to get used to. You may be offering high quality services, and as such, you are going to charge appropriately for it. Some new or even existing clients may choose to go with the competitor because they have a lower cost. And they will have this comparison right at their fingertips. You need to establish the right price point where you offer quality at a good price so that you don't sell yourself short while still giving people what they expect.
- In-line with the second reason, you will also find it difficult to prove the authenticity of your services. If your personal trainers have certifications and more, you will want to highlight this as a way of showing off why you're better than some of the competitors. Highlighting differentiating factors when you are listed in a sea of competitors can be difficult, which can lead to new business funneling to the top listed coaches.
You may find that being in a marketplace damages your reputation because you run the risk of undervaluing your brand and the services that you offer. While you will have the ability to tap into more clients, your brand becomes diluted at the same time, due to limits on customization.
Exploring the disadvantages will make it easier to determine if you are willing to invest money despite the risks.
Making the Right Decision
At the end of the day, it's your business. You want to know how joining a service marketplace can help or hinder that business. You may get plenty of new clients, but your loyal customers may find another coach or instructor to work with – one who is your competition.
By taking the time to weigh the pros and cons, you can look at how you are going to find talent, compare quality to price, and how the marketplace is going to help you with lead generation.
Take the time to look at a CoachUp marketplace to decide if it's going to help you with the goals of your business.