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Opinions needed for my first business. (idea)

Discussion in 'Serious' started by gar, 3 Oct 2011.

  1. gar

    gar Minimodder

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    Hi Guys,

    I'll be starting a computer repair business in January. I've been repairing pc's for years, but got my A+ certification this year to give my self extra credibility. I just finished a business course too which went well. As it's not possible to make enough money out of just repairing, I was thinking of an additional service/s.
    Being very into home theatre, 2 channel audio, computers etc I am always finding myself buying tx's laptops etc for other people, but what about if I was to offer this as a service.?

    People would tell me what they felt they needed I would recommend a product, source it and then buy it for them (they would need to give me the money first) I would then install it for them and if necessary show them how to use it.
    The usp would be that being independent I wouldn't be out to rip people off for commission, just give them a good service and product that they could use straight away?

    ALL Opinions are valuable as I won't be doing this if the vast majority think it's a bad idea..

    many thanks in advance. Looking forward to seeing what people think!
     
    mvagusta likes this.
  2. mvagusta

    mvagusta Did a skid that went for two weeks.

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    It's hard to compete with popular PC companies, as many offer a wide range of pc's, at very competitive prices, after sales care, warranty, and massive reputations.

    Most people would rather say that their pc is a (insert popular brand name) than say gar built it for me, and they would probably feel safer buying from a large company as well.

    How many pc's or whatever have you helped friends with, and then that friend turns into a big pita because they don't have a clue and want you to be a walking, talking, 24/7 idiots guide to whatever it is you hooked them up with? Hours of free after sales support, and they got an awesome deal from you in the first place.

    I'd rather do home theater than pc's, as they are much more easier for customers to use/hard for them to stuff up/idiot proof, and the technology doesn't become obsolete anywhere near as fast as pc parts do, so much less pressure on stock levels.

    But more importantly, you need to do some market research. No point doing either if there's not much demand/sufficient or abundant supply in the areas you want to work in.
     
  3. Nexxo

    Nexxo * Prefab Sprout – The King of Rock 'n' Roll

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    1. Unique selling points need to be obvious to the customer. I'm not seeing yours yet. How are you different from the usual computer shop on Tottenham Court Road?

    2. How many people do you know who will pay good money for a home cinema setup? And wouldn't they go to a specialist home cinema shop?

    3. You are looking too much at what you are into, rather than what customers actually would want. Most people just want from their PC shop what they want from a good garage. Just as people want to be able to take their car somewhere to get reliably serviced and fixed without being ripped off, they want somewhere to take their laptop to get reliably serviced/fixed/upgraded without being ripped off. Focus on that: what makes you look more trustworthy than PC world or the local computer shop?
     
  4. gar

    gar Minimodder

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    Thanks for your input Mvagusta!
    Yes, very true. I have decided not to build computers unless, it's a high spec one for a very specific job.

    I have been that 24/7 idiots guide! Not fun. I'm not sure yet what after sales I should offer. But I would plan to under promise and over deliver on that!

    I hope to do both as if I was specifically intending to compete with av specialists I would be entering the wrong market. I only plan competing with the likes of Curries and RicherSounds.

    Absolutely, stock is something I don't want. This would be like having a personal shopper! This is something I love to do. The biggest fear is that what after sales services can I reasonably offer.
     
  5. gar

    gar Minimodder

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    Thank you Nexxo.

    Ok, I have not been very expicit with the info I've given.

    1. My service is different through branding. It's branded as mobile, personal, independant, clearly priced (hourly) I hope to be selling my character also through my personal services and call outs.
    An eg of some of my ups is no call out fee. Special deals to students. discounted tuition for elderly. Maintained packages based on yearly contracts with online repairs.

    2. For high end gear there is a definite market in N Ireland, but everyone else goes to curry's and Richer sounds. I don't want to cater for the high end as you need building skills.
    Currys and I know this having worked there are there to sell you anything they can. I will be there to advise independently, but my money will come with the installation and tuition on how to use it which will be coupled with clear instructions.

    3. I'm working at a Currys angle. "Technology in the home" rather than just computers. I'm thinking of everything except white goods.
    I aim to brand myself in a way that says, personal, professional and independent.

    What do you think of this?
     
  6. gar

    gar Minimodder

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    I may be doing too much with the services. I probably need to narrow down a bit, which is why I'm asking now before something goes wrong.

    Great advise so far. I Agree with it all!
     
  7. Byron C

    Byron C Multimodder

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    I've been considering starting my own retail IT business for a long time. Time and time again however, I come back to the fact that I think I would fall flat on my face. Firstly, as Nexxo points out, I couldn't hope to do anything more than any other nearby computer shop could do.

    The only way you can compete is on price and reputation. Margins are already pretty thin in retail IT - especially if you want to compete with online stores - and it takes time to build up a reputation. Not only that, but you have to consistently deliver a 100% outstanding service all of the time. For a company that survives on reputation or word of mouth, especially a start up, a bad review can be a devastating blow. How often do you hear "consumer nightmare" stories, where people complain about the service they received from a company? Now how often do you hear people praising the good/great service they got from a company? You certainly don't get TV programmes like Whingedog Watchdog about it. Good/great service is easily forgettable, but bad service really stands out in your memory.

    I just don't think I could make that work. There is a lot of demand for computer equipment in the area I live in (very big student population), but they're already adequately serviced. Not only that, but I've seen two local IT retailers shut up shop in the three years I've been living there - it doesn't exactly bode well for my prospects.

    I used to work for a small IT retailer in a nearby city a long time ago and, in hindsight, I did enjoy it. Though I also know how much of a struggle it was for the owners and just how much work they had to put in. The store literally was their life - everything they owned was dependant on the success of the business, and consequently they were there from 8/9am until 10/11pm at night 6 days a week and at least 7/8 hours on a Sunday.

    And I doubt very much that you'd be able to get away with taking a full payment up-front from people. At best you could ask for a deposit in order to source the goods, then ask for full payment before you hand them over. I certainly wouldn't be happy with paying for something, in full, which the retailer had to order. I'd pay a deposit, sure, but not the whole amount.

    EDIT: You beat me to it; your later posts clarify that this may not be a strictly bricks and mortar affair, which is what my post was based on ;)
     
  8. memeroot

    memeroot aged and experianced

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    the problem is that when a computer goes wrong its often cheaper to replace the entire thing than get someone to fix it as he will expect a certain pay by hour rate....

    unless you invest in a series of test benches you wont be able to provide the service required and indeed even after spending hours on a system you may only have to say xxx is busted you need a new system....

    sadly repairing tech is a hobby for us geeks now... not an industry...


    best of luck though :)



    though if you do it as a job on the side - dont pay the tax, claim benefits, do some disks and chips that shall not be named - then you'll rightly get caught and go down ;-)
     
  9. gar

    gar Minimodder

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    Thanks for the input BLC. I wouldn't consider retail, but there is only one pc repair guy in my area, but several within 20 miles. They are all very similar in terms of what they offer and.

    So far, I've become qualified, I've allot of experience in graphic design and have good contacts for printing. I have allot of time to invest in marketing. I can do this through the local radio station. I have a facility to tutor very small (4 max) groups from home. I know allot of shop owners who will let me advertise. I'm also based from home which is good. I also found out that I can advertise with a sign on the street which is good!

    I am not wanting to be the next Bill Gates. Beleive it or not, I am starting this to fund a business in coaching for cyclists who race and do leisure cycling. :) I'm just starting from the perspective an unemployed person with low capital to invest. I've already bought all my equipment and set up an office. Must put up some pics!
     
  10. gar

    gar Minimodder

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    I'd say there's a certain amount of truth in that except we are in deep recession here, so a fixer has a market I beleive. I have 4 test benches thanks to a kitchen company that was closing down. I bought ex government computer equipment. ie lcd displays, keyboards and mice.
    I've put allot of effort in, but what else would you do if you unemployed? No plans to be a daily Jeremy Kyle viewer as yet!lol
     
  11. gar

    gar Minimodder

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    "Most people just want from their PC shop what they want from a good garage. Just as people want to be able to take their car somewhere to get reliably serviced and fixed without being ripped off, they want somewhere to take their laptop to get reliably serviced/fixed/upgraded without being ripped off. Focus on that: what makes you look more trustworthy than PC world or the local computer shop?"

    100% with you one this!
     
  12. gar

    gar Minimodder

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    Well I narrowed it down to computer repair only, and Now I've broadened it back up again.

    I've been talking to a good few people now, most importantly, one who works at richer sounds and it seem there is a requirement for av set up. I'm just not totally sure on my branding as yet, but I'm working on it.

    So far it's

    computer repair
    computer tuition
    home cinema/hi-fi/ television set up.

    I would appreciate more input especialy for branding this idea would be really appreciated.
     
  13. Chebob

    Chebob What's a Dremel?

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    Yes, be realistic, but really, you havnt lost anything if you do screw up :) Id say go for it, your biggest problem will be letting people know about you, building up an advertising budget and presenting the right image will be crucial, and difficult at first.
     
    gar likes this.
  14. deadsea

    deadsea What's a Dremel?

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    Isn't that a pretty small market? Think about it. Those that know about a HTPC tend to be us geeks. Those that just want a recorder/player don't want to deal with the computer stuff. They want an appliance. Ideally branded with warranty at that. Appliance style is better for you of course since that is harder to break, but set-ups a PITA for appliance style. You could just offer a few standard configurations, but that kinda kills the whole value add of the service.

    There are shops where I am that deal specially in HTPC systems. Either prebuilt or package deals for parts. Unfortunately, that entails stocking parts, display sets and a shop front. No one likes to buy something that's going to be in the living room sight unseen. Especially not if the wife's going to be commenting on it.
     
  15. mvagusta

    mvagusta Did a skid that went for two weeks.

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    How about going for something that's low quantity but high profit?

    If there is an actual demand for it, home automation can make some nice cash :naughty:
     
  16. rogerrabbits

    rogerrabbits What's a Dremel?

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    Get another job imo.
     
  17. kenco_uk

    kenco_uk I unsuccessfully then tried again

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    Re computer repairs, one popular usp to have is something along the lines of 'Computer slow? Reckon you have a virus? I can help.'
     
  18. bulldogjeff

    bulldogjeff The modding head is firmly back on.

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    I would say the most important thing is to get your self out there, web site etc. You need to let people know what you do and can offer. I'm in the same position as you trying to get my self up and running, it's not easy. If people don't know you exist, then to all intents and purposes you won't. Word of mouth is ok, but you need to have contacts, working for shops as a subcontractor setting up systems that they sell is a good way to make some money. You then try and build from there. I've been in the building trade for over 25 years and what you'll find is that when it's good work wise it'll be brilliant and you'll be working 24/7, but when it's bads it really is a pile of crap.
     
  19. Xir

    Xir Modder

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    This might not be a bad angle.
    There's lots of equipment to buy out there, but many people have issues setting the stuff up at home. And getting an electrician to pull some speaker cables costs an arm and a leg.
    Think of an equivalent of IKEA-assembly guys. (well, at least here they exist)
     
  20. gar

    gar Minimodder

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    Your right, thankfully I won't be building htpc's for people. I have two myself and they do a great job, BUT there are better products that are easier to use. I only want a service, but no product to be honest.
     

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