Starting a business is often a quite big task. This time I want to look a case with one I had some interested in a few years ago. It’s a danish company that have specialisted in creation special container units, such as those here:
- Special container
- Mobil køkken
- Pavillon container
They sell these special containers to both private people, companies and the military. The company is called DC Supply A/S, and have grown from a small private own company, to a large one the last 15 years.
To begin with they only sold the standard 20” and 40” container units, but the competition in this niche was pretty hard, as there was a lot of similar companies, like as NHS-container, Dancontainer and many others. So they needed something to make them stand out a little more. The solution was these special container units. After doing the marketing analysis based on the data mining data, it could look like this might be a good idea. It was, now 10 years later, more than half their business are from those special designed container units like the mobilkøkken (mobile kitchen), and the one ones. They even do custom work on demand now.
Building their first special container
The big first step of this new business was when one of the employees in the sales department, had noticed that a lot of people was asking for all sorts of strange container constructions. So he could see that there was a marked for it, but was it big enough and could they build some base units that would please a lot of this marked? It turned out than about 70% of these people could be satisfied by using 10 base models, such as the pavillon or skurvogn, and then modifying those a little bit more. So it made a lot of sense to start putting more focus on these customers.
Getting more public exposure
Another bonus of this new project, was that people was now noticing. A lot of their designs was so unique and special that people couldn’t help notice then, write about them, talk about them etc. So this also led to an increase in sales of the regular container units, as now DC Supply A/S suddenly was a “big” and known company. So sometimes selling a small niche product, can also help drive customers to your original or main products. A business stragegy that a lot of companies have been using over the years.
Would this business strategy also work for other companies?
For some it certainly would. There have been many companies, who have created a small side business, or a test project, which have later one turned out to a huge success and causing the company to split up in two, or shifting products to the new company. For DC Supply A/S it was their special container units, but for your company it will most likely be something entirely else.
But beware, even through it might sound like a cool idea, and something people would notice and pay attention to, for many it will be a waste of time. So you will have to be the judge if it’s a waste of money, or interesting enough to try out. You could of course always, see if you have some data to support this decission.