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Practicing CENTS #2 - Appliance Repair Services.

Idea threads

JophMax

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Hello There, It's another day to practice CENTS by taking a shot at another productocracy Idea.

I will keep doing this for at least a week until I get a hang out of It. However, I won't take It so far as to make It an action-faking method. Let's begin:

Today, in the shower, I began to think about methods to skew Electronics Repair Services. You see, in my country, the economy is still among the ones with the most inflation, suffering from "Hyperinflation", which happens when prices go up every month and the money loses Its value at a steep rate. Thankfully, worse times have passed and now we have adapted the US Dollar as an unofficial currency.

Despite this, electronic appliances such as fridges, microwaves, blenders, TVs, etc, are still really expensive. For example, in the past month, we bought a single-door fridge for 640$, while monthly salaries range between 100-200$

It's because of this, that most people prefer to call a technician to fix their appliances. Here is where the Skewing opportunities come, as there are lots of problems when It comes to hiring someone to fix your stuff.

1.- Contacting Them: All the people I know look for technicians by asking other people. It is kinda like "The cousin of the sister of the husband of my neighbor knows someone who can fix It" This makes It a real pain in the a$$. If I make a business that people can easily contact through social media, then I'll have a skew.

2.- Knowing If they are trying to screw you: Sadly, most professionals here carry a mindset of "If they don't know I'm screwing them, It's ok", so they resort to dirty tactics such as taking advantage of people who don't know much about electronics, telling them problems are much worse so they can charge them more for It, either that or that they'll buy "original" replacements, then using a third to buy a cheap, generic piece. Hell, they even use replacements that they took from other appliances. Then, If I can make clear from the beginning that we're trustworthy, that's another skew.

3.- Not looking professional: I know dressing like a technician doesn't make you a technician. Yet, in today's society standards, we tend to pay more respect to those who dress the part. Sometimes you might have to fix things in dirty places, so I'm not asking you to wear a suit and a tie, but just have something that identifies you as a professional, like your equipment.

4.- Not fixing things properly/lacking the right equipment: If you take a look at 10-year-old appliances here, you'll surely see fridges and A/Cs that look like they belong to Frankenstein's house. They are an amalgamation of "improvised" techniques to fix a problem and lazy technicians who didn't want to spend an extra hour doing a good job. This detracts from the visual aspect of your devices and makes them more prone to get damaged again. Guaranteeing that everything will look as clean as on the first day is also another great skew.

5.- Keeping shit for more than a week: Another thing that bothers many people is the fact that If you decide to take something damaged from your home to an electronic repair shop, you'll probably see It in 2 weeks or a month, a period during which you might not know If they're taking pieces from your blender and using It to repair others. That's why, another great point will be a policy of "We do It in 5 days or we return It as It came."

In short, the stronger skews I can apply are customer service, convenience, trustworthiness, reliability, professionalism and offering guarantees. Now, according to the CENTS analysis:

Control: There won't be a problem with It. Clients are the boss and the only decision that would make things harder is If all stores decided to close at the same time.
Entry: Repairing things isn't easy, as advanced problems require things like checking schematics, troubleshooting, and measuring lots of things. You also need to have the right equipment and be conscious of the dangers of working with power systems, which might scare many people off. So I'll say It has relatively high entry barriers.
Need: As I've said before, most people aren't willing to spend three months of work on an electronic appliance, so the need for someone that can repair what they have will only grow.
Time: You got me with this one. If I try to work on my own, I'll be limited by the number of clients I can handle in a day, that is unless I hire other technicians in the future.
Scale: If I want to reach a TAM of at least all of my country, I'll have to create a franchise and spend lots on capacitation programs and personnel, so yeah, It will be hard.

This way, I can say that at the beginning, I'll have CEN, but If I don't scale It won't be different from a 9-5 job.

Thanks for reading!
 
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amp0193

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Scale: If I want to reach a TAM of at least all of my country, I'll have to create a franchise and spend lots on capacitation programs and personnel, so yeah, It will be hard.
This is what makes appliance businesses really really tough.

Super skilled labor, and there's only so much of it, and how to you control the quality of the service in the field? Hiring good people is tough. This goes for a lot of service businesses.

This was one of my first hustles, and it checked a lot of boxes, but difficulty to scale is what killed it for me and I pivoted into something else.
 

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