How to Start A Profitable Number Plates Business?
The car industry may have its ups and downs, but for now, it’s not going anywhere. The reasons behind owning one or more vehicles vary from a need for comfortable transportation, status display, to passion for a certain brand, but they are powerful enough to keep the sales up for both used and new cars.
Now, even though the competition is fierce, there is still room for new businesses, especially if they approach the accessories niche. While there are a number of businesses to try in this area, more and more specialists see the number plate endeavour as being one of the most profitable domains to try on.
Just think about it! Number plates are mandatory for each vehicle (new or used), and more and more people find personalised plates extremely attractive. Some people even use these plates as an investment, and we all know the value of a plate can go up in time.
So, if you decide to start a number plates business, how would you go about it?
Find a Platform that Works for You
Most businesses that sell number plates operate online, where visitors can quickly search for the plates they want and order them. A good example of such a platform is absolutereg.co.uk, a site that also offers information on how to navigate the process of buying a private number plate and how to transfer them over to your vehicle.
Following their example, you can include related services in your offer, to convince customers to choose your business and not the competition. It’s also useful to find ways to stand out from companies that do the same thing by either broadening the offer or including perks that make you unique on the market.
Also, keep in mind that an online store implies fewer maintenance costs than a brick and mortar store, and it’s easier to promote it. Given that the activity doesn’t require any storage, a small place where you get to keep the materials and one or two number plate machines should be enough for the beginning.
As the business grows, you can get more machines, more materials, and maybe more employees to support the demand. But until this becomes necessary, the private plates business implies minimum costs.
Know your Audience
While it’s easy to assume that all your customers are car owners in need of a number plate, you would be wrong to do so. In the UK, you don’t need to own a vehicle to have a personalised plate. So, not everyone who may be interested in acquiring a private plate owns a vehicle.
Furthermore, there are different segments to consider, such as:
- People who use plates as investments
- People who purchase a plate for a friend
- Buyers who are interested in a certain combination
- Buyers motivated by a need to show off their status
- Drivers who want to make their vehicle unique
Of course, the list can go on, but it pays to know which of these segments you want to address. Since the business is happening online, you have access to a wide range of marketing automation tools that can help you create quality leads.
In the end, the private plates business is similar to any online start-up. So, you have lots of examples to lead you in this endeavour. Just make sure to take the best practices and learn from their mistakes.
For instance, you should always make a plan before taking any decisive steps. This will help you stay on track and know if the goals you set at the beginning are realistic and achievable as the business moves on.