Startups in every industry have an advantage due to fresh industry perspectives and flexibility. Entrepreneurs enjoy the passion of those smaller corporations and partnerships. However, when offering their services to mainstream clients, they often start from a disadvantageous position.
Startups lack history and stability compared to larger corporations with proven reputations. What can startups do to attract company leaders? Here are some strategies for closing deals for major clients.
1. Carve out a area of interest
The first thing a startup should do is discover its area of interest and use it to delight its customer. What does your small business do that larger corporations cannot? While established organizations typically have more employees and resources, these corporations inevitably have gaps that startups can exploit.
Research is mandatory to find these gaps, but gaining customers will be a huge asset. One way to find gaps in the market is to see what works in other countries but hasn’t made it to the startup’s location.
For example, the rise of bubble tea in the Nineties is a prime example of entrepreneurs finding markets for existing international products. Entrepreneurs brought the drink from Taiwan to the United States and saw its popularity grow throughout the country. Boba rose to Market value $3 billion in just three a long time, and experts estimate that by 2032 it would amount to USD 5.4 billion.
2. Deliver an unforgettable presentation
Attracting large clients would require a memorable presentation because startups need to achieve results when selling their services. The presentation should include thorough market research and data to provide company leaders with facts and actionable insights.
One way to win over a large company is to focus on its organization. Company leaders can be less concerned about the startup’s past achievements because they may want to know what services their latest business partner will provide. While the startup’s recent achievements are noteworthy, the customer will want to see what you possibly can do for them. Place emphasis on researching a large company and becoming an expert in its operations.
The research will give startups a clearer picture of the company’s priorities and where they’ll best offer their services. For example, find the client’s goals for the near future and determine where the startup matches. 2023 Gartner Survey Results 14% of CEOs prioritize cost management — an increase of 69% compared to 2022. This discovery opens the door for start-ups if they specialize in this field.
3. Go the extra mile
Small businesses need grand gestures to land lucrative deals, so startups should go the extra mile. Showing your willingness to work with a specific client will delight them and make them more willing to accept your services.
One way to charm your future business partners is to surprise them with a gift. The startup should do due diligence on the client’s leaders and look for clues as to what they like in company biographies and industry publications. For example, a company president might mention their passion for food and drink. Capitalize on this interest and give them tickets to a winery tour in your area to encourage them to come on board.
While this strategy may not work, the startup has established a solid relationship with its customer. The company will probably apply for one other contract someday, so the startup will help itself by trying to be on the client’s good side now.
4. Use innovation
Company leaders are often looking for the next big thing in their industry and want their business partners to do the same. Courage stands out from the crowd, so startups should make the most of their innovations. What technologies do you use that your competitors don’t use? Advertising these tools gives startups an advantage because they enhance the customer experience and encourage them to incorporate similar technology into their business.
For example, a logistics company could also be looking for latest trucks for its fleet. A startup specializing in electric vehicles (EV) could use its machines as the best solution for a delivery company. Their offer would come with electric vehicles (*5*)no tailpipe emissions, energy security and lack of maintenance. Their lower operating costs would help with profits and emphasize sustainability, making the startup a more attractive selection for their innovation.
5. Show off your ESG results
Environmental awareness is one way to leverage a company’s environmental, social and governance (ESG) performance. While an ESG rating is probably not a big deal for a startup, this metric demonstrates corporate responsibility and makes the company more acceptable to investors. Financial institutions expect startups to have a solid environmental policy, diversity and responsible management before making key decisions.
Startups should strive to ESG rating 50 and higher stand out among large corporations selling their services. While an ESG rating of 70 is preferred, only a few corporations achieve this level. Scoring 60 points puts the startup ahead of Intuit, Cintas, Paychex and other large corporations on the stock exchange. Startups with solid ESG scores improve the image of a large company as working with a number of suppliers and business partners.
Small corporations get big customers
Offering services to tent customers is an uphill climb for startups, given their limited experience, fewer resources, and perceived instability. However, entrepreneurs in any industry increase their possibilities if they apply the right strategies.
The presentation should meet all expectations and strongly exhibit the startup’s unique value proposition. What are you able to do to help them achieve their bottom line? What technology sets you apart from the competition? These questions will make it much easier to attract large clients.