While the Marketplace makes connecting with potential clients in search of ADS-B equipment incredibly easy, it is important to remember that ultimately your shop needs to formulate installation quotations which deliver superior value if you want to be awarded service contracts. We’ve put together a list of ideas that can help your shop successfully win projects on the Marketplace:
- Watch Pricing Trends – The Marketplace makes it easy for avionics shops to observe current pricing trends, both regionally and over time. Remember that, from an aircraft owners’ point of view, pricing is one of the most important considerations they have in deciding which avionics shop will get their ADS-B business. You can observe what other shops are charging for the ADS-B systems you own and adjust your pricing accordingly.
- Workflow Capacity & Timing – Consider how to utilize existing capacity to perform ADS-B installations coupled with the timing of market outreach to achieve the maximize results. While shops do not want to let capacity expire unused, in some cases this can be a viable strategic option. For example, if there is a large shop in your region that is being overly aggressive on pricing, you may not want to compete directly against them. Instead, let them win their low-margin bids, and start being more assertive once their capacity has filled up. You will notice they are no longer actively quoting new projects quite as often.
- Strategic Pivoting Around STCs & AML STCs – Many avionics shops have their suite of FAA-approved ADS-B solutions developed and in place at this point. However, given how regional pricing and aircraft ownership trends play out over the next several years, there could potentially be a significant benefit in pursuing additional STCs & AML STCs that better reflect the slice of aircraft owners actively seeking quotations at any particular moment. Watching which ADS-B system pairings are in-demand and which aircraft models are underserved, a perceptive and agile shop can quickly take steps to certify or purchase solutions and grab a larger share of their regional ADS-B installation market.
- Networking & Referrals – Even if your shop can’t service a particular client – due to lack of an appropriate ADS-B solution, limited capacity, or any other reason – if you find yourself speaking with an aircraft owner in any capacity, you have an opportunity to generate revenue. To cover all the installations required in the next few years avionics shops should establish affiliate marketing relationships that can be carried beyond the ADS-B deadline. Affiliate marketing is the process of earning a commission by promoting other company’s services. For example, airlines use code-sharing to sell seats on affiliated airlines to destinations outside of their main routes.
- Manage Your Reputation – Beyond pricing, the reputation of an avionics shop is the second most important factor to aircraft owners when it comes to choosing which bid to accept for their ADS-B installation. The work you do through the Marketplace is tracked, and your clients are allowed to leave you publicly available feedback. It is turned into an aggregate rating of your service. Fulfilling projects on time and within budget while delivering excellent service to customers will help you build a strong reputation on the Equip ADS-B Marketplace. Your rating may be the difference an aircraft owner uses when deciding which shop deserves their business.
For avionics shops, the two biggest keys to success for the next several years are keeping your pulse on the trends of the industry and performing quality installations at competitive pricing. The Equip ADS-B Marketplace provides you the tools you need to achieve both of these goals. You can easily observe pricing and demand trends based on actual work orders. You can identify shops which have FAA-approved solutions outside your expertise (consider pursuing an affiliate-based relationship with them), and build a reputation for delivering quality avionics work at a fair price which will continue to serve you far after the ADS-B mandate deadline has passed.