Growth of Video Production Companies Starts Outside the Comfort Zone

Growth video company strategy
Illustration: Katerina Limpitsouni

Less is more, writes Carlo P. Olsson, marvelling at how many video production companies promise their clients marketing know-how but have no idea about strategic positioning when it comes to their own businesses.

Making money with moving image is a tough bread. All video production companies know this. Viewed from a helicopter perspective, the cut-throat competition in the video business should therefore theoretically lead to the respective providers taking an extremely careful look at the potential of the product groups and target groups they offer.

The reality allows only two conclusions: the majority of film productions are not willing to do this. Or their tunnel vision prevents them from looking beyond their own horizons.

This is stupid and tragic.

In the German-speaking countries alone, more than 3400 production companies are making life difficult for each other. Just by visiting a few dozen websites, the problem jumps out at you almost painfully:

Each production is made with the same range of products. The offer includes videos for all conceivable genres and purposes. Whether product video, image film, web video, explanatory video, graphic animations, event video, advertising film or employee video and livestreaming, whenever an image moves, you are the perfect contact for all customers.

The message that goes along with this is not just to promote your own video production company as an expert in moving image. But – massively worse! – the claim to be able to do everything and to know the solution for every video problem as an expert. It’s not believable for a second, and neither are the endless number of Google Ads touting video as a promise of salvation.

Video producers themselves know it best: a 3D animation is as different from a brand video as cheese is from sausages. Also, if you can eat both foods.

The reasoning behind the real, wide range of video types is nothing other than the logical consequence of the hard-fought battle for video contracts. The more types of videos you offer, the more likely it is that a production job will fall through for your video company from time to time. Nevertheless, this seemingly logical conclusion is only one thing: a mental short-circuit that belongs on the dung heap of narrow-minded filmmakers!

In today’s market, it is no longer those who offer videos for everyone and for every purpose who are doing the big business.

Those who do what everyone else does are no more different from their competitors than one egg from another. A clean positioning of one’s own competencies is just as difficult to realize as credible arguments why one can do something better than the competition.

If you don’t want to live from additional hits with your film production, you need unique selling points. Any company that wants to get older than two years must be able to demonstrably explain why it does something better.

Because they can’t find those reasons, many video producers focus on making physical proximity to potential customers a priority when marketing. The proximity of one’s own location to that of the client may make a video cheaper. But not better. More and more customers are learning this too.

The narrowing down to the fulfilment of very specific customer needs is called segmentation in marketing. Individual video production companies are already tentatively positioning themselves on this basis. They now offer only one type of video, such as employee videos, and can thus demonstrate their expertise in this segment more credibly than competitors who claim to be able to do everything.

Strategic positioning by focusing on one video genre is an idea that many production company owners have explored. If you streamline your product range, you can succeed or break your neck for good! Because what is obvious and promises success, the decision for only one video genre, is only half the battle.

If you are a client who wants to produce an image video, you will certainly be interested in the experience of a producer who only produces this type of video. However, even more interesting for any client is a provider who is familiar with the specifics of the client’s industry. A successful image film for an industrial manufacturing company obeys different basic requirements than an image video for a tourism company does.

Focusing only on image videos is a unique selling point. The focus on the production of image videos only for industrial companies is an even stronger unique selling point. Because this means that not only the strengths of a provider are immediately obvious to the customer. The video producer has experience and thus arguments for a successful cooperation that make every field, forest and meadow producer look old in a pitch.

It takes courage to focus on unique selling propositions in business. The reward is a strategic positioning that reduces interchangeability and maximizes the chances of success. As a welcome side effect, marketing one’s own activity becomes much easier. The target group of potential customers is suddenly tangible and can be addressed specifically and processed much more successfully.

In practice, the possibilities of sharpening one’s own company profile with a clever reduction of the field of activity go far beyond the examples mentioned above. However, the decisive factor is always the right mix between containment and size of the target market.

If you’re targeting an industry where video can’t help you succeed, or is extremely small, you’re limiting your potential to grow.

Conversely, and there are already examples of this, there are successful production companies in the English-speaking world which have specialised to such an extent that they can no longer find their customers only nationally. On the other hand, they are successfully active internationally, which makes their wealth of experience unbeatable and their business success far less dependent on the economic situation of individual countries.

It’s time for video production companies to do more than just write scripts for their clients’ commissioned videos. It is also necessary to sharpen the script of one’s own corporate strategy and put it on a growth course!

This article was automatically translated into English using AI. If you would like to help us improve the quality, we would be happy to hear from you.

Carlo P. Olsson
About Carlo P. Olsson 138 Articles
Carlo P. Olsson accompanies the production of films, videos and TV series on behalf of companies, agencies and production companies. In his spare time he plays ice hockey and is engaged in baroque sound drama.

Be the first to comment

Leave a Reply

Your email address will not be published.