Choosing a product or service-based business

Now that you’re starting to think about the different ways of formulating an idea for your business in the wellness industry, you’ll need to also consider whether your idea lends itself best to being a product or a service-based business.

In this course we’re talking more about a service-business that can scale with a team, and one that doesn’t necessarily rely on a single expert to grow and thrive. That said, you might start a self-employed business as an expert or practitioner and then eventually scale it into a team of experts. This may shift you into doing less of the expert work and become more involved in a CEO-type role.

Let’s look at some examples of product-based businesses in the wellness industry to showcase what the proposition is, and which aspect of the wellness industry it leverages.

Product-based wellness businesses:

Whoop: Founded by Will Ahmed, John Capodilupo and Aurelian Nicolae, Whoop is a wristband worn to automatically track your body’s unique psychological state to determine your personal readiness to perform each day. Whoop is on a mission to help people to realise their potential and perform at their highest level by uncovering the secrets your body is trying to tell you. Whoop taps into the trend of personalisation in wellness, as well as sleep and fitness.

BYBI: Founded by Dominika Minarovic and Elsie Rutterford, BYBI is a natural beauty brand with a conscience. It taps into trends of conscious consumerism, natural beauty, and toxin-free living. It was launched off the back of a successful DIY clean beauty blog and has grown into a successful product line of cleansers, toners, moisturisers and other beauty and skincare products.

Meatless Farm: Founded by Morten Toft Bech, Meatless Farm is a pioneering brand creating plant-based meat alternatives. The business is passionate about creating alternatives to meat that are protein rich and do not harm people or the planet in the manufacturing process. It taps into the growing trends of plant-based eating, environmental consciousness, and veganism.

Beekeeper’s Naturals: Founded by Carly Stein, Beekeeper’s Naturals is a series of natural remedy products that utiise the health benefits of bee propolis. Carly launched the brand off the back of her own personal health challenges including allergies and sensitivities that she soon realised others were also experiencing. It taps into trends of sustainability, organic, natural ingredients and prevention.

Now, let’s look at some examples of service-based businesses in the wellness industry that are tapping into high growth trends:

Future: Founded by Rishi Mandal, Future is a pioneering online personal training platform that pairs clients with their own world-class coach. It uses advanced technology and data-capture to create a truly personalised experience that is also scalable. It taps into trends in digital fitness, personalisation and technology.

Thriva: Co-founded by Hamish Grierson, Eliot Brooks and Tom Livesey, Thriva is a proactive healthcare company that provides customers with at-home finger-prick blood tests to personalise vitamins and supplements in a pioneering new way. It helps consumers to understand what’s really going on inside their bodies and then provides an interpretation service that enables a more empowered approach to wellbeing.

Hotpod Yoga: Founded by Max Henderson, Hotpod Yoga is Europe’s largest franchise yoga company offering in-person classes that take place inside of a proprietary hot yoga pod. The pods allow up to 12 people to experience a yoga class taught by an instructor at a certain temperature. It taps into the trends of yoga, meditation and boutique fitness.

Making a decision on the type of business you’ll launch

When planning the launch of either a product- or a service-based business, you might consider the implications of each from a planning, logistical and cost perspective.

A product-based business might require prototyping, manufacturing, the sourcing of parts or ingredients and have cost implications like buying or creating inventory. It can be very rewarding to hold a physical product in your hand and say “we created this”.

A service-based business may require a physical location, although it could also be delivered in an online format. This will require the training of staff to deliver the service, processes to create continuity, and potential set-up costs like buying equipment or creating an initial platform on which to offer the service digitally.

What do you think?

Can you share an example of a product-based business you’ve seen, consumed, or been inspired by in the wellness industry? Why has it impacted your life?

Alternatively, can you share an example of a service-based business you’ve used, experienced, or been inspired by in the wellness industry? What type of trends do these respective businesses tap into?