Services are the value of your activities that are crucial to its customers.

Unlike the commerce company, which delivers a final product to the consumer, the service company needs to deliver experiences and solutions to win over its customers.      

This difference already changes the entire management scenario and requires a business vision focused on sectors like Food & Beverage, which is expected to be $ 7,464.2 billion market by 2027.

We will guide you through this unique universe of service provision on the following topics:

  • Service provision and its aspects.   
  • When there is doubt between product or service?
  • Main challenges of the service company
  • 3 management tips for providing services
  • Provision of services x sale of products
  • Importance of the service provision contract
  • Service provider complete solution

Do you want to be successful with your service company? So, read on and understand the largest sector of the economy.


Service provider and its aspects.

If you want the best outcomes been a service provider, you cannot not only seek quality but also the solution to a customer’s need. Therefore, it is necessary to know and meet the demands of the target audience and maintain focus on the consumer’s perception that the problem has, in fact, been resolved.


When is there doubt between product or service?

A product is something you can touch and take home, like a smartphone, book, or pair of shoes. It’s a physical item you can hold or use.

On the other hand, a service is intangible. Instead of receiving a physical object, a customer gets assistance, advice, expertise, or some other form of support. Examples of services include electrical, mechanical maintenance, programming, or software support.


Main challenges of service companies

Service companies have their own set of tough problems that make them different from companies selling products. Here are some of the main issues they deal with:

Happy Customers: Since services are experiences, making customers happy is super important. Understanding and managing what customers expect can be tough.


Three management tips for providing services to companies.

Create a good commercial proposal

The business proposal is like the key to connecting with the customer and showing them you have the best solution.

This paper has all the info about the work, like when it will happen, what it includes, privacy terms, and how your services stand out.


Know your costs.


Providing services involves several costs that need to be accounted for to achieve financial balance and form coherent prices.

Are they:

  • Fixed Costs: These are the company’s operating costs that stay the same regardless of how much service is provided. Examples include office rent, utility bills, salaries, internet, insurance, and loan instalments.
  • Variable Costs: These costs change based on how much service is provided. Examples include commissions, equipment maintenance, taxes, supplier expenses, and outsourced services.
  • Service Costs: These are the specific costs directly tied to providing the service. This includes things like hours worked, employee transportation, and materials used.

Focus on customer success


Selling services is not like selling products. What matters most for customers is not just the quality of the service but the feeling that their problem is solved. So, it’s crucial to really understand what your customers need and make their success your priority.

To do this, you need a skilled team, dedication to your client’s project, and careful attention to what happens after the sale. You want to be sure your clients get the results they want.

By doing this, you build trust and loyalty with your customers. They may even recommend your services, which can make a big positive impact on your business.


Provision of services x sale of products


Providing services is quite different from selling products, and it’s important to know what makes them distinct.

Firstly, a product is a physical item that is created during production and owned by the buyer. On the other hand, a service is intangible, not a physical thing, and it’s produced and consumed at the same time.

For instance, a car or a bus is a product, while a bus ticket or a taxi/Uber ride is a service. Another example is a cell phone being a product, and the telephone line service provided by the operator.

To further distinguish services from products, we can look at four key concepts: tangibility, property, perishability, and inseparability. Let’s explore each of them below.


Importance of the service provision contract


The service provision contract is a crucial document to formalize what a company needs to do for a client. It spells out the rights and duties of both parties and outlines what happens if something goes wrong. In simple terms, it’s a tool to ensure the company gets paid for the service and the customer gets what they paid for.

For the company, it guarantees payment and clearly defines what they’ll offer. For the customer, it ensures they receive everything promised in the service contract. If you want more legal certainty when selling services, you can follow our step-by-step guide on creating a service provision contract.


Service provider complete solution


Use technology to your advantage.

Finally, technology is an important ally for service companies, as it allows you to centralize all business information and implement intelligent management.

With so many variables and processes to control, you need a business management system that offers a broad view of the company and has task automation features.

You can even use good old spreadsheets, but it won’t be so easy to keep track of all the company’s numbers and indicators that way.

The software supports your company and makes your work easier in the following aspects:


  • Register customers and identify business opportunities
  • Create and send commercial proposals and professional quotes
  • Monitor proposals in the prospecting, budgeting, billing, collection and receipt phases
  • Manage sales contracts in an integrated system
  • Monitor sales team performance
  • Control service orders
  • Issue electronic service invoice (NFS-e)
  • Obtain reports with accurate service information per client
  • Make a monthly closing of the services provided.

With contracts integrated into your finances, you have more control over the business, save time on a daily basis and have a complete view of sales — from prospecting to receipt.






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