What's a Capability Statement?

As name suggests, it tells potential clients what you, or your organisation and staff are capable of. It highlights what your future capability is and reflects on your past successes.

Capability statements are usually produced as brochures or booklets and are now increasingly appearing in online formats eg, HTML, PDF and self-executable ebooks. Include your logo, corporate colours and graphics so that your market recognises your corporate identity.

Some of better printed brochures are graphics intense, professionally laid out and attractively produced on hiqh quality papers. The simplest form can be produced in black and white or colour on a cheap laser or inkjet printer.

Some organisations and individuals prefer to call them Corporate Brochures ie, a brochure that tells people all about a corporation.

Wherever practicable, mention benefits you or your firm can provide your clients. A few testimonials help, but don't overdo it.

Why have a Capability Statement?

When prospective clients enquire about your services or products, you send them a Capability Statement. If they visit your site and don't want to spend time reading about you and your organisation, they can download your Capability Statement file and read it later.

Clients may pass your capability statement to others when recommending your services. You can send one with your proposals, publicity materials, and on other occasions when opportunity presents.

Some times clients may have dealt with you for years, but only buy same service. They have no idea you also provide other services. Your Capability Statement spells out what you can do in addition to what you do for them now.

If you don't tell people what you do, how can you expect them to call you when they want something done?

What's in a Capability Statement?

It's not really a dumb question! It's a good idea to include following topics and any others you feel are relevant:

USP is an acronym for Unique Selling Proposition. It's vital for every business to identify its inherent USP or if it can't identify it, to create it.

If yours is a firm that sells gold coated widgets and there are NO other firms selling same product, then you need not worry about your USP - you have one by default. The default being that you have a market monopoly.

Provided product is in demand, you can charge just about any price you like and you have no worries with competition. Your product is unique - that's your USP.

But say your business is installing airconditioners and there are six other firms doing same thing in your region. What's your USP? This is where it gets difficult.

You don't have an inherent USP, so you need to create it. If other firms provide same range of airconditioners and prices are reasonably comparable, then you need to do one or more of following:

.Reduce or increase your prices .Provide better service .Add value to your products or service

Reducing your price is usually unacceptable as is increasing your price, although with latter, you may decide to specialise in a higher cost product and look for a niche market with larger amounts of disposable income eg, Baby Boomers.

Alternatively, you may decide to focus on commercial airconditioning installation.

While it's not always easy to juggle prices and product range - after all, there are only so many different brands of airconditioner - providing better service and adding value to your products or services presents numerous opportunities. Let's consider a few.