It can be challenging to venture into a new business. Especially if you’re planning to penetrate a large market with well-established competitors, the competition is very tight. Small CNC plastic machining businesses face the same challenges as other small businesses.
While you can create products or replacement parts for toys, medical devices, automobiles, or gadgets, it’s important to know how you can market your products and services to grow your CNC plastic machining business.
That’s why you’ll need a comprehensive guide on how to do it and grow a successful business.
In this post, you’ll learn some helpful tips that can help you establish or expand your CNC plastic machining business.
One of the most valuable assets of a CNC plastic machining business is connections. For your business to thrive, it’s important to build partnerships, like having loyal clients by advising them on the best business practices.
For entrepreneurs who are new to the industry, there may be some mystery surrounding aspects of this type of business. There are numerous things to consider and pay close attention to, including your expected volume, floor plans, and client lists.
Cultivating strong partnerships with clients and other businesses can establish valuable connections that will help you improve your business operations and increase client referrals.
Create a Great Budget
To have an idea of the expected expenses you’ll face when putting up a CNC plastic machining business, read the article “How Much Does CNC Machining Cost: The Important Things to Know.”
You have to consider the basic cost of a CNC machine and materials. The cost of a CNC machine differs, depending on the purpose of usage. You’ll need to decide if you need a CNC lathe, mill, grinder, drill machines, or a combination of these.
Like any other business, you have to consider important factors when creating a budget for your CNC machining business, including the following:
- Order costs.
- Labor cost.
- The cost associated with using different machine types.
- Additional completion costs.
- CNC machine shop rate, which is set by the company used for CNC.
Target a Market Niche
One aspect of growing any business should focus on targeting a market niche. This means that you have to offer specific services that you can handle excellently so your business will stand above the rest.
You know very well that there are different materials you can process on CNC machines, such as foam, fiberglass, plastics, and wood. Since you’re into CNC plastic machining, you can process polypropylene, PC, ABS, POM, nylon, and other plastic materials.
To target specific types of buyers, choose the best application in which you can excel. For instance, you can set up a CNC machining shop that specializes in the fiber laser cutter, which is used to cut fragile plastics using focused light in cutting precise lines. Lasers offer a high level of accuracy to achieve complex geometric designs.
Making prototypes is essential in CNC plastic machining businesses. After using injection molding to begin the prototype, you can use CNC machines to finish the product.
You can invest in CNC machine laser cutters with the ability to follow complex CAD or CAM designs without needing manual operation. With laser CNC machines, you can perform different laser cutting applications.
These applications include the following:
- Machining control panels.
- Vector cutting.
- Machining displays.
- Raster engraving.
- Making etched signs and nameplates.
- Acrylic edges shaping and polishing with a high-quality finish.
Offering specific CNC machining services will help your business stand out to clients because you have specific expertise to offer. Because CNC machining is a broad industry, choose a niche that best suits your knowledge, skills, and capabilities.
Embrace CNC Machining Technological Advances
Because technology is rapidly advancing, it’s also important to embrace new technology. Even if it means another financial investment, using advanced software and CNC machinery can help you accomplish more tasks that were previously possible.
In this way, your CNC machining company will remain competitive.
Keep Your CNC Plastic Machining Business Flowing
Never rush expanding your business. Allow your business to ripen in its own time. Thus, you have to create an effective business plan. Each business objective or target goal should have an allotted time frame, budget, and workforce.
For instance, you cannot just invest in expensive CNC machines and facilities if you don’t have enough expert and experienced employees who’ll handle them. You’ll only slow down your business growth and hamper your business expansion.
Here are some tips when managing and expanding a CNC plastic machining business:
Make Steady Gains:
Take time to grow your profits and make steady gains instead of giant leaps. Many small CNC machining businesses succeed even if they have few machines and employees. With a relatively small operation, you can meet and even exceed the national productivity average.
Be aware and stay on top of the competition. You should know how to move with CNC machining trends by knowing the updates and news.
Combine both machine operations and internal fabrication. It can save money and time by buying the equipment you need.
For example, you can use a cutting laser to even and smooth edges in post-fabrication finishing.
Prioritize jobs based on the production instead of external suppliers. This will smooth your business workflow and improve output, which will help you scale your business.
Know Your Strengths and Weaknesses
CNC machining is a multi-stage manufacturing process in which you can add value at each stage. The number of value-added steps you’re able to perform influences the ability of your business to grow and expand. That’s why it’s essential to assess your strengths and weaknesses.
View your weaknesses as new opportunities to see how you can insert value to any stage of the CNC machining process.
By determining your strengths and weaknesses, you’ll be able to drive your business to the direction you want it to go. You can stop or change bad practices, improve the best ones, and continue doing the things that make your business grow and succeed.
Here are the aspects of your CNC machining business you need to assess:
Streamline the Production Processes:
Do you have a clear company policy in place when it comes to production rules and guidelines, such as quality control and safety practices?
It’s crucial to have a streamlined policy on how employees should perform so their expectations are properly set, which will eliminate frustration.
Balance Manual Labor and Automated Tasks:
Do you need to invest in new CNC machines that can automate tasks or would you rely on manual labor instead?
Consider retaining your top talent and find solutions to retain the rest even if you have a new machine that can perform other tasks.
New Product or Service Line:
Can you offer a new product line or line of service aside from the ones you have today? How soon can you execute them? Do you have enough budget to do so?
You probably have a great product concept in mind, but you might need to wait until you have the funds for it to materialize.
Effective and Efficient Marketing Strategies:
What are the sales and marketing strategies you can use to promote your CNC plastic machining business?
It’s important to assess your budget and capabilities to market your business. Do you need to hire an in-house marketing manager or can you do it alone through digital media?
Follow the Industry Demand
You can find ways to grow your CNC machining business by introducing new products. Also, it’s essential to diversify and carefully research the market demand to thrive and sustain growth.
If you’re not satisfied using machines that were originally designed for metalworking, invest in a CNC plastic machine that produces plastic seals. This will allow you to follow the demands of the plastic machining industry.
You can invest in a CNC plastic machine with lower forces and light-weight construction for efficient production. This will allow you to not only meet the demands of your clients but also help promote your business through referrals because of the high-quality products and services you provide.
Here’s breakdown of expected CNC machining industry demands and trends in the coming years:
- By 2025, the CNC machining market will reach $100.86 billion USD. The main driver for this demand is the increased operational efficiency of producers of different goods.
- The market is expected to continue its gradual shift toward a more advanced and compact size of CNC machines. These machines use multi-axis machining technology and come with automatic tool changers for increased production.
- CNC milling machines are anticipated to grow because of CNC technologies and reduced operational costs.
- CNC laser machines will also gain traction as a result of the workforce or manual labor requirements and improved machining speed.
To reach a wider audience, CNC machining businesses should adopt digital marketing. Digital marketing opens great opportunities for a strong marketing strategy, especially if you have a tight marketing budget.
However, before thinking of what digital marketing strategy to use, you of course need to have a business website for your CNC machining business.
A great website should be fast, reliable, secure, and informative. You can create your own website using a website builder or hire a website designer. It’s also important to create web content that can attract more visitors to your site. After all, the relevant information is what brought them to your website.
Here are the different digital marketing strategies you can apply to promote and grow your CNC plastic machining business:
Social Media Marketing:
Be active on social media. Create a fan page for your CNC machining shop so social media users can follow it. You can take advantage of the ads manager on Facebook to send your messages or ads to targeted users. These can be broken down by age group, geographic location, or interests, among other parameters.
You can request to obtain the email address of your existing clients so you can use it for marketing purposes. This will help increase customer engagement, especially among loyal customers who’ll promote your products and services via word of mouth.
Email marketing is highly recommended for CNC machining businesses because most of these businesses are local and require targeting local customers.
Unlike selling apparel or shoes, CNC machining products and services are offered to different types of companies or product manufacturers in various industries. These industries include manufacturing, automotive, healthcare, construction, and engineering.
Share your expertise through your web content. You can write articles or blogs about CNC machining techniques, applications, and potential products and services that clients will be interested in.
Also, you can post videos, webinars, images, and audio files, like podcasts, to provide meaningful and helpful content to your website visitors and customers.
Search Engine Optimization (SEO):
SEO refers to a digital marketing strategy that uses power keyword research and good link building practices.
SEO aims to increase your website’s ranking on search engines to increase brand awareness and traffic, as well as your conversion rate (users who took action), leads (users who expressed interest in your business), and your overall sales.
Because CNC machining involves different stages of manufacturing machined parts, you can use the power of video marketing to show your clients and potential customers how you do the work and the people behind your business.
You’ll be able to share your vision and mission, as well as your inspiration by sharing your personal stories, aside from tackling the business side of things.
Also, you can interview willing clients to share their experiences with your products and services so other people will be inspired and convinced to do business with you.
If you want to grow your CNC plastic machining business, it’s important to have a great business plan, practical budgeting, and stay abreast of the latest changes and updates in the industry.
Additionally, you have to show that you’re an expert by specializing in a specific CNC plastic machining product or skill. And you cannot underestimate the importance of digital marketing. Any type of business needs a strong web presence and a good digital marketing strategy.
If you want to reach more potential clients and engage with your loyal customers, you have to know the best digital marketing strategies to help grow and expand your business.
This will help you achieve your business goals and make your CNC machining business more successful.