I'm about 1 year into my practice and trying to decide whether to specialize in a specific industry (I've been thinking healthcare since hospitals have massive utility spend) or stay a generalist taking whatever comes my way. What's the marketing advantage of specializing?
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Should I Specialize or Stay Generalist?
Specializing was the best business decision I ever made. I focus exclusively on grocery stores and food distribution warehouses. The advantage: I know every refrigeration-related tariff quirk, every demand charge pattern for cold storage, every energy efficiency program they qualify for. When a grocery chain calls me, they're not comparing me to generic utility auditors - they're comparing me to nobody, because I'm the only one who speaks their language.
I'm a generalist and I do fine, but I'll admit that my marketing is harder. When you specialize, your message is laser-focused: I save hospitals money on utility bills. When you're a generalist, it's I save businesses money on utility bills which is vague and forgettable. Specialists can command higher fees too because they bring industry-specific knowledge.
I'd say start as a generalist while you figure out which industries you enjoy working with, then gradually specialize based on where you're having the most success. I started general, realized I was landing a lot of hotel and hospitality clients, and now that's about 60% of my practice. The specialization happened naturally.
Both paths work. But if I were starting over today, I'd specialize faster. The marketing advantage is real - you can write content, attend events, and build relationships in one specific world instead of trying to be everywhere. Healthcare is a great niche choice by the way - huge utility spend, complex billing, and hospitals are always looking to cut costs. Just know that the sales cycle with hospital systems can be 6-12 months.
One caveat about specializing: make sure your niche is big enough in your geographic market. If there are only 3 hospitals in your metro area, that's not enough to build a practice around. You need either a large local market or be willing to work regionally or nationally within your niche.