by Debra Howard
Recently I was working with a consulting client and asked, “Who is your biggest competitor?” He responded smugly, “I don’t have any.”
Unfortunately, this line of thinking is dangerous; especially in tough economic times. Not knowing what the competition is doing, whether good or bad, can cost customers and missed opportunities.
Observations based solely on assumptions can lead to poor business decisions and missed opportunities to increase market share. Honest assessment is key; you have to put yourself in your customer’s shoes. If you are a customer and you need a widget, what are the benefits from buying the widget from your company? Price? Service? Selection? Brand? Convenience? Reputation?
Too many businesses assume that if they lower prices, customers will come. Not true. Businesses rarely survive on price alone. Look at Inn n’ Out Burgers; McDonald’s is cheaper, yet there are always long lines at Inn n’ Out. Why? Because they do one thing and they do it extremely well. They are also consistent. Always friendly, always fresh; they consistently deliver what the customer expects.
My best advice—view your business through the eyes of your customer. Visit your competition and visit your own store or business with fresh eyes. What do you see? What are others doing or offering that you are not? What are you offering that no one else does? Perhaps you have neglected to advertise the fact that you have extended hours two nights a week or guarantee every purchase with a 30-day money-back guarantee. So many businesses overlook the positive characteristics of their own businesses simply because they assume everyone knows what they offer. No one is a mind reader; you have to tell them and keep telling them every chance you get.
So size up the competition even if you think they are no threat to your own business. Information is power and survival of the fittest can mean knowing what everyone else is doing so you can improve on those services or add something no one else is offering. Just make sure you tell the world with press releases, advertisements, commercials, on your website, emails, social media, and so forth. Adopt big business marketing practices on a limited budget and you will attract new customers. And who among us doesn’t want new customers?