How Do You Compete?
With information moving so fast, people can copy, reproduce and have ready for sale any product or service in a matter of weeks. In today's economy, you cannot be cheaper than your competitors for long. Whoever has the lowest cost of production, or the greatest buying power usually is able to offer the lowest price. Most small or mid-sized businesses are not in this position. Therefore, to succeed today you have to truly understand who you are serving as your target market and understand their needs, expectations and especially their wants.
The only way you can stay ahead of the market is to out-think, out-sell, out-market and out-maneuver your competitors. Your marketing, sales and customer service is crucial. You do not have to have the world's best hamburger to sell billions of them.
The next time you have a group of people in a room ask them "who thinks McDonald's have the best hamburgers in the world?" I will bet that not one person puts up their hand. Yet, who sells more hamburgers than anyone else does?
Then ask the same group, who thinks they can build a better sales, marketing and distribution system for hamburgers than McDonald's. Once again, no one will put up his or her hand.
Find out what your prospective customers value and give it to them - and if you want to run a profitable small-mid sized business, the answer is usually NOT the lowest price. Let me relay a conversation I overheard between two of my friends. My first friend (we will call him John) was telling my second friend (we will call him David) about a new cleaner he went to. David, a very successful lawyer, said "I stopped in to that cleaner too, but decided not to try him. The owner introduced himself and said that he had the lowest prices for shirts in the neighborhood. I wear custom tailored shirts. There is no way I'm trusting my shirts to the guy with the lowest prices!"
You need to assess what markets are being served in your community. Look at your competitors and what they offer; then offer something different (your Unique Selling Proposition). It isn't easy, but it is essential, if you want to prosper in today's market place.
For more information about how you can create your own Unique Selling Proposition (USP) click here.
Business Owners: Learn How To:
Make 2007 Your Best Year Ever!
If you are like most businesses, you could always stand to make a little bit more money or work a few less hours each week. And that’s one thing we are passionate about - working with people in small to medium businesses, helping them achieve their full potential. You see, we believe your business should create the lifestyle you want, the income you desire and the ability to choose the hours you want to
work.
As this year concludes and you prepare for the next, it is critical to start on the right path...[Full Story]
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