In the modern, hyper-competitive market, every business is working to gain some type of advantage over its competition. Unfortunately, this is getting harder and harder because of how savvy customers have become. Today, more than ever before, buyers are doing more research online before making a purchase. Someone interested in what you offer will compare your product and price to the competition before making a purchase decision.
Getting to know your business is the first step in gaining a competitive advantage. You can implement model governance to help with this; however, don’t stop there. Once you know your own business, it’s time to implement some of the strategies below to gain the competitive advantage you are looking for.
Increase Your Prices
Some business owners believe that cutting prices will help them stand out. However, there is some value offered when you go the other direction. Consider the saying, “you don’t purchase a Rolex for telling time.”
When you charge more, you are taking advantage of something called “prestige pricing.” It can be used to boost your margins and increase your brand’s social capital and image. This is done by appealing to a buyer who does not take more affordable products seriously.
Just make sure that the services or products you offer justify the higher price. Don’t promise customers luxury and deliver a sub-par experience.
Attract the Best Talent with a Superior Corporate Culture
Finding the best employees is not just crucial for cost reduction and productivity. It is also essential because when you have happy workers, your customers will have better experiences. Your customers will know the difference when they purchase from a company where the employees are unhappy or unsatisfied. They will also know when workers are supported because the quality of care will be better, and the products or services will not have as many issues.
Modern customers want to purchase businesses that care for their people. This is a clear sign they will take care of their customers, too. This is one effective way to gain a competitive advantage.
Your Knowledge Base
Your information systems strategy can create a strong competitive advantage by sharing and capturing the knowledge of the different experts in your business. You can use knowledge-capture software or even a secure forum hosted on your website to get experts to contribute information, advice, and best practices related to specific business processes.
Once you have the information, you can share it to help improve efficiency and performance and reduce costs. This will provide you with a competitive advantage in customer service, manufacturing, engineering, and product development.
Become an Online Influencer
Today, the word “influencer” is an unclear term. However, the way it can serve as a competitive edge is easier to understand. The more people who respect and know your business, the more customers you can acquire when these individuals have a problem you can solve.
One way to achieve this is by earning certifications based on your industry. There are countless places you can do this, and you should try them to see what results you achieve.
Find Under-Served Niches
If you are trying to gain a competitive edge with your business, it is easy to focus on the well-known niches, where it is easy for you to find customers. However, it would help if you also looked for new niches where customers are not being serviced. This is a way to gain a competitive advantage. In these under-served niches, there are usually minimal competitors. You also can tap into a market and establish some type of brand recognition early on.
Your Ability to Innovate
Innovation is something else that can provide you with a competitive advantage. When you can develop products that help your company stand out and better meet customer needs, you will be the go-to resource. Try to focus your product development programs on the features that provide each customer with exceptional value or some type of unique benefit. With these innovative features, you will gain a strong advantage since your competition will find it challenging to provide a substitute or imitate this same level of value you have provided.
Get to Know Your Ideal Customer
Not all customers are the same. Just because someone is willing to buy something from you, it does not mean they are your ideal customer. Finding and targeting the right customer, understanding the buying process, who is considered a decision-maker, and what information is needed to encourage a purchase can help your entire sales team find and keep customers.
If your customers feel as though you really understand them and know what their needs are, they will favor you over the competition. This is going to provide you with an undeniable advantage.
Determine Your Strengths
Every business has core competencies and strengths, including yours. This may be technology, processes, experience, or something else. No matter what they are, these are the things that provide value to your customers and are what your customers want to purchase from you.
Think about using the strengths in creative and innovative ways to find new customers and gain new business. You can also use this information to find and tap into entirely new markets. In what ways can you use your core competencies to add value for your customers? If you want to gain a competitive advantage, these are things you must consider and explore.
Creating a Business That Stands Out from the Competition
As you can see from the information above, there are more than a few ways that you can ensure your business stands out from your competition and to gain a competitive edge. When you put time and effort into these strategies, you will achieve better results and gain more loyal customers.
While gaining a competitive advantage is great, make sure you put practices in place that will help you maintain it. This is the only way your business will achieve long-term success in your niche or industry. Be sure to keep this in mind as you move forward and work to grow your business.
Every business has core competencies and strengths, including yours. This may be technology, processes, experience, or something else. No matter what they are, these are the things that provide value to your customers and are what your customers want to purchase from you.
Think about using the strengths in creative and innovative ways to find new customers and gain new business. You can also use this information to find and tap into entirely new markets. In what ways can you use your core competencies to add value for your customers? If you want to gain a competitive advantage, these are things you must consider and explore.
