A Market Dominating Position is any value-added CUSTOMER perceived benefit, or a combination of benefits, that differentiate you from your competitors; and does so in a strong enough manner that it makes your business the logical choice in the minds of your prospects and customers.
It may be the single, most important element when building a successful business.
It’s what sets your business apart from your competitors.
It needs to be communicated clearly in every sales call you make, every ad that you place and every prospect you communicate with.
A great Market Dominating Position can enable you to focus on a specific niche market and communicate that you’re the only logical choice for them to do business with.
When you communicate your Market Dominating Position to your prospects in a way that connects with them…both logically and emotionally, then the value of your product or service immediately skyrockets in their minds.
Ignore it, and your prospects can’t differentiate you from your competitors and you will only be able to compete on price. Which, as we know, is the beginning of the end.
Step number one, determine your strategic position in the market.
What specific niche market or segment of the marketplace should your business focus on? Determining this involves combining the skills your business has with the unmet needs of your targeted prospects and then designing your product or service to fulfill those needs.
Domino’s strategic position was “fast hot pizza for hungry college kids.” For Starbucks, “delicious hand-crafted beverages that makes life better.”
Step number two, determine your primary market dominating position.
This is the most dominating advantage that separates you from your competitors. Domino’s claimed it could deliver its pizza in 30 minutes or less, or they would give it to you for FREE! This was the primary advantage that met the needs of their newly defined market position – hungry college kids that wanted food fast.
Step number three, determine your supporting business model.
How will you specifically deliver what your strategic position and primary market dominating position promises? What changes, if any do you need to consider making to your business to ensure you deliver consistently on your position and your promise?
Domino’s built a supporting business model that enabled them to consistently provide their promised primary advantage, which was fresh hot pizza delivered within 30 minutes. To make good on this promise every time, they were forced to create a supporting business model where they built low-cost, plain vanilla stores strategically located near college campuses.
And since college kids aren’t the most reliable workers on the planet, they were forced to hire additional delivery staff and have additional drivers on a stand-by basis. Together, these innovations allowed them to consistently meet and often exceed their primary market dominating position.
Step number four, determine your secondary market dominating position.
What additional competitive advantages does your business offer that your customers will perceive as being different from your competition? Domino’s secondary benefits might include special pricing, assorted sizes, a much broader selection of toppings or additional menu items.
Step number five, create your market dominating position statement or elevator pitch.
This is a simple statement you can create by combining steps one through four. This helps you to state unequivocally what differentiates you from your competitors to your targeted prospects and customers.
Domino’s market dominating position is neatly summed up in its slogan, “fresh hot pizza delivered in 30 minutes or less, or it’s free.” An expanded version of this might say: “Domino’s provides busy customers with fresh hot pizza and other food items within 30 minutes or less. Our assorted pizza offerings combined with our value pricing makes Domino’s affordable to everyone.”
What is your Market Dominating Position?