So now ask yourself what, if anything, makes your business different from your competitors as perceived by your targeted prospects and customers? For the vast majority of businesses that answer is price.
So then consider today’s top selling companies. Nike offers a wide range of shoes, apparel and equipment products, all of which are currently among the best sellers globally. As an example, the top selling Air Jordan 3 is currently selling for $150 and up. And yet, Target sells an excellent imitation for around $40, but Nike outsells them by more than ten to one.
Have you bought a cup of coffee lately at Starbucks? According to their latest data, their typical customer spends between $3.50 to $4.00 on every visit. That’s around four times higher than any of their competition.
Obviously, low price isn’t the driving force here. So what is?
The answer, these top selling companies have staked out a specific and targeted market dominating position.
For Nike, their position revolves around being the best athlete, being hip and in style along with the perception of quality. For Starbucks, it’s delicious hand-crafted beverages which they claim is the secret to making life better.
When you create your own market dominating position, you will consistently get businesses and individuals to choose your business over your competitors. But what exactly is a “market dominating position?” It’s simply any value-added customer perceived benefit, or a combination of benefits, that differentiates 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.
As an example, a dry cleaner that offers pick-up and delivery would be the only logical choice for any prospect or customer that values convenience. This simple distinction represents a market dominating position.
The key is to create added value in everything you do. Prospects and customers DON’T buy based on price. They buy based on the value they receive for the price they pay. Creating added value is a marketing or customer relations strategy that can take the form of a product or service that’s added to your original offering for free or as part of a discounted package.
Like all other elements in your marketing toolkit, it’s designed to attract new customers and retain existing ones. Another simple example of added value would be a gift shop owner that offered complimentary gift wrapping with every purchase. If you don’t revisit the value you offer, then over time your customers will be drawn to your competitor who consistently innovate their business so they offer exceptional value that you don’t.
Ultimately, your customers will demand additional value to remain loyal – and they’re the keystones for your business growth. Everyone can add value to their business. And adding value doesn’t have to blow your marketing budget or take up hours of your time. There are many ways to enhance your business in the eyes of your clients.
The key to adding value is determining what your customers and target market perceive as valuable. You must understand their needs, wants, troubles and inconveniences in order to entice them with solutions through added value products or services. Adding value will also add to your profits, but if you don’t focus on genuinely helping your clients you’ll have a difficult time attracting them.
Added value works for both product and service-based businesses. If you offer a service like hairstyling, try treating your customers by offering them a latte while they wait, or complimentary shampoo samples or a free conditioning treatment with every sixth visit. If you sell a product, consider offering convenience services like free shipping or delivery to make the customer’s experience a seamless one. The customer will feel appreciated and their needs will have been taken care of.
The bottom line is that you must add value above and beyond what your competitors offer. And, you must offer value before the sale.
If you would like to receive a free workbook on how to create your own Market Dominating Position, leave a comment below and I will email it to you.
Have an Amazing day!