The same could be said of many things we offer up as differentiating us from our competitors . . . aggressive pricing, on-time delivery, outstanding customer service, great response time, to name a few.\u00a0 You have to do all those things.\u00a0 Customers expect those things, and without them, you can\u2019t even get in the game.\u00a0 So what can we point to that differentiates us from our competitors?<\/p>\n
For many small business owners, that\u2019s a problem.<\/p>\n
When an entrepreneur starts a business, it\u2019s often because he or she spots an unmet need in the marketplace and decides to fill it.\u00a0 If the entrepreneur is right, then satisfying that unmet need becomes the company\u2019s differentiator, or if you prefer, competitive advantage.\u00a0 But if the entrepreneur is successful, competitors will enter the market, and suddenly the differentiator is diluted . . . the entrepreneur is no longer the only game in town.\u00a0 Besides,\u00a0 needs change.\u00a0 What used to be important to customers may not be so important anymore.\u00a0 So once again we\u2019ve got the same old problem.\u00a0 How do we differentiate ourselves from our competitors?<\/p>\n
In the finest tradition of entrepreneurship, I think the answer is to never get complacent.\u00a0 Always be looking for that unmet need that no one else has spotted yet.\u00a0 And I believe the way to do that is to constantly ask yourself, \u201cWhat is it customers hate about doing business with my industry?\u201d<\/p>\n
Example.\u00a0 Southwest Airlines observed (correctly, I think) that air travelers hate bag fees and they feel abused by all the rules and restrictions airlines put on their frequent flyer programs.\u00a0 So Southwest differentiated itself by saying, \u201cWe\u2019re the kinder, friendlier airline that doesn\u2019t do those nasty things to our passengers.\u201d<\/p>\n
Another example.\u00a0 When Bill Hybels founded Willow Creek Church, his target market was \u201cthe unchurched\u201d . . . people who had become disenchanted with traditional, mainstream churches.\u00a0 So he did a lot of market research basically asking people, \u201cWhat was it about your church experience that turned you off?\u201d\u00a0 He learned people didn\u2019t like organ music, so at Willow Creek you will most likely hear contemporary religious music being played by pop bands.\u00a0 He also learned that people thought church was boring, so he incorporated performing arts into Willow Creek services.\u00a0 He learned a lot of other stuff, but you get the idea.\u00a0 He asked the question, \u201cWhat is it about church that you don\u2019t like?\u201d and then offered effective alternatives.<\/p>\n
So let me ask you.\u00a0 What is it people hate about doing business with your industry?\u00a0 And what alternatives can you offer that will be a true differentiator for your business?<\/p>\n","protected":false},"excerpt":{"rendered":"
The same could be said of many things we offer up as differentiating us from our competitors . . . aggressive pricing, on-time delivery, outstanding customer service, great response time, to name a few.\u00a0 You have to do all those things.\u00a0 Customers expect those things, and without them, you can\u2019t even get in the game.\u00a0<\/p>\n