Friend and fellow Duct Tape Marketing Coach in Canada, Cidnee Stephen, offers a simple perspective on the importance of differentiation. When we look just like our competition, the only place our customers have to compare is on PRICE. And who wants to compete on that?!
YOU: “Well, they’re offering it for $25?….uh, we’ll knock $2 off.”
CUSTOMER: “I went back and they said they’d match your $23 and knock off a buck.”
YOU: “OK, we’ll how ’bout $20 and we’ll call it done.”
CUSTOMER: “Well, they said they’d go that low, too. Can you do a few dollars more and I’ll for sure go with you.”
YOU: “Hey, I want your business so let’s just do it for $17.50 and I’ll take your credit card now.”
CUSTOMER: “Great and I have this $2 off coupon you said you’d match from all competitors.”
YOU: “Anything to keep your business!”
YOU: “I made a sale for $15.50 today.”
ACCOUNTING: “Well the thing cost $15 to make. We made a profit of 2 whole quarters.”
YOU: “Oh, yeh…..
Just because naysayers are saying no one has money to spend, what it really means is that people are more selective in the value they receive. Differentiate yourself!