Archive for the ‘service market analysis’ category

What does competition mean for you?

September 25, 2011

There are competitors that have the same or similar products or services that you have also offer. First this is the lowest common factor between you and your colleagues on the marketplace.
It is only competition when you try to be successful by copying your colleagues. Be sure that you will not achieve better results than them.
Market analysis is an important step. To decide what you offer and how you want to set your prices, you need to know what your competitors offer in the marketplace. That is one component only. You need to gather more knowledge so you can develop your “secret weapon”. Sometimes to know a little bit of the private areas of your direct competitors, can be great.
You need to know at what terms they offer, the way the others offer their goods / their service. Then you can create your terms and settings to be different.
– How many competitors are there in your area?
– How potent is your competitor?
– How long and how successful are the others on the market?
Now we come to the customer:
– How do your competitors advertise?
– What do customers expect?
– How often are the clients buying from them?
– How large is the business area?
The most important thing is that you are defining yourself not on price, because then you have lost anyway. You need to have a lot of money you can invest if you want to compete on price!
How can you offer you business differently?
– Who are you?
– What do you sell?
– Why are you in this business?
– What are you doing for your customers?
The important question is how you can be different! What additional services can you offer?
Here’s an example:
The owner of a fabric and wool shop offers her customers to come in with any question. She helps with knitting socks and sweaters as well when there are questions while sewing. With this personal service she has clients who recommend her business.
The same way you can specialize yourself as an employee of a company. It’s not worth anything to go into competition, because you always feel small and incompetent. Everybody has their strengths and weaknesses. Concentrate on your strengths and increase your strength.

Do not waste time and energy in competition. Develop yourself further and stop fighting!