Stop competing for the same market be a premium price provider but define the value of the premium package to your customer. A service business owner explained to me that they were able to measure the results of the service and give a value to their customer, however, most of their customers did not buy the post measurement service and so differentiation of the service was difficult.
It is a bit chicken or egg here, do you:
· differentiate yourself and offer something unique and deal with the fear of attracting less custom?
· compete for customers with a standard proposition and deal with the competition or race?
Remember fear is an emotion that is all in your head, the competitive race is real!
After further analysis of this business, I discovered this post measurement service was unique in this field, I explained that the ability to measure the results of the service was of value to customers and therefore a powerful selling proposition. What decision maker would not want to justify their budget/spend by measure the results of a service? If you were able to prove that your service either saves the customer time, money or increases the customer’s profit, then it is of real value!
Focus more on the selling and delivering value
As business owners we should focus more on what differentiates us from the crowd and the values our customers will receive.
In the above example, the post measurement service should become the premium service offer, with defined values to measure and to report the results of the service and to give a monitory value. The key message is the value the customer will receive over and above the standard offer and the unique benefits and values it delivers. The premium service gives you the opportunity to talk to businesses:
· that already have the standard service, to win the business on the renewal
· to attract new customers with a unique defined offer
· as more customers will find you through your unique marketing message
· and more business will buy the premium service because you are leading with this message and you have defined the values.
Remember it is easier to launch a premium service with all its unique benefits and values, than to make a standard service premium. Whenever you sell a standard service, it is a commodity that meets a need; it is more likely your relationship or your personality and not your service which won you the business. For more information about creating a premium pricing strategy see http://bit.ly/IrclTq.
Lead with your unique business proposition as your premium product or service, not every customer will buy the premium, but it will be what differentiates you from the competition.
If you like this blog you may also like this :https://theproblem-solver.com/assets/authentic-value-creates-and-grows-customer-engagement/
Janice B Gordon: The Problem Solver Business Growth Consultant, Mentor, Speaker and Author. Business Evolution – Creating Growth in a Rapidly Changing World will give you the guidance you need to evolve you and your business and exceed your customers wants and needs.