The strategy of competitiveness is not an easy game. It is harder to compete and sustain profit margins. There are easy-to-implement and effective strategies helping in selling against the low-priced competition.
10 Proven Strategies to Maintain Competitiveness without Lowering Prices
1. Differentiate
Competition is to distinguish skillfully the benefits of your company from its services or products. If the solution is a commodity, look at reasons why commodities opt for lower prices. Ensure the customer is aware of the difference. You must ensure business leadership offers something better and different to dictate the price and differentiate.
2. Sell Value
With a drop in prices, the axis is in selling value. Instead of depending on your USP (unique selling proposition), shifting towards a unique value proposition is a way of emphasizing uniqueness. The differences may be subtle but are good enough to make prospects realize the value of a business. It is an assurance that there is no big threat to cost-based competition. It is a must to know the value proposition statement and Return on Investment.
3. Acceptable feature
A benefit or feature common to players becomes a competitive advantage. The insurance company assures to pay for that is your need. It is not distinct in the marketplace as insurance covers the customer’s needs, and the customer pays for it. This feature is acceptable and has no reason to overlook the common touting practices when the customer fails to perceive it as a common feature.
4. Sell Quality
Perceiving value is the key component working as the solution. If a service or product has an excellent record with its quality, it keeps customers for a long time. Retaining customers is the key to Return on Investment, and they should not shift to other sites looking for lower-quality choices. It means to sell quality products.
5. Sell Simplicity
Cost-cutting results in competitors cutting corners, and your company may find it an unpleasant and complex situation. Simplifying the customer experience offers a buzzworthy advantage.
6. Customer Care
Emphasizing service after sale ensures better customer care and business leadership. It is a differentiator that has an impact on the lower price. Today, customers offer responsive and personalized service to the sales story. Handling customer care is a way of offering service after sales.
7. Sell the Fear
The complexities and change are uncomfortable. It facilitates changing to lower-priced solutions during competition. The chances to earn loyalty for the long term help retain market share. You can share the market and retain the service, taking out the risk of business operation.
8. Broaden Your Horizons
It is wise to consider market expansion beyond perceived boundaries. A simple way of accomplishing the market base is to establish new partnerships. Grow your market with new partners and promote your bottom line. It helps the market share to remain static while growing brand awareness.
9. Sell Speed
A responsive company sells its services or products at speed. It facilitates a faster buying experience and engagement process. It is best to get customers’ hands on the product faster. Selling products and services at full speed is a critical factor for customers.
10. Exploit Brand Equity
The competition is high with lower prices as it enters the market. The price difference offers a solid reputation to the company and uses it to its advantage. The prospects are longstanding, and customers caring for quality ensure brand equity. Performances are proving to remain competitive without lowering prices.
