Every business owner likes to think they are unique, different and better than the competition. Yet often when asked what makes them different from everyone else, their response is either overused terminology, a labored search for the right words or awkward silence.
True differentiation comes from having a real plan – a strategy – for growing the business.
Try these two tests to vet your current strategy:
First, will what you plan to deliver matter to customers?
Whether it’s a product or service, it doesn’t matter if you think your strategy is brilliant. If the customer doesn’t care, it’s a dud.
A key component to strategic planning is identifying your core customer. A core customer is more likely to buy your product or service in a quantity required for optimal profit. They are more likely to make repeat purchases and make referrals. Drill down to WHO this person is, not just a position or a company. Your core customer is a real person and the better you define who that is, the better chance you have of gaining them as a customer.
Second, does your strategy really differentiate you from your competition?
It boils down to a matter of doing things differently or doing different things. Which one is true for your company?
For many leaders, it seems like a daunting task to carve out and articulate what truly sets their company apart. (Remember this riddle… How do you eat an elephant? One bite at a time.) It’s through this incremental exercise that a CEO and senior management team can establish the company’s vision and the plan to get there.
Nearly every leader at one point or another states, “We need to get everyone on the same page.” And they are right. But to do that, you need ‘One Page’ – not a bunch of slips of paper in desk drawers throughout the organization or locked away in the head of the owner.
Develop a clear, differentiated strategy, supported by a strong core culture that can deliver on the brand’s promises, and you’ve got a winning formula for Scaling Up.
Bottom line…if you are no different, there is only one way to compete and that’s price. That’s a dangerous game few can win.
What is holding you back from Scaling Up? Click here for more information about our Scaling Up 2018 event right here in Bethlehem. Get actionable insight you can apply to your business right away.
Tom Garrity is the Managing Partner of Compass Point Consulting, Concannon Miller's business consulting partner. If you would like more information on this topic, Tom can be reached at 610‐336‐0514 or email@example.com.