How to stand out from competition

06 Mar 2020

How to stand out from the competition?

Competition is the name of the game in most markets. One of the ways most companies want to stay ahead of the competition by being better than competitors. Most salespeople when they meet buyers, highlight how their solution is better in terms of pricing, features, service, etc.

I will tell you, to stand out from the competition, why trying to be just better than the competitor is not a good strategy. Ask, yourself, if you go to a buyer who is using your competitor solution and you want him to switch to your soln.

If the buyer asks, why should I buy your solution, and if you say we have better features, better quality, better pricing, service, etc. will customer switch? Most likely No!

He might consider switching only if his existing vendor is very bad, but if he is even slightly satisfied with his existing vendor, he won’t switch to your solution.

That is because the pain of switching over new vendor outweighs the gain you offer!

Let’s take on the consumer side. If you have a Samsung phone which is having features, say 16Mega pixels, 4GB memory, 10 hrs battery, etc. Now if someone offers you another phone which is 20Mega pixels, 6GB memory, 12 hrs battery, would you consider changing? Not necessarily right!!

So what is the way out then?

Buyers who already using an existing solution, generally don’t want better than an existing solution! It doesn’t generate interest or get their attention.

What buyers prefer is Different, Unique or something New. The 3 words of New | Unique | Difference are the most persuading words.

If you can say to your buyer what is that New thing your product has, what is that Uniqueness you bring in or what is the key Difference you bring in compared to competitor solutions, it makes them listen and even end up buying.

This is also called USP. USP helps you to differentiate from competitors.

What is a unique selling proposition?

It is better to be different then it is to be better

USP is something a product or service that makes it unique compared to other competitors. A USP will appeal to the audience in most of the presentations.

USP doesn’t mean it has to be from product features only. It is many times comes from service, customer experience, payment options, etc.

7 steps to define your USP

  1. Define your core customers, what problems/desire they need to be solved?
  2. Define key values/benefits your customers receive after using your solution
  3. Describe how your customers feel after availing of your product/service?
  4. What are the key differentiators from your competitors?
  5. How would like your customers to think about your solution (business)?
  6. Long USP- Take answers from 1-5 questions and summarize
  7. Final USP – Condense the USP and make it into the final 1-2 lines.

In fact, great USPs have been noted as the keys to success for companies in multiple industries such as these:

  1. The Domino’s Pizza USP is “Fresh hot pizza delivered to your door in thirty minutes or less, guaranteed” (key USP elements are quality (hot/fresh) and timeliness (30 minutes or less))
  2. The Federal Express USP is “When it absolutely, positively has to be there overnight.” (key USP elements are reliability and quick delivery)

A great USP will lower your cost of getting leads and increase your conversion rates.

Here are some USP examples that can be used by local businesses:

  • We are the only car repair shop that will buy your car if you are not 100% satisfied with our work.
  • Delivered in 30 minutes or it’s on us!
  • We guarantee that you will have a comfortable experience and never have to wait more than 15 minutes for the dentist or you will receive a free exam.
  • Don’t pay 300% markups to a traditional jeweler for inferior diamonds! We guarantee that your loose diamond will appraise for at least 200% of the purchase price, or we’ll buy it back.

What if I don’t have USP?

Now you may wonder, what if I don’t have USP. My product same is competitor solutions but better! Then you are at a disadvantage. But in this case, what companies do is target markets where competitors don’t exist.

If you are targeting new buyers, who are not aware of competitive solutions, then there is a success. But sooner or later competition catches. So USP becomes a necessity again.