Does Your Customer Know the Difference?
In business, you compete with several other vendors. If you’re in the same industry and deal in the same products then it’s possible that you actually compete for the same customers. And this is where the problem lies.
For customers, price is the most important differentiator. If you both sell bread and your loaves cost a few cents more than the vendor next door, this customer might see better value buying from the other vendor. To them, if the loaves of bread are “alike” then it makes more sense to buy where the price is lower. What they do not know is that quality is much more than just the outward appearance.
This is where you should be working so hard on; to make your consumers understand your “unique selling position”, also known as USP.
What is a unique selling position?
Your unique selling position refers to things that differentiate you from your competition. More like Point of Difference (POD), it’s what earns you a place in the minds of your customers.
Think of it from the customer’s perspective; from the tens or hundreds of vendors with this product why am I buying from this particular vendor? If you can’t find an answer to that question then you should blame potential customers from shopping elsewhere.
It’s not about being the best, it’s about being the best in substance x
Having a great product is good but in most markets it’s just what you pay for admission. However, you realize that when you’re just starting it becomes difficult to come up with the best product so it may be difficult to compete in quality alone.
So, instead of saying “Hey, look here, I am the best around,” you should start saying “hey, we are all about X, if you’re looking for X, we are your best option.” This way, consumers already know what they are coming for because you are the best at something no one else is attempting.
In all these you need to understand that you’re not trying to appeal to everyone. You therefore need to narrow down your consumer base and find what they like and what they don’t. This is what will ultimately help you to find a unique selling position.