Ever heard of the Pareto 80/20 Principle?
It’s an economic principle which states that roughly 80% of results come from 20% of input.
When we apply this to an industry, it means roughly 80% of profits are made by just 20% of the businesses.
In this article you’ll find out what sets the 20% apart and how you can use the same unfair advantage in your business to beat the competition.
Let’s dive in.
An Unlikely Marketing Lesson From A Plumber
Let’s say Mario has been a plumber for a while and he knows the ropes.
He figures he can make way more money doing this by himself instead of reporting to his boss.
He sets up his website and sticks a couple of flyers in the neighbourhood that say:
===
“Mario’s Plumbing: Offering Plumbing Services In Your Local Area. Call me on XXX!”
===
Seems reasonable, right?
But here’s the problem:
Mario is saying the exact same thing as the plumbers who came before him, so he’s just plumber number 312 that decided to turn his job into a business.
He’s not saying anything that puts him above the noise of his competitors.
If you want to set yourself apart, you need a message that gives your audience a reason to choose YOU.
But before we get into that, I’ve got to tell you the single message that usually comes to mind and why you should avoid it at all costs.
The Worst Competitive Advantage Possible
One of my mentors gave me a one-liner I’ll never forget.
“People do not buy on price”
This was after I suggested a business could get the lion’s share of the market by being cheaper.
It was a low-effort solution and didn’t force me to get creative about WHY my product is the best option.
Selling on price alone is the worst competitive advantage possible for three reasons:
- “Cheap” signals low value
- There is ALWAYS someone willing to sell the same product for less
- You attract the kind of clients who can almost never be satisfied
Instead of trying to win a race to the bottom, here’s how your business can come out on top.
Rising Above The Crowd
You need a message that makes you stand out.
An offer, a guarantee…something that makes you unique.
Don’t have anything truly unique about your product?
Then make sure what you offer SOUNDS unique
Maybe you deliver the result faster, or you narrow down on a part of your product nobody else talks about.
Whatever you decide, it has to resonate with your audience and be different to anything else they come across.
Look at what everyone is doing then consider doing the opposite.
In most cases the majority is always wrong.
Talk soon,
Asher
P.S If you want us to take a look at your marketing message and see how we can help you stand out from the competition, get in touch today.
Leave a Reply