~ The unsustainable market advantage ~
As an entrepreneur, you always want to work to create market advantages. If you want long-term growth and profitability, and if you’re going to keep the advantages you have worked so hard to achieve, it’s critical that they be sustainable.
If you position yourself as the low price leader, you may get a temporary market advantage. No argument there. The giant problem is that if some yay-hoo comes along and offers an even cheaper price … Poof! There goes your market advantage in a lovely puff of smoke.
On top of that, that’s where all the competition is. Price-shoppers are the toughest to deal with and have the most complaints. You’re fighting over scraps.
A much more powerful position is to be known as the most expensive. (Also positioned as a Trusted Advisor, best quality, most knowledgeable, a problem solver, best guarantees, and other things that command a high price.)
As you achieve that position, there is far less competition because very few business owners have the know-how (or the guts) to position themselves at the top of the food chain. You’ll also be dealing with clients who are less price-sensitive, have fewer complaints, and who provide an overall better selling experience.
Read Part 1 or jump ahead to Part 3.
To Tons Of Customers!
Jim Augustus Armstrong is The “Coach”
Jim Augustus Armstrong is the President of Flooring Success Systems, a program that equips dealers to double their profits, cut their work hours in half and beat the boxes! Many dealers have totally transformed their businesses and their lives for the better after joining Flooring Success Systems.
See what real, live dealers are saying!