That is the way you win each time in saturated markets

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There is always an alternative way to get more business.

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December
8, 2020

5 min read

The opinions expressed by the entrepreneur's contributors are their own.

When we come across a new solution or develop an entrepreneurial idea that preoccupies us, the chances are that the product has competition. It's just the name of the game in entrepreneurship. Not every field is saturated, but everything has an alternative. The competition can range beyond direct competitors (like all snowshoe brands) to a solution competition. For example, you may think cinemas just have other cinemas and maybe movies that you can watch and relate to at home. But realistically, cinemas are also in competition with any other fun activity that might entice their customers more that day or night.

The products that prevail are the ones that monopolize their customers by offering something that nothing else in their category can touch. This is what made products like Lyft or even the iPhone so successful: They introduced a special kind of superiority that customers just had to have. This way you know that a product will prevail every time in saturated markets.

1. It looks better

Since we know that customers shop with their emotions, aesthetics play a role in their purchasing decisions. This is why Pinterest has been so successful as a shopping location. According to Hootsuite, “85% of shoppers put pictures first when shopping for clothes and furniture.” We buy when we like the way something looks on us, in our house or when it is around us a lot (like a car ). This seems obvious, but the question is, who decides if something looks good or bad? Individual taste is part of it, but human psychology is all about perception. In other words, if a consumer repeatedly sees a celebrity or influencer wearing a certain style or choosing a certain aesthetic, they are more likely to like them themselves.

This also includes what something makes a consumer look like and not just: “Will this color wash me out?” Many consumers want to be perceived as noble, wealthy, important, and so on. Because of this, some customers choose to use more than four figures for a designer bag rather than opting for use. To win in the “looks better” category, you should create a new trend that carries a message. Work with influencers and celebrities to take a look at the next level. In other words, what about external viewers when your customer wears or uses your product?

Related: 5 Tips for Building a Strong Brand Identity

2. It works better

Then there are only those products that achieve an increase in efficiency. This can be as simple as a knife that cuts better or as complicated as an algorithm that gives improved recommendations. It depends on consumer confidence. When a customer knows they can trust your product, they choose it every time.

Sometimes a better way of working can make the customer easier to operate or use the product. When an app is too slow or a zipper is difficult to close, consumers stay away and encourage their friends to stay away as well. However, if you can't already prove it to your customers through their experience, prove your product works better through facts, statistics, and studies – or through a seamless experience that rivals that of your competitors.

3. It's more convenient

Consumers also value their time. The convenience factor can have an impact in a number of ways. It could be shipping time, personal time (e.g., calling a car instead of walking or taking public transit) to find something easy, etc. An article aptly titled “Conquering Businesses That Offer Convenience Die Welt ”on the success of LiveChat Blog discussed how the preference for convenience has led to an increase in online shopping for everything. This also explains the success of Amazon, e.g. B. for the delivery of groceries on demand or free shipping within two days.

Related: How to Keep Pace with Customer Expectations

The article states, “Customers want to do business where and when it is easiest for them. What they don't want is friction – something that creates conflict or resistance – because, in most cases, people's lives are already complicated and stressful enough. "And largely this is true. We know that even too many steps in a sales funnel can deter customers. If your solution is convenient for your customers and you make it as easy as possible for them to buy, the more likely you are to win."

The best products of all, in some way, use all three. Typically, they specialize in one of the above processes and the other two are by-products that further add to the overall customer experience. Iterate and keep improving until your product is competitive in each of these areas. This is real business success.