Believe it or not, if your business has competitors, you can consider yourself lucky. Think about it—- the presence of competitors means that there are customers who have money and motive to buy what you sell. Competitors bring you another gift in that they encourage you to get better at doing business. Competitive forces of the marketplace push you to deliver the value that customers and prospects demand so that your organization will survive (or fail).

Incidentally, your most formidable competitor is not another Freelancer who offers products or services similar to your own, nor is it a bigger, better known and better-funded entity that comes along to eat your lunch. Your primary compeititor is inertia—doing nothing.

When the customer you expected to sign suddenly tells you, “we’ve decided to hold off and reassess our priorities,” inertia is probably a factor. As we discussed in a post a couple of weeks ago, rounding up the decision-makers can be time-consuming in a hybrid work environment. Add to the mix the headache of budgeting for inflation-impacted costs and a fear of recession and shifting projects to the back-burner can seem so much easier. There goes your contract, unfortunately.

Still, there are time-tested actions known to improve a company’s competitive postion. Let’s take a look at some things you can do.

Competitive intelligence

First up, identify your two or three principle competitors. Visit their websites and social media platforms and study their messages. How do they articulate and promote their products and services to prospects? Make it a point to read blog posts, newsletters and case studies as well. If a competitor gives a talk, make sure you attend and if s/he participates in a webinar and/or podcast, listen in. Figure out what motivates their customers to work with them. What do your competitors say and do that may apply to you?

SWOT Analysis

The Strengths, Weaknesses, Opportunities and Threats strategic planning matrix that dates from the 1960s remains useful in the 21st century. Savvy Freelancers and small business owners know that to maintain your competitive position, it is wise to take every opportunity to portray your company as the best alternative within your product or service category. To achieve that aim, promote the reasons that customers should choose you and continually reinforce those attributes.

Use the SWOT template to catalogue your company’s strengths and weaknesses (internal factors) and anticipate opportunities and/or threats (external factors) that may be on the horizon. Obviously, you want to capitalize on your company’s strengths to position yourself to capture opportunities. You also need to acknowledge and correct as many fixable weaknesses as possible, to minimize or avoid threats.

Focus on expert and dependable delivery of your services and functioning of your products. Don’t expect to be all things to all people. Survey your customers and research your marketplace to stay abreast re: industry developments (or the developments in the industries of your largest customers) and updates in customer priorities to give yourself advance knowledge of both potential business opportunities or threats.

Understand your value

It’s crucial that you clearly understand what your unique selling proposition, your value proposition, to know what motivates customers to do business with you instead of a competitor. What makes your business unique and desirable to a select group? From there, work on promotional actions to take and how to most effectively communicate talking points that resonate with your select target audience.

In other words, learn how to best position yourself against the primary competitors and explain to prospective customers why they should choose you over another entity?

Known in your niche

If you conclude that your marketplace is too competitive for you to combat, or you realize that you don’t have the resources, bandwidth, or inclination to offer a product or service line broad enough to satisfy marketplace demands, establish yourself within a niche. In other words, specialize and pivot into narrow and deep.

Again, check out your principle competitors and note the products and/or services that they offer and what don’t they offer. Are they targeting certain areas? How does that match up with what sells well in your organization? Can you specialize in areas that competitors overlook?

Broadcast your brand

Establish a great first impression. Refer again to your competitors’ websites and social media sites-– how do they present themselves? Does their style seem corporate or does it feel personalized?

In your research, be sure to seek out not only what could be appropriate for your brand but also note what doesn’t seem right. Your goal is to articulate your brand while taking your unique selling proposition into consideration. You want to express what your company stands for. Aim to incorporate the visual identity, tone, persona and language that your customers and prospects gravitate to and identify with.

Bring the good news about your brand to every platform that your customers and prospects encounter and trust. What print publications do (or might) they read and trust? When you have something to announce, send that outlet a press release and follow-up with a call to the editor. What philanthropy (that you support) would you like to publicly associate with your brand and do they hold an annual event that your brand can support with not only your presence but also branded giveaways like notepads or similar items?

Multi channel marketing

The coronavirus shutdown hastened a shift to doing business online that was already taking place since at least 2018. Make sure that your website and social media accounts are earning there keep. Establish a presence on platforms that your current and potential customers trust and follow. Design a solid sales/marketing funnel for online appeals that can beckon to prospective customers who are searching your product or service category.

Hint—-if you haven’t done so already, start a newsletter and announce its launch and post it on your website social media platforms. Cover topics that will be of interest of your customers and remember that content marketing is about educating and winning the confidence of your readers.

Customize the experience

Several large studies have indicated that current and potential customers prefer email and other direct communications to be personalized. Direct subscribers to your newsletter or blog should receive a personally addressed post. Announcements of special offers should incorporate info of prior sales history or inquiries whenever possible.

Furthermore, attach a short customer survey and send it out with your next invoice. Ask how you can improve your company’s products or services to ensure tht customers are satisfied with the results of the solutions they purchase.

Price right

Communicate the value of your products and services and justify the premium—but fair—prices that you charge. It’s usually not possible to know what B2B service competitors charge but avoid offering your services at bargain basement rates, Low prices tend to bring in the wrong kind of clients. You also don’t want to set too high of prices since you’ll be more expensive than the competition with a similar skillet as them. If you’re just starting out, do some price testing. As you establish yourself, you can adjust your rates with future clients.

Thanks for reading,

Kim

Image: Evonne Goolagong, winner of 14 Grand Slam singles and doubles titles, including four consecutive Australian Open singles championships between 1974 and 1977, former Number One female tennis player in the world (1976), inducted into the International Tennis Hall of Fame (1988) and native Wiradjuri Australian.