3 Reasons Why You Need Competition In Business
Are you afraid of competition in business?
It’s okay to feel this way, but it’s not okay to stay in it!
There’s no doubt that competition in business, regardless of the industry, can deter a business’s ability to achieve their set goals, especially when it comes to lead generation and sales.
The truth is, having competition in business is actually a good thing, and on this post, I’ll explain why that is.
Before we delve into the 3 reasons, let’s first of all look at what competition in business is all about:
When we look at how businesses are run today, we can easily detect certain traits exhibited by businesses in the bid the overrun other businesses within their niche. This happens because businesses want to dominate their market, and capture as much customers as possible.
You might call it a “greedy venture”, but most of them do not see it that way. They capitalise on any opportunity that presents itself, as long as it brings them profit at the of the day. Some would use extreme measures to win the race, while some would use subtle means to outsmart the others.
The bottom line is that businesses are contending for the attention of their ideal customers, and based on this, most have resorted to spending big in order to win, while some who may not have the money, are more inclined to foster a strong business relationships with their ideal customers, and use that medium to trigger sales.
Let’s examine 3 reasons why you need competition in business, and what to do to ensure you stay on top of things.
#1. It Eliminates Complacency
The reason some of the top brands you used to hear about or bought from in the past are no longer in business today, is because of this very issue – they became complacent.
They didn’t change when things changed around them. Every new thing to them was a “fad” until reality struck!
It is said that “complacency breeds failure” and that holds true, because change is a constant. What works today may not work tomorrow, so we need to keep up with the times (especially online).
When you start embracing the fact that there’s competition in business, you will be able to structure your marketing and sales processes more effectively, to attract ideal clients to your business.
What to do:
- Study what the competition is doing right (learn from them)
- Study how the market is shifting and adapt to it
- Survey your audience and learn more about what they want/need
- Create and share more valueable information than before
#2. It Triggers Innovative Thinking
When things are not looking good, then it’s time to get creative. Most businesses do not like new ideas; they prefer to carry on doing what they have been doing, which in some cases, never worked from the get go.
Consistency works along side innovation, because when you discover a new way of doing things, and it actually works, you can afford to stay consistent in doing things that way, until there’s a need for change.
Competition in business allows you to think deeper (in a more innovative way), not necessarily on how to beat the business down the road, but mainly on how to create new and outstanding educational information that projects your services/products, which the market actually wants.
The reason businesses stall in terms of sales is because they are busy trying to beat competition. That’s when they indulge in things like competing on price.
What to do:
- Redefine your selling proposition… make it more dynamic
- Think more on strategy, than tactics
- Learn more about the changes in your industry, in order to know how best to adapt to them and make a positive impact
- Set your price(s) and only give discounts when necessary
#3. It Helps You Narrow Things Down
When you are prone to doing too many things in the bid to get clients, you’re only a few yards away from burnout. But when you learn to narrow things down, you’re more likely to stand out, even if there’s fierce competition.
This will help you set operational standards within your business and also help you stay focused on your primary goal.
The marketplace now determines how we market, so rather than position yourself (or business) as a commodity, like what your competition is doing, it’s best to project what makes you different, based on your highlighted service(s).
What to do:
- Draw out a plan of action based on what you hope to achieve
- Figure out who exactly it is you want to market to, and approach them with something that is valueable to them
- Market to attract your ideal clients, and to also repel the wrong people
- Create a qualifying system (lead filtering)
Conclusion
The more we have competition in business, the more creative we can get. With that said, it’s not a walk in the park… it involves work.
If you’re facing too much competition in business today, start seeing it as a good thing, and approach the market with new ideas and concepts that will leave your competition’s jaws hanging.
I hope this was helpful? Leave a comment below and share this with your network!
To your success!
Cover image credit: fotosearch
