I wanna go deeper into one of the bigger Growth-Killers in business today.
And that is Positioning.
Most entrepreneurs fail at differentiation because they don’t know the business they are in.
They confuse competitors with competition.
Here’s what I mean:
When most entrepreneurs create their Unique Selling Proposition, they focus on their competitors.
E.g. They run an Italian Restaurant.
So their competitors are those who are serving Italian food.
And then they try to differentiate with better food – More tasty pasta, pizza or richer wines.
Here’s what they’re missing out:
Their competition is everyone else in the market solving the same problem.
Well, if you’re running a restaurant… this means you’re in the food business.
Your competition includes the affordable caifan (vegetable rice) stall.
Fast food outlets (Your Mcdonald’s, KFC, Burger King, Pizza Hut or Domino’s)
Other popular cuisines (Chinese, Japanese or Mexican).
It’s everything that solves the problem of hunger.
So when you’re trying to position your business…
Or if you’re creating new products or offerings…
You’ve got to watch out for what people are buying.
NOT what people say what they buy.
Action speaks louder than words.
Now, let’s say we apply this lesson to the gym business.
Say you run a gym or a P.T coaching company and you want to attract higher paying clients…
You’re not only competing with other gyms or trainers…
Here’s what I mean:
When you list out all the functionality a gym or a P.T trainer provides… you can go real deep.
Get fitter/stronger.
Lose weight.
Become more confident.
Get better posture.
Have fun while working out.
And then you look at the competition providing these benefits.
They include sports like boxing or spinning.
Wellness classes like pilates or yoga.
Having this insight will help you craft more attractive and holistic offers.
So if you’re stuck thinking that you have to differentiate against your competitors…
Don’t forget to zoom out and look at the bigger picture.
Who is your competition?
