Business Success Center

Positioning For Success:
How to Remain on Top in a Competitive World

Thanks to legendary Ad man Rosser Reeves, most business professionals understand the need for a Unique Selling Proposition (USP) - a reason why people should choose to do business with you over any of your competitors. However, when they are asked what this reason is, you will often hear similar standard answers. We offer a quality product. We’re dependable. And, our service is outstanding. Did I mention that we really care about our customers?

While these statements may be true, overused claims of this type fail to differentiate you from your competition. Think about it. Have you ever heard someone say they didn’t have a quality product? That they did not provide excellent service? Or, that they really don’t care about their customers?

It’s not enough to make general claims in this competitive world. Businesses need a unique and specific message in order to stand apart from the rest. Take Domino’s Pizza. They don’t try to make the best pizza, have the most toppings, or offer the best price. Instead, they focus on getting homemade pizzas in our hands as quickly as possible. They are fresh, hot, and at your door in 30 minutes. These wise pizza makers effectively “positioned” themselves in the minds of the consumers. Their message is very specific, very quantifiable, and very successful.

The term positioning, as coined by Al Ries and Jack Trout in the 80s, gained popularity as businesses began to see that effective positioning equaled increased profit. The concept involves concentrating on a unique idea that defines the company in the minds of the consumer. Even if a company has better products or services, the money will land where there is a “perceived” advantage. In their classic book entitled Marketing Warfare, they proclaim that, “The battle takes place in the mind. There are no facts in the human mind only perceptions. The perception is reality.”

In order to win this battle, we must make our market feel as if selecting our product or service over others is the logical decision. Unfortunately, in this quest, many feel compelled to offer new products or services. They invest time and money to find “the one” idea that will be the catalyst for success. What they fail to see is the uniqueness that is often already present within their own business.

In Differentiate or Die: Survival in Our Era of Killer Competition, authors Jack Trout and Steve Rivkin urge readers to take the time to know their business and the advantages they currently possess. These may include advantages offered within your procedures, your leadership or management, or even your history. You may find that you are unique in the area in which you specialize or the market upon which you focus. Or, you may realize that specific characteristics of your products, services, or staff are unlike any others.

Just as important as your inward study is your external knowledge and honest evaluation of your competition. What are they saying, doing, and offering? Business owners typically know the major competitors that are chipping away at their bottom-line, but often have overconfidence in their own messages and underestimate competitive threats.

Armed with the knowledge of your own advantages and the claims of your competition, you can formulate a powerful position. Were you the first? Do you try harder? Do your methods offer advantages? Whether it’s one specific fact or several factors that set you apart, make sure your market is armed with clear reason(s) for selecting you.

With a clear position established, back it up with benefit-centered communications. It’s human nature to make our choices based upon what we will receive. So, in order to stay on top, you need to go beyond mere product or service explanation and make it clear exactly how your customer will benefit. What will buying your product or service do for your customer? Will it eliminate worry? Will it make their life easier? Will it solve their problem(s)? Will it make or save them money?

It’s a competitive world, and without differentiation, companies can easily get lost. Take an honest look at your competition and at your company. Are you sending a specific message that will ensure you are perceived as the right choice? Position yourself then use benefit-centered communications to assure the consumer that they have made the right decision.

Return to the Business Success Center