This blog aims to share and stimulate dialogue around ideas for small business development and growth.
You don’t need to buy big exclusive brands anymore. You don’t need an Audi or a VW when a Skoda or a Seat will more than do the job. You don’t need to buy Armani jeans when Next is just around the corner. Purchasing a mountain bike, today, causes anyone procrastination issues. There is a plethora of choice and the supposed lesser brands have caught up.
The difference between a Golf and a Skoda used to be huge 20 years ago. Now you couldn’t slide a piece of paper through the difference, except the price of course. Even Alex Ferguson, Manager of Manchester United has commented that the difference between the Premiership and Championship is minimal nowadays.
This means that brands are pushing up against each other. The market place is crowded and that has implications for customer purchasing. VW are going to have look very hard at how they justify the extra £3000 – £5000 for their cars when a Skoda more than does the job, particularly after the purchase. Too many brands and you get crushed and so does your customer. If you were in the exclusive market, I bet things are getting more difficult each year?
If exclusivity is diminishing because someone chased you and closed the gap, you need to concentrate on creating a new visible wedge! It’s why customer experience is so important. Future small business success will be based on choosing one of two competitive advantages; price for identical products and those who create innovative experiences that are distinctly different.