by James Atkins, Vantage Strategy & Marketing | Oct 23, 2014 | Business Tips
The one question you need to be able to truly answer…
“Why would someone buy from me and not the person down the road?”
Easy to ask, difficult to answer.
Put another way, are you clear on what makes you special? How would you describe your competitive advantage (CA)?
The reason the answer to this question is so critical is because it should be your starting point.
How can you develop a business strategy, let alone fix on a business model, without a CA that differentiates your business?
Armed with a distinct CA the development of your strategy across marketing, operations, HR and finances should become much clearer. They will have a better chance of working together and building, rather than pulling apart at the seams.
The trouble is that uncovering, or developing, a CA is not an easy process . Those that have been able to invent a product, a feature or a business model that is unique and impossible to copy are few and far between.
From my experience here are a few thought starters to help you on the path:
1. Innovation not invention. Invention is one way to deliver CA but is a high wire act for most. Innovation, however, is attainable. Innovation in how you understand, meet and deliver based on uncovering true customer insights – in way that is unique. Ensuring innovation is a way of doing business and a strategic plank should be core to your business model.
2. Beyond the product. It’s not just about the product…in fact it may well be about everything that surrounds it and is experienced by customers at every touch point. The service journey, your positioning, the niche you serve, may well be where your CA lies. Bendigo Community Banks, for instance, were able to identify a niche that was abandoned by others and developed a unique model that has really hit the mark.
3. Filter. A robust, clear CA will become a filter for what you do and how you do it. If it can’t meet the test of being how you prioritise both big (and small) initiatives then it either isn’t a true CA, or you are not committed to making it so. These are not short term tactical activities – it’s strategic, and key to your success. When I visit Boost Juice it seems me that they have a very clear view of their CA and how it translates into their total brand experience – it’s being used as a filter or guide for what they do every day.
4. Be adaptable, and quick…CA is not static. The pace of change and the ability to imitate and reproduce at lower cost is a global phenomenon. Adaptability therefore must be a core competence. It means staying ahead of competitors and carving out a niche in meeting customer needs better than anyone else. Attempting to live off past glories based on a no longer valid advantage is the path to extinction. Retail is literally littered with such failures the most recent here in Australia being Fletcher Jones. So, are you able to easily let go when you need and move quicker than anyone else?
And finally, for those of you that think you are in a commodity market and competitive advantage is not possible – think again.
There is no such thing as a ‘commodity market’…only ’commodity marketers’. Anyone for bottled water?
James Atkins, Vantage Strategy & Marketing
by James Atkins, Vantage Strategy & Marketing | Apr 14, 2014 | Business Tips
One way not to go to unlock innovation is to hold a brainstorm! Or at least to turn up with butchers paper, pens and little else!
You need stimuli and a process to gain insight and inspiration. You need always to be on the look out – innovation happens all around you every day!
Here’s three ways that I found have helped people think about developing innovative products and services:
1) Look at the Edges and Intersection of your Users, Products and Competition
Where are there non standard uses for your products by customer groups you weren’t targeting? How have customers used your products to solve a problem you hadn’t thought of? Which of your customers are they using your competitors products – and for what purpose?
Lead users, those who are early adopters, can be indicators of a broader market opportunity.
2XU, for instance, were able to identify that a small group of non professional sports people were wearing high performance sportswear (that they didn’t need for performance purposes!). They created a new category by making those products widely available at (relatively) lower cost. Add a fashion angle and you not only have weekday joggers wearing
2XU but it’s become acceptable weekend attire.
2) Take a Future Forward view
Take a trend and extend it as far as you can. What trends can you tap into and be ahead of the curve …Social, Environmental, Technological, Political, Regulator.
Back in 2009, Jetstar decided to jump ahead of their competitors by ramping up social media marketing whilst everyone else was dabbling at best. They allocated over 40% of marketing dollars to this segment and got stellar returns in terms of ROI. Seems sensible now but two years ago they were ahead of the curve.
3) Turn your business Upside Down and Inside Out
Change how you look at your Organisation, Staff, Supply Chain, Partners.
My favourite example here is Build-a- Bear. They completely inverted the accepted industry model. Teddy bears are a low cost, low margin, high volume, seasonal, fad based business. They created a business model that was low cost, high margin, moderate volume, all year round and experiential. From one store in the late 90’s they now have over 400.
Interestingly their revenue has flat lined lately – may well be time to turn things upside down and inside out again!
James works with a wide range of organisations from large to small, start up to established. He facilitates planning and strategy workshops, undertakes reviews, develops insights and ideas, and mentors and coaches leaders. As Chair of the Growth Leaders Forum he helps business leaders unlock their potential and chart a path to growth – http://www.vantagemarketing.com.au/
by James Atkins, Vantage Strategy & Marketing | Feb 20, 2014 | Business Tips, Marketing
This is a conversation I often have with clients. Many businesses take a really narrow view – ‘it’s what we put on our web, print on our brochures or broadcast via our ads’. Effectively what they push out in the hope it will hit their target customer and get them to respond.
Well, yes, that is a part of marketing but it’s not the whole or, I would argue, what truly matters.
If the objective is to positively impact how customers (both current and prospective) think and feel about you then viewing marketing in a traditional sense isn’t going to cut it.
An exercise I get clients to undertake is to map out their touch points or, put another way, the customer journey. Where, when and how do customers interact – from the first time they hear about you, to the physical or online experience, right through to when they pay and beyond.
What is the experience and what impression are they left with? Does it reinforce the value proposition or detract? Is it consistent (at a minimum) or does it truly excite and tell a story about your offer?
It is the sum of these experiences that impacts your brand and its potential for growth.
And, of course, everyone in the organisation touches customers in this way. At each point of the customer journey everyone has the potential to impact on the customer experience and thus the brand perception.
This means, therefore, that marketing delivery goes well beyond the marketing department.
So marketing is, in effect, what we all do each and every day… much more than a brochure or a website!
James works with a wide range of organisations from large to small, start up to established. He facilitates planning and strategy workshops, undertakes reviews, develops insights and ideas, and mentors and coaches leaders. As Chair of the Growth Leaders Forum he helps business leaders unlock their potential and chart a path to growth – http://www.vantagemarketing.com.au/
by James Atkins, Vantage Strategy & Marketing | Jan 29, 2014 | Business Tips
With over 3,000 commercial messages served up to an individual every day it’s no wonder people feel overwhelmed with choice. Add to that an economy under stress, and brands desperately trying to be heard, and you have a recipe for confusion and customer switch off.
Effective marketing helps customers solve problems and, in so doing, cut through the clutter.
The answer? Marketing needs to move from being a monologue to a dialogue.
And dialogues are based on exchanges of information, or content, based on value to each party.
Content should be the new currency of marketing and those that deliver it effectively will engage their customers.
John Jantsch in The Referral Engine touches on what he calls the 4C’s Marketing as a new way of thinking. He is spot on.
Context, Connection, Content and Community, whilst they may not exactly replace the 4P’s, they certainly give them a run for their money! Here’s a brief overview from my perspective:
Context– Customers are looking to make sense of the explosion of data and information served up, in part, by the digital revolution. Truly understanding a customer’s life, their pressures and problems is a huge contextual opportunity. Situating your brand and its competitive advantage in a relevant, engaging manner is a core tactic of the future. But only if you truly understand the context.
Connection – Technology has increased the ability to connect but it’s how you balance so called ‘high tech’ connections with ‘high touch’ engagement that is key. Linking and informing what you learn online with how you behave and engage face to face will be a winning strategy.
Contentt – We have more than enough content! Your inbox is testament to that! Content can be the new currency for marketing. But only if it is authentic and genuine to your brand and business. Developed, curated, edited and remixed. Tailored to real problems. Delivered how your customer wants – face to face, email, blog, twitter, brochure, advertisements. If you understand the customer context then you can deliver content in a way that truly engages.
Community – Communities are built on shared interests and passions. The question you have to ask is does your business have a crowd or are you building a community? How do you motivate and connect your customers – either as a whole or, preferably, by sensible interest based groups. Effective communities around your business enable you to grow and develop.
Thinking about your business from the perspective of the 4C’s will throw up some interesting challenges to how you approach your marketing. It may just engage your customers in a dialogue… and that’s exciting!
James works with a wide range of organisations from large to small, start up to established. He facilitates planning and strategy workshops, undertakes reviews, develops insights and ideas, and mentors and coaches leaders. As Chair of the Growth Leaders Forum he helps business leaders unlock their potential and chart a path to growth – http://www.vantagemarketing.com.au/