We live in an increasingly digital and technology enabled world, which is increasing the level of competition between organisations.
Why is this the case?
There are three key reasons.
Firstly, technology is helping to lower barriers to entry. It has never been easier to create new goods and services, and get them noticed by your target audience. Whether it be a website, a blog or an iPhone app, the initial startup costs for launching a new project have never been lower. This is especially true for organisations that have software development skills and who are able to produce new digital products by drawing on their own capabilities.
Secondly, the Internet is the greatest communication device ever invented, and allows customers to find out about products quickly and easily. This means that customers have more information than ever before, and are able to switch from one organisation to another based on the benefits on offer and the asking price. Customers have more power, and so organisations need to stay on their toes.
Thirdly, the large number of startups which are being launched each year means that there are lots of failures but also lots of breakout success stories. This increases the intensity of competitive rivalry for everyone, and makes it more important for organisations to innovate where they can before someone else innovates for them.
In this world of increased competition, here are three (3) ways to distinguish yourself:
1. Brand building – tell a compelling story and build relationships with the people who care. Your story won’t resonate with everyone, but it will resonate with some people. And so the goal is to find your people, to feed them and to delight them.
2. Making old things new – iPhone apps and websites can be used to add additional value to offline products and services. One example of a company that seems to have done this quite nicely is Bluesmart. Travel bags are old news, but by redesigning the travel bag and connecting it with a user friendly iPhone app, the company has created the world’s first smart luggage and is re-imagining the travel experience.
3. Mix things up – I am currently staying in a hotel in Beijing. The reception staff have been very nice to me, but they don’t seem to be too friendly to the locals who come to stay here. The staff appear to have the mentality that they are selling beds, and so the need to smile and be friendly to customers is not part of what they are providing. This, of course, misses the point entirely. Everything you say or do is part of the experience, and part of the value that you provide to others. And so while smiling may not be a core part of your business, it doesn’t hurt to mix things up a little.