(Time to read this Blog article is about 45 seconds)
A client recently complained to me that many of his customers tell him they can get a better price from his competitor. “What do I tell them?” he asked? I explained that if he’s more expensive, it had better be for a reason that matters to his target customers. Not to him personally…to his target customers.
Price isn’t everything…but in today’s competitive market, with today’s informed customers, price matters…a lot. If you’re more expensive than your competitors, you’d better have a clear and explainable reason why. A reason that ‘grabs’ your target customers. A reason that matters.
Pizza is one of the most price-promoted, discounted and couponed commodities on the planet. But Georgio’s Pizza in Pensacola, Florida chooses not to play the price game. They’re more expensive and they explain why. Here’s what they say on their website…
“Voted ‘Best Pizza On The Bay’ (Note from Donald: they’re referring to Pensacola Bay) only the finest ingredients go into our pizzas…and that costs a little more. So, our pizza is not for everyone. If you’re looking for ‘cheap’, you won’t find it here.”
Georgio’s is more expensive because they use only ‘the finest ingredients’ and everyone reading this understands that the best ingredients do cost more. Then, by telling you that they’ve been voted ‘Best Pizza’ in their area, they’re offering proof that those ‘finest ingredients’ do make a difference. This is brilliant positioning.
So, whatever product or professional service you sell, if you’re more expensive, be clear about your compelling value. Value that clearly differentiates you from your competitors, makes you ‘famous’ and grows your bottom line.