Today, it is easier than before to compete with big businesses. Here are some tips to help you win the battle against Goliath.
Granted, big companies have deep pockets and elaborate supply chains that give them quite an edge over smaller players. But as a small business owner, you need not throw your hands up in despair and give up. Whether you are a service provider or a manufacturing company, here are a few ways for small businesses to effectively compete with the big boys on their own turf.
DILIGENTLY GATHER INTELLIGENCE ABOUT YOUR COMPETITION
The websites of many big companies have a lot of revealing information about the business which can be of significant benefit to small businesses who aspire to learn from them. Shortlist a few websites that you want to keep an eye on, and check them every so often to find out if there are any changes. Encourage your employees to listen to the real-world chatter about your product as they interact with other people outside the company. This may help you discover a problem that no one else in the industry is addressing, or help you come by critical competitive intelligence that will give you an edge.
DO SOMETHING NO ONE ELSE IS DOING
With the help of the product and market intelligence that you collect, see if you can do something that no one else in the industry has done so far. This is what JayBird, an earbuds manufacturing start-up, did to attract a large chunk of customers. They offered earbuds that repel sweat and a lifetime guarantee against sweat damage. This was a huge hit among their target demographic of sporty customers.
PUT YOUR CUSTOMER FIRST
For a large company, a customer is just one among tens and thousands of others. As a small business, it is easier for you to really reach out and care for your customer. Focus on building personal relationship with your customers and effectively meeting their specific needs and desires.
A small business is in a unique position to offer tailor-made solutions to their customers. Be flexible in your approach and move away from a one size fits all solution.
Speed of communication In a small business, the decision-making process and hierarchy are likely to be much simpler than they are in a large firm. Since there are much less administrative hassles, it is easier to provide a faster response to customer queries or issue. Build a reputation for fast and personalized customer care, and you will soon build a loyal base of customers.
Small businesses typically have low overheads than the larger ones. This should ideally allow you to offer quality services at a lesser price than what a large company would be able to. You don’t have to sell yourself short; just bring your prices to a level where it attracts new customers and allows you to function without running into losses.
USE THE INTERNET
The Internet has come as a boon for small businesses who do not have the money to spend on color page advertisements or television ads. You can use digital marketing to your advantage. Reach out to your customers through your websites and social networks. The connections that you build online and the information that you gather can give you a distinct advantage over your competition.
Small businesses, precisely because they are small, have the ability to be nimble and quick because they are not bogged down by several layers of administration and protocol. This, combined with deep knowledge about your competition, can help you compete effectively with larger firms.