Lowest price guaranteed!
We will not be undersold!
If you find a lower price we will…
Competing on price, not something we all relish. If you’re a discount store, it is part of your brand values. It’s what gets ‘em in your door. For the rest of us, it’s something that can easily drive us out of business. Reducing our business to a commodity, is a horrible place to be. That’s especially true if the other guy is willing to buy the business or sell below their cost in an effort to outlast you. (who has the deeper pockets).
In the graphic design business, designers are repeatedly competing with anyone with a computer. How does a graphic design business compete with others who charge a fraction of their cost? Branding – plain and simple. When a person hires design projects on price they surrender professionalism, expert business advice, experience, communication smarts and ethics. Design professionals repeatedly win projects for several thousand dollars where their competition sells it for a few hundred. When you are aware of how brand works, you stop taking client relationships for granted. You over deliver on service. You keep your brand front and center and you continue to add value. Take the high road with your brand, look as powerful as you can.
The minute a business takes their eye off their brand, they start to slide toward commodity hell. At first glance, you might assume that there isn’t a problem competing on price. But ask yourself, “Where will this strategy take me, if my competitions believes it is the solution as well?” Definitely – it will take the both of you straight to the bottom. Deepest pocket wins!
Some may scoff at this article. Even they have to admit that at times they too have purchased the more expensive product or service, from businesses that on the surface are identical to their competitors. Roofers, hardware and auto parts suppliers for example. But the reason for these more expensive purchases was the value added. The experience of the employees from whom you draw great advice. The fact that they look like they are going to be around next week. All these perceptions are branding advantages. Consistency of image itself breeds familiarity and a sense of comfort.
If you want to avoid commodity hell, find valuable ways to build relationships with your customers. Stay in touch with them. Offer them valuable advice and connect them with resources that make them appreciate their connection to you. Have a positioning strategy that absolutely differentiates your brand and resonates with your audience in a big way.
Sure, every now and then it’s about price. Nothing is absolute. But this doesn’t mean you can’t step your brand up and try to side step the approach, by adding more value. You want to grow the new relationship not based on price but on brand. This involves a sell-up strategy and strong adherence to your brand values. It’s a constant battle – but the good news is that it’s winnable overall.
