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The Business You’re Really In

(This is an excerpt from my soon-to-be-released book entitled, ‘Customers For Life.’)

 

You’re NOT in the (Whatever  business you’re in) business…

You’re in the MARKETING business.

Read that sentence again… and again… and again. Digest it. Understand it. Internalize it. Make it an integral part of your business philosophy. Because unless and until you do, your business will be no better and no different than any of the other choices your prospects and customers can select to do business with.

Let me explain by using the insurance profession as an example, and as I do, think about how these principles might apply to your business.

It’s a well-known fact that very few people (if any at all), want to actually buy an insurance policy. It’s true, they may want the benefits, security and peace of mind that the insurance provides them and their families or their business, but they don’t necessarily want to spend their money on an insurance policy. But, what do most insurance people sell?

 

They sell insurance!


No wonder the business is so difficult. It doesn’t take a Harvard degree to figure it out. If you sell insurance… and know that people don’t want to buy insurance… why would you continue to beat your head against the wall trying to sell it?

Consider the way most people shop for auto insurance. They call up a number of insurance companies and ask for a quote. The agent asks what coverage the caller is currently carrying, and gives a quote based on those figures.

The caller then thanks the agent, and goes to the next number on their list. They keep repeating the scenario until they’re convinced they’ve found the lowest price… and whichever company comes in lowest gets the business.

But, wait a minute. Isn’t there more to buying insurance than just “low price?” Well, sure there is. And you and I both know it. And so do most insurance agents.

Why is it, then, that nearly every agent from nearly every insurance company you call tries to sell on price… knowing that there’s probably someone out there with a lower price than they can quote?

Why is it that so few agents try to differentiate themselves from their competition, and change the prospect’s base of thinking away from price, and on to other, more important things?

Price is important, don’t get me wrong. It’s very important. And it carries a lot of weight in a prospect’s buying decision.

But it’s only one of many factors that a person needs to consider when making their buying decision.

In actuality, there’s very little difference in insurance policies issued by any number of insurance companies in the same geographical area.

And likewise, there’s usually very little difference in the products or services you sell versus those same types of products or services sold by your competitors.

General overhead costs, utilities, phones, supplies, wages, and product costs are also similar for most companies that sell like products and services.

So, if all those factors… similarity of products and services, overhead costs and product costs… are pretty much the same, the prices charged by each individual business must, out of necessity, be pretty close as well.

It’s true that one company may, for example, obtain a lower purchase price on their products and as a result, be able to offer a more attractive sales price for a certain period of time, but eventually, things change and the playing field becomes pretty level once again.

There are other factors not to be overlooked such as investment income and tax write-offs or advantages that can play a role in the prices businesses charge for the things they sell.

But overall, all things considered, the prices charged for the goods and services from one company to another similar company are going to be fairly close over the long haul.

The point is,… no matter what business you’re in…

 

You will never maintain, long-term…

a competitive advantage because

of the products you offer, or

the prices you charge.

 

As soon as you develop a new product, or offer a new service, it’s just a matter of time before your competition latches on to it and offers the exact same thing, or maybe enhances it and offers it for a lower price. And as soon as you lower your prices, your competition can do the same thing.

The marketplace you operate in is so fiercely competitive… so cutthroat… so unforgiving… that you absolutely must do something to differentiate yourself from your competition.

If you don’t, you’ll be relegated to just another “me-too” business, just like all your competitors.

Now… want to know the good news?

That’s how your competitors operate… in a “ME-TOO!” mode.

Just look around. They’re all the same. Their businesses all look the same. Their products are all the same. They walk and talk the same. And their advertising all looks like and says the same thing as the next guy. Because they all operate that

way and don’t know how to change… it gives you a tremendous opportunity!

You see, if they keep on doing what they’ve always done… they’ll keep on getting what they’ve always got.

But you… if you want to get something different… you’ve got to be willing to make some changes. And that’s what this program is all about. Making changes… changes that will produce real and measurable results in your business.

But, what you’ll learn here isn’t enough. These ideas and strategies alone, won’t work. You’ve got to take action on them, if you expect anything different than what you’re currently getting.

So, make the action commitment now!

Categories: Marketing |

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