Key Strategy II: Creating More Value

My second key strategy is to create more value. Look at it this way.

In business, you have two choices:

1. Offer really low prices and get more customers
2. Ask for higher prices and add more value to the customers

Dan Kennedy says that if you want a miserable business existence compete for price with the competition. Do you really want to roll in the mud for the lowest prices? Imagine, competing with Wal-Mart or McDonalds. You will never be able to compete with them for price.

What you can do is go for the higher end niche that they are not in. The great thing is that there’s a huge market for high-end stuff. Also, think of it this way. Is it easier to service 200 customers or 100 customers? Of course, 100 customers are easier to service.

How do you increase your prices? By adding value to service and/ or quality.

Ideas for Increasing Your Product or Service’s Value

• Systematize your sales and marketing systems – Customers love consistency. Your sales process should be simple, straightforward, and most of all, always the same. By measuring results, you can make small changes and see how they affect your results.
  
• Benefits, Benefits, Benefits – Talk passionately about your product or service’s benefits to everyone who will listen.
  
• Red, White, and Blue service – Roll out the Red Carpet when people walk in, Make your facility White Glove clean, and Give Blue Ribbon service. The combination of these three things will cost you almost nothing but will make your product or service worth more money.
  
• Becoming the Obvious Expert – This is a link to my first key strategy
  
• Provide Something Unique – Customer’s will pay more money for things they cannot find elsewhere.

Well, I guess you get the idea. I am committed to improving everything about our service and finished with rolling in the mud with my competition.

How about you?