It’s a common and unavoidable challenge for most new entrepreneurs: how do I set my business up for success if I’m not holding down the top spot in my niche? It can be extremely challenging to make headway when it seems like there are already people entrenched in that “top tier,” but it is still possible.
You can get as complicated as you want with customer psychology, but in the end, people buy products for three different reasons:
- A truly compelling need
- Perceived benefits
- High perceived value
A compelling need is something that keeps the average customer up at night. In most cases, it’s some form of problem that they need solved. Your product or service should aim to address a compelling need in a timely and cost-effective manner. Perceived benefits are the ways in which a product benefits the consumer. High perceived value is a combination of the first two factors, as a product that has specific perceived benefits that address a compelling need are of great use to people making purchase decisions.
The fact is, when you first get started off in your business, you’re not going to instantly occupy the top spot in your niche. It’s an unrealistic goal. Instead, you should set your sights on being as good as possible in all three of these areas. Have a clearly defined need that you are addressing for your target customers, and be explicit about the benefits of your product (and make sure that it delivers on those advertised benefits!). By being excellent in those first two factors, you will increase the perceived value that your product has, allowing you to better compete with companies in the “top tier” of your niche.
Obviously, it’s quite as simple as all that, but you’d be surprised at just how much a focus on product and service quality will help your company gain headway in its early phases.
Talk to us today at Viral Solutions for more tips about how you can better set your company up for early success. We’ll be happy to work with you and help you to achieve our goals.
by Christine Kelly
CEO and Queen Bee | Viral Solutions LLC