Price war challenges
The unfortunate thing about price wars is that usually no one wins. The integrity of the true value-add offerings of your business can be compromised. Price war conditions exist when there is no discernible difference between competitors. As a result, the customer is forced to consider the only factor in which they can see a difference… price.
Defining a strategy
To solve the price war challenge, you must differentiate your company and it’s offerings from those of your competitors. What really sets you apart from your competitors? How do you define the true essence of your business value to your customers? Differentiating the value of your company’s offerings from those of your competitors is essential. Whether it’s your vast experience and cutting-edge services or your outstanding product, effective marketing is simply demonstrating how your unique qualities make you the best choice for your customer.
Defining and communicating your value
Independent surveys show that customers look at stability, brand recognition, customer service, expertise, and overall total cost of ownership and long-term supportability of a product or service over price. The result is greater customer satisfaction, higher margins and stronger client relationships; all of which will lead to long-term partnerships with incremental services and product revenue streams.