Competition Doesn’t Have to Be the Enemy
Your company wants to stay competitive. What if instead of fighting against your competition, you formed a strategic alliance that bolstered your sales as well as theirs? Joining forces with businesses that provide similar products and services may be one key to increasing your bottom line.
Healthy business competition is normal, good-natured, and concentrated on offering the best value to consumers. However, competition becomes unhealthy when it is excessive and mean-spirited.
One problem that surfaces when companies engage in unhealthy competition is the increased tension. This can be seen between big businesses and small businesses, businesses and employees, and even businesses and customers. But this tension doesn’t have to exist, if you are willing to see your competition in a different light.
While it is true that competition is the essence of capitalism, it does not mean that you need to declare war on your competitors. And though it may sound crazy, your toughest competitors can be positive assets to your company.
Consider this: your toughest competitors are the businesses that stand behind their products and services, charge a fair price, and enhance the reputation of your industry. Why not spend your energy finding ways to work in tandem with your competitors instead of bringing them down? Your efforts to work together could help your company reduce marketing costs, spur innovation, and even lead to new marketing opportunities.
In many industries, businesses select a particular market segment or take on a specialty. Businesses that feel limited by their existing niche markets can benefit from strategic partnerships with other similar businesses, allowing them to target a broader base without having to bear the full marketing cost. By joining forces with your competition and promoting your industry, region, or companies as a group, you can enhance the image of your individual companies and, in turn, increase sales for all.
By forming business alliances, you can not only learn more about your industry and different marketing techniques, but you can also reach more customers, gain more business through referrals, and possibly fill a gap in your company’s abilities. It’s definitely a win-win situation.
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4 Tips to Market For Less
Although the economy is on the mend, many marketers are still feeling the pinch on their budgets. If you are one of them, here are four tips to make your dollar go farther:
- Focus your efforts. Concentrate your marketing budget on just one or two areas. Choose methods that offer you a solid return, and track results so you can adjust quickly if needed.
- Barter. If you offer a product or service that members of the local media might find useful, negotiate a trade for free advertising space or airtime.
- Network. Join local business and civic groups whose interests match your own. Offer to speak on topics related to your area of expertise. Attend business after-hours events and other networking functions. Also consider your online impact by joining social networks such as LinkedIn and Facebook.
- Give referrals. Your customers and associates will appreciate the referral business you send their way, and will be likely to return the favor.
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