Ok check this out.
I’m currently writing this from a Pret a Manger, (a popular cafe’ chain in the UK) overlooking the front window of a Starbucks.
And there’s an independent coffee stand right outside of that very same Starbucks!
Did I mention that 50 meters from here we also have Costa coffee and Cafe’ Nero shops? All on the same street.
Well there you go.
How’s this for competition?
When I was living in Italy it was the same with pizza places.
If you pay attention, you start understanding why competition is a great thing.
It pushes your brand to innovate.
It helps expand your market and create more demand for what you sell.
It keeps you on your toes.
And it doesn’t need to be a fight either.
A lot of it is competing on strategy.
Maybe you target a different segment of the market. Maybe you have a different angle for approaching your audience. Maybe you promise a very unique benefit in a unique way (even if the product is the same). And so on…
Fact is, I’m drinking my latte (I know, shame on my Italian self) having fun writing this and NOT thinking in any way of going to the Starbucks that’s facing this window.
Pret a Manger recently started offering a £25 subscription: you get 5 drinks a day, every day, every month.
This is value. And loyalty. And differentiation from most other coffee chains.
As mentioned, it’s competing not on product (really, these drinks are basically the same for most chains), but on strategy.
And it got me thinking.
If you can’t compete on product, compete on strategy.
Make your offer unique, more valuable through your pricing model or through context (everything surrounding the product, from the user experience, to onboarding, customer service etc.).
Worth thinking about, especially in uber saturated markets.
When was the last time you’ve researched your competition and tried doing something different?
I can help you with that. Let’s talk.