Often, people running their own businesses don’t realize what it is they are actually selling. They claim to sell balers, furniture, transportation, or computers… but they forget that everyone else is selling the same things. And if the products are identical, customers will buy from the place that offers the lowest price. This means that, fundamentally, it’s impossible to make money in such a business. At the very least, you won’t earn more than what you would get from a deposit (or another low-risk investment) if you sold everything and took the money to the bank.
In fact, any business sells that subtle difference that sets it apart from its competitors. Everything that is essentially not tied to the act of selling is still related to it. It is this “something” that creates the economic profit of the business that exceeds the “deposit.” This “something” allows a business to push out competitors, even in the most seemingly “wild” markets. What’s even more interesting is that few people consider what specific aspect of my business attracted me to my client instead of my competitor. And even if they do think about it, they often come up with vague notions like “reliability,” “speed,” or… well, “price.” It seems like everyone around always buys the cheapest option.
Why come up with ideas when you can just ask? Who should you ask? Existing clients. Let them think it over and share their thoughts. Challenge them if they say “reliability”—you can’t assess that without trying it out. Challenge them if they say “price”—it’s unlikely that all your clients are driving Daewoo Ticos. Nothing bad will happen. The worst that could occur is that they’ll choose you again, articulating what made them stop and stick with you in the first place. Ask and finally understand what unique advantage you can bring to your next client meeting.