Let us take a first look at the corollary of the title of this post. Let's examine the opposite thought of how we are only as good as our nearest competition. The opposite thought that produces the corollary would be that we are "not" only as good as our competition. And since most of you business owners internally believe you are not operating well below your competition right now, your business model must be considered beating your competition. In other words, we are not only as good as our competition, we are equal to or are better than our competition. This is the only conclusion remaining with this prevailing thought. We are equal to or better than our competition. This deduction comes from our examination of the corollary...the opposite thought of our original statement. Therefore, in order to be better than our competition we must think in terms of supporting the corollary of the title of this post. We must assume we are "not" only as good as our nearest competitors, but better.
Better than our competition? I consider this kind of thinking very dangerous stuff. Be careful. We need to check this kind of thinking out. Be careful, your limits are deeply set in place...already.
This post is an attempt to uncover the discovery of who your competition has become. Often times business owners look around to see what their competition is doing. This is definitely a good thing to do. Be very aware of your competitive positions, plans, efforts, desires and motions. They matter a great deal to your levels of success. Get very good at knowing how to become very competitive. In order to do this step very well you must first know what your competition is doing. It will serve your business model needs very well. It is crucial. Know who your competition is and what they are doing.
"You are only as good as your nearest competition" is an accurate statement. It carries some insightful truths. When we examined the corollary, the opposite of that statement, we discovered how we see our business model operating well ahead of the competition. If we do not own the lion's share of our market we are not well ahead of our competition. We are behind them. In other words, we are only as good as our nearest competition. We are exactly even or worse than they are, but certainly not ahead. Is this the place where we want our business model to be? I do not think so.
This brings us to the pointed edge of this post. We do not want to be as good as our nearest competition. We want to be far better. However, the truth always remains, we are only as good as our nearest competition. That is the only level of competitive force we have to measure. We can only measure us and them. That is it. It is what it is, Socrates! We are always going to be only as good as our nearest competition. Unless of course, we learn how to compete well above that line. We must blister the heck out of our competition and ourselves in order to exceed the competitive forces in our marketplace. We cannot rest on the fact that we are only as good as our competition. We must exceed that effort greatly. How well are you doing on that one? How is that working out for you?
Humbling isn't it? We are not the great competitors that we once thought we were, are we?
We need some help. We need some improvements. We need some accurate thought happening about this subject. It matters a great deal to our business success. Let's examine what I mean.
Page two.
I am certain very few business owners have developed their business model to the level of dominating their marketplace. Most are operating at or below the level of their competition. That is the pointed edge of this post. The truth is the truth. One of the best things about the truth is that it survives and exists just fine with or without our confirmation. The truth never needs to wait for our approval. More Socrates, it is what it is. It does not need my acceptance nor confirmation to become true. Truth is truth. It stands all by itself. It is sovereign.
The competitors that are operating well ahead of your business model are not your competition...they operate without your influence. Your business model does not disturb their growth and absorption of the market share. You are not their competitor. They are, however, your competitor. They keep a certain amount of potential funds away from your business model. They keep more away from your model than you do from theirs. That makes the competitive game your business. They are crawling about your income streams and pockets with ease.
Who is that competition?
Who is crawling into my income pockets and streams?
Who is getting the lion's share of my customers income?
I know my consumer bears some responsibility in this whole equation. I get that. However, some of what they spend is not in their hands of control. Furthermore, it appears as if a lot more is likely to slip into the category of expense...taken without choice. It is kind of a "pay up and live better" spin. You betcha'! I have a drawer full of those wooden nickels. Here, email me and I will send you one of them. They are free! What's more, they are good for your life!
That last question is the one we ought to be focused on. So many business models work hard on determining how to capture the consumers disposable income. They subsequently believe that the cost of the items that comprise of the standard living components consumers spend to support their 'normal' likelihoods are off limits to their marketing efforts. Not true. Just because people need food, shelter, communication, transportation, security, protection and clothing does not mean those items are off limits to your marketing efforts. Go pull up the top ten reasons why consumers spent money last year. What was their number one expenditure? What was their number two expenditure? And so on. See who your competitors are for the money those consumers earn! Who has convinced those consumers that they need to spend those amounts on those basic needs to live a comfortable and rewarding life? Who are those competitors doing that to your consumer earnings? How are they blistering your left overs? Those are your true competitors, my friends. Those are the 'institutions' that are harvesting the lion's share of your consumers hard earned money. They are the competitors that are eating your lunch.
Who are these people? Who are these competitors? How much consumer money are they taking before you get in line?
Let's take a look.
According to the current September 22nd, 2012 Bureau Of Labor Statistics, 26.8% of the income earned by Americans goes to housing costs...shelter. Another 12.1% goes to transportation costs. Then next on the consumption scale is food at 10.1%. At this point of evaluation so far, Americans are still naked, without health care, uninsured, living with no power and lighting trying to go to the malls and purchase things they like to buy and 49% of their earned income is already gone. Once we add the cost of those listed items, an estimate of an additional expense of 15.6%, nearly 65% of their earned income is committed funds to these basic needs. Add to this list the cost of taxation, which is estimated to be near the real value of 28% by many organizations...the consumer has 7% remaining to go out and do some shopping! This is where business owners need to take a very serious look at who their competitor really is! If you sell sofas, mocha's, magazine subscriptions, television cable, movie theater tickets and any other discretionary items you are all fighting for the left over 7%! That happens to be a very narrow market share! Get real serious about knowing who your competition remains to be.
Let's take a serious look at this overall competitive picture. Find a useful way to examine this kind of information in ways that will help you increase consumer importance in how you market your wares. Your competition is likely resting inside the halls of the type of lifestyle people desire to pursue and acquire. Get a clearer picture of how this is happening in these times, with these constraints, and with this type of overall effect. Your competition is not the little coffee shop at the end of the Home Depot parking lot. Although they certainly take some bucks out of the hands of some folks who may be your potential consumers, larger competitors are doing a bigger job of striping down the consumer's ability to spend away. Think long and hard on this reality. I am not trying to get political on you, just stating consumer spending facts. Remember Socrates, it is what it is. That kind of truth should resonate deeply inside your business marketing plans.
When you vote, vote with these sets of truths deeply understood. It does matter to your future opportunities as a small business. Get more serious about protecting what little you have left. I like this question, how close is 7% market share to zero? Too damned close in my opinion! Stop the erosion, people. Stand up and speak out before it is way too late. Do not get careless with this coming choice. There are a lot of leaders who truly believe you have a lot left over for them to take and re-distribute. As I see it right now, a lot left over in their minds is that remaining 7% you are looking to share with everyone else right now!
You are only as good as your nearest competition, and they are a lot larger than you might have first expected. Be very careful!
Come on man! Get serious about the numbers. Know the truth, not what tickles your ear. Do not fall for the wonderful spin of how someone else tells you what is good for you. Seven percent is an awful place to be. It is real, here and now. What's worse, is that it carries a "for certain" guarantee to shrink further if you do not step up and stop it. Worse, my friend...not better. Step up and be counted to place a "whoa" on this senseless concept. Your business needs you to support it deeply right now! Get very serious about bringing down your most damaging gorilla, your "real" competition. Vote intelligently, not emotionally. Flip the wonderful spin of how much they plan to help your life...flip that concept out of the drivers side window and let the other automobiles run over it. You need to be responsible for your own risks, efforts and rewards.
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