If you are in business of any sort, you likely have some kind of competition. Whether local or broader, you aren’t alone in the market. This is certainly true for retail companies. And whether you are selling experiences or merchandise, you’ll have to pay attention to competitors and what they offer. But depending on your circumstances, this competition can help you or hurt you. A look below can help you better understand how to use your competition and how to combat it in a way that helps your business.
Pricing
When more competitors are in one area, the consumer has more choices. This leads to your business cutting your prices in order to win their business because the customer is the one with more options. Be sure to add value in other ways, not just reduced the price, if you want to stay afloat in your market. Offer something special the competition doesn’t have to set yourself apart and to give yourself an edge.
Rising Tide
A rising tide tends to float all boats. This means that when an industry is becoming more well-known or popular, it tends to help all of the businesses operating within it. Look for chances to leverage this when there are national commercials or online promotions that are encouraging consumers to buy your general product. Then channel this desire onto your particular store with your local marketing efforts. That way, you get free promotion and can finish the deal in person.
Trash Talking
Like it or not, some businesses will talk down your company. To avoid getting harmed by this attack, be sure to have answers to common criticisms about your store. When customers ask, you will be able to disarm their fears and assure them that you are the right choice, which allows you to sell more and worry less. Research FAQs that come up when people research you and be sure your employees are prepared to answer these questions as well.
Security
Having a lot of local competition nearby can sometimes pose a security risk. According to Pro Vigil, criminals tend to focus on one particular type of crime. If they specialize in stealing from car dealerships, for example, then they may be attracted to your competitor for their vehicles and decide to visit your business afterward. This is an important reason to ensure you have security measures in place at all times. Lights, alarms, automated alerts to your smartphone, and exterior cameras are all ways to deter criminals and protect your business.
When it comes to business, there is one thing that is certain: competition. You will always need to seek to improve yourself and find ways to add more value than the competition. Having local competition can help you in some ways and hurt you in others. The key is to take the examples above and make sure you mitigate risks and improve your likelihood of dominating your market. Then, you can enjoy more profits and more customers.