Competition exists in every field and, believe it or not, it can actually be good for your business. You cannot sole-handedly provide products and services for every client in the world! That is the main reason why competitors are essential. In addition, having competitors will inevitably push you to stay on top of your game!
I remember when we brought our SADONI brand to the international market in 2011. We were one of the first who were doing the bohemian, vintage styles. Five years later the market was overloaded with new designer brands from London, Australia, Poland, and many other countries. Yes, we faced hard times in that period but, thanks to those competitors, we improved our products, business plan and customer service. Those changes then led to more loyal customers and an 80% increase in our production!
And if you think you don’t have competitors, you should take a closer look. Your competitors don’t need to sell the exact same products you do. If you sell dresses with bohemian, vintage styles, chances are you are competing with designers that sell bridal dresses of other styles as well. Not all brides are dead set on a specific style.
We can even take the concept of competition one step further and say that you are also competing with businesses in the bridal industry that sell completely different products or services from yours. With a limited wedding budget, your client will often have to compromise on certain services to have more money for others (e.g. a cheaper wedding dress for a more expensive wedding photography package).
There is room for you and your many competitors! According to estimates from Global Industry Analysts, the global market for bridal-wear will exceed $80 billion by 2020. Europe dominated the global market in 2018 with a share of 30.3%, equivalent to €20 billion. With such a big market, there is no reason why you and your competitors cannot all have your piece of it. So, get to know your competitors and focus on what makes you different.
Here are five reasons why competition is good for your business:
1. Innovative Ideas
Once you know you have a competitor, it is natural for you to start thinking of ways to improve your products/services. You want to stand out from the competition and therefore are forced to have and implement innovative ideas!
2. Improved Customer Service
If you and your competitors offer very similar products or services, you will end up competing for customers in a more direct way. Improving your customer service is a strategy that will guarantee you loyal customers and keep them away from your direct competition!
3. Focus On a Niche Market
Competition makes you focus on the core customers you want to keep and encourages you to better understand and meet their needs. As you strengthen your knowledge and experience in meeting your core customers’ needs, you will become an expert within your niche and stand out from the competition that way!
4. Open Eyes
Feeling threatened by your competition can actually be an advantage. Faced with competition, your eyes will open and capture all the details that can help you stay on top of your game. You will see things that you would not bother noticing otherwise within your own journey as well as your competitors’ and your clients’. Those details may be key in improving your business.
5. Valuable Insights From Your Competitors
Following your competitors activities can show you new ways of thinking and making business. This can provide you with information into what works and what doesn’t. Based on those insights, you can try variations of what your competitors are doing and improve your business that way. No need to reinvent the wheel!
Stay tuned for my next article here on DIGI SPOSA blog.