After working really hard to set up a successful Business in your target Market, your business is doing really good. Your customers identify your brand and they are buying from you but suddenly a company swoops in the market which is in direct Competition with your product. This may frustrate you and make you feel devastated as all these years of hard work seems to be going down the drain.
In my experience of being an entrepreneur for the last few years, competition need not be feared as it is not at all bad. In fact, it gives you a nudge to perform better. Here are three ways competition helped my business grow;
1. Competition Drives You to Perform Better:When I started my company, I had only a few products which I was focusing on and my company was doing fine initially but there were a few big brands which launched products directly in competition with my company and that tanked my profits. This frustrated me as suddenly my flourishing business was undergoing losses which had to be taken care of.
The competition made me look into my products and understand where we were lacking which in turn helped us improve our products. We took the consumer feedback seriously and focused on making changes based on the needs of the customers. The consumers started noticing and purchasing from our business again and our profits started rising. Now we are doing much better than what we used to gain earlier. I would say the competition drove my company to make the necessary changes to take over the niche market.
2. Competition Pushes You to Diversify.Another change I had to make for my company to gain profits was diversification. The competition in my niche market was increasing every day hence I decided to tap markets and invest in areas which are relatively new to other businesses. One such investment opportunity that attracted me was trading. As suggested by de.1k-dailyprofit.com the trading market is one of the best investment options, especially if you are looking for a small-term investment with good returns. Investing in the trading market with the help of a trading software helped my company fill in the profit-gaps.
You must have started a niche company but with time as your competition increases, start thinking of diversifying into new untapped markets. New markets are evolving every year, and a few do not have much competition. Identify the ones which are in-line with your skills and expand your company's horizon.
3. Competition Helps You Understand Your Selling-Point:Competition lets you understand how important it is to tell your story in the market to create an edge over your competitors. Convey to your consumers about; Who you are? What your brand is about? What inspires you? What solution you are offering to the customers?
Large companies, in general, do not have such story hence you are at an advantage as your story will let you be different in the market as compared to your competitors. Consumers appreciate sincerity and authenticity hence give them what they want.
Another advantage you have over large firms is that you can communicate with your consumers on the one-to-one level making them feel connected to you. Large organizations do take customer feedbacks seriously, but small companies can make the experience feel more personalized.
If you are irritated about the sudden competitions popping up in the industry, don't be. It may be the best thing that has happened to you as avoiding competition is inevitable but improving your business driven by the competition can take you to heights you never imagined of reaching and help your business thrive.