BUSINESS TIP: Change the Way You Compete
If you are competing on price alone, you will lose. It becomes a vicious circle where someone eventually comes along and offers a lower price. You must change the way the game is played and compete on your terms by offering and selling value and benefits to your customers.
Understanding your customers will allow you to develop a relationship with them based on value rather than price. Value is the combination of price, quality and service.
When dealing with price concerns, remember the following:
• Price is rarely the deciding factor
• All prices are high until the customer sees the benefits
• Price becomes less important when the service is perceived as highly desirable
• When your price is higher, add value
• Owners will choose a farrier they like and trust, regardless of price
• If your customer service is exceptional, your work outstanding, and your price fair and honest, then your value will be greater than a competitor who only offers a lower price.
Owners look for the following when choosing a farrier:
• The promises you make and keep
• Solutions to their problems
• Your customer service standards
• Other people’s opinion of your work
• Their expectations are met
If you offer your customers all of the above qualities, you will add value they appreciate – and no longer have to worry about competing on price alone.