We chat with Obianuju Olorunmola, Marketing Communications Specialist at Vodacom Business Nigeria, about strategising for competitive advantage. How do you stand out? How do you ensure what you offering differs from what your competitors are offering? How do you become top of mind when it comes to products and services in your industry? We’ll tackle these and much more in this episode of the PICHApodcast.
Why do we need to have a competitive advantage in the market place as a business?
- It gives you an edge over your competition
- Places you on a higher ranking when consumers are making a brand choice
- Boosts profitability and marketshare
“If you have a good competitive advantage it’s going to drive growth for your business which will translate to long-term success at the end of the day.”Obianuju Olorunmola, Marketing Communications Specialist at Vodacom Business Nigeria
Questions to ask yourself when developing your competitive advantage:
- Why is cost such an important factor when it comes to competitive advantage
- It’s not the only factor but it is an important one. What are the benefits you’re offering your customers?
- Are you moving in line with trends?
- Who, exactly, is your target audience? This determines if cost is a deciding factor when it comes to competitive advantage
- What is your competition doing?
- What are the alternatives your consumers are going to be looking for beyond what you rcompetitors are offering?
What are Michael Porter’s strategies for defining competitive advantage?
Cost: Giving your customers the best value at reduced cost. You can do this by increasing your operational efficiency.
Focus: Narrow your market to a particular target audience so that you can serve that audience uniquely well. In this step you would develop a very particular, niched customer segment that you focus on.
Differentiation: Use product, brand or service differentiation to make yourself stand out from the crowd.