Be Different, not Better
Many business leaders fall into the
“better” trap. They truly believe
winning is about having a better
product and sales channel. To win
big, you must be different. Different
works because it is intriguing and
believable. Customers understand it.
Choosing between different offerings
is easier than choosing between
similar offerings. “Should we have
juice or ice cream?” is an easier
decision than choosing between two
similar ice cream brands.
Different also protects your price.
When two companies say their
products are better than the others,
customers conduct proof of concept
and often break the tie with price.
To make being different work, you
also have to be clear about how
your difference is clear, tangible
and valuable to customers, partners,
employees and shareholders.
Any frequent flyer can feel the
difference between Virgin Airlines
and other airlines instantly. One
is a company run from a pivot of
delivering a unique travel experience
and the others are run by bean
counters who view the market
through a spread-sheet. You can buy
it, taste it and feel it.
To win, your product has to be
governed by the pivot. If not, you’ll
end up competing on price and
product features.
Your Pivot Sets your Market
Valuation
The value of your company is driven
by the facts about your business and
the way people feel about it. Powerful
stories create powerful emotions.
People relate to and remember
stories, even people who make living
analyzing facts. A powerful point of
view sets the context for interpreting
your quarterly financials.
This reality makes the story about
your business more important than
the facts about your business. Sound
outrageous? Maybe, but it’s true. Your
story to investors must communicate
the size and growth rate of your
category and how you are positioned
to win in the category, not just your
numbers.
In conclusion, legendary companies
have one thing in common; they
achieve dominant, defendable
positions in market categories that
matter. That’s why they have higher
growth rates, margins, and market
valuations than their competitors.
Your pivot sets the strategic context
for your business. It’s how you
communicate your strategy and
value. It defines what category you’re
in, what makes you different, and
why people should care. Ultimately
companies that have a powerful
pivot stand a much better chance of
creating significant, long-term value
than companies that don’t.
Spencer Okach is a Nairobi based
Marketing Professional. Connect to
him further through mail at: Spencer.
[email protected], or https://branded.
me/spencer-okach