How Can You Combat Commoditization?
Hi, Bryan Gray here from Revenue Path Group. Here I’m going to talk to you about commoditization. We all know what that is right? Commoditization: the lack of any distinguishable value between you and your competitors. Well guess what? When you’re at that final stage competing against two or three other companies, you all look, sounds, and act the same. And when they believe that to be true, why wouldn’t the decision be based on price?
So what happens is, when we live in this world where everybody is becoming commoditized, it becomes that proverbial race to the bottom, where everybody starts driving down and making price the only distinguishable factor between you and your direct competitors. We all know the paint that this is causing. And in a world where there are too many good firms chasing too few deals, this will be the first thing that you’ll fall prey to and actually create the most harm to your organization
So to combat commoditization you have to start getting in earlier. You have to meet with the real decision-makers, not buying teams. And help them really understand the compelling reasons why not just they should choose you, but why they should choose you over doing anything else. And when you can connect to that part of the prospect’s brain that cares most about eliminating pains, threats, and fears, then you become a priority.
So as a recap, commoditization = ugly word. If you don’t actively do something about it, you will fall prey to it every time. What can you do about it? You understand how your impact really, really connects to a deep-rooted pain or a threat that your prospect is experiencing. When you’re able to pull that off effectively, you will in fact become a priority.