Resources on How to Differentiate and Position Yourself WITHOUT Dropping Your Prices

Don’t fall into the trap of lowering prices just because the economic situation gets tight.  I ran into this quote from Rafi Mohammed and I think it’s spot on:

Over-the-top profits come from developing unique, hard to copy, products that customers value. This is why pharmaceuticals rank as the most profitable industry in the Fortune 500.

Of course developing “unique, hard to copy products that customers value” is a lot easier said than done.  I’d recommend starting in several places:

• Get the book “Blue Ocean Strategy“.  This book came out of a years-long study of over 150 companies and how they differentiated and repositioned themselves to carve out a defensible and profitable niche for YEARS.  It’s also loaded with actual tools and how-tos that will get you thinking and differentiating in no time.
• Another wonderful resources is the book “Strengths Finder 2.0” Buy the book, take the online assessment and check out the top 5 descriptors of what set you apart.

Here are a few tips on how to get this differentiation party started:

1. Go through the books quickly at first.  Highlight the points that you feel you need to concentrate on.
2. Get a notebook or some paper and for each point of interest start making a task list of what you would have to do to implement that point.
3. Schedule about 30 min to an hour each day to work on one of these points.

I know – not glamorous, but it could be fun and enlightening.

One more thing.  Take a minute to multiply the following:

Current sales at existing price + % Premium you estimate to get = New profitable value price

then do this

New Profitable Value Price x existing unit sales = How much money you COULD be making but aren’t

That’s just a start.  I’m sure you can come up with many better formulas, but I promise if you at least do this little math problem, you will be motivated to finish your differentiating and positioning project.

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