I’ve been obsessed with Caribbean Life recently, while I’m stuck inside due to the coronavirus. While, admittedly, watching these shows is a waste of time, if you look closely you can also learn a ton about how to stand out in a competitive market.
First of all, I recommend that you go into a market that has pull. I talked about why in my last IH post, which seems to have connected with a lot of people. But the reality is, markets with pull are going to have competition. Wouldn’t it be better to make a product that is brand new, that customers didn’t even know could exist?
Not at all. You want your potential customers to know they have a problem, or perhaps even know what a solution looks like. Otherwise you’ll need to spend massive amounts of energy convincing them that they have a problem, and selling why your solution solves it.
This brings us back to housing.
The housing market is clearly competitive. There are millions of competitors, looking to offer the same product (living space) to potential homeowners. However, real estate is still treated as a pretty reliable investment. Why is that?
First of all, it has massive pull. Everyone needs a place to live. Even if we narrow down the housing market to home buyers, there is still a constant demand for the product of a house.
Imagine if your product had as many competitors. How would it stand out?
In the house hunting show I’ve been watching, the realtor starts with the basics, like the number of bedrooms they need. Then, the realtor helps the client move through the market by figuring out what they really care about most in a house. This tends to fall down to one or two things. For example,
Etc, etc. there are literally hundreds of these features that may be important in a house, but any given family will care most about only a few.
In your business, you want to be in a market where people know they want a product like this, like the housing market. To stand out, you need to figure out what are things some people will care about, and make those your main selling points. That positioning will be the reason people will buy your product over one that is far more established, feature rich, and frankly better.
But if you can position to a segment of users, then to them your product will be the clear winner.