Address
SOBCA, Abuja Nigeria
Work Hours
Monday to Friday: 8AM - 6PM
DEAR SMALLER BUSINESS, please STOP CONTENDING WITH BIG BUSINESSES.
I have observed that many of us don’t understand strategy that can give us an edge so I would like to advise on JUST 2 EFFECTIVE STRATEGIES out of about 7 that I have tried. Maybe this can help you in 2022. Please read this carefully. Thank you. [If you want the full length of strategy session, we will do this as a BSG Full Session in 2022. If you have not joined BSG, do so like yesterday.]
Strategy One:
COST LEADERSHIP: this is the strategy where YOUR BRAND DETERMINES THE PRICE OF YOUR INDUSTRY IN THE MARKET. This is the power of BIG (STRONG) BRANDS. Please DO NOT TRY THIS STRATEGY UNLESS YOU HAVE A BIG ACCOUNT THAT CAN FUND MASSIVE PRICE TINKERING. A brand that can do this is a brand that can afford to CRASH THE MARKET just for a BULLISH STATEMENT. For example, Corona schools in Lagos can undertake such a strategy to put MANY COMPETING SCHOOLS IN DEBT. EKO HOTEL and TRANSCORP can do this in hospitality business, etc. Dangote group has used this FOR SO MANY YEARS. This is the strategy of Big Pockets.
Strategy Two:
DIFFERENTIATION: this is where I would like you to focus more. Differentiation is a SMART STRATEGY FOR UNDERDOGS. It is the strategy that smaller brands use to EAT FROM THE CRUMPS AND LEFTOVERS OF BIG BRANDS. Let me give you an example.. less than 15 months ago, THE MARIOTT HOTEL LAGOS was open on Joel Ogunnaike street, GRA IKEJA. Prior to that time, there were mushroom hotels on that street but immediately MARIOTT opened, they all renovated, rebranded and stepped up… READY TO TAKE OVERFLOWS OF RESIDENTS OF MARIOTT. Why? They figured that people may come, not get rooms for their Drivers or Assistants or Hang-Ons, and wouldn’t want them to go far off. So they may as well lodge in surrounding hotels. Differentiation figures that THERE IS SOMETHING THE BIG BRAND IS NOT DOING THAT WE CAN NICHE AT or THERE IS A MARKET THE BIG BRANDS ARE NOT SERVING THAT WE CAN SERVE.
The question here is:
- Which BIG BRAND are you ‘wishing’ you could compete with?
- What are they NOT doing that you can POPULARIZE as your STRENGTH?
- Which MARKET are they IGNORING that you can WOO?
- How can you COMPLEMENT a big brand by adding what they are not having to what they are having? For example, SOBCA has a very wide range of Behavioural Change Certifications but there’s still A LOT that we aren’t doing. A smaller brand can say “SOBCA, let me provide you COMPETENCIES AND CURRICULUM in XYZ Skills while you give me ACCESS to your STRUCTURE and MARKET.” Boom!!!! This PARTNERSHIP eliminates MARKET DEVELOPMENT COSTS for the smaller brand and ENHANCES SOBCA’s market competitiveness.
Don’t fight a big brand. Don’t stay far from big brands. Befriend them. Go closer to them. Use them to succeed.
Are you thinking for your business?
How has this helped you? Let me know in the comments
I am The Octopus.