Competing Against the Big Guys

When a company is a fraction the size of its competitors, it can be a little intimidating, but not hopeless. We work with companies in the dental industry, which has consolidated significantly in the last few years. The result is that small companies are finding that instead of selling against similar companies, they are now up against Goliaths. What’s a David to do?

Start by looking for ways to level the playing field. For example, you can’t possibly compete with the advertising budgets of large competitors; so don’t try. Rather than throwing money away on ads that will get lost in the competitive stampede, look for alternatives, especially those where your company and its products can get equal billing with your competitors. Whenever you can stage your product in a way that is comparable to the larger competitor’s product, you have made it comparable in the eyes of your potential customers.

Here are some strategies:

Online Advertising

Are there Web sites frequented by your audience? Online advertising is usually much more economical than print advertising and you may be able to buy a more significant position.

Publicity

Any time you release a product, change a product, alter packaging, add a size, or have news of any kind, issue a press release to the media in your industry. Publicity is the single most cost-effective marketing tool, and the most overlooked one. If you are aggessive with your publicity efforts, you can appear significantly larger and more important in your industry. The visibility will help counter your competitor's advertising, at a fraction of the cost.

E-mail

Targeted email blasts can be a superb way to reach customers and drive traffic to your website (you have built a good marketing-oriented website, haven’t you?), as long as you can access good opt-in lists.

E-Newsletters

An educational newsletter is a wonderful way to build customer relationships. Make sure the content is as useful and interesting as possible and resist the urge to include self-serving sales messages. Your audience will grow (along with your credibility).

Guides and Directories

An often overlooked marketing vehicle is the industry guide or directory. If your industry has one (or more), be sure you are in it. When customers are looking for a particular product, make sure yours is on the list, right up there with your competitor’s.

Rating Services

If you have a better mousetrap, try to get it reviewed or rated by any unbiased sources available. More and more consumers are looking for this sort of verification before making a purchase, so if your product speaks for itself, make sure it gets a podium.

Opinion Leaders

Seek out VIPs in your industry. Give them a chance to try your product and encourage them to spread the word.

Master the Niche

If you can't master the market, master the niche. Find a small part of your industry where your company can dominate. Look for ways to maximize your position and lock up the customers' loyalty. Specialized marketing vehicles will be less costly.

 

Unconventional Vehicles

Look for outside-the-box ways to deliver your message. You may not be able to sponsor the keynote speaker at a trade show, but you can pay for an ad banner on the escalator that every attendee takes to get there.

Don’t get into a head-to-head battle with a much larger competitor. Instead, develop strategies for getting your products into venues where the difference in company size and budget isn’t as noticeable to the customer. Your marketing expenditures will go farther and your selling job will be easier because you will be starting from the same point as your competitor, instead of having to pay the cost of the trip from the bottom.

 
Nancy Sakaduski is president of Sakaduski Marketing Solutions, Inc., a consulting company that provides business, marketing, and communications services to companies in the dental industry. For more information, visit www.sakaduskimarketing.com.