When companies try to treat the effects of commoditization instead of its cause, they just end up more ensnared. They need to look deeper
As much as the advent of the digital era has improved business on a global scale, it has not been without cost. With so many options and resources available online, buyers often classify things into categories. Brands can’t stand out in the market in terms of quality or cost as much as they formerly could. How then can companies escape this competitive environment and distinguish themselves?
To begin, dissect the Customer Journey.
To create a satisfying experience for your customers is to map out their whole journey so that you can control every touchpoint along the way. To begin, it’s important to document all points of contact a consumer could have with your company, whether it’s digital, physical or any combination. The next step is to keep track of and evaluate the impact of each touchpoint.
Use client data to create content that will blow them away. Spend time and money on creating content that helps clients at every stage of the buying process. When the customer journey is clear, there is no room for mistakes or inconsistencies in the service that is given to each client.
Transform your company’s internal culture
What’s the secret sauce that makes every interaction memorable? The culture inside you. Customers are less likely to have a positive association with a brand whose promise and execution are at odds with one another. Consider your own beliefs as a prism through which to make recruiting and promotion choices. Provide consistent reminders of service standards and provide staff members with the authority to make calls that stay true to the company’s values. If your employees are happy and satisfied, they will be able to give your clients great service, which will set you apart from your competitors.
Customer experience is a key brand differentiator
It’s widely acknowledged that the quality of the customer service a company provides is a significant differentiator among competitors.
As products become more similar, the quality of the brand’s interaction with the client will be crucial in setting it apart from competitors. Customers will place more value on the whole experience provided by a brand than on the quality of the product itself or its cost. Stand apart from the competition by prioritising service, values, culture, and customer experience across all consumer contact points.
Herb Kelleher, the co-founder of Southwest Airlines, built the company’s identity on a foundation of honesty and dedication to its customers. Free checked baggage, no change costs, and open seating are just a few ways the firm strives to improve its customers’ travel experiences, which serves as a point of differentiation.
Put your money where your consumers are. Invest in relationships with customers
Your customers’ positive experiences with your goods should lead them to favour your brand in the future. You want them to sing your praises to their friends and family. But the act of purchasing and utilising your goods shouldn’t be the only interaction a client has with your brand.
Offering discounts and other incentives via a customer loyalty programme is a good approach to bringing back consumers. Customers will think of you more when their friends and family talk about the problems you help them solve or the things you help them do. This is because you gave them useful information to talk about.
By providing customers with materials that help them get the most out of their purchases and position your brand as an industry leader, you can increase your brand’s visibility and loyalty while strengthening your customer relationships. Consumers who have seen your brand by reading, watching, or listening will remember you more favourably the next time they are in the market for a product in a category in which you participate.
If you take the time to cultivate positive relationships with your consumers, they will be less likely to base their next purchase choice on pricing alone when they need your product or service in the future.
Emphasis on values, social good, and sustainability
Many consumers now place a higher value on companies’ ethical commitments. It’s amazing to see the growing number of Indians who, given the choice between two brands with comparable pricing and quality, would choose the one affiliated with the good cause.
Amazon has released a sneaker that looks very similar to the popular Allbirds model but costs far less. After Amazon released their product, Allbirds co-founders Joey Zwillinger and Tim Brown sent an open letter calling attention to the company’s lack of eco-friendly components.
Companies may need to show their commitment to sustainability in the future to stand out, not only to attract customers but also to hire and keep workers from a younger generation that cares more about the environment.
Trustworthy & authentic brands don’t try to pull any fast ones.
Sustainability or social good projects are often the most challenging since they must remain loyal to the organization’s beliefs and standards in order to succeed. Consumers are drawn to these kinds of unique selling points when comparing otherwise comparable products or services, but they are also very adept at detecting insincerity. In order for this kind of activity to successfully increase customer perception of brand value, it must be authentic to the brand.
In order to begin started, you need to have a firm grasp of your brand’s primary motivators, such as its purpose and values, and then develop a plan that is in line with those factors.
The Takeaway: Commoditization can’t win against a powerful and genuine brand.
Those who want to avoid being seen as a commodity should try to match their creative products with marketing and customer service strategies that put a high value on every interaction with the brand. First-to-market brands greatly benefit from this factor: If you take steps to keep your product from becoming a commodity, you may be able to keep your market share.
Quality and price differentiation are becoming more challenging in many markets. You may avoid becoming a commodity in your industry and boost your company’s success by really dedicating yourself to doing good for others and providing exceptional service to your customers.