Second Crucial Step to Becoming Premium

The Premium Series

Last week we talked about CLARITY - be so clear that your customer understands who you are and what you offer.

Clarity can be the root cause, but we don’t always see it. If you think you have a closing or selling problem, or aren’t attracting the right talent, look into how clear you are about your business.

We’re building in this series, so let’s dive into the second part of being able to charge premium = YOUR VALUE.

When you are in a service or coaching business it can be challenging to market yourself and show your value. The problem is MOST businesses do NOT show their value to their customers, but they think they do. They don’t understand what you offer and your customers DEFINITELY don’t understand.

Only 50 percent of businesses make it past the first five years, and one-third make it past the 10-year mark. Although there are plenty of reasons why businesses fail, lack of differentiation is one that tops the list.

Think about Starbucks - they’ve spent MILLIONS to establish their brand. When you enter a Starbucks, you know what to expect - service, product, price and environment. You understand their value and they are globally recognized as a brand that conveys it. The message is CLEAR.

But what if we shift this to the entrepreneurial, small business world? (ex: business coaches, fitness trainers, chiropractors etc.). It can be more challenging to market yourself and customers may not understand what makes you different from the competition.

If you leave it open to interpretation, customers can judge your business negatively. Ex: They may see you as cheaper because of what vehicle you drove, what you wore or something you inadvertently said. They already expect discounted prices at the value they’ve interpreted.

54% of marketers do nothing to optimize their value propositions. Understanding yours is an easy way to be more effective than roughly half of your competitors.

How much time, energy and resources have you spent to define your value?

Starbucks devotes a lot of advertising dollars to showcase their brand to be premium.

Let’s take this deeper into what happens if you’re not clear and don’t differentiate?

  • You attract clients, but can’t close

  • Your clients turn to your competitors

  • You try to discount your offering

  • You get STUCK in low bid, low price work

  • You lose motivation and become burned out

  • You don’t see an exit strategy for your business

  • You have no resources to grow - you’ve spent everything on all the other problems