How can you make more money with each customer and avoid getting into a price war with your competitors? Find out how you can use some “Mayhem” to escape being compared exclusively on price…
Have you ever had a prospect treat your product or service as though it were no different than your competitors… and therefore compare you exclusively on price?
For most businesses, you don’t want to compete strictly on price. That is a losing proposition for all parties.
An Ingenious Way To Position Yourself
But, what if there was a way to take price out of the picture (so the prospect chooses based on value)? Even better, what if you could make the lowest price a liability?
Two very large insurance companies are doing just that. For several years, they have been taking it on the chin from companies like Geico (save 15% or more on car insurance), and others that constantly talk about their insurance being cheaper.
Allstate began a very successful “Mayhem” campaign this year that comically shows you situations where you “might not be covered” with your cheapo policy and have to pay hundreds of dollars out of pocket.
State Farm has followed suit to help you envision what your world will look like if you switch to a cheaper company.
Marketing Rule #1 (that these companies are doing well in their campaigns): Differentiate yourself from your competition. If you can do so by gently or comically exposing the weaknesses of your competition (and highlighting your clear advantage), you are helping prospects see the unique value of what you offer.
Marketing Rule #2 (that these companies are doing well): When you connect with potential customers on an emotional level regarding your product or service, you reach them in a strong, subconscious way. Both campaigns show viewers a strong feeling of the risks involved if they opt for the low-cost policy.
The result: People are ok with spending a little (or even a lot) more for the advantages of having peace of mind and a lower risk future.
How can you use this approach to differentiate your offering and subconsciously convince the prospect that you are the superior choice? Your ideas/comments are welcomed.
For more great (free!) information and ideas on marketing your business, visit 2ndMileMarketing.com