Tuesday, May 6, 2014

don't compete on price and watch sales grow

Don’t compete on price – and watch sales grow
Two examples – one in the UK and one in Ireland - where they have resisted the pressure to pursue a strategy based on price reduction – and seen sales grow as a result.
The first is an interesting article about Waitrose in the UK whose stated strategy is to do the opposite of what everyone else is doing. http://www.marketingweek.co.uk/4010386.article?cmpid=mwbreak_264443
….and I heard over the weekend when I was down Leenane way of another example closer to home - the fabulous Delphi Lodge in Connemara - an upmarket country house which also refuses to compete on price and focuses instead on offering a personalised 5 Star experience to customers.  Business is booming. www.delphilodge.com

Controlling the message
Interesting to see how competitive pressure can lead the media to go against their gut instincts and agree not to talk to and/or quote others who may give a completely different slant to a story.  It’s not really relevant to SMEs and only the ‘big boys’ might get away with this type of controlling behaviour.  It’s been going on for years with celebrity interviews whereby publicists for some of the bigger stars will only grant interviews when they are guaranteed to get to see/approve them before they go to print – so nothing negative gets printed.



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