14 November, 2013

1-1-6 value creation: Competition or no competition?

Quick question: so you have 3 ideas

1-      Very, very, unique. No one else in the world has ever think of it, 0 competitors
2-      Au Very conventional and traditional idea, a lot of competition, no new value to add, yet you have A LOT of money to spend on it
3-      A good idea, not entirely new, but you have this very unique add-value or may be a very creative back-end sell "values", the market is somewhat competitive with few large, sophisticated competitors
So what would you go for, what deserves bidding on, the safest one?

-          Anyone smart enough and risky enough would immediately exclude  choice 2, if you don't have anything new to add, what are you doing there then? Where is the new add-value?
Besides, for the love of GOD, why anyone will abandon the other brand which they feel safe with to try something new that is really not new in anything
And you know, smart people grow all the time. Someone with a creative add-value will know how to sell it
-          I would personally go for choice 1 but in case I am 1000% sure that I am genius enough to see what no one in the history has ever seen, and have time to start it before anyone do
And BTW, I'd race the wind to get started with my thing
(Remember the prof. Elisha Gray who went in the same day Graham bell went to claim a patency for the telephone invention)
The other 2 options if you are not that genius (which u are clearly not :P ) would be:
-          The market isn't developed enough to accept and welcome your idea , they are just not ready and you are coming from the future
-          And the most likely option, that NO ONE really needs your idea :S sorry but that is the bitter truth, accept that
-          The safest choice would be choice 3 for the following reasons: 
1-      You have competitors, with nearly the same idea, which is the largest and best indicator that people want your "value", they are paying for it already
2-      You have something new to add to this market, and you should have done of course some research and surveys about that
3-      You won't start form 0 planning the whole thing, just notice the competitors and continue from there
NEVER INVENT THE WHEEL AGAIN. NO NEED
Some tips:
1-      You will get to the same conclusion if you think the investor way. Most investors would not put their money in anything with no indicator that people will pay for it. Aaaaand what is the best indicator for that? That people are already paying for it
2-      Don't be so afraid of competition at all, I know that feeling of "someone already has my idea, so no one will buy from me"
Really, so there is one Smartphone Company, one travel agency, one social website, one e-learning center, etc.????
If you top your competitor with a better smile, that would be great add-value in a customer relationship business
3-      Believe me; if you have to choose between competition and no-competition, it is much safer to go for the competition rather than no-competition. REMEMBER THAT!
4-      Get some balance between competition and add-value, you want some of this and that
5-      Of course don't be too stupid and go to a very sophisticated and already-developed market to compete with, you will be eaten alive, they won't even wait to cook you first
If you have to do this, choose your battles VERT CAREFULLY. And you better have some very unique value to add
6-      Always make sure that people are willing for that what you will offer, you could use some research. These online keyword analysis services would be a great start (but don't be satisfied with only it, go to the real world and make some field researches, meet your customers in person and get some real feedback from them. Always go for the extra mile with your customers)

7-      Always keep an open eye on your competitors, or any prospect competitor that may come up with the same new "value" you offer

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