Tag Archives: competitive market

Live from #TMRE14: How To Be a Standout Brand in a Crowd. Really.

Youngme Moon

Harvard Business School Professor and Senior Associate
Dean for Strategy and Innovation Youngme Moon helped us unpack what it means to be truly different’and burst a lot of
bubbles when she told us that despite what we may think, most of us are
unremarkable.

According to Moon, author of ‘Different:Escaping the Competitive Herd,’ while 99% of business leaders she talks to earnestly
believe that their brand is unique in its competitive set, in truth the vast
majority of brands are indistinguishable to the average consumer.

‘Think of yourselves as wine
connoisseurs for your category,’ said Moon. ‘You may be able to easily see the differences, but for the average person looking at a hundred labels in
a wine shop, it’s all just wine.’
Moon said the problem of “sameness” is pervasive
because we have so many choices. As the selection set in a category grows, the consumer
starts seeing ‘same’ and tunes out.
It is possible to stand out in such
an environment, Moon said, but it’s exceedingly rare.
Her research found standout brands do
so by ‘flipping the fundamental”they upend a fundamental assumption about
their category.
She provided examples’Ikea, Twitter,
MINI Cooper’of brands who differentiated themselves in a big way because they
defied the instinctive urge to ‘stay close to the competition’ and inverted a
value proposition. Often, this involves taking a presumed negative, putting it
front and center and turning it into a positive.
Moon also noted most brands struggle with appreciable differentiation because:
1.       In a really competitive industry it’s almost impossible to resist the
pressure to match the competition (this leads to the ‘flocking birds’ effect).
2.       Game-changing ideas don’t typically survive in most company cultures
because they tend to look a lot like crazy ideas and they’re scary.

3.       We look to customers to tell us how to be different when they can usually
only tell us how to be better.

ABOUT THE AUTHOR 
Marc Dresner is IIR USA’s sr. editor and special communication project lead. He is the former executive editor of Research Business Report, a confidential newsletter for the marketing research and consumer insights industry. He may be reached at mdresner@iirusa.com. Follow him @mdrezz.

Market research critical in new businesses

At the Norman Transcript, they cite that 50% of new businesses fail within the first two years and 80% fail within the first five years. One of the key reasons for this is lack of market research before they enter the market. Companies are not taking the time to get to know the landscape of the market before the enter. Market size, creating a target market, studying the competition are all important factors that should be researched and written into a business plan at the very beginning of any business launch.

Top 3 Questions You Must Ask in Doing Market Research

One big reason why many businesses fail is because of the lack of market research. Many companies believe that you only need to locate a hot product and promote it on the internet. A business can not succeed far if this methodology is implemented, instead companies should find out the needs of the market before entering to ensure that it is the right product for the market.

Since we started this week with a couple of lists, I’d figured I would keep the trend going. Shawn Lim has listed the top 3 questions a business must ask in doing market research in this post. Enjoy!

1. Is your market profitable? You have to locate a profitable market, if your market is not profitable; people in your market are not willing to spend. And if your market is not willing to spend, you will be having hard times making sales. Therefore, make sure that your market is a profitable market where the people in your market are ready to buy from you. You can find out your market’s profitability by looking at the numbers of advertisers in your market. The more advertisers there are, the more profitable your market will be. .

2. Is your market highly competitive? If you are a beginner in internet marketing, I suggest that you start from a less competitive market. This is because it is always easier to dominate a less competitive market than a highly competitive one. Think about it, if you are still new and you have to compete with the big boys in the market, do you think you will have advantage over them? That is why it is always a wise choice to go for a less competitive market. Of course there are some exceptions for this, but do you think you are capable of doing this?

3. Is your market niche enough? In fact, niche marketing is the only marketing that works wonder in internet marketing. You have to focus your market very specifically in order to build much targeted prospects. Just like if you are targeting sport market, which sport are you targeting? Is it tennis? And even if it is tennis, you should still further focus your market, like woman’s tennis and so on.

What are some questions your company asks before entering a new market?