how to differentiate from your competitors?
DESCRIPTION
The is the presentation given during my latest meetup. It introduces frameworks to differentiate from your competitors. It suggests a four-step approach to do this: 1/recognize your market and where it's going 2/select your strategy 3/select your differentiation spot 4/create value in this spotTRANSCRIPT
• Meetup by Frederic Moreau, PÖL Digital• June 10, 2014 •
HOW TO DIFFERENTIATE FROM YOUR COMPETITORS?
Montreal Solution Group for Business Owners
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AGENDA• 30’ - Keynote
• What are we talking about?
• Why differentiate?
• Differentiation framework
• Examples
• 30’ - Sharing
• 60’ - Getting together
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WHAT « DIFFERENCE » ARE WE TALKING ABOUT?
The obvious? The complex? The odd?
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DIFFERENTIATION - MAKING A DIFFERENCE TO PERFORM BETTER
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WHY DIFFERENTIATE?
• Because we live in a globalized world where most products & services are becoming commodities, and where our skills are commoditizing too. !• So we need to make a difference in a turbulent environment where change is accelerating, nimble competitors can emerge anytime, and clients may switch to someone else at the distance and speed of a click.
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DIFFERENTIATION FRAMEWORK
• Identify your market • Select your strategy • Select your differentiation spot(s) • Create value
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IDENTIFY YOUR MARKET
Differentiate • Price is not the key decision factor • High client retention • Long term competitive advantage
YoYo • Price is the second decision factor • Average level of client retention • Short term competitive advantage
YoYo • Price is the second decision factor • Average level of client retention • Short term competitive advantage
Commodity • High price pressure • Lower client retention
Few competitors Many competitors
Easy market access
Difficult market access
Costs of skills and resources to satisfy the market
% of competitors who satisfy the market
Source: Strategic organization, JP Raffalli, International Coaching in Organization
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SELECT YOUR STRATEGY
Master
Adapt
Innovate
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SELECT YOUR DIFFERENTIATION SPOT(S)
Master
Adapt
Innovate
Differentiation prism
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CREATE VALUEe.g. The Tracey & Weirsema « value discipline model »
Tracey and Wiersema proposed that in order to be competitive, an enterprise must be competent in all three disciplines (the minimum threshold in the diagram), but to be a market leader, an enterprise must excel in just one discipline. Treacy-Wiersema further propose that an enterprise cannot excel in all three disciplines because the basic enterprise culture, structures, people, facilities, processes and business models that lead to excellence in any one discipline are incompatible with achieving excellence in the others.
http://www.enterprise-advocate.com/2012/02/the-tracey-wiersema-value-discipline-model-part-1/
Source: The Enterprise Advocate, Alex Matthews
• Product leadership: e.g. Apple, Nike, Ferrari • Operational excellence: e.g. Fex Ex, Amazon • Customer intimacy: e.g. Nordstrom
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EXAMPLE - DOMINATION
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EXAMPLE - ADAPTATION
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EXAMPLE - INNOVATION
1950s
A brief history of cloud computing
1970s 2006
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HOW DO YOU DIFFERENTIATE FROM YOUR COMPETITORS?
30’ round table discussion
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INTERESTED IN LEARNING MORE?
• Frederic Moreau, PÖL Digital
StationC, Suite 204, 5605 de Gaspé, Montréal, QC, Canada Cell. 514 503-3357 - [email protected] ca.linkedin.com/in/fredericmoreau/ !
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