Competition should not be perceived as an obstacle, but it should be seen as an opportunity for an organization to thrive in.
Although competition can be quite
scary, organizations must value the importance of having a healthy rivalry that will challenge them to work smarter with the resources they have.
Remember that successful entrepreneurs thrive under competitive pressures.
Bill Gates, a successful businessman quotes that, "Whether it's Google or Apple or free software, we've got some fantastic competitors and it keeps us on our toes."
So, why is competition good for your business?
For a company to survive in the competition, it has to be innovative and disrupt the market. When complacency takes hold of a company, the competition gets stronger and faster, gaining market share without the company even realizing, until it is too late, hence the need for innovation that will distinguish the company from others by improving the customer experience.
"Competition is always a good thing. It forces us to do our best. A monopoly renders people complacent and satisfied with mediocrity." - Nancy Pearcy, author.
Safaricom is a good example of a company that is constantly bringing new product innovations to the marketplace. With innovation comes customer satisfaction.
2. Customer Satisfaction
When a customer is not getting the best service from a company, he will move to the competitor.
You will agree with me that at one point in your purchasing journey you have bought a product or sought-after a service of another company because you were not happy with what you received from another competing brand.
Your customer service should be top-notch because you are competing for customers who may choose to buy or not to buy from you. Excellent customer service will make customers feel appreciated, and turn them into brand ambassadors.
3. Target Market
Competition will help you understand your target market deeper. The more the competition, the more the awareness of the product. The more the market is aware of the product, the more a company needs to understand this market in order to know their needs. Once a company fully understands the market needs, it will be able to satisfy this market through product differentiation. Right now we have digital marketing that has gained major milestones, and is quickly overtaking traditional marketing, because brands have understood the growth of digital space in the marketplace.
For a company to be on top of its game, it has to know what competition is up to. This may mean embracing new technology, hiring better employees or getting better insights into the state of the market. Competition will help you overcome obsoleteness in the market. Growth is inevitable in a company that wants to survive any competition. Competition therefore forces a company to go back to the drawing board. Rivals force you to assess your strengths and weaknesses.
Competition will make your employees pull up their socks. Your product development department will work hard to improve the company's products or services. The sales department will put in extra hours to ensure that they dominate the market share. The customer care department will value customer relationships. The marketing department will understand the market more and come up with campaigns that will bring brands closer to the customers. Competition therefore will improve the skills of your workforce.
Do you still think competition is not healthy for a company?
Would you like to shop for household products at discounted wholesale prices? Then click here.