Outfox Your Competition

If you thought iPhones, Kindles, and 3D printers had little to teach you about managing your craft business, you’d be wrong. Apple, Microsoft, and Motorola have mastered the art of identifying their competitors and predicting what they will do next to such an extent that the entire business world now looks to them for inspiration when they need to come up with their own ways to outwit, outmaneuver and outplay those in their niche. In the rapidly evolving world of gadgetry, a plethora of tactics needs to be crammed into every business day. So if you pay attention, you’ll learn from world’s savviest rivals. Today’s business world ticks along at lightning pace, leaving you with a new pile of challenges that can only be met by identifying your opponents and outfoxing them with several savvy maneuvers of your own.

Direct Competition in a Digital World

Identifying direct competitors was child’s play in a pre-internet world. Rivals offering products within your niche could be spotted on your local street corner, displaying their wares so openly that they paved your way towards creating something better, cheaper and more durable. The world has broaden with the advent of the web, which leaves you with the more daunting task of figuring out whether that quilting store in London is affecting the trade of your patchwork company in Utah. Ironically, the internet makes this task easier by offering you advanced search engines, keyword phrases, and directories. Using Google advanced search along with directories covering the craft industry, will lay out your rivals for you on a silver platter. By widening your search criteria as part of an ongoing campaign, you can identify emerging rivals and substitute offerings in the same way.

Beyond Rivalry

Predicting your competitors’ future tactics is a core way to establish advantage before they have time to respond. An example from the digital sector shows you how much you have to lose by failing to use this tactic. Rumors began spreading about Apple’s iPhone 4S the second its predecessor was launched, offering its rivals a list of upcoming specifications that every competitor could have exploited to gain the competitive advantage. Instead, both direct and indirect competitors paid little attention, leaving Apple with the kind of viral marketing campaign that every company dreams of.

While the technology sector is crammed with innovations that bear little resemblance to the craft industry, the latter is evolving to include increasingly innovative products through personalization, internet marketing, fresh fabrications, and new customization methods.

Responding to Competitors

When your clients and suppliers are driving your prices down below those of your competitors, some out-of-the-box thinking can help you bounce back to the top of the market. It’s not always possible to control external pricing factors, but it is always in your power to offer increased value. Google Glass used this technique to inject itself into the seemingly Impenetrable gadget market. Innovation is the most pervasive way to do this, but the tried-and-true technique of service excellence is equally effective.

Strategy Mapping

Kaplan and Norton’s strategy map creates a potent way for you to respond to your craft business’ rivals. Instead of focusing only on identifying your competitors individually, the map helps you to outline the factors that are influencing your competitive advantage as well. Customers, suppliers, new competitors, established opponents, and rivals offering substitutes can all steal your customers, drive your prices up, and drain your profits. The map helps you to identify changes before they happen so that you can manipulate your tactics to revolutionize your market and turn fate to your favor.