Ask The Expert

Ask the Expert – Succeeding Through Competition
Ted Miller, HMCC, CHME, CHSP, CGTP, CGMP

Question: In our area of business, we have a few similar size firms who compete for the same
business. Our products have similar qualities, and our pricing can be very similar at times. How
can we differentiate ourselves from our competitors?

Answer: Without knowing the nature of your product line, let me give you some simple rules
that can easily create business success. First, ensure that the way you present your product is
done in a consistent way every time you send a business proposal. Next, look at the way each
client sends you their bid request and ensure that you reply with the information in the same
order and manner as it was listed in the bid. Make a point to speak with your client and ask them if
the format in how you reply is easy for them to read and understand and gives them the
information they require in the order they need it. If you have met that expectation you should
have a better chance to earn the business.

Question: How would you suggest I deal with my competition? Some of them are very similar to
my firm and I want to ensure I am acting professionally.

Answer: There is an old business expression: know your competition and always keep them
close. You never say derogatory things to your client or a competitor about any of those who
compete against you. You should always be positive and acknowledge them as competition but
state why you feel your product is superior. You should also make a point to get to know your
competition on a personal level and earn their respect as an industry leader. You would be
surprised to know how many times a competitor will recommend your product or may not even
submit a bid if they know you are working on the same business. The other point is that you
should know your competition so well that you know how they will offer a bid and what you
should do to make your offer stand out.

Question: Is there ever a situation when you consider a competitor an ally?

Answer: In many industries there is a common need for working with your competitors to
achieve a common goal. This is seen with multiple groups when they lobby congress together or work to achieve an industry standard that meets each of the competitors’ needs. There are
also times when you may need to share information about business practices, conduct or
business environment of a client or competitor. I will caution you never to give out information
that you would not be willing to share with the local media. Keep your exchange brief and
professional, and always question yourself about what you would not want someone to know about a
conversation.