I was recently speaking with a friend who found himself in near panic as he looked around and saw his four employees hunkered down, planning the next great score, mastering the next great presentation, closing the next big deal.
He panicked because he had just received 'the call'. Megamega Company was moving into his market space. All was lost. Or was it? How could he compete when a larger firm was moving quickly into his territory, now finally seeing the opportunity in what they once dismissed as 'crumbs'? As we talked, five key themes emerged:
First, he needs to change his mind, and those of his team.
The competitor can talk big, but he can talk 'niche'. They can talk resources, he can talk service. Every negative a positive, every obstacle an opportunity.
Second, don't mistake the competition as the target.
As much as he needs to make his negatives into positives, it is more important to make certain he can deliver on the real needs of the customer. He mustn't focus on the competition, instead learn the sweet spot that will address the majority of the customer requirements, and then additionally convince them that they need something only he is selling. Don't sell against the competitor, sell the customer toward a solution.
Third, learn to love Inspector Gadget.
Technology is an area that levels the playing field, and in fact often tilts it in his favor because it is far easier for small companies to deploy new technologies than for larger established firms that are, like legacy telecommunications carriers, burdened with the sunk costs of legacy technologies or are required to resolve ROI in months - harder when deployment is made across thousands of employees. He needs to apply technology to create competitive advantage, lower response times, provide data faster and more accurately to his customers. He isn't small, he's nimble.
Fourth, sell. Simply fill that funnel. Do not let one opportunity define a quarter. I knew a salesperson who, with the blessing of his bosses, spent the better part of a year chasing a single Big Fish like some Ahab manaically pursuing Moby Dick. Ultimately, the story ended the same. He needs to be able to create his own luck, seek out new opportunities, so that he can choose the battles he is most likely to win.
Finally, he needs to remain singularly driven on the vision and mission of his company. Every business needs to follow a vision of what they will be in 1, 5, 10 years. This will help him keep his eye on the prize, choosing the right strategies and investing in the right tactics to get him there.
It's not the end. The entry of a big player into a nacsent market legitimizes the offering for all, and the small players, like my friend's company, still benefit from first-mover advantage.
