November 2008

What Makes You So Special?

A while back I was attending a meeting at an engineering company, when a client made a presentation to a group of managers.

The client asked, “Why do clients select your company?”

He then noted the answers on a white board.  The answers included reputation, the ubiquitous on time-on budget, the quality of work, staff experience and capabilities, knowledge of local regulations, fees - you know, the qualities all consultants value and use for marketing purposes.

Most were surprised when the client responded with:  “This company has an established reputation, all of these issues are taken for granted.  I, as a client, already have assumed these characteristics to be true.”

There was a slight shock in the room.  For the group has been using the usual list of characteristics as selling points, both in competitive proposals and in one-on-one presentations.

The discussion then went on to those items that differentiate the company from its competition.  This list was not developed thoroughly for it was moving into unknown waters.  Ironically, one of the core values of the company was identified as “differentiate from the competition.”

What the company had failed to do was adequately to define what differentiate meant.  To its credit, the company has set up a service program, but it was having trouble implementing this within the engineering mind-set.  Don't get me wrong.  This company has been very successful, for it has an excellent reputation and has gotten more than a fair share of the available project work.  But this reputation has been established over years of operation.    

The company, however, has not taken defining its position in the marketplace to the next level.

The question is, what can you as a small (or large) consultant firm do to differentiate itself in relation to the competition.  Some of this can be described as your niche.  By narrowly defining a niche you can position yourself as unique.  Also, you are not limited to one niche, for a specific market will relate to you from its point of reference. 

Another way of defining your position is identified in the book Creating Wealth, by Ellen Flynn-Heapes.  While oriented to the AE (architecture/engineering) market, the information is applicable to a wide variety of industries.  A variety of firm types (or personalities) are listed:  The Market Partners, The Einsteins, The Nichers, The Community Leaders, The Orchestrators, and The Builders.

This is another way of defining how you present yourself to your clients and can become a factor in differentiating yourself from your competition. 

The late Howard Shenson provided these insightful statements:

l       The value of your services and those offered by others will be perceived as being equal by the client, unless someone explains the differences.

l       You and your company are no better than your most marginal competitor, unless you have the ability and know how to sell and interpret the difference.

In conclusion, it is imperative you define the unique characteristics of your practice.  This in other venues is called the USP (Unique Selling Proposition).  Once defined it will be clear how to position and market your services.  Your USP will evolve with your experience and sophistication.  But the important thing is to get started now or you will be defined by someone else.