Escaping the “Better Trap” in business.
In the business world, the competition is fierce and relentless. Many companies, entrepreneurs, and marketers fall into what is called the “Better Trap.” This trap is created when companies compete on features, price, and brand alone. By doing so, they are competing for only 24% of the total value opportunity of a category. The other 76% is dominated by the king of the category, leaving everyone else fighting for scraps. This approach to competition leads to margins being driven down and brands becoming lost in a sea of sameness. To avoid this trap and achieve true success, companies must focus on being different, not better.
Being different is the key to creating a unique future and establishing oneself as a leader in the industry. Companies that are the Category King or Queen don’t have to compete on features, price, or brand because they have already established themselves as different. For example, Tesla’s CEO, Elon Musk, doesn’t talk about Tesla in terms of traditional gasoline-powered engines or legacy brands. He talks about Tesla as a clean energy solution for the future, a world where gasoline no longer exists. This focus on the future sets Tesla apart and establishes them as a leader in the electric vehicle market.
To determine if your product or service is truly different, ask yourself these questions:
- Are you competing on features, price, or brand?
- Do you believe that a better product strategy is the key to success?
- Do you believe the best brand wins?
If you answered “yes” to any of these questions, you are in the “Better Trap.” To escape, you must focus on the future and your mission to change the world in a meaningful way. Take the CEO of HydraFacial, Clint Carnell, as an example. He not only created a product that customers loved, but he also had a mission to help blue-collar aestheticians double their earnings by providing a more expensive, transformational facial experience. This focus on the future and mission to make a difference is what set HydraFacial apart and helped them achieve great success.
Finally, companies must force a choice, not invite a comparison. When you focus on creating a different future, the need to draw a comparison is irrelevant. You must ask yourself, what are you doing with your marketing? Are you forcing a choice by offering something unique and different, or are you inviting a comparison by being like everyone else, plus some more? The difference between these two approaches is the difference between being stuck in the “Better Trap” and being a true category leader.
In conclusion, companies must focus on being different, not better, to achieve success and establish themselves as leaders in their industry. By focusing on the future and their mission to change the world, they can escape the “Better Trap” and create a unique future. By forcing a choice and not inviting a comparison, they can set themselves apart and establish themselves as a Category King or Queen. The competition will always be fierce, but by avoiding the “Better Trap” and focusing on being different, companies can achieve true success and leave their mark on the world.
About the author: Shane Allen is an accomplished entrepreneur and marketer currently serving as the Director of Marketing at PickNik, a company that specializes in developing software for robotics both on Earth and in space. With a Bachelor’s degree in Industrial Design and a background in mechanical engineering and business, Shane brings a unique perspective to his role as a marketer.
He has successfully raised six large rounds of investment for his inventions as a CEO, has multiple patents to his name, and won multiple pitching events worldwide. His expertise in both marketing and product design has helped him to create innovative campaigns that drive growth and results for the teams he’s involved with.
When he’s not working, Shane can be found exploring the beautiful trails and mountains of Boulder, CO with his golden retriever Bandit. He is also an active member of the local startup community and is passionate about helping other entrepreneurs achieve success.
