Why do we Compare Our Business to Our Competitors
This is not only common in business, but in our personal lives as well. We seem to constantly seek validation that what we are doing is right. Keeping up with the Jones, is one phrase that comes to mind.
So, in business we seek to do the same thing on a regular basis. Wondering what our competitors are doing. Why do they have more customers than us? What is their special today? What have they posted on the socials etc?
Comparing yourself to other coffee shops and deciphering what they are doing, and not concentrating on your own business is not healthy. Wondering why they appear busy whilst you are quiet, is disheartening.
Continually focussing on the competition is also not productive – and you are missing out on opportunities for your own business.
Granted there are times where this comparable activity is favourable. It provides a basis for benchmarking, and market positioning with your products. Comparing also helps in identifying your Unique Selling Propositions (USPs), or competitive advantages.
However, constantly worrying about the competition can lead to several issues that may stagnate your business growth and overall well-being.
It will limit your creativity and innovative thinking. A lot of your energy is being focussed on something outside your control. You will start to lose self-confidence in business, and experience self-doubt on decisions.
Be Your Own Competition
You do not have to do what everyone else is doing.
The uniqueness of your business increases when you stop comparing yourself to others.
It’s like walking into a gym for the first time. Everyone around seems to know exactly what they’re doing, but you feel uncertain since no one’s ever shown you the ropes. You’re busy trying to recall those workout moves you saw on YouTube.
Since you’re new to the gym, others assume you know what you’re doing. They’re watching you, hoping to pick up any techniques you might know to help them progress faster.
At the end of the day everyone is winging it no matter what they are doing. Some may be talented or trained, but everyone is just figuring it out along the way.
A Lesson for Us All with a Team
I had the enjoyment over the last couple of months to watch the Rugby World Cup. Unfortunately, I was not personally in France watching the games live. Being a fan of Rugby, I did not mind watching in the early hours of the morning, some exciting games from the comfort of my lounge chair.
The Rugby world cup featured the top 20 teams in the world, to give their best, for the ultimate stature of rugby world champions.
These top teams have been training and planning for the past 4 years to be a qualifier for this moment. A select 30 players – from hundreds of candidates, in their home country comprising millions of people.
The coaches, and the team of professionals that assist, along with the players, have been fine tuning a game plan. Something that is unique and that only they can do efficiently. They have put in countless hours of practice and refinement to make their play seem flawless. It is their style that they are well known for, that echoes amongst the rugby community.
Every team train’s to be in peak condition. They would have reviewed their training and game footage to see where they can continually improve. They will have systems and processes in place for player selection, to line up against the different styles of play they will come up against.
Where a competitive team may have strength in lineouts or back play, the other teams will have a play to minimise or shut down those opportunities. This then allows them to play their style, which they have trained so hard for, that will give them favourable winning opportunities.
Team Feedback is Essential Going Forward
I enjoyed hearing the player comments, who were interviewed after each match. Questions like “How did you manage to win – when you were behind in the second half” – Answer – “We knew we just had to stick to our game plan, and have belief in ourselves.”
Here are some other great answers.
“Learn from where we went wrong,” “We just kept playing our style,” “Keep doing what we are good at – defence,” “Just kept backing up and covering,” “We avoided playing their style and kept faith in doing what we do best.”
You require discipline, to do what you do well, and not deviate to what others are doing. You should set your own game plan and trends for your cafe. Stand out from your competitors and avoid the me-too approach for any easy way out.
Cater for Your Market and Improve on Things Daily
We had our second cafe on a strip in the city area of Cairns. Our main clientele during the week was office workers, and business people. We offered healthy tasty salads and wraps, with quick friendly service, and affordability in mind.
The market we attracted had limited time for lunch, and they enjoyed the healthy food we offered. We made the best salads and combo wraps compared to our competition. However, time was a factor for this demographic, and we needed the food out as quickly as possible.
Most days during lunch period the queue extended out of our shop and was so long it took 10 – 12 minutes for some customers to order. This run would continue for nearly 2 hours every day. Some regulars would walk by some days, and I knew they were going elsewhere as they did not have time to wait.
There are several processes going on here. Afterall, on the surface it seemed obvious, every customer was coming in at once, staff were slow, service was slow, customers were undecided. With this current service structure, we needed to recognise the process and write it all down. We needed a very clear picture so we could understand where we needed to improve our systems.
Once we sat down and started documenting our observations for the delays in lunch service, I was relatively surprised. Originally, we thought it was all around people problems, when it was mainly systems problems.
Capturing the Process that Created Lunch Rush Chaos
I guess I was wanting a McDonalds style format, quick and efficient service, with consistency of product. But we lacked the systems and processes to speed up the lunch time service.
Here is a list of some areas we needed to focus upon and make changes, in order to improve.
- The order taking was a cumbersome process with the till we were using
- Customers wanted variations to our items offered
- Some food items were not available in the production/service area
- Some food items were stored in different fridges during service
- We constantly ran out of back up prep stock
- Ran out of pre made cabinet salad favourites
- Food mistakes from not reading dockets properly
- Dockets missed or misplaced on the docket rack
- Staff training was lacking
- Unrealistic pressures on staff
- Lack of processes for customer to place orders
These are some of the main problems. The more in depth we got the more the list grew.
As mentioned previously, there will always be obstacles continually coming your way. Once you get through them, keep focus of your game plan, and have belief in yourself and your team.
Your Business – Your Edge to Beating the Competition
Ask yourself – Do you have great customer service. Do you have the best tasting menu in town.
If someone walked by your business, would they have the same opinion, that you have about your business. Does your cafe reflect the style and food service that you offer. Is there an offer of intrigue that lures them in, to try you out.
You need to offer something so unique, that customers just simply cannot get anywhere else. It could be a great tasting menu item, or it could be the service that you offer. A relaxed cozy dining environment, or prompt speedy service.
Does your team adapt to the different customer needs during service, remain composed and continue giving their best throughout service. Aspire to the game plan your team are familiar with and have belief they will help you win in the moment.
Perhaps you roast your own beans in house, offer customised coffee creations, or simply have environmentally friendly practices. Maybe you offer pre ordering tech apps, or just enjoy being supportive of community engagement events.
There are numerous options to differentiate you from the competition. Ignore those other cafes around you and concentrate on your own game plan. Be the leader for everyone else to follow.
Just one other little thing – someone has to be the most expensive, so it may as well be you – just do it right so customers want more. Never be the cheapest as you will not be in business long if there is no profit.
Attract the Right Customers with the Right Mindset
I know this is a long post but at the end of the day ask yourself a few questions to keep you on track.
Do you really want a price driven customer who will only go somewhere else when they see a cheaper price. Or the discount seekers who only visit the cafe solely for discounts, deals, or promotions. Or even the high maintenance customers who demand excessive attention, or special treatment without spending proportionally. Your competitors may have some of these customers, so do you really want them.
Perhaps you prefer my favourite customers that I enjoyed every day. Those that were regulars and are truly the backbone of any cafe’s customer base. These type customers visit frequently, know the staff, and often become part of the cafe’s community. They often become genuine customers who actively engage with the cafe beyond making purchases. Also participate in events, social media interactions, or contribute ideas and feedback.
There are also the brand advocates who go beyond enjoying the cafe’s offerings; they actively promote the cafe to friends. Or even the regular supporters who might be willing to try new items, indulge in premium offerings, or make larger group orders.
Here’s the Shift You Need to Accomplish Growth
Focus on the one thing you and your team are good at and do it well. Before you know it, the competition will be watching you and will want to know what you are doing to attract so many customers. This is a great feeling when businesses want to copy you. Be the leader..
In summary competition is good as it constantly keeps the market active. Choice for the customers – gives them motivation to try everyone out. You have your own unique strengths just like any other business. Improve and market those strengths to your ideal customer, work on improving, and watch your business grow.