Following his story in last month’s Mover, Vince Burruano now looks at some practical steps movers can make to create a more professional image and secure more work.
In the last issue, I wrote about the ‘Race to the Bottom’ and how some moving companies rely too heavily on price to motivate buyers to select their services. This month we are going to discuss how to generate higher profits by creating and selling value.
Businesses exist in a competitive world with the goal of earning a profit. If you are selling a true commodity, the price is determined by the market. In nearly every other situation, the price and profitability are determined by differentiation. The ability to distinguish your product or service from the other available options is what will justify the price you charge. To be effective, you cannot simply say you are different; you must actually be different.
If you view the moving industry as simply trucks and movers, you will relinquish yourself to being a commodity. Statements like “We are the best” or “We are family owned” or “We are the largest in town” are weak differentiators. If you allow yourself to be driven by price, you will earn only a meager existence.
However, if you decide to be different, you can sell what most consumers really want to buy – an experience. Yes, we are in the experience economy. When I first entered the sales profession, I was taught that when someone purchased a drill, it was not because they wanted a drill. It was really because they wanted holes. Now, when someone purchases a drill, they want holes, and they want to feel as if they are a professional carpenter. That’s right, they want a positive and memorable experience. So, instead of selling a drill, or even holes, you have to sell the experience and the feeling you get using the drill.
How you can differentiate
If you want to differentiate your offering and sell your service at a premium price to maximize profitability, you need to rethink the way you do business ...
Photo: Vince Burruano.