Competition existed long before strategy. As we track the evolution of strategy, we discover that the fundamental principle is still in play today: Strategy is about gaining competitive advantage! If there were no competition, there would be no need for strategy. Gaining a sustainable advantage over your competitors, in the most efficient way possible, is the number one priority on any entrepreneur’s “to do list”.

Strategy is a deliberate search … a search for a plan of action that will develop a company’s competitive advantage and aggravate it. The difference between you and your competitors is the basis of your competitive advantage. The goal of your competitive advantage strategy is to expand the scope of your advantage, and that happens only at someone else’s expense.

How successful you are in competing in your market depends on how you position your business in relation to your competitors. Your company’s position vis-à-vis your competitors is, for the most part, your competitive advantage, and hopefully not your disadvantage. There is a competitive advantage when a company has a product or service that its target market customers perceive as better than its competitors.

Your unique selling proposition is your greatest marketing weapon and is the key to differentiating your business from your competitors. Offering value and benefits that no one else can offer on the market is the foundation of your unique selling proposition. Your USP becomes the cornerstone of your sales and marketing message. It is this message that builds and strengthens your brand, attracts new customers, and maintains your competitive advantage.

An IP is your statement, your answer to the question, “What attracts a customer to you, rather than to your competitors?” Your USP! When developing your own USP, remember:

• Indicate a specific benefit of your product / service, not a feature.

• Distinguish your product / service from your competitor’s.

• Proposes a solution to a problem or attends to the needs and desires of a client.

• Focus on your target audience.

Your PVU summarizes the unique features and benefits of your products / services along with the value that only you can provide to your customer. It is what distinguishes you from your competitors. Your USP should say: “Buy this product and you will get this specific benefit.”

Why have a USP?

One of the most important things you can do for your business is to identify and develop your own unique selling proposition. It is important that you communicate to your customers that the best thing for them is to buy from you! If you don’t tell them this, they most likely won’t buy from you … Here are several valid reasons for having a unique selling proposition:

• Give your customers a reason to buy from you, rather than from the competition.

• It distinguishes you favorably from your generic competitors.

• Provide your customers with support for their purchasing decisions that are based on valid reasons rather than emotional reasons.

• Increase your customers’ expectations of you.

• Provides your team with a clear focus.

• Minimizes competition based solely on price.

• Add lasting value to your business.

To be effective, your unique selling proposition must reach the sweet spot of your customer.

When an established organization embraces a powerful and attractive USP, it breathes new life and excitement into its activities. Your unique selling proposition creates renewed interest and increased appeal from your customer.

The better your unique selling proposition, the less likely the need to compete on price is …