I would like to continue the theme of the Business Model Canvas and look at Channels. As we start a new year it is a great time to think about how you can stand out from the competition, and offer your customers something new – not necessarily a new product – but a new delivery method for example.
You will have noticed that there are businesses out there doing things a little bit differently.
One example of this is the proliferation of subscription services – now you can get dishwasher tablets, razors, pet supplements and a host of other things delivered to your doormat simply by paying a monthly subscription.
This was starting to happen anyway but was probably hastened on by lockdown – people are less resistant to the idea of online shopping in all its forms (but spoiler alert – not everyone!)
The convenience of budgeting (you know your outgoings to the penny each month) and the items simply dropping onto your doormat are a huge draw. And they have systems to enable you to request more or less per month.
I read (or listened to) Originals by Adam Grant, talking about people and companies who have had novel ideas. One example which he quotes is the company that decided to sell eye glasses online (Warby Parker) – and everyone said “no one will ever buy glasses online”. They realised that there is one main supplier of frames who had the market sewn up and that prices were high just because of that! The actual cost of goods of a frame is very low – but even the price of non luxury brands was artificially high. So they sourced and sold online and cut the prices – dramatically.
The rest as they say is history!
Many of us moved our businesses exclusively online in 2020 – and again most customers are happy with that. There would probably have been more resistance in the past – and yes there are people desperate to be back face to face – but in general there is greater acceptance of online delivery of training and coaching services for example – and it may be the same in your industry (provided you can deliver that way of course!)
The “deliveroos” of this world give us takeaway at the touch of a button – and in London and other cities there are services like Getit which mean you can buy just one or two grocery items and get them delivered by bike with a very quick turnaround. So even “traditional” online shopping is being challenged.
The point is – what can YOU do in your business to stand out from the crowd? What can you do that’s different – payment methods, delivery methods, a whole new way of looking at business – that means people will come to you because it just works – for them.
Net Zero
Think of other ways you can do something different – perhaps by ticking your customers’ “net zero” boxes – but be sure it’s authentic as you don’t want to be accused of “greenwashing”. Many businesses stress their green credentials – less waste and less packaging and so on – can you (genuinely) do that? It’s not enough just to revise your own practices, you also need to make sure that your supply chain is conforming,
Whatever you do, you have to review your Ideal Customer and Value Proposition that I have talked about in previous blogs.
Not all your customers will love your new offering – and you need to think about WHO will be the ideal customer for your novel product or method of delivery – and what the value proposition is for THEM.
Some will value convenience over increased costs – but you need to be clear on who you are targeting and therefore what the messaging will be. Others may view saving the planet as their big tick box. The key message is that you need to to take time to decide WHO you are targeting and WHY they will buy from you.
Just because no-one has done it before doesn’t mean it won’t work – but you do have to work harder at getting the message out there. Sometimes being second into a market can work for you as there is already acceptance.
So – take some time to be creative and think about what you can do differently that will appeal to customers!
Get in touch if you’d like to chat about how I can help.