How can we compete with the big shots ?

[newbie135]

Hi all

Just signed up recently to the site, but have been visiting the site on and off for a few months now.... great to read peoples posts and hear about others experiences, so thank you all for sharing.......

I am essentially a one man band, i hold down a full time job and like some others on here, i am keen to explore business opportunities. I was wondering how on earth small outfits, one man bands and the like, compete with big shots who can buy widgets in huge quantities? I would love to import widgets from China but surely my buying power will be not as strong as many other organizations..so how does one address that ?

ta

tim

 

[WHARTY]

Hi all

Just signed up recently to the site, but have been visiting the site on and off for a few months now.... great to read peoples posts and hear about others experiences, so thank you all for sharing.......

I am essentially a one man band, i hold down a full time job and like some others on here, i am keen to explore business opportunities. I was wondering how on earth small outfits, one man bands and the like, compete with big shots who can buy widgets in huge quantities? I would love to import widgets from China but surely my buying power will be not as strong as many other organizations..so how does one address that ?

ta

tim

Well it's not easy. My question to you...What's your USP (Unique selling point) what makes your widget better than the big shots? Why should i buy my widget from you? Price alone wont change my buying habits.

 

[vvaannmmaann]

The selling bit is the easy part.Where you will score is with customer service and aftercare.I'm sure you have tried to teleephone one of the "big shots" to ask about something or to make a complaint or to try and pay an invoice?
Telephone call centres and menus make talking to the big shots very difficult.
Let people know that when ordering from you they are dealing with the boss directly and you will always(within reason) be available to talk to or deal with their questions.
Anyone doing that would get my business.

 

Yep, it's all about service, and providing a better overall deal...... not about competing directly on the 'box price' of an item.

We still manage to sell desktop PC's, yet if you shop around, you'll always get something cheaper. Difference is, ours are better quality, all components branded and stood over, and we fully test them before despatch....as well as providing a more 'rounded' after sales service.

Forget the price the 'big boys' sell items at, see what you want to sell, check there is a market for it, don't get hung up wasting time trying to sell into a market that doesn't exist, and focus on providing a complete service, not just shifting a box.

 

[eldevs]

If I may, you better concentrate on an area where you can outdo the big time competitors.
Everything starts small and it takes time to grow. So, before thinking about competing with big shots, you just have to do what you ought to do in your area. In fact, Zuckerberg's FB did not automatically reach the world and became the top social media platform in days.

 

[newbie135]

Hi all

Thanks for all your replies, i totally agree with the points about quality of service and before and after care.... and perhaps that maybe more relevant in the case of some products more so than others... so for example electrical items. However, if you are supplying, something like, carex hand wash or something similar, customers may be more interested in cost on box... frankly i would like to sell something along those lines, something that doesn't perish, small in size, all homes need and is cheap to buy for the customer....but being a one man band im struggling to work out how i can ever get in to this market ?

 

[Idontknow]

im struggling to work out how i can ever get in to this market ?

Because you

would like to sell something that doesn't perish, small in size, all homes need and is cheap to buy for the customer

You are always going to struggle entering saturated markets

 

[newbie135]

I agree but then again name me a market that isn't saturated ?

 

Its all about getting customers and having the right price dependant on what type of widgets you intend to sell.

 

[Idontknow]

I agree but then again name me a market that isn't saturated ?

80% of the items that you will be using in 10years time hasnt even been invented or produced yet....there is always going to be unsaturated markets..its finding them thats a pain in the arse and being at the front of the cue helps relieve that pain.

 

[newbie135]

Hi Idontknow

Ahhhhh good point, i like the point and also agree, this bit made me laugh out aloud.

its finding them thats a pain in the arse and being at the front of the cue helps relieve that pain.

Ain't that the truth...

 

[platnumcn]

For competing with the big shots, you need to get dirty. Sometimes, even giving the best products and services do not let you have a sound customer base. The big shots always have the funds for offers and attracting reviews from satisfied clients. I believe that you must be good in your promotions to at least stand near big shot competitors.

Am really sorry, but if you do not have the money, it is quite difficult to match a big shot.

 

[Philip Hoyle]

Your business model sounds like a "me too" - i.e. doing the same as everyone else, and you can't compete unless you're Tesco and have huge buying power.

Where you should be looking is for the more obscure products that the big shots don't sell or where they only have a small/insignificant range. People get fed up with the lack of choice of the supermarkets and main online retailers (argos etc) who all seem to sell the same things as each other.

But you have to get out and look for the products that are already out there but not sold by the majors. That could be entire product ranges, or more likely, the less popular items in a popular range. As an example, say, baking products which have been hot recently but probably now a saturated market. If you went to Tesco, you'd be presented with a pathetically small range of cake tin shapes, biscuit shapes, cup cake mixes, sprinkglings, etc - basically you have to buy the few products they sell. Alternatively, you could get a much better range from a specialist cake making shop or online retailers. There are literally hundreds, if not thousands, of cake making tools/consumables on the market. So to make a small part time business with potential, you have to be selling the biscuit shapes (cookie cutters) that Tesco don't sell - i.e. if they sell snowmen and bunnies, then you have to sell the other 50 shapes in the range and market yourself as the cookie-cutter specialist with the widest choice, quick delivery times, etc - not necessarily the cheapest because you're offering what the big shots don't.

 

[newbie135]

Hi Phil

Thanks for your comments and yes looking for products that have a limited range, could be one avenue to explore further. I suppose it also provides focus for those people who are not sure of what they want to sell. But it does strike me as a game of cat and mouse, because, soon as you start selling those things that aren't generally stocked, it won't be long before other people, including the big shots muscle in....

thanks

 

[Pish_Pash]

I don't think it's possible to compete with the big shots at their level, but it is possible to make a reasonable living in the same 'space'.

This is possible because you can cater for areas the big shots don't (niche), your costs can be very low because there's a phenomenal amount of excellent & free software out there (free cart software, free inventory & dispatch software), etc etc. This really is a glorious time, for getting a business up & running quickly, looking professional, with low running costs etc ...but as ever, it's about finding the right stuff to sell & making sure enough people find/see it!

I'm no expert (& I'm not at the point I can say I'm there yet!), but here's how I'm doing it...

Sell lots of used stuff on Ebay - make sure your feedback rating is maintained at 100% (essential)...even if you have to take a couple of hits/losses.
Buy some stuff that you think might sell from an overseas manufacturer (ideally stuff that isn't available on Ebay/Amazon etc)
List it up on Ebay ....see if the product sells, if it does, bring more products in from abroad....try & get a degree of UK exclusivity for the manufacturer (though you'll need to order in high quantities to get this)
Switch to a Ebay business account...an ebay shop. (you keep all that good feedback - now you've some trust to build upon...an absolutely essential element when selling online)
List the same products on your own website (the website cart software is free ...link customers back to your Ebay shop so they can see you're trustworthy)
List the same product on Amazon.

Rinse repeat.

 

[vvaannmmaann]

I agree but then again name me a market that isn't saturated ?

The 'Customer Care' Industry?