How to defend against and overcome the invisible competition

Even if there’s no other store in sight, you have a competition. There are also stores in the vicinity and on the Internet. That’s why you need to take them into consideration and act in a way that makes you win them over. “I’m from such a small village that I didn’t see charcoal for the first time until last year,” says the hero of one of Herbal’s books. But maybe this was not so distant past that it was too long ago. I began to doubt this when I heard that the village was operating differently. All the competition, marketing, and technology, that’s for people in the big cities. Rural entrepreneurs, and especially merchants, will be satisfied with what it was twenty years ago. Basically with a calculator and laptop that they record sales.

How to defend against and overcome the invisible competition

For intuitive entrepreneurs, competition is everyone who comes up with their money. Hence, another grocery store not only competes with a grocery store, but it also competes with a cinema or excursion retailer.

But nothing is against it, they are the salts of the earth and without them we would live much worse. Should we consider this situation beneficial to entrepreneurs?

There is no competition in the countryside?

There is no competition in the village, this is the basis for similar opinions. Is this really so? When a country storekeeper steps out the door, he likely won’t really see any other. Two will not earn a living there. But this does not mean that he has no competition. It is out of sight. First of all, a supermarket in the nearest city. Many people shop there because they work in the city. Others will go there for the weekend to shop on Friday. They have a better environment, a wider range, and lower prices. Even the less obvious competition is taking online orders and taking delivery of goods. Although it does not cover all areas yet, it is under implementation.

“It is important to be on the level of the best and not be content with the idea that this is enough for the villagers.”

What will this unseen competition do with a country-door shopkeeper? Since he couldn’t convince customers of his productive age, he was left with the seniors with few and conservative purchases. Thus it will limit the range even further and thus discourage anyone under the age of seventy. He might rejoice that he’s finally getting the right clients who don’t need internet and other nonsense, but very temporarily.

From the same barrel is the idea that The country merchant does not need to influence customers. Why a loyalty program if they have nowhere else to go? As we’ve already shown, they have. Why marketing when it just comes to pricing anyway? No, the most important factor in shoppers’ comfort is the quality of the merchandise and the entertainment. Why do we deal with electronic communications when our customers do not have the Internet? Because it contains people who do not come to you and who can. The real reason many traders ask such questions is to resign. Reluctance to initiate new things and face competition that he does not specifically see, but only as a kind of deadly effect.

The biggest change in the last twenty years

Zdeněk Skála, who is perhaps the biggest retail expert in our country, recently said so The grocery store in the Czech Republic is undergoing such a major transformationIt can be compared to the second half of the 1990s, when supermarkets began to gain ground in our market. This is an important note, since the beginning of the chains was simply not managed by the traditional merchants of the time. Instead, they set up the right conditions for supermarkets through a competitive no-brainer. And when they realized what was happening, they began to imitate chains at low prices (which, of course, could not work), making it easier for them to dominate the market at present by more than 80% ( I also write about it in the article The secret of the competition is revealed).

According to Zdeněk Skála, they are decisive factors today Freshness and quality of the goods. The shift from big weekly purchases to more frequent visits to the store is recording the traditional traders. However, their vulnerability is exactly what a shopper mainly cares about today. The effort to offer the lowest possible prices goes against the requirements for freshness and quality. But the intuitive businessman wants to provide the best service possible, not the cheapest.

Thus, while the discount rate code Lidl is transforming into a premium supermarket, traditional merchants ask for “different cheese substitutes” because it is the cheapest. Another reason customers, in addition to those who have the deepest part of their wallets, go to the supermarket in town.

The idea that there is no competition in the countryside means that local merchants are not interested in it. They just don’t know what’s going on in supermarkets (except perhaps for information on how many menus they have in the works). It adheres to the habit of offering the lowest prices possible and adapting everything to it. I’ve been through a number of rustic stores and I have to honestly say I’m terrified of their neglect, the lack of clarity of the sales process and, above all, the kind of smallness that is evident in every detail. Visual activity is missing. Marketers depend on people to get used to it. But in the second half of the 1990s, stores were generally in better shape, and customers still escaped to the prettier supermarkets (even without low prices and discounts). Why should they be loyal to today’s dark, messy, and worn interiors? ( It is good to know how are you doing. Use an interactive self-service post to do this Test your store).

Ugly stores don’t have a chance against the competition

“There will be more cute shops – the ugly and cramped stores will either change or close,” says Zdeněk Skála in closing. Of course, this also applies to the countryside. We are no longer in a position to go into town to see what the charcoal looks like. But if the merchant relies on custom, his remaining customers will come to see the newly built supermarket and remain loyal to it.

Many rural merchants argue that they do not have the money to renovate the store. Of course, low price policy reduces margins and profits, so the entrepreneur can hardly survive. So it is important to approach a holistic marketing approach rather than start with tackling internal reconstruction first. An active approach will bring back customers who shop in town today. When you start looking at the entire chain differently from buying merchandise to selling it, you will not only gain customer interest but also earn higher revenue. We’ll help you with that, and you interest in the program Cashback World PLUS IM

One example for everyone. A while ago, a report appeared in the newspapers that peasants were plowing the pepper that the shops had returned to them. They have nothing, they are just “overly” curved. In a subsequent survey, more than 80% of customers stated that they would easily buy at a lower price. So when you are active you can sell the goods at a slight discount, which farmers will be happy to offer you. And this is just one of the hundreds of opportunities presented to active traders every day (and before they even reacted, they took the chain and started selling the twisted greens as extra merchandise – good evidence that it’s not worth the wait).

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