Imagine you’ve found a treasure map, only to realize everyone else has a copy too. The secret isn’t in having the map — it’s in how you read it.
Have you ever felt like you’re pedaling as fast as you can, but your business just isn’t gaining momentum? You look around and see your competitors speeding by, seemingly effortless. Their secret isn’t some magic potion or secret formula. The key that unlocks growth is often right in front of us – you just need to look at our competition through the right lens.
In this post, I’ll explore how to analyze what makes your competitors successful, extract the repeatable principles, and integrate them into your own strategies. With some thoughtful reverse engineering, you can model their winning formulas to fuel your own growth.
By learning to decipher what makes your competitors tick, you hold the map to find your own business treasure.
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1. Success vs. Signaling: Seeing beyond the hype
Example: The Proactiv solution in a saturated market
In the early 2000s, the acne treatment market was saturated with countless products, many backed by big-name celebrities and flashy advertisements. Proactiv, however, chose a direct response approach, leveraging infomercials to their advantage. Instead of celebrity glamor, they showcased real-life testimonials from users who had transformative experiences using their product.
Despite not having the same high-budget glitz, Proactiv’s sales soared. The genuine stories resonate more with viewers than mere celebrity endorsements. While other companies relied on signaling with star-studded campaigns, Proactiv offered tangible proof of efficacy.
Takeaway: Especially in direct response, authenticity can outweigh ostentation. Show real value, and the market will respond.
Not everything that glitters is gold. Distinguishing between actual success and mere signaling is crucial. In the age of flashy ad campaigns and viral marketing, it’s easy to mistake signaling for success. The difference? Sustainability. Recognize that appearances can be deceiving. Make decisions rooted in long-term profitability and sustainability.
2. Copy funnel principles, not layouts
Example: Dollar Shave Club
Their launch video went viral, but it wasn’t just the humor that made their campaign successful; it was how they crafted their sales funnel. They focused on a simple message (affordable, quality razors), targeted a frustrated demographic (men tired of overpriced blades), and had a direct, compelling CTA. Yet, as is the case with many tales of rapid ascent, there came a twist.
Post-acquisition by Unilever, a desire to scale and diversify saw Dollar Shave Club expanding its product horizon. But in this pursuit, they made a critical misstep. They gradually moved away from their original disruptive pricing strategy. The promise of “quality razors without burning a hole in your pocket” began to wane. Prices inched up, and with it, the core value proposition that had attracted millions began to blur.
The market’s reaction was swift. Sales faltered, and the once steadfast loyalty of their customer base started to waver. It became clear that while many offers had tried to mimic Dollar Shave Club’s humorous approach, the real secret sauce was the underlying sales funnel and the brand’s dedication to its value promise. This serves as a cautionary tale that viral traction and a large customer base alone do not guarantee a sound business model.
Takeaway: Understand why something works. The essence of Dollar Shave Club’s success wasn’t just a funny video but the underlying marketing principles that were expertly executed in their campaign.
It’s not just about constructing a funnel; it’s about diligently refining every layer. Many have mastered the art of creating jaw-dropping advertisements. The colors, the narrative, the sheer creativity – it’s all on point. But remember, while aesthetics may capture attention, it’s the conversion that counts in the end.
Think of your ads as the grand entrance to a luxury store. Sure, the door needs to be inviting, but what’s inside should match the promise of that entrance. Remember, the relationship doesn’t end with a sale, it begins.
3. Leverage your strengths: Chart your own course
Example: The duel of Meal Delivery Services – Blue Apron vs. HelloFresh
So here’s the tea: QuickPack was everywhere. If you bought something online, odds are it showed up at your doorstep snugly wrapped up by them. They were the big kids on the block in the e-commerce packaging playground.
But along came EcoBags, with their rad biodegradable packaging. They didn’t try to play the “we’re just like QuickPack, but better” game. Nah, they took a sharp left. EcoBags was all about saving the planet. And with everyone buzzing about sustainability, they were right on the money.
Their ads? Not your typical “we’re the best” spiel. They were more like, “Hey, the planet’s in trouble, but here’s a way to help out.” Brands dug it because, well, who doesn’t want to be the good guy? And customers? They felt great knowing that unboxing their latest online shopping haul wasn’t adding more trash to the planet.
Takeaway: Direct response marketing, at its core, isn’t about who’s got the loudest megaphone. It’s about finding your tribe, resonating with their needs, and then delivering value they didn’t even know they were missing.
As you know, it’s not about being everything to everyone. It’s about being the perfect fit for the right someone.
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Vesna Vukanovic Dumanovic, Account Manager
Armed with a Ph.D. in Knowledge Management, as well as insatiable curiosity and a can-do attitude, Vesna is an organizational powerhouse on our team. As a veteran in project management, there's no question or task you can throw at her that she wouldn't be able to tackle. That's why she's the go-to resource for education, development, and support not just for our team but for Inceptly's clients.
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