Let’s talk about creating a Unique Selling Proposition when there isn’t one.
If you want to see your product fly off the shelves and your sales break records while your competition cringes in the corner whimpering nonsensically as customers leave them high and dry while beating a path to your door then simply give your prospects a “reason why” they should buy from you.
The ultimate competitive advantage is the ability to articulate the unique value of your product or service that makes buying it from you the only logical choice. (Check out more on the ultimate competitive advantage.)
Let’s take a look at brothers Rick and Scott Olsen who provide merchant services to businesses. They are in a highly competitive industry where everyone essentially offers the same services, technology and pricing for processing credit card purchases.
The Less Than Compelling Offer
If your business accepts credit card payment for your products or services chances are you are being contacted on a minimum of once a week by a processing company that wants you to switch your business to them. And what do they have to lure you over to their camp… lower prices of course. They all say they can save you money.
My daughter has been the office manger for a cosmetic surgeon for five years. I asked her how often she received a solicitation from a merchant services sales representative? She responded in a scorching tone… “Five times a day!” I then asked what was the “hook” presented to her for a reason to give them an appointment? In a now sardonic tone her reply was… “They all were going to save me money.“
To finish the conversation I asked her if any one of them stood out from the others? She curtly responded, “Seriously, are you kidding me?“
Breaking Away From The Herd
Rick says he and Scott were tired of banging their heads against the wall and decided to find something that would at least let them stand out from the rest of the herd.
In their search for a differentiation the criteria was straight forward. Their goal was to bring value, advantage and benefit to peoples lives through what they did. Given the fact that the processing industry is under the banking umbrella so public opinion was an uphill battle.
Then Rick read about how charities were hurting financially. Not only because federal funding had been cut back but public contribution were down as well.
Providing Solutions To Problems
Rick wondered if there was some way to help charities solve their cash flow problem and at the same time solve his differentiation and growth problem.
He set out to research a solution for the three problems he had identified;
1.) He wanted to set himself apart from the crowd so he could grow his business.
2.) Businesses wanted not just more customers but more loyal customers.
3.) Charities needed more people to step up and donate in these economically challenging times.
What Rick found out is that most people genuinely want to help others, and those who do feel good about themselves. When we see those heart wrenching ads about the starving children we really want to help, however, more often than not it’s something we put it off, and tell ourselves we are going to do in the future.
There are many reasons people don’t donate to charity. Sometimes they just didn’t feel financially able to donate yet, others mean to give but never actually make it happen and some don’t give because they feel like the problem is so large their small donation won’t make a difference.
Businesses get involved with charities because they can make a difference and its their way of giving back to the community. They do hope their connection to a charity will provide residual benefits. They would love for others to become inspired as well and reach out to the charity of their choice. Business hope their customers take notice of what they are doing and become a more loyal patron.
Although a certain percentage of customers take a more cynical view of a businesses affiliation with a charity as purely self serving.
The Win/Win/Win
What Rick did was come up with one of those legendary win/win/win ideas that makes everybody happy.
What Rick did was create a unique merchant processing service that allows a percentage of each credit card transaction to go to a charity. And the money does not come out of the pockets of the business using the service nor the customers.
Rick has restructured his business so that the business switching to his processing service pays nothing more than they normally pay for a processing service. The money that goes to the charity comes out of Ricks end of the deal. He’s willing to take less money up front, banking on the idea that this will set his business apart enough to open more doors and significantly increase the number of new clients he will attract.
Ricks idea has a big impact on everyone. Sure he’s hoping to get more customers and grow his business, but now he can make a difference in the world for those in need which he wasn’t doing before. When we help make the world a better place it makes us feel good.
His customers, the businesses that use his processing service can now make a difference in the world as well. And by letting customers know that each time they make a credit card transaction at his business they (the customer) will be making a difference in the lives of people as well, no additional money nor hidden fees.
I’m giving Rick kudos for the idea and hoping his idea works. I don’t know about you but I’d talk to a merchant processing company that can help me feed the hungry children in America without it costing me any additional money out of pocket!
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