MBA2591 Q&A Wednesday: Is It Really Necessary To Differentiate My Service? If So, How?

Let me tell you about Intuit QuickBooks. When I was starting out my business, I remember sitting at my desk late at night not working on my business but cleaning up numbers, tracking and reconciling payments and wondering how this became my life. But once I automated the admin side of things, of my finances, those nights had disappeared and I felt a whole lot better. Outdo it with intuit QuickBooks QuickBooks is the trusted end to end solution that businesses rely on for getting paid, managing finances, paying employees, finding new customers, and more. QuickBooks provides a team of AI agents and trusted experts, so doing it yourself no longer means doing it alone. Their payment agent gets you paid faster, their customer agent finds leads, follows up and secures more sales, and the accounting agent automates and categorizes transactions. Get your critical business jobs done with QuickBooks on the Intuit platform.

Ready to save on new tech? It's time for Dell Tech Day's annual sales event celebrating our customers with fantastic deals and benefits. Product perks include Dell Rewards, free shipping, premium support, and more. PCs like the Dell 14 with Intel Core Ultra processors will help you do more faster, and with a premium suite of monitors and accessories, you can upgrade your whole setup with amazing savings. Visit Dell.com deals.

How do you stand out in a crowded market? Is differentiation just a buzzword or is it the key to long term success? Today we're answering Kaito's question all the way from Japan. If you're struggling to find your competitive edge in a competitive market, you're going to want to stick around because I'm going to break down if differentiation is even important, do you need to do it and if so, how to do it right. Welcome Back to the $100 MBA Show. I'm your host Omar Zenholm where I bring you practical business lessons three times a week, Monday, Wednesday, Friday to start, grow and scale your business. Today's episode is Q and A Wednesday where we answer a question from one of our subscribers, one of our listeners, one of our viewers, and it comes from all the way from Japan. Kaito has a very important question. Is it truly necessary to differentiate my service? I can use your advice if I need to do this. Dori, I got your back and I'm going to give you real life examples from my own experiences for my own businesses and how I use differentiation to be able to stand out in a market that's quite crowded. So let's start with the importance of differentiation. Differentiation isn't always necessary, but it's almost always helpful if you're Entering a market that's massively underserved. I'm talking about customers are knocking down your doors to buy your products or services. If you're in this kind of market and you're solving a real pressing problem, then differentiation is not maybe the most important thing you need to worry about. For example, in the early days of Uber, they really didn't differentiate because they were the only rideshare company out there. The only alternative was a taxi and it was like so much better than a taxi. So they just had a very basic service and they really didn't differentiate. They had a hungry crowd of people looking for what they are offering. Now there's so many different rideshare services out there globally that now Uber has differentiated and there's all these different kinds of Ubers you could take and different kinds of options and even have bikes now and all kinds of things. Right? You can schedule an Uber. But the point here is that they only started differentiating when the market got crowded. So when is it necessary to differentiate? Well, in most markets I think it is necessary. You're competing with established players already. You need to stand out and this allows you to have long term growth. Differentiation helps customers choose you over alternatives because of your unique selling proposition. Unless you're so innovative and you have no competitors in the market, you should differentiate. By the way, if you don't have competitors, you have bigger problems like educating your potential customers what you actually do. You're so new and different, it's hard to break into that market because people don't know or never heard of what you provide. So if your market is crowded or just has even a few competitors, differentiation isn't optional, it's survival. Let me give you a real life example of how I differentiated with my software company, Webinar Ninja, which I grew for 10 years, over 30,000 users. And then we eventually got acquired by ProProfs. When we launched webinar Ninja 2014, we weren't the first webinar software on the market. We had big time competitors. There were a handful at the time, but it was enough that people were shopping around. There were big players like gotowebinar. So what we did differently is that we created a unique selling proposition, something that we focused on that made us different and special and unique in our own way. We focused on ease of use. A lot of our customers are small business owners. They run small teams and they're not, you know, a programmer. They're not super, super tech savvy. A lot of these other softwares are super complex, they were clunky and they required hours of training. Webinar Ninja was simple. It was easy. One of the number one things people would say about Webinar Ninja is that it was the easiest software they ever used. Not the easiest webinar software, but easiest software period. We also integrated features like built in email reminders and templates, things that other softwares made you pay extra for or you would have to use another bunch of softwares to make it happen. The result was that by solving the pain points our competitors ignored, we carved out our own little niche in our space in the marketplace. And people that valued those things, ease of use, all in one tool, something that is user friendly, people that value that stuff would come to us. Your differentiation doesn't have to reinvent the wheel, it just has to solve a specific pain point better than your competitors. Meaning your unique selling proposition doesn't have to be earth shattering innovation, it just has to address different needs that the competitors are not addressing.

Does it feel like it's getting really hard to figure out the best Way to save for retirement? Fidelity can help you find clarity so you can save the best way for you. With a free personalized plan, goal tracking and timely insights, you'll be set to take on retirement your way. Get started@fidelity.com future expenses charged by your investments and other costs and fees associated with trading or transacting in your account. Apply Fidelity Brokerage Services Member NYSE SIPC.

Okay, does this happen to anybody else? You sit down with a juicy QPC, some McNuggets and those golden fries from McDonald's. Then you take a long sip of your Sprite because you can still hear your mama saying don't fill up on that drink before you eat your food, but you're grown now so you do what you want.

Share and share alike with a 20 piece McNuggets from McDonald's for just $6 limited time only. Price and participation may vary. Cannot be combined with any other Bye bye.

So what are some of the ways to differentiate your service? Number one, solve a specific pain point. This is where you have to talk to your potential customers and really try to uncover what frustrates them about their existing solution to the problem. They're probably trying to solve this problem right now with an existing solution, the existing method. What's frustrating about trying to solve their problem in this way? From that feedback you could build your service around fixing those issues, issues, those frustrations. The second way you can differentiate is focusing on a niche audience. So instead of trying to serve everyone Specialize in a specific group. By doing this, you can address those specific people's needs. So for example, if you're a fitness trainer, you can specialize in post pregnancy recovery. So your niche are new moms. While everyone's trying to serve everyone, you're actually serving a specific group with specific needs that you can address. So these people will value your product or service more because you're talking directly to them and helping them better than the company or the service that's trying to like, cater to everybody. The third way you can differentiate is customer experience. Make working with you an absolute joy, an absolute delight. Offer fast response time, personalized service, or even just a better onboarding process when they start using your service. This is something we really focused on in Webinar Ninja. We still do this today at the 100 VA. Customer support was one of our backbones of the brand. A lot of people signed up because they saw how quickly they got an answer when they contacted support, just asking questions about the software. Within 30 seconds they got an answer. That's pretty impressive in our space. The fourth way you can differentiate is pricing or packaging offering maybe flexible pricing plans or unique bundling that other competitors don't. So for example, at Webinar Ninja, the prices of our subscriptions changed based on the number of attendees you wanted to have on your webinar. So if you're just getting started, why are you paying so much money? You can have less attendees and pay less. This made sense for us because as our customers grew and their webinars grew, they paid us more. And they were happy to because they're getting a return on investment. Fifth way differentiate brand personality. People buy from people. Showcase your unique style, your values, your story behind why you built your business. This really connects with your audience. And a lot of times people just say, I like these people, I want to buy from them. Differentiation doesn't mean doing more. It means doing what matters better. I want to talk about keeping your differentiation simple. There's a power in simplicity. For example, there's a company called Basecamp that's like project management software. We use it in our company. They have a very simple and streamlined software. Basecamp didn't add every feature under the sun to kind of compete with the other project management tools. Instead, they focused on being simple and effective. And it works because I can't imagine switching off Basecamp because I've tried other project management software and it's good and all, but it's just too much. It's complex, it's confusing. And whenever I bring somebody on my team. There's such a huge learning curve with Basecamp, they pretty much get it within a day or two. Complexity confuses simplicity sells. One of the pieces of advice I give my students all the time is that a confused mind never buys. So Kaito and everybody else who's listening, here's the bottom line. Differentiation isn't always necessary, but I believe it's really a good way for you to be above and beyond better than your competition. It's definitely required if you have many competitors in your market, I would say two or three or more. Start by identifying the pain points of your customers. Focus on a niche, you know a subset of your customers and create a standout customer experience. A wow experience that makes people compelled to tell other people about that experience. And remember, it's not about doing everything, it's about doing one thing better than anyone else. And that's going to be the reason why people come to you. Thanks for tuning into the Hundred Dollar MBA Show. If you want more strategies to help start, grow and scale your business, just go to100nba.net put your name and email address in any of our forms, get some of our freebies, and be part of our newsletter. And don't forget, if you got a question that you want to submit here on q and a Wednesday, go to the website 100- MBA-NET and submit your questions and I'll see you in the next episode.

Dear McDonald's, your breakfast menu fire tens across the board. I could be happy with anything even though I order the same thing every time. Thanks for not judging me. I'll try something new next time.

Maybe score a two for five dollar deal on a sausage McMuffin with egg and more. Limited time only. Price and participation may vary. Cannot be combined with any other offer single item at regular price.