Seth Godin once mentioned the “Race to the Bottom”. Businesses are cutting costs, cutting corners, cutting anything that allows them to be the cheapest in the market.
This is a race to the bottom where everyone sacrifices value, customer satisfaction, employee satisfaction and more, for the chance to win the market looking only for best price.
It’s a dangerous race to be in, because if you win, you only succeed at being the lowest of the low. Rarely does that work out.
In This Episode:
What is the Race to the Bottom
We’ll look at some examples of the race to the bottom and how to avoid it.
Examples of where customers will pay more for higher quality.
I share about a client whose competition kept undercutting him, but we stayed the course on price and simply communicated better why they were worth it. This method showed potential customers that the competitor was cutting corners and not delivering the same value.
Each time, the competitor did not last.
Take a listen and let me know what you think in the comments!