How to gain a competitive advantage… and lose it.
Two years ago, I needed Greek private lessons for my daughter Serena.
On a web portal, an ad stood out in the midst of the general monotony.
First of all, there was a photo of an ancient statue on the teacher’s profile; I think it was the Nike of Samothrace.
For those who attended high school specialising in classic studies, it is a sign of belonging that exerts a call just like a hot girl for Rocco Siffredi: it is impossible to resist.
And then the teacher had an unbeatable USP:
“Private lessons at home”.
Wow! In Greek: Eureka!
He is a professor and not a university student, he has the photo of the Nike, and he is the only one who tutors at home.
A formidable competitive advantage.
So, the epic of “Super-Prof” began.
For two years Super-Prof came home, with great flexibility of times and days, and helped the reckless student avoid worse trouble.
But let me get to the point.
This year we decided to start immediately with one lesson per week as a preventive measure. So, a week goes by, another week, and yet another, until last night at dinner Serena told me that in the afternoon she went to Greek private lessons. “Did you go there? Didn’t he come here?” “Dad, he’s busy this year and we had to change our plans”.
Super-Prof had a competitive advantage, but he’s losing it.
He risks losing his existing customers. And he’s having more trouble finding new ones, because his offer won’t be any different from the others (Nike of Samothrace aside).
Did he become too snob?
I don’t think so, he’s not the type. In ancient Greece he would have been a warrior from Sparta: upright.
So, he did it for money?
Maybe that advantage at that price was not sustainable. So, when customers grew up, he had to optimize his time at the expense of home service. So why not selling your lessons at a higher price?
He should read the October number of the B2B Club Newsletter: one of the insights is about pricing strategies on the client portfolio. And it shows a way to predict how much more potential revenue lurks in the folds of the business without us knowing.
