Cheaper and Better is not a Marketing Strategy


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Many business owners think that the only marketing strategy they need is to build something faster, better and cheaper. At that point, all customers will run out and buy their product. The reasoning goes that if I sell them something that is better, they will forget what they are currently using and buy mine the next chance they get. This is a poor marketing strategy that is doomed to failure.

Take Waterless Urinals for example. On the surface, it seems like an idea that most buyers would want to accept. The need for water is eliminated and this solves a big problem. The executives that created a marketing plan for the unrinals never saw their biggest barrier to entry coming: The Plumbers Union.

In a recent issue of Wired Magazine, they describe the sheer competition from plumbers that Falcon Waterfree Technologies had trying to get their urinal approved for sale. Why would plumbers want to prevent this product coming to market? Simply because it required no water and no plumbing and they were concerned it would affect their business.

After and 8 year battle, the compromise was to let the waterless urinals be installed, but building code would still require the water pipe to the urinals but capped off and not used! Seems absurd but it worked.

What incumbent is lurking around your new product introduction that may oppose you?

Republished with author's permission from original post.

Barry Moltz
Barry Moltz Group
Barry Moltz has founded and run small businesses with a great deal of success and failure for more than 15 years. Barry is a nationally recognized expert on entrepreneurship who has given hundreds of presentations to audiences ranging from 2 to 2,. His third book, BAM! Delivering Customer Service in a Self-Service World shows how customer service is the new marketing.


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