What is a competitive advantage?
The thing that makes you better than other companies and competitors is called competitive advantage. Every company has its own competitive advantage. It can be a lower price, quality product, service or something else. Companies have to know which customers buy products or services from them and know how they can make them satisfied. Customer support service can be a great competitive advantage for every company. Give your customers what they demand every time and resolve their issues and queries.
Watch the lecture about competitive advantage
Competitive advantage in marketing refers to the unique set of attributes and strategies that enable certain organizations to outperform their competition in the marketplace.These advantages can arise from various factors such as product differentiation, cost leadership, superior customer service, or technological innovation. The creation of competitive advantage is driven by a deep understanding of the market, customer needs, and effective resource allocation.
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Frequently asked questions
What is a competitive advantage?
Competitive advantage are the factors that influence if the production of goods or services are better and cheaper than the competition. As a result, the company can generate more sales and profits compared to the competition.
How to build a competitive advantage?
Building a competitive advantage is possible thanks to various factors. These include: costs and their structure, building brand awareness and recognition, distribution network of products and services, quality of the offer, as well as customer service.
Does a company need a competitive advantage?
A business needs a competitive advantage to be profitable. Thanks to the greater advantage, the company has a chance for greater recognition and more favorable terms of sale of its products and services. Ultimately, this should translate into profit and more sales.
Expert note
In today's competitive business world, having a competitive advantage is essential. Providing exceptional customer service is a great way to gain that edge.
Providing excellent customer service leads to increased customer engagement and loyalty, which in turn generates more revenue and positive word-of-mouth advertising. According to customer service statistics, 77% of customers would recommend a company they had a positive experience with, and 72% of customers share positive experiences with at least six people. Engaged customers spend 300% more than non-engaged customers and increasing customer retention rates by just 5% can increase profits by 25% to 95%. Increasing employee engagement by 10% can increase profits by $2,400 per representative annually. Becoming a top-performer in NPS is crucial to reaping the benefits of excellent service.
This article discusses the importance of outstanding customer service in building sales, revenues, and customer satisfaction. It provides tips on how to deliver excellent customer service, including having knowledgeable representatives, understanding customers' needs and expectations, and offering various communication channels. The article also answers frequently asked questions about the definition of outstanding customer service, the need to provide it, and how to achieve it using software such as LiveAgent.
The article discusses how to achieve great customer service by having qualified staff, professional software and technology, and listening to customer feedback. The importance of customer service and the negative impact poor customer service can have on a business are highlighted. Companies like Google, Chick-fil-A, IKEA, and Amazon are cited as examples of those who invest in their employees and create an experience to provide great customer service. Common customer service mistakes are also mentioned.
The importance of exceptional customer service is highlighted in this video, with the speaker sharing a personal experience of being won over by great service in a glasses store. Providing exceptional service can lead to customer loyalty, repeat business, and positive word-of-mouth marketing. To deliver exceptional service, companies must focus on factors such as empathy, active listening, timely response, problem-solving skills, and maintaining a positive attitude. The significance of delivering exceptional customer experiences is emphasized as being beneficial for both customers and businesses.
