WHY IS JOHN’S BUSINESS DOING BETTER THAN MINE?

 Why is John (or Mary’s) business doing better than mine?

If you are asking this question, hold it. Do not rush into bringing the curtains down on your little enterprise. There are several things you need to do when you find yourself in a situation where you ask this question. We are happy, here, to share some of the courses of action you could take.

First, you need to confirm with John or Mary that their business is actually doing better than yours. Are you friends with Mary/John? If so, how close are you? If you are friends, and close, John/Mary will likely confide in you as to how their business is really doing.  If you are not close, they may not. Still, there are other areas you can look at to help you understand your business relative to that of John/Mary.

Let us assume John or Mary’s business is, indeed, outperforming yours. One basic question you could ask is whether or not your little enterprise is in the same location as John or Mary’s. If the two businesses are neighbours physically, then you should be receiving the same number of visitors as Mary/John’s business. If not, why not? You mean you keep seeing endless streams of buyers into John/Mary’s shop or office while your own place yawns? That is naturally terrible, but hey, maybe John/Mary has products you do not have? Perhaps they have products that move faster in that particular place. Have you made a comparison?   

If the problem is the products you sell, then do introduce the kind sold by Mary of John. It is not illegal, but hopefully, you do not create an enemy. If Mary/John and yourself are on talking terms, do talk candidly with them about how your business is doing and how you have decided to also bring in the products you have seen move relatively fast in their business. They may not like it because it is increased competition for them, but being open to them about it will ease or prevent tension.  

What if John/Mary and yourself sell exactly the same products? Well, well, we have to look elsewhere, then. Perhaps the arrangement of things in your shop or office does not encourage visits. See how the layout in your business differs from the layout in John/Mary’s. Try to understand how your layout could be a discouragement. It is probably that the customers in John’s business have a better view of products or have better access to the products or office assistants. Remember, customers do not like to struggle to view or feel the products. Is that not one reason why someone decided to introduce self-service shops? (Most non-food products can be touched by customers without any real harm resulting.) Customers also do not like to struggle to be in full view of the business assistants. They want to be visible in every square inch of your business. They did not come to be invisible, or get hidden away by the beautiful mannequins or in-office billboards.

Next, have you thought about the painting of the internal and external walls? Business place colours do matter.  But then, how does one know the right colours to use? Well, there is John/Mary there. Have they used very bright colours? If yes, then try going bright. If they used light colours, do go light. Remember this, though: do not use the exact same colours John/Mary has used. That would certainly not make John or Mary smile. It would be seen as an attempt to make customers think the two shops/offices are one. You can try to make customers think the shops are not different, but you cannot try to make them think the two shops/businesses are one and the same. It could amount to an unfair practice. Copy the style, but not the deed. And only change colours when you are sure it is the colours at work.

Another consideration to make is that Mary or John’s superiority in business performance could be a result of better customer service when potential buyers call. If possible, study the way customers are treated in John/Mary’s business. Are you doing the same or better? That could be where the secret lies.

What about the pricing? Could you be charging significantly more for the same type, quality and quantity of goods or services? If so, simply drop the price to John/Mary’s level – if you can still make a decent profit. This issue of price can be tricky, though. You cannot afford to drop the price too low or there will be perception of low quality. That has happened a lot of times.

There are many other possible explanations of why John/Mary’s business is doing better than yours. Your business may be practically next to Mary/John’s, for example, but if theirs has been there longer, then of course they may have established themselves better with the clients. If that seems the reason, relax and put in your best. It is just a matter of time before your numbers pick up, too. Quite often, buyers want to start feeling at home with sellers before they can come knocking. Going further, do not forget that in this information age, John/Mary may be advertising their business and products online or on a local radio or TV station. You could the same, could you not, all things being equal? 

Finally, “little” things like packing customer purchases or simply thanking clients for their visit or phone call could be the difference between your business and that of Mary/John, in the long run.

Our concluding message is that usually, when two similar businesses are in the same locality but one is doing a lot better, the answer also does not lie far.