Michael Holt, Managing Director, gardyneHOLT design Our country and our industry is based on a practical sense of getting things done, usually with little fuss or fanfare. However, times are changing and in particular we’re less reliant upon our domestic markets to offer sufficient demand, especially with our own markets wide open to competition from overseas. The message from government, now more than ever, is to develop our export markets and international revenue base. But have we properly developed the knack for self-promotion that we really need in order to compete vigorously. The essence of commodification is where two or more seemingly similar things are only really differentiated on price. Price competition is a common and often painful element in contract negotiations, leading to ongoing cost control. But it’s a tough way to make fair profits. Furthermore, why would anyone want to sell their product or service based primarily on price? There’ll always be others striving to be even cheaper, so price really is a fickle way of winning and maintaining sales. Competitive advantage must be woven into the products, service and ongoing relationship in order to maintain demand, differentiation and where possible, premium. For example, Hi-Q Components, a smart and reliable Kiwi business with a great reputation for supplying thousands of different small components to manufacturers (electrical components, bushes and bearings, caps, covers etc) realised that their brand is the first and best way to express their value. They started with the idea of supplying anything that can fit within a shoebox, and that’s still true today. Their brand should say that for them but the problem was that their brand didn’t say anything much at all. Our task was to add all the right qualities while keeping a connection to the original brand. In the process, we’ve created […]