How Do We Truly Differentiate Ourselves as Technology Providers?
One of the most common questions I get from sales reps that work for large solution providers is “How can I be different”?
Typically someone is “in a deal” with multiple providers, and they are trying to figure out an angle to set themselves apart. It can often feel like we’re all offering the same brands and services as the competition.
So, how do we stand out in the eyes of our customers?
The truth is, many of us default to pricing as our differentiator. When we don’t take the time to truly understand our customers’ needs and anticipate what they value, we race to the bottom, assuming lower prices will set us apart. But this strategy is both unsustainable and ineffective, for several reasons.
Why Competing on Price Alone Fails
1. Lack of Loyalty
Discounting to win business doesn’t foster loyalty. It attracts customers who are looking for the cheapest option, and when someone offers a lower price, they’ll leave
2. Compromising Quality
Most solution providers—whether VARs, MSPs, or integrators—aren’t designed for this race to the bottom. We have teams of experts who deserve competitive pay. By constantly slashing prices, we limit our ability to hire top talent, provide proactive services, and deliver the quality our customers expect.
3. Short-Term Gains, Long-Term Losses
Even if price cutting wins you some deals in the short term, it erodes margins and undercuts the value of what you’re truly offering. If we are going to be proactive and be a guide to our customers, we need to be compensated.
So, how do we differentiate without compromising quality? The answer lies in three areas:
Brand, Offer, and Experience.
1. Brand: Sell on Trust.
Branding is about more than a logo or a tagline. It’s the trust and confidence customers feel when they choose you over someone else. To build your brand, consider focusing on a specific industry or problem that you solve particularly well. When you develop this reputation, you create social proof, and that trust leads to new opportunities.
Ask yourself:
- Are there industries we already serve particularly well?
- How can we leverage that to build a brand around solving specific problems?
2. Offer: Make It Irresistible
An offer isn’t just the products or services you sell. It’s the complete package that makes it difficult for the customer to say no. To uncommoditize your offer, bundle your products with services or unique experiences that solve your customer’s problems in a way that no one else can.
For example, if there’s a common sticking point that delays the adoption of your solution, think about how you can integrate a fix directly into your offer. Solve the problem before it starts.
Ask yourself:
- What additional services or experiences can we bundle with our core offering to make it unique?
- How can we eliminate pain points for our customers to ensure they succeed faster?
Read this book for a bunch of ideas: Alex Harmozi: $100MM Offers. {Link}
3. Experience: Simplify Their Lives
Customers often remember how you make them feel more than what you sell. Consider the entire customer journey—how can you make the experience of doing business with you seamless and stress-free? For example, procurement teams hate admin work. Can you offer tools, portals, or streamlined processes that simplify their jobs? Even if these tools don’t directly correlate to your core product, they make your customer’s life easier, which makes you invaluable.
Ask yourself:
- How can we use tools, portals, or fulfillment processes to reduce the admin burden for our customers?
- What can we do to simplify and improve the overall customer experience?
Actions You Can Take Today
- Brand: Identify common industries you serve well and start building content, alignment and social proof in those areas.
- Offer: Look for the problems that delay success for your customers and bundle technology, service and access to those problems with your core offering.
- Experience: Focus on how you can take administrative work off your customer’s plate, making their life easier and the experience of working with you seamless.
By focusing on brand, offer, and experience, you’ll create differentiation that pricing alone can’t touch.
You’ll build loyalty, increase perceived value, and ultimately set yourself apart in a crowded marketplace.
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