Episode 174

174 Jaynie Smith - Goldmine or Landmine: Competitive Advantages Prospects Actually Value

Escape the price war battleground and sail confidently into SaaS market dominance as Jeff Mains sits down with Jaynie Smith – a renowned corporate consultant, speaker, CEO, and bestselling author with over three decades of expertise.

Jaynie dives deep into the essence of what constitutes a true competitive advantage and debunks the myths surrounding common business clichés. Through real-world examples, she illustrates how companies can transform their fortunes by aligning their operations with the outcomes their clients truly value.

Jaynie has transformed the landscape of business strategy with her acclaimed books, "Creating Competitive Advantage" and "Relevant Selling," which serve as the cornerstone of her impactful keynote presentations and Smart Advantage consulting framework. With her efforts, she helps businesses leverage their strengths and thrive in competition.

Key Takeaways

[00:00:07] - Building a Future-Proof Company

[00:05:37] - Achieving Market Dominance With Differentiation

[00:09:01] - Understanding Competitive Advantage in Business

[00:12:53] - Importance of Customer Buying Criteria

[00:17:47] - Success Through Market Research Data

[00:21:09] - Lack of Measured Order Accuracy

[00:29:47] - Market Research for Scaling Companies

[00:34:32] - Customer Value vs Company Prioritization

[00:41:46] - Importance of Understanding Customer Preferences

Tweetable Quotes

“And when you want to have something that is a competitive advantage and quantify that and say, we're 85% better in this, or we have a defect rate of 0.00001% or whatever it is, but you're saying 85% of them don't even measure what the thing is that they need to be using as their competitive advantage.” - 00:14:07 Jeff Mains

“A competitive advantage must be quantifiable. The value proposition is that which is relevant. You're talking to the customer about something they care about and it's measured. So a competitive advantage-based value proposition is relevant, measured, and relative to their alternative choices.” - 00:10:13 Jaynie Smith

“So competitive advantage is what the customer values that you can measure. It's not a cliche. It's ideally not stated by the competition and most important, it must be relevant. You must be selling what they care about.” - 00:11:17 Jaynie Smith

“Remember, people come to websites, they're looking for somebody to write, do their software, and they're scrolling through websites. How long do you think they stay? Under 10 seconds.” - 00:40:23 Jaynie Smith

“But if you want click-throughs, you got to have the hook in right away on your website. It should be in every, you know, ask me where should you put this? It should be in every proposal. It should be on your business cards.” - 00:40:47 Jaynie Smith

SaaS Leadership Lessons

1. Know Your Customer's Values: Understand what your customers truly value. Prioritize customer research to identify Customer Relevant Indicators (CRIs) and align their offerings with these values, ensuring that the business delivers on the promises that matter most to their customers.

2. Differentiation is Key to Monopoly Control: Differentiate products and services to avoid price wars and commoditization. Creating a unique value proposition and building an impenetrable moat around the business using intellectual property, strategic partnerships, and network effects.

3. Communicate Your Competitive Advantage: Discovering competitive advantages is essential, but effectively communicating them to prospects and customers is equally crucial. Updating key performance indicators across platforms like websites and social media showcases the company's strengths.

4. Foster a Culture of External Focus: Most companies are internally focused, which can blind them to external opportunities and threats. Foster a culture that emphasizes an external focus, encouraging the team to look outside the company for insights, customer feedback, and competitive intelligence. This outward-looking approach can lead to better strategic decisions and a stronger competitive position.

5. Utilize Data-Driven Decision-Making: Advocate for data-driven decision-making, where strategies are pivoted based on hard data rather than hunches. Embrace the power of metrics and analytics to guide their strategies and operations, ensuring that resources are allocated effectively and that the company is responsive to customer needs and market changes.