This article was written by WeddingWire Education Guru Alan Berg, CSP. Alan has over 20 years experience in wedding related sales and marketing, and is an author, business consultant, a member of the National Speakers Association, and the wedding & event industry’s only Certified Speaking Professional®. Learn more at alanberg.com.
Just the other day, I heard yet another wedding pro bring up Craigslist, lamenting how easy it is to get into his industry (in this case, be a DJ). The thing is, he’s at the top end of the price spectrum in his market. Why would he think that people charging a fraction of what he’s charging are his competition? It’s an easy trap to fall into. Theoretically, anyone who does what you do is a competitor. In the real world, though, that simply isn’t true.
Is there really a difference?
Technically, Rolls Royce competes with Kia, because their products are both capable of transporting people from point A to point B. Of course, we know that isn’t true. While a Kia buyer might dream about one day owning a Rolls Royce, the opposite isn’t so. People buy Rolls Royce cars for reasons beyond basic transportation needs. The same is true when couples are shopping for their DJ, or photographer, or caterer, or dress, or wedding planner; they need what you do. But do they need and want you to do it?
Marketing thought leader Seth Godin suggests that you don’t need everyone to get what you do. You only need a small portion of the total market to really understand the specific value you bring. You can’t get them all, and you probably don’t want them all. That DJ doesn’t want the couple that only has $500 to spend on their wedding entertainment. Sure, they’re entitled to have a fun wedding, with great music – he’s just not their guy. Maybe someone else is; maybe they’ll use an iPhone. Either way, he didn’t lose that gig. It was never his to get.
What about you?
Are you wasting time, energy, and resources worrying about every other company in your market, professional or not? You simply can’t control those variables. The barrier to entry, for most wedding and event businesses, is very low. Many, if not most, don’t require a license or certification. Other than those that require a substantial physical presence (caterer, venue, dress shop, etc.), the monetary investment is very low as well. You don’t need the most expensive camera to take great photos; you need a great wedding photographer behind that camera.
Experience can’t be bought – it has to be earned. That said, experience is not a guarantee of success. Being in business for 10 years doesn’t guarantee that couple a great outcome from you. Have you done 5 weddings each year of those 10 years? Or, have you done 50 weddings each year? Have you updated your technical skills, as well as your business and customer service skills? There are many moving parts when it comes to providing a successful wedding outcome.
Who is your real competition?
If it’s not everyone who does what you do, then who are your real competitors? To figure this out, you have to understand how your target market shops for your product/service. What are the things that they value the most? Their priorities drive their budget, and fear is a major factor when making a big decision. What are they afraid might happen if they make the wrong decision? If they’re afraid that you can’t or won’t deliver the outcome they want, they’ll pay more to someone else for the peace of mind. Those are the times you scratch your head, wondering why they chose a higher-priced supplier, when you felt you could do everything they wanted.