Two Words: Fast Follower – Is It For Your Business?

News flash! No one cares if you thought of the idea first. The public is more interested in who is doing it better. This is why so many companies take the “fast follower” business and marketing approach. A fast follower company will pick a successful brand and model themselves similarly against it benefiting from the model company’s research, education and brand awareness dollars, all while swooping in and taking some of the main company’s market share by doing virtually the same thing. For example, Wendy’s fast

food chains position themselves within a half mile, or most often across the street, from a McDonald’s. Look at Lowe’s and Home Depot, they do the same thing, allowing the one to scout the market and area and then quickly follow with a location of their own in the same vicinity. This type of market strategy is often seen by generic beauty products. The name brand invested in the research of the product development, creating the overall brand value and created a demand for the product. The generic brands, borrow all knowledge, package the product so similar to the original that many consumers don’t notice the difference and undercut the price allowing for more sales at very little acquisition costs.

Completely giving all your marketing strategy up to your competition to fast follow will result in disaster.

However, here is the note of caution. Completely giving all your marketing strategy up to your competition to fast follow will result in disaster. Think of this: Wendy’s positions themselves locally near McDonald’s because they share the same general target market. However, that’s where the similarities end. Wendy’s are looking to attract a more influential client that is looking for a more sophisticated taste and healthier food choices. McDonald’s is about selling food fast and cheap for the consumer on the go. This distinction is why narrowing your target market so severely is imperative in creating a successful business. If they both were targeting the same exact market, their advertising and message would be so similar that the consumer wouldn’t be able to identify the difference between the two providers and loyalty would drop and price wars would ensue as that would be the only criteria that the customer would have to compare the two brands.

What’s your takeaway? It’s OK to track and study your competitors but it’s more important for you to narrow your target market as much as possible and create a marketing strategy that fits within the market and your differentiation. To find out more, download our FREE ebook, 7 Steps to Marketing Success. Or if you want to learn how create an effective and successful lead generation marketing plan with a professional, call or email Vicki@Stand-Out-Results.com us today.