Why giving away “free stuff” is NOT the way forward
In a market place companies compete on many levels; price, serivce and product. The cycle of a market place is well known; a market opens, for the first few companies to service this market there is a period of abundance with low competition and high prices. Competition starts, prices come down the market becomes saturated and the inefficient companies die.
In Spain at the moment in the advertising and marketing sector we are at the tail end of this curve. This is further exacerbated by a drop in spend by the traditional big spenders; real estate agent and promotors. So what can we do about this?
The answer is not to give away free design or lower costs - this starts a price war and the competition gets even uglier - but to innovate and add value to your service offerings.
This concept can be applied to all market places so think about how you can add value and innovate your service offerings to help you leap ahead of the game to start your own market place and become the market leader…
The cycle continues….