Competitive Edge Offered
“Is there competitive advantage for me or my business to be associated with this supplier or brand?”
Many products and services are designed for instrumental — rather than hedonic or experiential — purposes. Individual customers procure these offerings to get ahead in the professional sphere or in pursuit of other personal goals. Enterprise customers procure these offerings to better serve their own customers or boost their own bottom line. Common examples of these offerings include education or training courses and IT infrastructural products, just to cite a few.
As the core function of these product or service offerings is instrumental in nature, their value to the customers is derived largely from the competitive edge that they endow on the customers who subscribe to them. As a result, the extent of the competitive edge that can be derived through association becomes a key driver of customer loyalty.
There is an instrumental element in almost all products and services. This means that the competitive edge offered to customers drives customer loyalty to some degree in almost all businesses; though the exact impact vary across industries, socioeconomic climates and target customer segments. At Nexus Link, we help our clients quantify this impact using advanced statistical and modeling techniques. Often, business capabilities that endow their customers with competitive advantages take substantial resources and time to develop, and involves considerable risks. Sometimes, a business improves its bottom line tremendously not by re-configuring its product or service, but by shifting their focus to another customer segment that derives a larger competitive edge from the same offering. Whichever the case, the consultants at Nexus Link will always devise the best solutions tailored to the needs of our clients.