Focus On Your Own Path

When I started my ecommerce journey there was a particular sneaker that i had in stock. It cost me about 80 to purchase and my competitor was selling it for 100. Huh! I had no idea how they were doing it but i was forced(by who,i don’t know) to sell mine at the same price. I don’t need to tell you how big i messed up.

I was blinded by an “established” business who posted once every blue moon or launch new arrivals and sell out of everything in minutes, disregarding the fact that it didn’t happen for them over night. It took many of them years to get to the point of selling out of merchandise in general, let alone within minutes of posting and/or from one post.

Let’s look at these examples to illustrate these points:

Kofi’s Tech Gadgets

Kofi owned a small ecommerce store selling tech gadgets in Kumasi. He noticed a competitor offering heavy discounts on new smartphones and decided to do the same without considering his own inventory and cash flow. While the competitor had secured a special deal with suppliers, Kofi didn’t have the same advantage. After the sale, Kofi found himself in a financial bind, struggling to restock and meet customer expectations. The lesson? Understanding the full picture is crucial before emulating a competitor’s strategy.

Ama’s Fashion Boutique

Ama runs a boutique that specializes in bespoke African print dresses. She saw a competing boutique in Accra rapidly expanding its product line to include accessories and decided to follow suit. However, she didn’t consider her own brand’s core identity and customer preferences. The new product line flopped, and Ama had to deal with unsold inventory. It took her months to regain her customers’ trust and refocus on her original niche. This experience taught Ama the importance of staying true to her brand and listening to her customers rather than blindly following competitors.

In the vibrant world of ecommerce, it’s easy to get caught up in what competitors are doing. Observing others in your industry can seem like a good way to stay ahead, but for Ghanaian business owners, this can often lead to more harm than good. Instead, focusing on your own unique path can foster innovation, growth, and authenticity in your business.

The Pitfalls of Copying Competitors

One of the biggest dangers in constantly monitoring competitors is the temptation to copy their strategies. This can be particularly risky because:

1. Surface-Level Understanding: You might not have a full understanding of why a competitor is doing something. For instance, a competitor might be running a massive sale. Without knowing their financial health or strategic goals, copying this approach could deplete your resources without achieving the same results.
2. Context Mismatch: What works for one business might not work for another due to differences in target audiences, brand positioning, or operational capabilities. For example, a high-end fashion store in Accra might not find success copying the marketing tactics of a budget clothing retailer.
3. Innovation Stifling: When you focus too much on competitors, you risk losing your unique voice and innovative edge. Your business should be a reflection of your vision and values, not a replica of someone else’s.

Building Your Own Unique Path

Instead of fixating on competitors, here are strategies to help you focus on your business:

1. Know Your Customers: Deeply understanding your customer base is more valuable than mimicking competitors. Conduct surveys, engage on social media, and ask for feedback to tailor your offerings to their needs.
2. Strengthen Your Brand: Develop a strong brand identity that reflects your values and resonates with your audience. This will make your business stand out in a crowded market.
3. Innovate Continuously: Encourage a culture of innovation within your business. This could mean adopting new technologies, experimenting with different marketing strategies, or improving customer service.
4. Learn from Your Own Data: Analyze your own sales data, customer behavior, and website analytics to make informed decisions. This data-driven approach will help you identify what works best for your business.
5. Network and Collaborate: Build relationships with other business owners and industry experts. Networking can provide valuable insights and opportunities for collaboration that benefit your business uniquely.

Conclusion

For business owners, the path to success in ecommerce is not paved by copying competitors. Instead, it’s about understanding your own business deeply, staying true to your brand, and continuously innovating. By focusing on these elements, you can build a business that not only survives but thrives in the competitive ecommerce landscape. Remember, the most successful businesses are those that carve out their own paths, rather than following others.