Problem with the Race to the Bottom? You Might Win…

Our price is too highMarketing guru Seth Godin has some more great advice and this most certainly applies to the home improvement industry. Check out his latest blog post (and subscribe to get his daily words of wisdom:

The Tyranny of Lowest Price

Lowering the price is a one-directional, single-axis choice. Either it’s cheaper or it’s not.

At first, the process of lowering your price involves smart efficiencies. It forces hard choices that lead to better outcomes.

Over time, though, in a competitive market, the quest for the bottom leads to brutality. The brutality of harming your suppliers, the brutality of compromising your morals and your mission. Someone else is always willing to go a penny lower than you are, and to compete, your choices get ever more limited.

The problem with the race to the bottom is that you might win. Even worse, you might come in second.

You can read the rest of his advice here.

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