Who Are Your Competitors if You Make Your B2B Customer Money?

In B2B you should have no competitors.

Not because you’re so unique, but because you make more money for your customer than your so called competitors.

Steps

  1. Estimate your customer’s cash in with your product
  2. Estimate your customer’s cash out with your product
  3. Estimate your product’s price
  4. Calculate your customer’s total cash out with your product. Total cash out with your product = cash out with your product + price
  5. Calculate your customer’s cash flow with your product. Cash flow with your product = cash in with your product – total cash out with your product
  6. Estimate your customer’s cash in with your competitor’s product
  7. Estimate your customer’s cash out with your competitor’s product
  8. Estimate your competitor’s product price
  9. Calculate your customer’s total cash out with your competitor’s product. Total cash out with your competitor’s product = cash out with your competitor’s product + competitor’s price
  10. Calculate your customer’s cash flow with your competitor’s product. Cash flow with your competitor’s product = cash in with your competitor’s product – total cash out with your competitor’s product

If your customer makes more money with your product than with your competitor’s product, he will always choose your product. You have no competition.

If your customer makes as much money or less with your product, he will always choose your competitor’s product.

You solve this by either making more money for your customer (increase cash in, decrease cash out and/or decrease price) or targeting different customers.