We will acknowledge that it is the availability of substitutes–the legitimate alternatives to the offerings of our firm–that allows the client to ask, and compels us to give, our thinking away for free. If we are not seen as more expert than our competition then we will be viewed as one in a sea of many, and we will have little power in our relationships with our clients and prospects.
~ wwp ~
The world does not need another generalist design firm. There are enough full service advertising agencies and marketing communication firms. The world is drowning in undifferentiated creative businesses. What the world needs, what the better clients are willing to pay for, and what our people want to develop and deliver, is deep expertise. Expertise is the only valid basis for differentiating ourselves from the competition. Not personality. Not process. Not price. It is expertise and expertise alone that will set us apart in a meaningful way and allow us to deal with our clients and prospects from a position of power.
Power in the client-agency relationship usually rests with the client. His power comes from the alternatives that he sees to hiring us. When the client has few alternatives to our expertise then we can dictate pricing, we can set the terms of the engagement and we can take control in a manner that better ensures that our ideas and advice have the desired impact.
When the alternatives to hiring us are many, the client will dictate price. He will set the terms of the engagement. He will determine how many of our ideas and how much of our advice we need to part with, for free, in order to decide if he will choose to work with us.
It is first through positioning our firm that we begin to shift the power in the buy-sell relationship and change the way our services are bought and sold. Positioning is the foundation of business development success, and of business success. If we fail on this front we face a long, costly uphill journey as owners of creative businesses.