It is very important to identify why customers should do business with your rental company instead of going to a competitor. After running your business for years it’s easy to think that customers must instinctively know your company’s distinguishing characteristics. New potential customers certainly have choices of where to rent so it is wise to promote the advantages of doing business with your company.
Just believing you’re different from competitors isn’t enough. Your staff should receive consistent reminders of what differentiates your company from the others. Identify and then reinforce your company’s core values. Don’t assume that customers, even ones who have been doing business with you for years, have always received the level of service you expect from your team. Show them why they should continue coming to you.
Most of your customers don’t know all that you have to offer. In addition to publicizing in various formats, it is also important to continuously demonstrate the differences that set your rental company apart. For example, your company’s customer service should be better defined and demonstrated repeatedly, not only for solicitation of more business (from existing and potential customers) but also for use in teaching the culture of great customer service you want from your entire team.
It is difficult to view the business objectively when working in day-to-day operations. It’s true that one tends not to see the entirety of the forest because of the closeness of the individual trees. Often what is needed is a set of outsider’s eyes in order to see your business objectively and to recommend the needed changes.
Some rental companies try to be everything to everybody - and in some market areas this might be a good approach. But when I work with my rental business owner customers, I often discover cases where a stronger focus or a different focus can lead to much greater growth and profitability. I also believe that having a strong niche or multiple niches helps to reduce the effects of increased competition. That niche could be a focus on a type of equipment, type of customer, a service provided or any number of things that set you apart.
Another example of a major focus to differentiate your rental company should be doing everything possible to ensure that customers receive rental equipment that has been properly maintained. Having rental equipment break down on the job is more than just an aggravation to customers – it’s infuriating. Some customers quickly switch to a different rental company for their next rental in search of one that has the most reliable equipment.
Here are some additional thoughts, opinions, reminders, and examples dealing with the subject of differentiation.
Consider reinventing your company. Many of the most successful rental companies periodically re-invent or re-define themselves. Remember, significant changes to what you are doing and how you are doing it can often yield amazing results.
Be tactful. When reminding customers of some of your company’s distinguishing advantages (benefits of doing business with you) be sure that this is done without sounding like one is boasting. Be tactful when communicating these distinguishing advantages so that it doesn’t sound like you are “bad mouthing” competitors. Be sure your message is positive and in no way sounds as if you are indicating any resentment toward competitors. It’s rarely appropriate for you or your staff to bring up competitors to your clients, and sometimes counterproductive.
Don’t become complacent. If your company’s strength is your breadth of inventory or the age and condition of your fleet, for example, be certain that you keep this competitive edge with appropriate equipment additions and replacements.
Make your staff one of your biggest strengths. Of course, almost all rental companies believe that their employees are significantly superior to those of their competitors. It is good to have pride in your team but be certain to take the necessary training and retraining steps to convert this feeling into reality.
Finally, when concentrating on differentiating your rental company from others in your market area, remember the importance of enhancing three of the rental business fundamentals. Focus even more effort on these areas of importance to customers:
- Have the best, most reliable equipment;
- Have properly trained team members; and
- Have a major focus on efficiency in every aspect of your rental business.
