When less is better


Differentiation has become the name of the game – making sure that individually, our service and our organisation stand out from our competitors. Generally, to differentiate, most add-on; that is they bundle more and more to try to make the offer compelling.

Increasing the bundle may be attractive to the client, but often we see:

  • the client doesn’t value everything in the bundle and so there is unnecessary ‘noise’
  • in the desire to provide add-ons, the central purpose of why the client is buying the service is lost or de – prioritised
  • the cost to the client blows out due to the expense of delivering all the add-ons.

I often use the analogy of the Mercedes AMG; the tailoring by AMG of the base Mercedes with add-ons that make it go faster and look faster. For a few, the add-ons and the final package is seen as valuable and something they really want. For a lot of people, they dont see the value and are more than happy with the base car.

In so many markets, we see competitors keep adding on and ‘one upping’ each other. In reality they are all offering Mercedes AMG’s when most of the clients want a base car and only value the base car. In reality the opportunity to differentiate is to offer the base product – thereby showing that less is better.