05/28/2021
In these hyper-competitive times, small business owners are looking for any competitive advantage. But, too many are looking to the success of âcelebrityâ companies like Uber in an effort to determine the secret sauce that will help them achieve their own rapid growth.
But a deeper look at these high-profile companies often reveals more lessons to avoid rather than emulate. For example, Uber has been mired in controversy and despite being valued at over $50 BIllion, has never generated a penny of profit. Ever.
I have no axe to grind with Uber. I admire their early innovation and Iâm a frequent customer. But the idea that a company must completely disrupt its industry or become âthe next big thingâ in order to succeed is leading many small businesses away from the core fundamentals that can provide lasting, profitable success.
The true secret sauce isn't a secret. Itâs just not sexy, quick or easy.
In contrast to Uber, Iâve never heard a small business owner say they wanted to become the Southwest Airlines, Zappos, or Chick-Fil-A of their industry. Yet, despite being in âboring/old economyâ businesses, these companies significantly outperform their competitors, achieve tremendous profitability and have maintained their success for decades. Their success has been built upon fundamental, timeless principles, particularly when it comes to people.
Think about your own experience. Of the companies you do business with, how many claim to have cracked the code of awesomeness with their amazing, life-altering products? How many actually deliver on these promises?
Now think about how many companies make you feel as if youâre their only/most important customer? How often do you encounter engaged, energized employees? How does this impact your loyalty to those companies?
Duplicating SWA, Zappos, and Chick-Fil-A's model of treating their people like gold and providing unforgettable customer service doesn't require money, it takes leadership, effort, and commitment. As those companies have shown, the return on this investment is a significant, lasting competitive advantage. This âboringâ, fundamental approach to business might be the biggest disruption of all.