How Your Small Business Can Compete with Larger Corporations

To begin, ask yourself, why do big box stores like WALMART keep putting our smaller brick and mortar stores out of business? 

The answer? Because their large stature (and bank account) allows them to purchase stock in such large quantities that they are able to get impressive bulk discounts. 

With prices slashed so drastically compared to what a smaller business would have to price the same stock at in order to make operation feasible, the sad truth is that small businesses are more than likely not going to be able to successfully compete with large corporate entities like this if the only method of competition is low prices. 

Alright, so you can’t beat their prices… Now what? 

To continue, let’s change our train of thought. Instead of thinking about what WALMART can offer that you cannot, let’s begin to ask what YOU can offer that these larger entities cannot. 

Let’s make a list… What are all the things’ people dislike about shopping at a large box store (… and believe me, there are plenty!) 

Too much square footage 

• How many times have you groaned because you just need a gallon of milk or a thing of eggs and you know that means parking at the back of the overcrowded shopping center parking lot and trekking all the way to the back of the store only to be forced to wait in a mile long 12 items or less line full of shoppers who are in the exact same predicament? Box store’s large square footage, while to some a great opportunity for one-stop-shopping, to others, is a big turn off whose lack of convenience could be used to convince said shopper to spend an extra dollar for the same item at a smaller store just to not have to go through the hassle.

Lack of personality 

• Box stores are considered cold, money driven places that put profits first and the customers second. For a business that absolutely depends on its customers for its survival, needless to say, this is not a good look. This, again, is somewhere a smaller business can offer services unavailable to their larger competitors. In a small business environment, not only can customers be greeted individually by someone who is truly glad to see them (and not a low paid retiree who’s required to say hello), but it’s entirely conceivable that, if they are a returning customer, they are remembered, perhaps by name, and greeted in such a way that truly makes them feel welcomed and part of your business’s community. Add to this the fact that your small business can afford to offer one-on-one services to customers who have questions about your products and not be forced to discuss their business needs with someone who is simply counting down until their shift is over, and you have a true recipe for strong customer relationships that are sure to result in return business when the need arises. 

Lack of personal investment 

• While there are several people out there that simply want to get what they need and get out, there are those shoppers out there that truly admire and appreciate what a small business means to their community and to the economy as a whole. These are the individuals who, depending on your good service, will continue to be loyal customers. When these people buy something at a box store, they feel nothing. Sure, their most basic needs are met, but what impact has their purchase had on the corporate behemoth that serviced them? NONE WHATSOEVER! Now, take a purchase at a local shop or service provider whose only location, or small chain, depends on such customers to maintain their livelihood. When someone invests in this type of business, that individual then becomes part of said business. Their purchase has allowed them to take one step closer to making their dreams come true, and that really does leave a good feeling in the hearts and minds of customers. When was the last time you left a box store with a good feeling?