World Class Know How
020 8390 9972

Key factors for success

Key factors for success

Key Factors For SuccessWhen competing in a market there are usually three to six key factors for success. How a company’s performance benchmarks relative to its competitors against each of these key factors combines to explain its overall performance within the market.

Identifying the key factors is usually fairly straightforward, but understanding the relative importance of each factor is more challenging. This is because different segments of a market have different needs and hence may weight factors more or less importantly than other segments.

For example, the key factors of success for the airline industry might include:

  1. Routes
  2. Frequency of flights
  3. Punctuality
  4. Onwards connections
  5. Price
  6. Service

The relative importance of these factors for business travellers will be different to those for leisure travelers. For example, people tend to be much more price sensitive when paying with their own money than when paying with the company credit card.

If a company wishes to improve its performance in the market, it has to improve its performance against the key factors of success relative to the competition. This may be achieved by either securing an advantage or neutralising a disadvantage.

It is also more important to improve relative performance on the top two key factors of success than on the bottom two.

Over and above these market specific factors is one very important factor. It’s called first mover advantage. Empirical studies show that the company or brand that enters the market first often enjoys some enduring benefit from being first. Who knows or cares who was the third man on the moon? It was not Sting.

However, what is more important than being first in, is being first into the mind of the core target market. And even more crucially, it is to be first into the mind of the core target market with a relevant and motivating proposition.

Being first in is useless if no-one knows.

To discuss your business critical issue

Please call Paul New on 020 8390 9972 or send a message.

Added value guarantee

Now in its 20th year, Compete to Win is proud to say that no client has ever challenged its no quibble added value guarantee.

Contact

To discuss your business critical issue, please call Paul New on 020 8390 9972 or send a message.

Sitemap

If you are looking for something in particular, please use our Sitemap.