From Free n Cheap (To Fish n Chips)

The nature of  market during economic crisis tend to enter the cyclical down turn to low cost competition, in Indonesian Telco we expirienced the toughest competition ever, price reaping campaign, freebies, and cost cutting deals can be easily read in all over operator print adds. The situation can not be resolved easily by using business as ussual approach.

Many analyst still believe that value strategy can be the resolution to deal with such price cut. I try to list down some of it which are important to be considered as  the multivitamin pills;)

First i would like to address one question: " Can we avoid head to head competition with low cost competitors by playing a different game ?".....the foolish answer is Yes ! tbut to answer such question i try to lay down two outstanding value preposition route:

The first value will be performance value differentiators, through this offer we may give incremental performance as an incentive for incremental cost. To have the performance leadership we need to make sure that constant inovation is already in the system, through the contant innovation we can become a moving target which difficult to be aimed at single bullet such as pricing.

Secondly will be giving the relational value differentiator, which deepen and induring relationship with customers from their expirience of using customized, integrated solutions and services.

Both are not easy, people tend to choose the shortest path, give away Free n Cheap, rather than cooking Fish n Chips.