---
url: 'https://lonelyentrepreneur.com/dont-compete-on-price/'
title: 'Want to Compete on Price? Don’t. [#DailyPerspective]'
author:
  name: Michael Dermer
  url: 'https://lonelyentrepreneur.com/author/reyna12345/'
date: '2017-06-08T09:00:54-04:00'
modified: '2018-02-27T08:13:45-05:00'
type: post
summary: 'Raising money can be a full-time job and takes years of experience to understand how it works. There are many individuals sometimes called brokers, that spend their lives helping companies raise the capital they need. Generally these third parties earn their keep by receiving a percentage of the amount that they raise - usually 5 to 10%. So when does it make sense to use a third party like a broker raise money?'
categories:
  - Daily Perspective
image: 'https://lonelyentrepreneur.com/wp-content/uploads/2017/06/MD-Green.jpg'
published: true
---

# Want to Compete on Price? Don’t. [#DailyPerspective]

### ![perspective](https://lonelyentrepreneur.com/wp-content/uploads/2017/04/Green-MD.png)
 
### 
 
With the advent of technology, there is always a cheaper solution for virtually every product and service. Think about it – you can hire someone to do video editing in Pakistan for a fraction of the cost of doing it in the United States. Given this reality, you should avoid trying to win business by competing on price.
 
> ## You can never be the cheapest. So don’t try. Just make your customer understand why your unique value is worth it.
 
So what do you compete on? You must compete on “value” and not just any value – the unique value you provide. Say, for example, that you provide a wellness solution. And that wellness solution includes transportation back and forth to a wellness center. When another competitor offers a online solution that costs less, don’t try to win on price. Convince your customer that you provide transportation because without it, it doesn’t matter what the price is, people will never take care of their health issues.  You can never be the cheapest. So don’t try. Just make your customer understand why your unique value is worth paying for.
 
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