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SELLING YOUR JEWELRY: How To Define Your Competitive Advantages

Posted by learntobead on September 22, 2022

What Is A Competitive Advantage?

Your competitive advantage (one or more) is what influences someone to buy something from you rather than one of your competitors. Do you make something of higher quality? Or less cost? Or especially noteworthy. Or use rare materials? What is it that sets you apart, or as Heather Bunker puts it, what is your secret sauce?

Competitive advantage is your ability to outperform your competition. It is you way to design, create, produce, distribute, market and/or sell products and services better than anyone else. It is something that cannot be easily replicated, or, if it is at some point, you can build back better.

There are all types of competitive advantages. Businesses might emphasize one, or several. Some examples of competitive advantages that jewelry design businesses might claim:

1. Authenticity and honesty

2. Rarity

3. Individuality, tailor-made, custom

4. Material quality

5. Technical prowess

6. Access, Location, Visibility

7. Timeliness

8. Special occasions (ready for those …weddings, etc.)

9. Financing, payment plans

10. Innovation

11. Extensive knowledge about materials and techniques

12. Environmentally friendly, sustainable

13. Socio-culturally friendly, sensitive

14. Prominence / reputation of designer

15. Mass quantity production

16. Service Orientation: repairs, custom work, style consultation

17. Pricing, discounts

18. Concurrently maintaining both quality and prices

19. Use of technology

20. Unusual designs

21. Brand loyalty

22. Ownership of copyright

23. Where differences from your competitors, such as different product mix or material use or better craftsmanship, might make you appear superior to them

Why Is Having A Competitive Advantage Important To You?

Competitive advantage is what makes your products and services more desirable to customers than any of your rivals. When you customers recognize these competitive advantages, you are more likely to make sales and more likely to be profitable. You are more likely to grow your business and enjoy greater customer loyalty.

The jewelry design business is very saturated worldwide. On Etsy on any day, there are over 6,000,000 (that’s 6 million) pieces of jewelry for sale. Don’t see this as a defeat. See this as a challenge. Your competitive advantage will help get you that edge, and make you more memorable.

Your competitive advantage is something that you can repeat or allude to in your business name, how you name your jewelry and jewelry lines, your tag line, your elevator pitch, your domain name, your marketing and branding strategies. It might influence how you design your products, distribute them, and put boundaries around your target market.

What Are The Components Underlying Any Competitive Advantage?

You use your competitive advantage as a means of communication. As such, to establish any competitive advantage, you must know 3 things:

1. VALUE PROPOSITION

2. TARGET MARKET

3. COMPETITION

1. Value Proposition

You must clearly identify what attributes of your products or services make them desirable to your customers. What is the value to them? Why does this value motivate them sufficiently to touch, wear, buy and/or collect your jewelry? What things might further get them to show off and talk about your jewelry to their friends, acquaintances and relatives?

2. Target Market

Your advantages will not be seen and understood equally by all people. And you don’t really care about all people. You care specifically about your more narrow market audience or market niche focus. What does your advantage look like to them? Why will it motivate them? What evidence are you using to know this?

You might take the time to ask some of your customers why they buy from you and not your competition?

3. Competition

Your competitive advantage is always in reference to some other business or designer. It is comparative. It differentiates you. It influences a choice of you over others. You competition might be traditional. It might be non-traditional. It might be emerging.

How does your competition look like from your customer’s viewpoint?

How Do You Determine Your Competitive Advantage(s)?

First, think about your strengths.

Second, think about the strengths and weaknesses of your major competitors. These competitors might be in your same geographic location, or they may be online.

Search on Google and Etsy for jewelry makers. How do they present themselves? What qualities do they emphasize? What competitive advantages do they claim? Based on what evidence? How do they link their idea of competitive advantage to their assessments of customer needs, wants and desires?

Last, list what things you are better at than your competitors.

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FOOTNOTES

Bunker, Heather. What Is Your Handmade Business’s Secret Sauce — Or Differentiator? 5/6/2020.

As referenced in:
https://www.heatherbunker.com/post/what-is-your-handmade-businesss-secret-sauce-or-differentiator

Peterdy, Kyle. Competitive Advantage. 8/9/2022.

As referenced in:
https://www.heatherbunker.com/post/what-is-your-handmade-businesss-secret-sauce-or-differentiator

Twin, Alexandra. Competitive Advantage Definition with Types and Examples, Investopedia, 5/22/2022.

As referenced in:
https://www.investopedia.com/terms/c/competitive_advantage.asp

_______________________________

Thank you. I hope you found this article useful.

Also, check out my website (www.warrenfeldjewelry.com).

Enroll in my jewelry design and business of craft Video Tutorials online. Begin with my ORIENTATION TO BEADS & JEWELRY FINDINGS COURSE.

Follow my articles on Medium.com.

Subscribe to my Learn To Bead blog (https://blog.landofodds.com).

Visit Land of Odds online (https://www.landofodds.com)for all your jewelry making supplies.

Check out my Jewelry Making and Beadwork Kits.

Add your name to my email list.

_________________________________

Other Articles of Interest by Warren Feld:

Saying Good-Bye! To Your Jewelry: A Rite Of Passage

The Jewelry Design Philosophy: Not Craft, Not Art, But Design

What Is Jewelry, Really?

The Jewelry Design Philosophy

Creativity: How Do You Get It? How Do You Enhance It?

Disciplinary Literacy and Fluency In Design

Becoming The Bead Artist and Jewelry Designer

5 Essential Questions Every Jewelry Designer Should Have An Answer For

Getting Started / Channeling Your Excitement

Getting Started / Developing Your Passion

Getting Started / Cultivating Your Practice

Becoming One With What Inspires You

Architectural Basics of Jewelry Design

Doubt / Self Doubt: Major Pitfalls For The Jewelry Designer

Techniques and Technologies: Knowing What To Do

Jewelry, Sex and Sexuality

Jewelry Making Materials: Knowing What To Do

Teaching Discplinary Literacy: Strategic Thinking In Jewelry Design

The Jewelry Designer’s Approach To Color

Point, Line, Plane, Shape, Form, Theme: Creating Something Out Of Nothing

The Jewelry Designer’s Path To Resonance

Jewelry Design Principles: Composing, Constructing, Manipulating

Jewelry Design Composition: Playing With Building Blocks Called Design Elements

Contemporary Jewelry Is Not A “Look” — It’s A Way Of Thinking

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