How to Deal with Local Competition

Portable restroom operators expect local competition. Your companies bid on the same jobs and hustle to capture new business. But it’s disheartening and infuriating when fellow PROs deploy unethical tactics to steal customers. When this happens, you can react or strategize.

While fighting fire with fire may be your first instinct, it’s resource-intensive and doesn’t deliver financial returns. Prioritizing customer experiences and strengthening your brand does. Here’s how to focus on revenue generation and build a business that’s nearly invincible to competitors’ shady practices.

Unethical Tactics vs. Market Penetration Strategies

Successful portable restroom businesses will always face price-cutting competitors. Market penetration tactics like aggressive pricing can disrupt your cash flow, and they require a thoughtful approach. Since these competitors often want to expand their market share, you must assess their strengths and weaknesses when developing strategies to retain clients.

However, getting jobs when you don’t have the lowest prices is far different from dealing with unethical practices. In these cases, local competitors use desperate measures to snatch customers in any way possible. They flood your area, hoping to consume your time and steal a few clients to keep them afloat.

Salespersons may approach your clients while your portable toilets are on-site or leave flyers inside units. Others may post negative reviews in an attempt to harm your reputation. Knowing the difference between serious competitors and shady characters is the first step to planning your approach.

Prioritize Customers Instead of Reacting to Rivals

When local competitors play dirty, it can impact customer experiences. Depending on the tactics, your clients might question your service standards, industry knowledge, or pricing. They might be angry or embarrassed if their guests complain or if it looks like they hired a company involved in a turf war.

Top-notch customer service means excellent communication and professionalism, especially when rivals hit you below the belt. Immediately correct the situation and reassure your client of your continued commitment to quality and service standards. Also, all staff should be informed of the issue so everyone is on the same page when speaking to customers and prospects.

Tips for Managing Local Competitors

Not all rivals disappear quickly; even if they do, more will follow. Consider your options before taking action, and always work on maintaining your brand.

Rise above a bad situation by:

• Building community relationships: Introduce yourself to local businesses, including reputable PROs, and look for ways to boost your coalition, from co-sponsoring events to raising funds for local organizations.
• Speaking with rivals: Give competitors the benefit of the doubt in a friendly phone call where you assume the role of one business owner helping another by informing them of potentially unethical sales tactics.
• Considering brokers: If rivals use social media and other efforts to harm your reputation and steal clients, joining brokers could strengthen your standing and allow you to focus on your business instead of chasing reviews or market share.

Outperform Local Competition

Getting into a tit-for-tat argument with an unethical competitor or salesperson isn’t the best use of your time and resources. Ensure customer satisfaction first and keep your crew focused on standards, not rivals.

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