Price is one of mankind’s most effective communications tools. It will also prove to be the ultimate sustainability metric.
Here’s the ultimate why 85% of consumers say they will buy a more sustainable good or service versus a less sustainable one if their prices are just equal. As an entrepreneur and business owner, this market research finding stunned me. How often in a business career do you get an opportunity to win 85% market share by just winning price parity?
Small Business Example: JJH Paint and Auto Body
This same type of sales success is available to smaller businesses. A favorite example is JJH Paint and Auto Body that I coached on being price competitive and green. JJH Paint and Auto Body is a wonderful family owned business located in Salt Lake City, Utah. They serve their customers with quality work at competitive prices. Their business goal was to win clients in the government and corporate market segments. I worked with the founding owner’s son Johnny Hernandez to install water based painting technologies that lowered their costs and environmental footprint. Doing so also gained them competitive positioning as one of only five paint shops out of a hundred in Salt Lake City using this technology. We also worked on installing higher efficiency lighting and water saving devices that lowered their costs and earned the business a highly valuable certification as a Salt Lake City E2 green business. With these milestones, we redesigned the marketing pitch to prospective corporate and government clients representing JJH Paint and Auto Body as a price competitive green supply chain solution. Within 90 days of their transformation to being both price competitive and green they won Avis and the Salt Lake City’s police department as new customers. Today they are expanding their building, have hired new work associates and are looking at opening a second shop in another town.
Source: Earth 2017