MySpace has a competitor and I don't just mean Facebook. It's a start-up that has selected a niche in which to compete. I haven't looked deeply enough to find how many users the new social networking site wants to lure.
It's called Zubby and I read about it in this article where the goal is to become more "family friendly" with less advertising than MySpace.
The first 1,000 members to sign up will get a share of the profits.
It serves as a reminder that a niche is always available for competing against a larger, powerful brand.
We've heard how people protest against a Wal-Mart or Home Depot when they choose a prospective location in a town. The biggest fear is they'll drive out smaller competitors. Although I worked for Home Depot in outside sales briefly, and I enjoyed the store, nevertheless I often stop at a small hardware store to get my supplies. Here's why: it's closer, I can speak directly with the owner or an employee who are knowledgeable and I'm usually buying no more than 3 or 4 items to total about $20 to $30.
Look at the airline industry as another example where customers will shop price and select a no-frills carriers such as Spirit Air over a major airline.
Like I always say, where there's a niche there's a way to compete against a larger brand name.
No comments:
Post a Comment