top of page

Positioning for Small Businesses: Do You Know What You Don’t Know?

Writer's picture: Joseph HaeckerJoseph Haecker

If you own a small business, you know how hard it is to stand out. You might have an amazing product or service, but if your customers don’t see what makes you different, they won’t buy from you. That’s why positioning—the way you define your brand in the market—is critical.


The problem? Most small business owners don’t know what they don’t know. They focus on what they think makes their business special instead of what their customers actually care about. And that’s why so many businesses struggle to grow, even when they have a great product.


Many small business owners fall into one of three positioning traps: Customer-Focused, Product-Focused, or Competition-Focused. Each has its strengths, but without a clear strategy, businesses can miss out on massive opportunities. The key to success? You have to position yourself in a way that makes you irreplaceable.



The 3 Small Business Positioning Strategies


1️⃣ Customer-Focused Business Owners

These owners deeply understand their customers’ needs because they’ve been in their shoes. Whether it’s a bakery catering to gluten-free customers, a salon specializing in curly hair, or an online store serving busy working moms, they know their audience inside and out.


Strength: Builds strong customer loyalty because customers feel like they’re understood.

🚧 Challenge: Can get too niche and miss bigger opportunities to scale.


How to win:

  • Make sure your marketing doesn’t just speak to your audience—it should feel like a conversation.

  • Use your customers’ own words when talking about your business. (Read reviews and social media comments—they tell you exactly what your audience cares about.)

  • Don’t just assume you know your customers—keep asking them what they want, even as you grow.


2️⃣ Product-Focused Business Owners

These owners believe their product or service speaks for itself. They focus on the latest techniques, materials, or trends—whether it’s a high-tech gadget, handmade furniture, or a cutting-edge fitness class.

Strength: Creates innovative, high-quality offerings that customers can’t find anywhere else.

🚧 Challenge: If the marketing message isn’t clear, potential customers won’t see why they should care.


How to win:

  • Instead of only talking about your product’s features, explain how it makes life easier, better, or more exciting.

  • Use real customer stories to highlight the benefits.

  • If you’re using new technology, don’t assume people know why it’s great—educate them in a way that’s simple and engaging.


3️⃣ Competition-Focused Business Owners

These owners have worked in their industry for years and know what’s missing. They’re determined to do it better than the big guys.

Strength: They already know what customers dislike about the competition.🚧 Challenge: Without a clear differentiator, it’s easy to become just another option.


How to win:

  • Instead of just saying “We’re better than X brand,” show exactly how you’re different.

  • Don’t just improve what’s already out there—offer something completely new that competitors haven’t thought of.

  • If you’re competing on price, be careful—there will always be someone willing to go lower. Instead, compete on value and experience.



So, How Do You Get Positioning Right?


Here’s the hard truth: Small businesses fail when they don’t know what they don’t know. Customers won’t automatically find you. You have to be intentional about your positioning.


Ask yourself:

Am I assuming my product is so good it will sell itself?

Do I understand my audience deeply, or am I just guessing?

Am I focused too much on my competitors instead of my own strengths?


If you’re not sure how to answer these, it’s time to rethink your positioning.

  • Customer-Focused Businesses should clearly map out their audience’s struggles and make sure their marketing speaks directly to them.

  • Product-Focused Businesses need to connect their features to real-world benefits that customers actually care about.

  • Competition-Focused Businesses must define what makes them better beyond just being cheaper or offering “better service.”


Positioning isn’t just about what makes you different—it’s about what makes you irreplaceable.



Customer-Centric Marketing: The Secret Weapon for Small Businesses


No matter how you position your small business, one thing is clear: Your customers should be your best marketers. If they’re not, something is off.


Too many businesses pour money into ads, only to see little return. Why? Because they’re focused on pushing their product instead of creating an experience people want to talk about.


Customer-centric marketing isn’t about telling people how great your product is—it’s about creating a brand so strong that your customers do the selling for you.


How?

✅ Create an experience that keeps customers coming back (and telling their friends).

✅ Share customer success stories and testimonials.

✅ Offer referral programs that reward word-of-mouth marketing.

✅ Engage with your audience on social media in a real, authentic way.


The best marketing is when your customers become your biggest fans. If your customers aren’t raving about you, your positioning and marketing need a second look.



Positioning is an Art, Not a Formula


There’s no one-size-fits-all approach. Small businesses have to adapt based on their market, competition, and customers.

If you want to succeed, you need to:

Know your audience inside and out

Clearly define your unique value

Make your customers your biggest promoters


The best positioning makes it impossible for customers to ignore you. It’s not about blending in—it’s about standing out in a way that matters.


So, small business owners: How are you positioning yourself to win? Are you too focused on one approach? Are you making it easy for customers to spread the word? Let’s discuss.



6 views0 comments

Comentarios


Partnership

small-business-768x461_edited.jpg

Bookkeeping & financial records which results in your peace of mind.

Partnership

small-business-768x461_edited.jpg

HERO FLOORING + NIKE GRIND

Sponsored ad

small-business-768x461_edited.jpg

Digital Contact Cards

Sponsored ad

small-business-768x461_edited.jpg

Catalyzing bold change for a more resilient and inclusive small business ecosystem across the state of Colorado.

Partnership

small-business-768x461_edited.jpg

Custom Glass & Stone Mosaic and Wallpaper

Sponsored ad

small-business-768x461_edited.jpg

Capital One® VentureOne® - Explore VentureOne® Rewards

Sponsored ad

small-business-768x461_edited.jpg

Loans for Every Business-Related Need

Nathan James Tamlin Vintage Brass Wall Light Fixture

Bedside Wall Mount Light with Dimmer Switch

Plug in Dimmable Wall Sconces

Art3d 2 Wood Slat Acoustic Panels for Wall and Ceiling

Nordic Single Leather Sofa Designer Creative Leisure Single Chair

ACIYD Luxury Buffet Sideboard Bar Cabinet with Storage

CZDYUF Distinctive Sofa with Golden Legs

Hippo Shaped Coffee Table

Lladro - Niagara Chandelier

FEER Duplex Building Glass Villa Living Room lamp

Mellanni Queen Sheet Set - 4 PC Iconic Collection

Demeter Fragrance Library 3.4 Oz Cologne Spray - Play-doh

bottom of page