What Does Competition in the Marketplace Mean for your Small Business?
Competition. You hate it when it means higher advertising costs and a smaller market share. However, when it comes to competition between your suppliers, it can definitely be something you use to your business's advantage. This is especially true when it comes to your energy supplier. Here are some benefits you might experience as a result of competition within this industry.
Lower Energy Costs
In a monopolistic energy market, your costs are subject to whatever the local utility is allowed to charge. In a competitive energy market, power companies fight to win customers by offering the lowest price, giving you control of a variable that affects your bottom line.
Keeping a Price Range
For nearly all products and services, there's a certain price that customers are willing to spend. If you go above their upper limit, they'll seek out a competitor. In a competitive marketplace, you can choose the plan that fits you best to ensure more stability when it comes to your energy costs.
Price is an important determining factor in what energy supplier you choose, but it isn't the only one. Maybe you want access to exceptional customer service when you have a question about your account. Maybe you want to choose a green energy product to help the environment and make customers feel good about coming to your business. You don't get those choices without open competition.