Nearly 100 plastics manufacturers took our survey at NPE 2012 and shared their views on why they win (and lose) in competitive situations.
The findings are far from earth-shattering, but the questions did cause people to stop and think – about how they’re perceived in the industry, what they can do to better address their customers’ needs, and what we as equipment partners can do to give our customers the competitive edge.
Not surprisingly, perception does not always equal reality. It is one thing to say “my competitors compete on price, but I compete on quality and service,” but it is something else entirely to actually do so.
So where do you stand versus your peers? Take a quick look at the results:
- Customer Concerns: Cost Trumps Quality. Pressures from customers to reduce costs (57%) is the biggest challenge plastics manufacturers face today – twice as great as pressure to improve quality.
- This was underscored when 67% of respondents said their competitors win on price.
- Among Manufacturers: Few Tout Price as their Differentiator. Only 11% admitted to competing on price themselves.
- And Still, Quality Defends a Premium Price.44% reported the quality of their product is their biggest differentiator.
- Targeting Efficiency to Squeeze Out Cost. Improving operational efficiency (43%) is the top priority of plastics manufacturers today, followed by investing in R&D (34%).
It is evident that our customers need us – and our counterparts – to focus on innovations that matter most: those that will help plastics manufacturers meet their customers’ needs, and remain competitive. These findings mirror what we’re hearing in conversations with our customers and we see this as a guide for how we can better serve them, and help them can stand apart from the competition. How can Gloucester Engineering help you?