How I used friendly competition to grow my business

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If you’ve ever had a pet, you know they are different from animals that live in the wild. Outside of that, competition is fierce because every day is life or death. But at home everyone has to play nice and get along.

Running a business in a niche market is a bit like being an indoor cat. There is still competition, but if you are too aggressive with the other players in your space, the space becomes uncomfortable for everyone.

Conversely, if everyone in a narrow category gets along and does well, the entire category benefits. Think of it this way: guests want to visit the house where the cats compete by performing tricks for treats, not the house where the fur is always flying.

That’s why I’ve always welcomed healthy competition in the roof restoration industry, which my company Roof Maxx disrupted with a cost-effective and environmentally friendly treatment for asphalt shingles. There is no point in being threatened by others as long as we all behave ethically and responsibly in our shared space.

Below I’ll tell you more about what I think that means, and how it benefits all parties and how to recognize when the competition is no longer friendly so you can take the right steps to protect yourself.

Related: I’m extremely competitive – here’s how I prevent it from becoming a problem in my business

Why a rising tide raises all boats, especially in smaller ponds

Let’s put the pet metaphor aside and talk about a concrete example from my career. Most homeowners I talk to don’t even know that roof renovation is an option for them. The category is that small, especially if you serve the housing market.

Roof Maxx has grown into a national brand. Our dealers collectively generate more than $200 million annually in total revenue through roof repairs, maintenance, cleaning, restoration and replacement. Our dealer network represents a different kind of roofer: one focused on helping property owners avoid expensive roof replacements by giving them real options. In fact, roughly 80% of roofs replaced nationwide could be saved, often extending their lifespan by ten years or more.

But our goal is not just to keep doing business. It aims to make roof repair an option for any homeowner with treatable shingles. Not only will this help a much larger number of people save money on protecting their homes, but it will also build an industry worth approximately $10 billion every year.

The key to this is training people. And that will happen much faster if others spread awareness about home roof renovation than if we have to do it all ourselves.

I know this because I’ve seen it happen quickly in the commercial sector. All restoration products that currently exist for commercial roofs have been created over the past forty years. The inspection, restoration and maintenance programs that eventually developed around it are even younger.

So the more companies that are involved in properly renovating home roofs, the more demand there will be for what we do. I don’t mind if someone tries to be the Pepsi to our Coke.

Related: 3 Reasons Why I Welcome Competition

Why you should choose your close-quarters battles more carefully

Not all competitors have the same idea of ​​what friendly competition means. But I often find that it’s better to be lenient about minor offenses than to bring out the big guns.

I have seen other companies use our images, or strikingly similar images, without obtaining our permission. I’ve seen marketing copy that uses word-for-word claims we’ve made. But I’m not a particularly litigious guy, and usually these things don’t bother me that much. In fact, they can sometimes even be useful.

Roof Maxx is the most established brand that does what we do. So if someone mimics our claims or borrows aspects of our branding, they’re practically giving us free advertising. Most customers are going to do at least some research before committing to treating their shingles, and when they do, they’ll likely find that we’re the bona fide original with the most research backing our product. I have a pretty high opinion of most people, and I trust that they will read the writing on the wall at that point.

As leaders in the room, how we respond to these types of issues also helps set the tone for others. I don’t want an antagonistic relationship with the other companies in my space. I prefer the competition to be friendly, and I understand how much better this is for the industry as a whole.

Related: The four-step strategy that helped us create a fast-growing new niche in an old industry

Teaching others how to treat you works both ways

But sometimes a competitor behaves in a way that gives the entire industry a bad name. Years ago, another roofing company targeted our dealers and gave them false information about our product in an attempt to get them to quit.

What they did was not only potentially harmful to our business. It was detrimental to the entire concept of roof renovation as a viable residential solution because it hindered customers’ ability to make informed decisions.

It was also illegal. That’s what’s known as tortious interference, where a third party knowingly wrongly interferes with an existing contractual agreement. So we filed a lawsuit, and the court found them guilty – not only of deceptive business practices, but also of deliberately destroying evidence.

The moral of the story is that when you’re all in the same little community, friendly competition is good for everyone, and treating each other with compassion is the best way to keep things friendly. But keeping your community safe means protecting it with strong boundaries. And a boundary is only as good as your willingness to enforce it.

Be kind. Be kind. And if others mistake your kindness for weakness, don’t be afraid to prove them wrong. This is how you earn goodwill in your category without sacrificing respect. And in doing so, you set an example that your competitors will want to follow, so that you can all provide a more professional experience to customers.