Market Share Pressure: When Urgency Works in Your Favor
Market Share Pressure: When Urgency Works in Your Favor
Market share pressure creates natural urgency in B2B sales. When companies face competitive threats or market position challenges, they're motivated to act quickly. According to McKinsey research, companies under market pressure often need to make strategic moves to maintain or regain competitive position (McKinsey). This guide shows you how to leverage market share pressure ethically in sales.
Understanding Market Share Pressure
Market share pressure occurs when:
- Competitors Gain Ground: Competitors are winning deals or customers
- Market Position Erodes: Company is losing market share
- Industry Shifts: Market trends favor competitors
- Customer Churn: Customers switching to competitors
- Analyst Warnings: Industry reports showing competitive disadvantage
Identifying Market Share Pressure Signals
Public Signals
- Earnings Calls: Mentions of competitive pressure, market share challenges
- Press Releases: Competitive responses, market positioning
- Industry Reports: Analyst mentions of market position
- Customer Losses: Public customer wins by competitors
- Strategic Initiatives: New competitive positioning efforts
Customer Conversations
- "We're losing deals to [competitor]"
- "Our market share is declining"
- "Competitors are moving faster"
- "We need to respond to [market trend]"
- "Analysts say we're falling behind"
Leveraging Market Share Pressure
1. Frame as Competitive Response
Approach:
- Position your solution as addressing competitive threats
- Show how it helps regain or maintain market position
- Create urgency around competitive timing
- Demonstrate competitive advantage
Example: "I know [Competitor] is gaining market share in [segment]. Our solution helps companies like you respond quickly and regain competitive position. Here's how..."
2. Quantify the Cost of Inaction
Framework:
- Calculate market share loss impact
- Estimate revenue impact of competitive disadvantage
- Show time sensitivity
- Demonstrate opportunity cost
Example: "Every quarter you delay, [Competitor] gains 2-3% market share. At your revenue level, that's $X million in lost opportunity annually."
3. Create Competitive Urgency
Framework:
- Reference competitor moves
- Show market timing
- Highlight window of opportunity
- Position as competitive necessity
Example: "[Competitor] just launched [initiative] targeting your market. Companies that respond within 90 days typically maintain position. Those who wait 6+ months lose 15-20% market share."
4. Position as Market Leadership
Framework:
- Show how solution enables market leadership
- Demonstrate competitive differentiation
- Highlight market positioning benefits
- Connect to strategic goals
Example: "Market leaders in your industry are using this approach to maintain competitive advantage. Here's how it positions you ahead of [competitor]..."
Ethical Considerations
Do's
✅ Use real, verifiable market data ✅ Focus on helping customers compete ✅ Provide genuine competitive value ✅ Create legitimate urgency ✅ Support strategic goals
Don'ts
❌ Create fake competitive threats ❌ Exaggerate market pressure ❌ Use fear tactics inappropriately ❌ Misrepresent competitive situation ❌ Manipulate with false urgency
Common Mistakes
1. Overstating Threats
Don't exaggerate competitive pressure. Use accurate, verifiable information.
2. Creating Fake Urgency
Only use real market dynamics. Don't invent competitive threats.
3. Ignoring Value Beyond Competition
Competitive response is important, but show additional value beyond just competing.
4. Not Understanding Market Context
Know the actual competitive landscape. Don't make claims you can't support.
5. Being Too Aggressive
Market pressure is real, but don't use fear tactics inappropriately. Be helpful, not manipulative.
Conclusion
Market share pressure creates natural urgency in B2B sales when used ethically. By identifying real competitive threats, quantifying the cost of inaction, and positioning your solution as enabling competitive response, you can create legitimate urgency while helping customers address real market challenges.
Remember: Market pressure is a real business driver. Use it to help customers compete, not just to create sales pressure.
Related Resources
- Growth Amid Uncertainty: B2B Sales Performance - McKinsey
- Top Commercial Threats Facing Sales Leaders - Demand Gen Report
This article is part of our series on market leverage in B2B negotiations. Learn how to use competitive dynamics strategically.