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it.	 These	 companies	 describe	 their	 service	 as	 second	 to	 none,	 when	 the
prospect’s	 clear	 perception	 is	 that	 the	 company	 is	 no	 better	 than	 fifth	 to
many.

   The	small	service	must	start	with	smallness—just	as	Oregon	started	with
rain	and	Avis	started	with	Number	Two—and	turn	it	into	a	positive.

   The	small	service	must	start	with	small.	It	must	dance	with	the	one	that
brung	it.

   In	 positioning,	 don’t	 try	 to	 hide	 your	 small	 size.	 Make	 it	 work	 by	 stressing
its	advantages,	such	as	responsiveness	and	individual	attention.

Focus:	What	Sears	May	Have	Learned

	

If	 you	 are	 old	 enough	 to	 remember	 when	 bankers	 were	 the	 big	 shots	 in
every	 town	 and	 when	 Univac	 was	 the	 world’s	 most	 famous	 computer,	 you
also	remember	when	Sears	was	America’s	Department	Store.

   Years	later,	bankers	have	been	the	victims	of	inertia,	Univac	is	a	memory,
and	Sears	is	a	near-casualty	of	the	focus	wars	in	department	stores.

   Amazingly,	 even	 while	 Americans	 seem	 more	 interested	 in	 austerity,
Neiman	Marcus	appears	to	be	thriving,	thanks	to	a	position	that	can	best	be
described,	as	a	Neiman’s	shopper	might,	as	the	purveyor	of	“Stuff	to	die	for
!”	Wal-Mart	is	the	terror	of	every	small-town	retailer,	thanks	to	an	equally
clear	 focus	 on	 “Good	 stuff	 so	 damn	 cheap	 you	 won’t	 believe	 it.”	 And
Bloomingdale’s,	while	not	the	super-nova	it	was	in	the	eighties,	still	attracts
a	good	business	by	focusing	on	“Shopping	as	entertainment.”

   Sears,	in	the	first	half	of	the	1990s,	on	the	other	hand,	became	the	victim
of	 focusing	 on	 nothing—or	 more	 accurately,	 on	 everything.	 Sears	 had
always	touted	its	high	quality	(but	horribly	low	margin),	durable	goods	such
as	 lawn	 mowers.	 Now	 Sears	 started	 stressing	 its	 “softer	 side,”	 its	 clothing
and	linens—a	difficult	marketing	combination.

   Sears	started	with	very	low	prices.	Then,	hoping	to	improve	margins	and
attract	what	executives	thought	was	a	growing	and	lasting	supply	of	cost-be-
damned	Yuppies,	they	tried	to	move	prices	up.	Sears	tried	a	little	of	this	and
a	 little	 of	 that—and	 in	 the	 middle	 of	 the	 decade,	 no	 American	 within	 two
blocks	 of	 the	 Sears	 Tower	 could	 describe	 Sears’s	 position.	 And	 if	 no
prospect	can	describe	your	position,	you	do	not	have	one.

   Sears	quickly	discovered	that	if	you	do	not	have	a	focus,	you	soon	might
not	have	a	business.	Sales	and	profits	plummeted.	The	store	put	its	famous
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