Something has changed in the software services industry over the last few years.
I hear it in founder conversations all the time.
“We had a great meeting.”
“The prospect loved our work.”
“They said we were a strong fit.”
And then a week later, they disappear.
Or they come back asking for a discount.
Or they tell you they’re evaluating a few other options.
What’s really happening is that you’re getting compared.
And once that happens, you’ve already lost a lot of your advantage.
Hi, I’m Tabish Bibikar, and I coach and mentor founders of software companies to build scale in their business fast.
A few months ago, I was working with the founder of a software services company.
Strong technical team.
Great delivery track record.
Excellent client references.
Yet they kept hearing the same objection.
“We’re talking to a few other companies as well.”
When we looked at their sales conversations, the problem became obvious.
They sounded exactly like everyone else.
Custom software development.
Experienced engineers.
Agile delivery.
Quality focus.
Timely execution.
The challenge is that every software company says the same thing.
And from a buyer’s perspective, they all start looking interchangeable.
This has become even more pronounced with AI.
Today, buyers know development is easier than it used to be.
AI can generate code.
Internal teams can move faster.
Talent is available globally.
So buyers aren’t asking,
“Can you build it?”
They’re asking,
“Why should we choose you?”
That is a completely different question.
This reminds me of something Clayton Christensen taught in The Innovator’s Dilemma.
Customers don’t buy technology.
They hire solutions to make progress in their business.
And that’s where many software companies miss the opportunity.
They talk about what they do.
The buyer cares about what changes after the work is done.
The software companies winning today are getting very specific.
Instead of saying,
“We build software.”
They’re saying,
“We help fintech companies reduce onboarding time.”
Or,
“We help healthtech businesses launch compliant products faster.”
Or,
“We help SaaS founders accelerate product releases without building large engineering teams.”
Notice the difference.
One is a service.
The other is a business outcome.
And business outcomes are much harder to compare.
If you’re finding yourself competing on price more often than you used to, don’t immediately assume the market has changed.
Ask yourself a tougher question.
Have you become too easy to compare?
Because the moment a buyer puts you into a spreadsheet next to five other software companies, you’ve already lost a lot of your differentiation.
I’d love to hear your experience.
Have you noticed more prospects comparing vendors, pushing on pricing, or treating software development as a commodity?
Send me a DM and tell me what’s happening in your business. I personally read and respond to every single message. And if we’re not connected yet, send me a connection request on LinkedIn. I’d love to hear your story.
