How Help Scout Beat Zendesk (Without Competing)

The positioning shift that made a small company win against a market gorilla

Help Scout beat Zendesk by not competing with them.

They didn't try to be better help desk software. They didn't try to match features. They didn't try to out-Zendesk Zendesk. Instead, they made Zendesk irrelevant. Here's the situation: Help Scout was a growth-stage startup selling customer service software. Their competitor? Zendesk. The gorilla. The safe choice. The company everyone knows. Most companies would compete on features. "We're like Zendesk, but better." Or cheaper. Or faster.

Help Scout did something different.

They repositioned around one insight: digital businesses see customer service differently than traditional companies. That's it. One insight changed everything.

The Old Pitch (That Didn't Work)

Before the repositioning, Help Scout's pitch sucked.

It was a feature walkthrough. "Here's how you log in. Here's the shared inbox. Here's assignments and prioritization." The customer would sit there thinking: "That sounds like my shared inbox, but also like help desk software. Is it different? I'm not so sure." The pitch didn't answer the only question that matters: "Why pick us over the other guys?"

That's the problem with feature-focused positioning.

The Insight That Changed Everything

Help Scout realized something: digital businesses see customer service as a growth driver, not a cost center.

Think about it. For direct-to-consumer e-commerce brands, customer service is often the only customer touchpoint. Great service improves loyalty. Drives repeat purchases. It's a growth driver. But most help desk software including Zendesk was built for companies that see service as a cost center. They want to get you off the phone fast. Push you to self-serve channels. They don't care about the experience.

Help Scout was built from the ground up for digital businesses.

The New Positioning

Help Scout repositioned themselves as: "Customer service software for digital businesses."

Not "help desk software." Not "customer support tools." Not "better than Zendesk." Customer service software for digital businesses. That's it. One sentence. But it made their value obvious. Their target market clear. Their competitive alternatives obvious.

The Sales Pitch Transformation

Here's how their pitch changed:

Before: Feature walkthrough. "Here's how you log in. Here's this feature. Here's that feature."

After: 

Insight first. "Digital businesses look at customer service as a growth driver, not a cost center."

Then alternatives: Shared inbox (easy but you outgrow it) vs. Help desk software (powerful but treats customers like numbers).

Then perfect world: "Something as easy as an inbox, with all the features, built to deliver amazing customer service."

Then follow-through: Show the inbox. Show the features. Show how customers stay as people, not ticket numbers.

The pitch answered:

"Why pick us over the other guys?"

The Differentiators That Mattered

Help Scout had features that supported their positioning:

  • Services-oriented shared inbox (first to market)

  • No ticket numbers customers stay as people

  • Chat bot only when a person is available

But here's the key: these weren't just features. They were proof of a different philosophy. One digital businesses actually care about.

The Target Market

Who cares a lot?

Not your phone company. They want to reduce costs and push you to low-cost channels. But direct-to-consumer e-commerce brands? Small to medium businesses where service is the primary touchpoint? Companies that see service as a growth driver? They care a lot. Help Scout's positioning attracted companies actively looking for exactly what they do.

Why It Works

This pitch answers the question: "Why pick us over the other folks?"

It helps customers understand what you do, why it's different, and why they should pick you. It works better because it's not just showing features. It's teaching customers how to think about the market.

The Results

When you position this way, you get:

  • Customers who understand immediately

  • Sales conversations that move forward

  • Deals that close because value is obvious

  • Less price competition

Help Scout became the obvious choice for digital businesses. Not because they were better than Zendesk. Because they were built for a different type of company.

What You Learned

  • Feature-focused positioning creates confusion, not differentiation

  • The right positioning makes your value obvious to your target market

  • Insight → Alternatives → Perfect World → Follow-Through is a powerful pitch structure

  • Positioning around a market insight beats positioning around features every time

Help Scout didn't beat Zendesk by being better. They beat them by positioning themselves for a market Zendesk wasn't built for.

Start with the insight. Then build your positioning around it. Then structure your pitch to make that positioning obvious.

What'd you think of today's email?

* Good?

* Ok?

* Bad?

Hit reply and let me know why.

Best,

Adi

PS...If you're enjoying Position & Pitch, please consider referring this edition to a friend. They'll get the same positioning insights, and you'll help us grow.