Differentiation enables you to offer customers superior value at an affordable price, creating a win-win scenario that can improve the overall profitability and sustainability of your business. If your brand is fundamentally lacking in personality or not developed, it may be time to consider a brand review, or perhaps your brand will benefit from a revitalization or appropriate development of its character and brand. Your decisions need to be made strategically to be most relevant to your specific products, services or business goals – those that empower your brand platform, are more relevant and engaging to your customers – and thus increase their loyalty and their reference – so you can end up successfully develop your bottom line.
Distinguishing the price of your product or service from the competition can be an effective differentiation strategy. They can be either the bestseller in the economy with a low price or a premium brand with a high. In fact, many brand differentiation strategies can help you demand and receive a high price. Different pricing to consider: Low Price: The first option to consider is a low price. If you can sell a similar product or service at a lower price than the competition, you will attract attention. Of course that’s a lot harder than it sounds, or everyone would offer lower prices, Premium Pricing: The reverse strategy is to achieve higher prices. If your products are of very high quality and your target market has the budget to pay a higher price, you can benefit from differentiating your brand in this way. Lastly, a unique structure, is to offer a unique price structure. If everyone in your industry offers a 90-day service fee, you should offer a monthly payment structure. People like alternatives and a unique option can attract attention.
- Service differentiation not only includes delivery and service, but also all other support elements of a business, such as training, installation, and easy ordering. For many, they seem to be the simple elements of a business – blocking and attacking elements and fundamentals that do not require sophistication. But think of a company like McDonald’s. With a few exceptions, McDonald’s in Texas offers the same product and service as Georgia, Connecticut or California. And everywhere, fries are cooked in the same way, have the same amount of salt and are served fresh out of the fryer.
Differentiation of the reputation
- Some companies are distinguished by their image, either as part of a different way of differentiation or as an independent strategic path. Usually, the image is created through other forms of differentiation such as high service levels, superior product quality or performance. An image or reputation can be a significant barrier for potential newcomers. For example, DuPont generally has a strong image as a technical force in almost all the markets in which it participates. The company employs a large number of engineers, scientists and product development experts. Your sales representatives often have strong technical backgrounds or backgrounds and their products are positioned at the top. Milliken and Company has a similar picture. For the new potential start-up that wants to compete with such a monster, often only guerrilla warfare is possible. The brand does not automatically distinguish a company from its competitors. With a small marketing budget, the smartest and most effective strategy is to move from a brand strategy to a customer-focused strategy. Choose a handful of customers who can drive the success of your business. Then focus all your budget on these companies. Give them exactly what they want and do it better than anyone else. You will increase your market share and become loyal supporters and promoters of your business.