Differentiation in marketing strategy for small businesses, and freelancers
Many business owners reduce their prices to sell more. It is a huge mistake because there would be always a business owner who gives a better price. Another common mistake is trying to compete with everyone in the industry. In this article, I would speak on differentiation in marketing strategy to avoid those mistakes.
So what is differentiation?
It is what makes your brand, product's features, product's benefits, business model, price, contribution channels unique from your competitors.
I will expand on 3 types of differentiation.
Differentiation in marketing strategy, the product's features
It is the product's components, its' look, smell, taste, feel, and hear.
You can describe a car as red, its' engine has X power horses, it is accelerating to 100 in x seconds.
The car's features that could be unique compared to other cars is the acceleration speed, its' design, the space inside the car, and so on.
Differentiation in marketing strategy, the product's benefits
This is the unique values, the customer is being given by using your product.
Going back to the car example. Accelerating to 100 in 3 seconds means you have a faster car than most of the cars.
More spacing inside the cars. This means it has a better driving and sitting experience.
A better-designed car could create a feeling of innovation and prestige.
Differentiation in marketing strategy, the contribution channel
It is the system you choose to sell your product. You can sell directly to private customers. However, in some cases it is better to sell the product to distributors, private or chain of stores.
For instance in the car industry, you can open a store and sell it directly to the private customers. In addition, you can choose to sell it to car chain stores. They would sell it to private customers, organizations, and more.
