How to differentiate your Brand/Product from your competitors
Presently there are so many Brands in the market in each segment and it is becoming difficult for the companies to beat the competition. Earlier companies strategies were Product/Market-driven but now they are slowly evolving and focussing on consumer-driven marketing and yes they are yielding results.
Now companies are working hard on collecting behavioral and psychological data of their customers and for the prospective consumers. By this method, they will get to know their likes, needs, their personality, the behavior pattern and many other things which would help the companies to come with new products and new marketing activities which will attract the customers towards them.
Research says the homogeneity of the products compared to the competitors has increased resulting in less product or brand differentiation.The gap of product differentiation is decreasing among the competitors.You should understand that product differentiation can only make your brand stand out from others.
The road to success won’t be all rainbows and Unicorn Dumplings, but you should try to minimize taking wrong decisions and making wrong strategies.
If we see from the customer’s point of view, they will select a brand that has already satisfied their needs in the past. You should try hard and give more benefits and satisfy needs of the customers if you want them to come to you. There are customers who are so loyal to the brand which they used in the past and stick to that brand no matter whoever new entrant comes. They are not even bothered to check the number of new brands erupting in the market. So the basic point here is you as a company should work on giving more than what your competitors are giving. Need fulfillment is a basic criterion.
Let’s talk another type of Customer behavior:
One must understand that even if customers frequently select particular brands and purchases it, it does not mean that particular behavior is due to the previous experiences with that product. This kind of Customer behavior is solely based on stimulus. They are so influenced by the Advertisement and promotion campaigns which led them to choose a particular brand.
So you should always try to differentiate your product/Brand by having a USP(Unique Selling Proposition). Each brand should have some USP otherwise the brand/product won’t be successful. By having a USP for your product/brand enables you to have a competitive advantage over others. There are cases where competitors might copy your product idea by making some modifications but remember they cannot copy the personality of a brand Example: iPod.
One more thing you should understand that Branding is not the sole method to differentiate your product but also the 4 P’s of Marketing(Price, Product, Promotion, and Place) and how efficiently you implement that.Finally, I want to say don’t just spend all your time in making pricing policies rather than spend more time working on Brand differentiation.
If you want to understand Consumer Behaviour and their psychology then do read this book. You can definitely make your business grow.
INFLUENCE: The Psychology of Persuasion by Dr.Robert B CIaldini