The process

You need to do the following in order to make the development of your differ-

entiating strategy go smoothly:

 ✓ Define the criteria your consumers use to evaluate products that they

buy. This will help you in knowing what criteria are important to your

consumers and how you can use those criteria to differentiate your

product or service.

 ✓ Identify your product’s key benefits in customer terms. Consumers

make purchases based on benefits, so it’s important that they can iden-

tify what your benefits are and that they have the information necessary

to differentiate you from your competitors. Do you offer a better price,

better customer service, or a better product? If so, you want to be clear

about that with your consumers.

 ✓ Identify your competitor’s position. You can’t differentiate from your

competitors if you don’t have a clear understanding of their position in

the marketplace. Evaluate where they stand on quality of product, price,

and service and then determine where you’re different.

 ✓ Identify your competitive strengths. It’s important to have an under-

standing of your competitors’ strengths so you can be aware of where

they may stand out or fall behind in comparison to you. Doing so allows

you to be prepared.

 ✓ Select a position that gives you a unique and sustainable competitive

edge. You can use all the preceding information to determine the posi-

tion you must create with your consumers and against your competi-

tors. You must then take that information and create a statement that

stands out to your consumers and gives you the competitive edge.

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