Question

Why and how do marketers differentiate their offerings, and how does this impact competitors? Compare the differentiation strategies of the number 1 and 2 brands in a product category of your choice.

Answer 1

The main reason for differentiating the products or offerings is that the organizations want to create a different perception in the mind of the customers about the product. This helps the companies in creating a distinguished brand image in the mind of the customers and it can help the customers to identify a certain brand in the crowd of various brands.

In order to create differentiation, different tools which can be used are below=

On the basis fo size, shape or form of the product

On the basis of product feature

On the basis of the functionality of the product

On the basis of ease of use of the product

On the basis of performance quality

On the basis of durability and robustness

On the basis of reliability, style of the product

Example= We can compare the toothpaste brands Colgate and Pepsodent. The main focus of the Colgate is on oral hygiene, stronger teeth, and fresh breath while the positioning of the Pepsodent is on 24 hours germs fight which helps in having improved oral hygiene