How a Differentiated Marketing Strategy Will Make Your Business Successful
It sounds like a term with more pizzazz than meaning. ‘Differentiated marketing strategy’ is the kind of term Jeff uses in meetings and everyone hates him for it.
You know Jeff. We all have one in our lives. He knows all the lingo and spouts all the right terms even though he never actually does anything with it. He just overcompensates by being an incurable apple polisher.
So he mentions differentiated marketing strategies and everyone groans. “Here he goes again,” the team thinks in unison. If his blustering has any effect at all it is to unite those around him. Knowing glances connect around the room and notes are passed via SMS and the now archaic paper method.
And Jeff continues “We should be able to identify and determine what makes us unique and different from other competitors and incorporate them to our marketing strategy.”
Well yes, that is the entire point isn’t it?
People begin to shift uncomfortably in their seats. This guy is taking forever. “There are many marketing techniques that we as an organization can employ to counter our competitors. One of the keys to this is to identify prospective clients through segmentation and the ability to develop a niche in the market. Making use of this technique will not only allow our organization to stand tall in a crowded competitive environment but also make our business to grow immensely.”
He finishes. Merciful silence settles into the meeting room. A hand shoots up. It’s Dan. Blessed simple Dan. Always ready to take one for the team.
“Forgive my ignorance but what is a differentiated marketing strategy?”
Everyone laughs. The tension once thick as my grandmother’s split pea soup has been watered down to the texture of her potato soup.
Manager Catherine fields this one as if to let Jeff know he is done for the day. “A Differentiated marketing strategy is a type of marketing technique where an organization offers products and services different market segments after which they develop different marketing strategies for each.”
“Thanks” Dan replies having not understood a word of the explanation.
Jeff tries to continue, but Catherine shoos him back into his seat.
The meeting finally ends and everyone goes on with their work until a few hours later an email from Catherine takes the idea to the next level.
She explains again the idea that a differentiated marketing strategy is really not as intimidating as Jeff presented it. In basic terms when your company offers different products or plans, it can be advantageous to market them to different marketing niches in an effort to gain more market control. In fact here are some ways we can try it and see if the model is for us.
Here is the breakdown.
1. Differentiated Marketing Strategy in Pricing
Pricing is one of the unique ways of differentiating your organization. Carefully consider whether to price your products and services above or below your competitors. A higher price will help your business to cultivate an image of prestige and quality. If you are employing a low price strategy just make sure that you are still making a profit. When using higher prices as a tool make sure that you offer other additional services to attract and maintain the customer, such as extended business hours or free delivery.
2. Differentiation in Convenience
As an organization, an emphasis on convenience will set you apart from all your competitors. Think about how much location and turnover play into this. This is equally true if you offer a physical or digital service. In an age where individuals are always in a hurry, positioning your organization as a convenient alternative will help you establish a niche of your own and stimulate growth.
3. Differentiation in Product
Stand out from the competition by offering different products and services than those of your competitors. The key to success for this type of technique is conducting research to make sure that your new product is desired by your potential customers. Make sure that you also expand the product mix so that you can include the items which your competitors do not do.
Yes, Jeff is a blowhard, but this time, he was on to something. A Differentiated marketing strategy will not only ensure that you maximize your profits but also that you will be building a reputable company which is able to attract, capture and maintain clients of all walks of life.
Now, for those readers who have read this until the end, I’d like to share with you a cause that is very close to my heart – an organization that supports women who are the victims of domestic abuse. An NGO called Women Organized to Make Abuse Nonexistent, Inc. (W.O.M.A.N., Inc.) has been working since 1978 to help survivors of domestic violence in San Francisco and the larger Bay Area. If you’re interested, check them out and see how you can help.