How to create a sustainable marketing differential advantage
For many organisations creating a marketing differential advantage is the Holy Grail, and can be just as elusive! This blog gives a brief outline of what you need to consider.
What is a marketing differential advantage?
A sustainable marketing differential advantage is simple when you can create a consumer preference for your product or service. It provides greater market share and increases profitability. A sustainable differential advantage also provides protection against competition and new entrants to your market.
What’s important?
To achieve a sustainable differential advantage your product or service must achieve four criteria.
The key criteria for achieving a Marketing differential advantage
· The customer must identify that your product or service delivers some kind of benefit to them.
· The benefit must be perceived as unique to your product or service and cannot easily to replicated or replaced by an alternative.
· The advantage must be difficult to copy; there must be some kind of barrier, stopping competitors from achieving the same benefit. These can include skills, economies of scale, branding or patents.
· The provider must be able to offer the service or product at a price, cost and volume structure that is profitable to them.
How often do you review?
Many organisations do not review their products or services to ensure they comply with these simple rules. To summarise, make sure your customers are able to see and appreciate the benefit. Further, it is important that the benefit is not easily replicated and you are able to provide the product/service at a profit.
A sustainable differential advantage is then achieved.
