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Tuesday, 25 August 2015
How to differentiate your products
Products are goods or services provided by a business in exchange for money. A business can either apply a low cost strategy or a differentiation strategy. However, some other companies apply both strategy. I am going to write about the differentiation strategy today. The question is how do you differentiate your products successfully. Differentiating a product is all about making it unique, as such some attributes of your products cannot be obtained anywhere else. A product can be differentiated by providing complementary services for example a business that sells make up products can offer to give their customers free facials once or twice. A business that sells technological products cam also offer free repair services as a form of differentiation. The performance and features can also be used to differentiate the products, the location of your business can also be a form of differentiation, like can customers have easier assess to your products when compared to other companies, the technology used in a product can serve as a form of differentiation.
The product must exude intergrity for its differentiation strategy to be successful. The way product integrity is achieved is through consistency of the differentiation. Competitors may imitate differentiation, as such business owners must always develop their products to ensure that they keep their differentiation advantage. A business that has adopted the differentiation strategy must provide products of high quality, if you are manufaturing goods use high quality ingredients. I wrote about packaging in a previous post, the way you package your products will also have an effect on how potential and existing customers will perceive it. Information about the qualities and characteristics must be communicated to customers effectively and efficiently cause that is the way your product differentiation will become effective.