UBS

Product Differentiation

What is Product Differentiation?

Product differentiation is a marketing strategy that distinguishes a company’s products/services from its competitors. Successful product differentiation entails recognizing and articulating a product’s or company’s specific attributes while also emphasizing the distinctions between that product or company and its competitors. Product differentiation goes hand in hand with establishing a strong value proposition to make a product or service appealing to a target market or audience.

While many schools of thought assume that marketing is responsible for differentiation, this isn’t always the case. Instead, every department in the company plays a vital role in product differentiation.

What teams are in charge of differentiation?

  • Engineering 
  • Sales 
  • Support and Success 
  • Marketing 
  • Product Management

Also, See: Lifetime Value (LTV)

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