The Power of Product Differentiation: 4 Ways it Will Benefit Your Business
In a World Where Everything is Consolidating, it’s Imperative to Offer Customers a Choice
Have you noticed that you see the same brands over and over again? On TV, in your news feed, even while you’re watching your favorite Netflix show. This is because big corporations have the budgets to infuse their brand into every aspect of your life. However, the idea of brands monopolizing major sectors like retail is leading consumers to look for options; they are looking for brands that are different and more exclusive. We all want to feel special, don’t we?
Offering a diverse range of products allows you to stand out from your competition in a way that’s not solely price-based. In addition, it opens up avenues to gain new customers and create loyalty. There is power in the fact that they can only get it from you! Creating a niche for your business helps establish loyal customers while offering unique products that allow you to remain independent.
The power of exclusivity is based on a basic psychological idea called the Scarcity Principle, which states that the more rare something is, the more valuable it is. This elusive value sparks a sense of curiosity and urgency within a person and makes them want to know exactly what it is that they’re missing out on.
Here are 4 ways that carrying exclusive products can benefit you:
Gain a Competitive Advantage: What Can You Offer That Others Can’t?
What if the best paint products on the market aren’t carried by your manufacturer? Then you are missing out on profits and selling your customers short. People want to feel special and offering them unique and diverse options appeals to their sense of individuality. They are looking for fresh brands that provide quality solutions—and that trend is gaining momentum. Be the store in your market that delivers on that promise.
2. Promote Differentiation: Determine What Makes You Unique
It’s more difficult than ever to compete with the store down the street that carries the same inventory. Investing in products that are different and of high quality can help establish your niche. Your niche is what creates your USP (Unique Selling Proposition). How you position yourself in your market is critical to winning business and engaging new customers. Though it takes some marketing effort to build awareness, the rewards will return to you threefold.
3. Build Customer Loyalty: Create Long-term Relationships
Once your customers have tried your exclusive product, they will feel like “part of the club”, providing them with an emotional attachment to your brand. Combined with outstanding customers service and the other perks of your business, they will become loyal customers and share their experience with their friends. For a retailer, loyalty is both a foundation and a springboard.
4. Embrace Your Freedom: What’s More Valuable Than Independence?
It’s often the path of least resistance that motivates paint retailers to align with one manufacturer. But is a 1-2% rebate worth your independence? You are beholden to the whims and decisions of a large corporation that is driven by its bottom line. By offering different products by various manufacturers, you have the power to make decisions based on what’s right for your business, not corporate shareholders.
We want to hear from you!
What makes your business unique? Is maintaining your independence a motivating factor in your decision-making process? Let us know in the comments!