According to Articulate Marketing, “Brand differentiation is your identity as distinct from others. The things that make you original. Maybe even odd. Worthy of attention, expressive, diverse, value-added, authoritative, helpful, customer-focused, people-led, more than the sum of your parts.”

In other words, brand differentiation is how you set yourself apart from competitors. It’s also how you turn consumers into advocates for your brand.

In an increasingly competitive marketplace, distinguishing your brand from the sea of businesses out there is crucial for long-term success, especially if you’re just starting out. Effective brand differentiation ensures that your brand resonates deeply with your target audience and stands out in a crowded field. 

Brand Differentiation Defined

Throughout the life of your firm, you will experience significant changes in what you do.

It’s simply the nature of professional services that the landscape is constantly changing under your feet. Your competitors will change. Your clients’ needs will change. And in the process, what may have been a competitive advantage at the start of your business may lose its relevance. Say goodbye to your competitive advantage.

This is important to remember as we think about the meaning of brand differentiation. In essence, it is your competitive advantage. It is literally what makes your firm different. But the marketplace isn’t going to sit still for you, and what made you distinct yesterday might not set you apart tomorrow.

Differentiation is a continuous process – a matter of evaluating the marketplace and evaluating your firm to ensure that you’re positioned for success.

Why is Differentiation So Important, Anyway?

Research has shown that high-growth firms are almost three times more likely to have a strong differentiator. In addition to setting firms apart from their competition, a robust brand differentiation strategy allows firms to be more targeted in their marketing efforts, speaking directly to the most relevant audiences.

If you don’t have a strong differentiator, the only option left is to compete on price – and that’s a race to the bottom. Put simply, your professional services brand’s differentiators are among your most important assets. They facilitate your relationship with buyers and influencers and they ultimately drive your reputation and pace of growth.