In this short presentation, I try to explain what brand differentiation is, why it is necessary for brand-building, the methods by which brands differentiate themselves, and with the help of specially created adverts, I illustrate how a differentiated brand positioning can be communicated to the target audience. When the brand is at the core of business, brand building is more than marketing. It must be aligned to corporate strategy, with the CEO's endorsement and buy-in from all employees.

1. Brand differentiation
A presentation on building brands by Geeta Sundaram

2. In a series of five previous presentations on SlideShare I had shared my thoughts on
the building blocks of a brand. They included the three main components: brand
strategy, brand’s cultural values and brand communication.
In this presentation, I focus on brand differentiation, why it is necessary for building
brands, ways in which brands differentiate themselves, and how it is more than
marketing.

3. - Brand differentiation is an integral part of building brands
- It is both, how products become brands, and how brands distinguish
themselves in the minds of consumers
- To build a brand, one has to necessarily differentiate it
- Finally, brand differentiation is about building a unique relationship
with your set of customers and stakeholders
What is brand differentiation?

4. It is necessary because
- It is an essential part of brand-building
- It gives consumers a reason for preferring your brand over others
- It helps build a relationship with your customers through strong
identification and cultural values
- It helps the company grow in ways that are distinctive and enduring
Why is brand differentiation necessary?

5. The reasons for brand differentiation are the same as those for creating and building
brands in the first place.
One can’t build a brand without differentiating it from others.
Brand-building = brand differentiation

6. Because brands have to necessarily differentiate themselves in order to
become brands, the ways in which they do so are strategic and long-term.
Product brands ought to differentiate themselves in keeping with the
corporate brand’s overall strategy and positioning.
Corporate brands differentiate themselves in terms of the businesses they
operate in, and how they do business.
Let us look at some of the ways, brands differentiate themselves.
Ways in which brands differentiate themselves

7. - Through a unique product benefit (Saffola Cooking Oil for a healthy heart)
- Through a unique product/business model (Eureka Forbes with their
personal salesmanship business model, Ikea with DIY flat-pack furniture
and Ginger Hotels with tech-based, no-frills, budget accomodation)
- Through targeting a different set of customers, i.e., through market
segmentation (Nestle operates at the premium end of the foods market,
while Amul is more mass)
- Through pricing strategies
Ways of achieving brand differentiation

8. - Through a combination of both product benefit and customer type
(Rolex vs Omega and Parker vs Waterman - most brands would fall in this
category)
- Through an emphasis on corporate history and heritage (luxury fashion
and wines and spirits brands, too many to name)
- Through a set of distinguishing attributes that defines the company as
well as its products (Mercedes-Benz’s engineering prowess vs BMW’s
technological edge vs Toyota’s reliability)
- Through the way the product/service is delivered to a particular type of
customer (Vertu)
Ways of achieving brand differentiation (contd)

9. They are both fine writing instruments and in fact have been owned by the same
company on several occasions in their history. Both have legendary histories, and have
been used by eminent public figures, from statesmen and royals to famous authors.
Yet, I would position the two brands very differently, by their customers and by the
benefits they offer (differentiation method No.5 from the previous slide).
Parker brand positioning: The indispensable communication tool for business leaders
Waterman brand positioning: The fine writing instrument for inspired writing
It doesn’t mean that other types of customers can’t use a Parker, or a Waterman, but
what would attract them to these brands is mainly driven by their unique positioning.
Brand differentiation – Parker vs Waterman

10. Communication - Parker
From a sample of an advert that I have created
for each of these brands, we can see how brand
strategy determines brand differentiation and
brand image to build Parker and Waterman as
completely distinct brands.
Parker is about making your point effectively
and the brand operates mostly in the
business/professional space.

11. Communication - Waterman
Waterman is about inspired writing and the
brand thrives in the creative writing/storytelling
space.
The communication tries to persuade by
connecting the pen's smooth ink flow to the
writer's thought flow, the former enabling the
latter.

12. In the area of time-keeping, Rolex and Omega are both iconic Swiss watch brands
and enjoy a massive following among eminent personalities around the world. Both
are known for their accuracy as well as their stylish designs.
Each is led by a particular watch range: Rolex by Oyster Perpetual and Omega by
Constellation, which contributes to the overall image of the brand.
Titan is an Indian watch brand from the Tata Group of companies, that is now facing
intense competition from international brands right here in their home market.
It is nowhere as well-known or established in the world of watches as Rolex and
Omega, but I have a brand strategy for them to be able to take on competition from
overseas.
Brand differentiation – Rolex vs Omega vs Titan

13. Here is how I would attempt to create differentiated brands for all three:
Rolex brand positioning: The ultimate reward that an achiever deserves
Omega brand positioning: The last word in wrist watches
Titan: The watch that helps you earn your tomorrows
Brand differentiation – Rolex vs Omega vs Titan

14. Here are some sample adverts I have created for the three watch brands
to explain how a differentiated brand strategy leads to differentiated
brands through communication.
The images in the adverts are only indicative and the watch images too
serve only as placeholders.
Communication for Rolex, Omega and Titan

18. Brand differentiation manifests itself in a variety of ways and has several
implications:
- It is strategy and requires clarity and focus from the very start
- It is execution and method/quality of implementation matters
- It is your people, processes, and how you make profits
- It is communication with customers and stakeholders, since it is
communication that helps to build the brand
- It is after-sales and relationship building on a continuous basis
In short, it begins with strategy, and continues in all aspects of operations
Manifestations of brand differentiation

19. As we can see, brands represent a way of doing business that goes beyond
marketing. They are the heart and soul of a company and must reflect the
Chairman’s and CEO’s visions and endorsements.
They also require everyone across functions and offices to be on board.
In previous presentations, I have touched upon how product brands relate to
the corporate brand and vice-versa.
Unfortunately, in most companies, product brands are the job of the
marketing department and corporate brand is the job of the corporate
communications department, with rarely any common meeting ground
between the two functions.
Brand differentiation more than marketing

20. When companies begin to understand that brands are at the core of their business,
they will begin to realise what makes their company different from another.
What makes their way of doing business unique
What makes more people want to work for them
What makes more consumers want to keep buying their brand
What makes investors see greater value in their company
What makes people wait for their new product
What makes the community at large trust them to do the right thing.
Brands are why businesses are different

21. For more on brands, check out my other slide presentations on SlideShare and visit
the Business and Brands page on my blog www.peripateticperch.com