Posted in Marketing and Strategy Terms, Total Reads: 963
Definition: Differentiated (Segmented)
Differentiation is very important for any product/service. It can be defined as the unique space that a product /service create in the market and in the consumer’s mind. It is also the factor that makes the product stand out from its competitors.
For example: In the soap category; Beauty soaps, herbal bars, glycerine soaps, fairness soaps, freshness soaps are the various segments. We can analyse the various segments understanding how different brands fit into this. Pears would come under glycerine bars, whereas Godrej no 1, fair and lovely soap and Fairglow fall under the fairness soaps.
The advantage with differentiation is that each brand gets a specific target. It also provides a unique image in the minds of consumers. This is also very important in case of a new product development, where the company needs to analyse what are they providing that is already not there in the market.