Differentiate or Die

Sounds pretty harsh, doesn't it? Well, I can tellservices? For approaches that really work, keep
you from personal experience with both my ownreading...Taking a page from Jack Trout's book,
business and with my clients, "differentiate or die"Differentiate or Die (John Wiley & Sons, 2000),
is not an exaggeration. Whether you're a smallhere's how to stand out from your competition:1.
one-person shop or a large government agency,Be First. A good strategy, if you've got a really
solvency and the future of your business rely ongood idea. If you're there first, anyone copying
you standing out in a competitiveyou later will just reinforce your value. Takes a lot
marketplace.Everyone is vying for the same clientof stamina to pull off and sustain.2. Own an
dollars, whether your clients are consumers, otherAttribute. Things like speed (H&R Block's fast
small businesses, major corporations, or federalrefund) and the "experience" (a spa environment
agencies. Your target clients are overwhelmedin a cosmetic dental practice) are attributes. The
with too much information and too many choices.key is to keep it simple and focus on one or two
The bottom line? You still need to stand out fromwords that describe your differentiating attribute.
the crowd.Coined by Jack Trout, the father ofIf someone else in your niche owns it already, it's
"positioning" products and ideas in the minds ofnot yours to claim.3. Lead. If you really are #1,
consumers, this notion is particularly relevant forproclaim it! Being number one can take many
professional service firms. The problem is thatforms...you can lead on sales (#1 on your local
your clients have a choice...and they need yourbusiness journal's list of top firms), you can lead
help to understand why to choose your firm overthrough technology (the fastest digital printer in
others offering similar services.And just becausetown), and you can lead through performance
you currently have a client, doesn't mean they'll(ranked #1 by satisfied customers for five
stay. There's a big difference between theirstraight years).4. Use Heritage. Having a long
satisfaction and commitment. Did you know thathistory makes people feel secure. If your firm has
more than 40% of customers who claimed to bebeen in business for 10 years, celebrate it!
satisfied switched to a new serviceLikewise, "locational" heritage can make you stand
provider?1Thinking strategically about how toout. Think perfume and wine from France.
move your clients from satisfied to committed isGovernment contracting expertise from
not discretionary. Differentiation is one of theWashington, DC. Safari travel planning from a
most important strategic and tactical activities inlong-time resident of Africa.5. Pick a Specialty. A
which a professional service firm must engage.Fornatural for professional service firms, this is all
professional service firms, this is very tricky. Itabout being an expert. A simple example is my
involves articulating the concrete value ofcompany, TurningPointe Marketing. We help
something that, in your clients' minds, is tough toprofessional service firms (not retailers, not
quantify. Not only do you have to catch and holdconsumer products companies, not the auto
their attention in the first place, you mustindustry) attract more clients. A great way to
demonstrate the bottom-line impact your servicesdifferentiate, unless there are a lot of others
make in their lives. Differentiation will do that forpitching the same specialty.6. Be Preferred. Do
you.What Not to DoBefore we look atmoms prefer your daycare services over others?
differentiation strategies that work, here areDoes the federal government prefer to work
some to avoid:Banking on creativity. Vague,with you because you offer a discount? Does
artistic marketing messages are a waste of youryour local city magazine rank you as a preferred
target audience's time. When it comes to buildingpediatrician? Third-party endorsements are worth
trust and confidence in your firm as the besttheir weight in gold - if you can get them, they're
solution to their problem, prospects wanta great way to stand apart.7. Use a Different
concrete, specific, direct information. Don't makeApproach. Do you make house calls? Does your
them work too hard to understand yourfirm offer untraditional hours of service? Think
message.There's a lot of fuzzy, ineffectualabout what your ideal client really needs that
marketing going on out there under the guise ofothers aren't offering, then do it.8. Be the Latest.
being creative. Don't be seduced by the poetic orTechnology companies have this nailed - every
beautiful. Do keep your eye on clearly sharingyear a faster chip or bigger system replaces last
information without burying it underneathyear's model. Can your salon offer the newest
creativity.Pricing yourself into extinction. Don'tadvances in skincare? What about the latest
become a commodity by lowering your price toapproach to data security? Whatever it is, make
be different. When clients choose your firm oversure it solves a real problem, doesn't mess with
others because of price, your value fades andtradition, and truly is a better solution.9. Be Hot! If
you're no longer unique.The one way toyou just got a great review, an industry award,
differentiate yourself using price? By being theor your story covered in the press, leverage it.
most expensive! Price becomes an inherentThis also works if you're solving a problem or
benefit by portraying prestige and quality. This isaligned with a good cause. The key is to be
easily true of products (think Rolex, Louis Vitton)truthful and to spread the word quickly.How do
and is equally true for professional services (thinkyou know which strategy to go with? Look at the
high-end, private medical practices; financialmarket context of the moment. If other firms
advisors who work only with "family offices" of"own" a certain differentiator already, don't go
the wealthy).Doing it all. Trying to be all things tothere. Pick something else. Then offer your proof
all people ("our firm offers a wide range ofand communicate it broadly both on- and offline.
practices") is the worst way to be unique. NotIt's about being logical first, creative second. Do
only do you overwhelm prospects with choices,this consistently, and you'll clearly stand out in the
you make it easy for your competitors to offercrowd.Helping professional service firms attract
the same.The Internet makes it particularly easymore clients, stabilize their business and take their
for your competition to match what you offer -practice to the next level.1 Trout, J. (2000).
it's easy to comparison shop online. So then itDifferentiate or Die. New York: John Wiley &
comes down to who's got the better price...aSons.We encourage sharing and publication of
losing proposition for everyone involved - includingYour Monthly TurningPointe in whole or in part if
the customer. Eventually, you'll no longer be ablecopyright and attribution, including live web site link
to afford to serve them, or will resent having toand email link, are always included. Please let us
give away your services.Choosing to be specificknow where and when it will appear. Thank
and narrow your offer takes courage, yet it'syou!(c) 2004 TurningPointe Marketing, Inc. All rights
how to stand out in your customers' minds, and itreserved. Marketing educator, Kelly O'Brien, is
lets you charge what your worth.So how do youcreator of the "Create a TurningPointe!" Marketing
effectively differentiate your professionalBootcamp.