Comments on: Does Brand Differentiation Matter with No Competitors?

By: South East Solar

South East Solar — Tue, 20 Jul 2010 12:06:19 +0000

A good question – to which the answer must be yes.
But what’s that Marty Neumeier diagram trying to do? It’s not a formula and it’s not a Venn diagram – it’s a statement of the bleeding obvious trumped up as something clever!
If you know your mission and you values and have based your company on something real, brand value will be obvious to you…

By: Executive Marketing Links for August | The Executive Marketing Blog

Executive Marketing Links for August | The Executive Marketing Blog — Thu, 03 Sep 2009 23:09:47 +0000

[...] Does Brand Differentiation Matter with No Competitors? The Marketing Fresh Peel [...]

By: Brian Woodland

Brian Woodland — Thu, 27 Aug 2009 17:33:47 +0000

Great post – I always enjoy your insights, Chris.

My thoughts were similar to Bill Perry’s and the example of Coke’s compeition is perfect.

I remember a similar case study from B-school about Hallmark Cards, although the memory is dim by now. The general idea though was that Hallmark’s biggest “competition” was a decline in the tradition of acknowledging special events with mailed greeting cards.

Hallmark’s indirect competition at the time was email (which was just getting started). Today, it more likely includes Facebook and other social networks.

Bottom line is that differentiation absolutely matters, imho.

By: Elizabeth

Elizabeth — Mon, 24 Aug 2009 19:48:15 +0000

This brand may not have any direct competitors, but you can be sure that he has many indirect ones. How long would it be until these indirect competitors take notice of his brand and try to enter that space as well? It’s so important that a brand is built with a firm foundation from the beginning. Even if no one ever directly enters that market at least he has a strong base to go from, a clear message to market, and a specific niche to go after.

By: Bill Perry

Bill Perry — Tue, 18 Aug 2009 01:32:12 +0000

I honestly don’t think there’s such a thing as a business with zero competition when taken from a broad view.

Coca-Cola is a “classic” example (pun intended).

I read once that back when Coke decided to divest a lot of their business interests and focus more on selling syrup, someone made the statement as to how their only major competitor was Pepsi. The CEO said “Nonsense, our drink is competing with everything single other drink out there. Coffee, Tea, you name it. They’re either drinking Coke, or they’re drinking something else.”

I paraphrased that quite horribly. but basically, any product/service you sell has a TON of indirect competition.

If I’m selling used cars, I’m also competing with all the bike shops out there since people could either drive the cars we sell or ride a bike.

By: Anders Online Marketing

Anders Online Marketing — Wed, 12 Aug 2009 14:55:57 +0000

I am working with marketing in Denmark and is searching for inspiration in the digital world. Thanks for inspiration

By: Syamant

Syamant — Sat, 01 Aug 2009 13:30:56 +0000

Agreed. Thanks for the inputs.

By: Chris Wilson

Chris Wilson — Sat, 01 Aug 2009 05:37:22 +0000

Syamant,

Thanks for these questions. They really help put the issue in perspective.

We didn’t talk too much about timing before direct competition would enter the market, but that is a valid question. We did discuss indirect competition, which I noted could be anything that someone would choose instead of his brand. It could be something in a different category or industry all together.

To your question about this being an issue of identity versus differentiation, I think it’s both. It’s about focusing on the building blocks that will differentiate the brand from competitors even before competitors have arrived. It’s also about identity, because both are interconnected. In thinking about differentiating the brand, you would come to conclusions that would impact identity.

Kristen,

Thanks for your thoughts. Your exactly right. In this situation my client has the advantage of being a first mover, unless he fails to act and differentiate by defining unique value now. Competition is inevitable, whether that is direct or indirect competition or not, I think, is beside the point.

By: Kristen Turley, APR

Kristen Turley, APR — Fri, 31 Jul 2009 16:46:02 +0000

Chris, Interesting post. Brand differentiation absolutely matters. If he can’t speak to those points that truly add value to his customer early on in the process, then he’ll never be able to do so. Once competitors start emerging, as they always do, his brand might begin to lag and perception will be that he is now the follower because you can bet the new companies will be thinking of new and different ways to set themselves apart from the “first mover”.

By: Syamant

Syamant — Fri, 31 Jul 2009 15:35:14 +0000

1. How much time would elapse between the launch of the company till it finds its first competitor ?

2. Is it necessary that the competition would always be direct ? It could well be that there is some indirect competition.

It would be interesting take your clients views in the light of these two questions.

Another point that came to mind, is the issue about differentiation or is it about identity?

Would like your views…