Today we’re talking about how to differentiate your small business or product in a saturated market. In today’s world, there are so many brands out there and so much information we’re receiving and consuming all the time that our brains get overloaded. Only the most distinct information or images we see actually stick with us. In order to be successful, our businesses need to somehow stand out and differentiate themselves from all the other products, content, and ads that people see all the time.

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Differentiating Can Feel Overwhelming

When someone asks me, “Why is your brand different? Why is your diaper bag different? Why is your handbag different?” I used to freeze and honestly feel a little defensive like, “Okay, I have to be the lawyer for my product now and prove why it’s better and different.” It can be really overwhelming and stressful as a product designer and a small business owner to feel like you have to be different to be worthwhile.

Your Elevator Pitch

Consider your elevator pitch. Let’s just imagine that you get into an elevator and suddenly a famous investor gets in with you. You have 30 seconds to pitch what your business is about and they might give you $100,000. What would you include in that pitch to sell your brand? The things you include in your elevator pitch are probably what makes it different.

What are the unique qualities of your product or brand that you would include in your elevator pitch? You might be thinking your product isn’t unique enough. There are so many brands that sell diaper bags, t-shirts, greeting cards, or whatever it is that you’re making. Maybe you’re thinking it’s just too saturated or that your product has to be original or something that’s never been done before.

Nothing is Original

Well, don’t despair! I have a couple of quotes here that I think you will find comforting and helpful. This first one is from Austin Kleon. He wrote the book “Steal like an Artist,” and he says,

“What a good artist understands is that nothing comes from nowhere. All creative work builds on what came before. Nothing is completely original.”

Austin Kleon

So it’s usually something we’ve heard or seen before that we’re just putting a spin on. Here’s a quote from Mark Twain that really sums it up:

“There is no such thing as a new idea. It is impossible. We simply take a lot of old ideas and put them into a sort of mental kaleidoscope. We give them a turn and they make new and curious combinations. We keep on turning and making new combinations indefinitely, but they are the same old pieces of colored glass that have been in use throughout all the ages.”

Mark Twain

I feel like that really captures it. The ingredients or parts of the things that you’re making are not new, but you’ve come up with a different combination. This perspective should give you a little comfort. Your product doesn’t have to be completely revolutionary to be successful.

However, you do need to differentiate your business somehow. So we’re going to identify some of the ways you can do that, whether it be your product being different or the way that you’re framing it to your target market.

Research Your Competition

In order to understand how to differentiate yourself, you first need to understand your competition. You will need to conduct some thorough market research to identify any gaps or unmet needs within your industry.

Identify Your Competitors

1. You probably already know who some of your major competitors are. You may have seen their products, or their ads, or seen them in the store.
2. Another great way to figure out who your biggest competitors are is to actually ask your customers directly. Ask them which other products they have purchased that are similar to yours.

Compile the Information

So once you’ve gathered a group of competitors, narrow it down to 5-10. Start analyzing these brands to see where they’re similar or different.

Here are a few questions to answer. Create a spreadsheet and start filling in the answers to these questions:

1. What is their product and how much is it? How does that compare to your product and cost? Look at products that are the most similar to yours and solve the same problem as yours.
2. What values are they focusing on that they’re offering to their customers? For example for diaper bags: are they offering a very high-quality/high-end look for a very refined mom? Or are they focusing on the fact that it’s really organized to help moms to feel less stressed? What value are they proposing to their target market? You can find this out by looking at the key headlines or phrases on their websites or ads.
3. Who is their target market? You can deduce this by looking at the personality that they’re using in their marketing or on their website. Are they quirky? Are they serious? Are they sassy? Are they funny? Are they empathetic? This helps you identify who they’re talking to. Also look at their branding, their visual appearance, and their color scheme.
4. What are their strengths? What are they doing really well?
5. What are their weaknesses? What could they do a little bit better?

Analyze the Info

Once you’ve analyzed at least five brands and answered all of these questions, you can start looking at what makes your brand or product unique. Consider your USP or unique selling point. Again, it is near impossible to be completely unique or original. Don’t stress yourself out over offering something that’s brand new or never seen before. Um, but your product can be different in some ways.

Does it offer different benefits or have any unique qualities to it? Or are you framing it in a different way? Are you solving the problem in a different way? Or Are you reaching a different target market or a different niche within that target market?

Here’s a list of some ways to differentiate:

Is your product made differently in some way?

Is it made with a different material or through a different process? Is it more sustainable or durable? Is it U.S. made? Do you offer personalization, like a monogram? Does it offer different features?

Using my diaper bag as an example, my bag design has padded straps. A lot of other popular diaper bags out there just use woven nylon straps. My bag is also lightweight. It’s only 2.7 pounds. Some can be heavy and that’s a big deal when you’re carrying around a big diaper bag with a lot of stuff in it all day. Those little tweak differentiate me and I focus on those in my marketing.

Are you targeting a different niche in your market?

Sometimes focusing on a different target market or more specific niche is a great way to differentiate. Analyze your competitors target markets to see if your product is a good fit for a specific niche.

Do you offer extraordinary value?

Is your solution more valuable than others? Does it work faster? Does it do more than one thing? Does it have exceptional quality?

Does it solve a problem in a unique way?

Does it solve a problem in a way that your target market isn’t familiar with? Maybe it’s not unlike everything on the market, but is different than the most popular solution. Your potential customer doesn’t know every single solution that’s out there. Does it offer them a new (to them) way to solve their problem?

For example, my target customers are new moms. Often when you become a mom, you lose your identity a little bit. Your sole focus is on your kids and you kind of forget about who you are as an individual. You want to express who you are and your style choices a little more as you start to get out into the world with your baby. I offer unique interchangeable straps that attach to any of my bags to help moms feel like they’re expressing their style a little bit more and not just the baby’s.

This is a new solution my customer may not have thought of to express their personality through the strap on their bag. It’s a new way to solve that problem for them.

Do you have a unique brand story?

Do you have a unique brand story? Maybe your brand is more founder driven and the fact that it’s from you, you created and designed this product, is what’s unique. If you have a compelling brand story that really resonates with your audience, that’s a great way to differentiate yourself.

You could share the journey of your product’s development, highlighting the trials you’ve overcome, your passion, and the innovation that went into it. Effective storytelling can create an emotional connection between your brand and your customer.

Read More: Understanding Market Placement and Brand Identity with Laura Bonnell

Do you offer a sense of community?

There’s this hat brand in my area in Newport Beach, CA. It’s just called NWPRT Hats. Its a very popular har in our area that kind of identifies you as being part of the community. I think that creates loyalty in a customer, if you feel like you’re part of that community or, you’re in on a secret.

Conclusion

TLDR, follow these three steps:

1. Analyze your competitors by answering the questions listed and filling out a spreadsheet.
2. Identify any gaps by analyzing your research.
3. Go through the above list of ways to differentiate, whether your actual product is different or your branding, story, or target market is.

Don’t feel like you can’t make your product work because it’s not totally unique compared to anything you’ve ever seen before. You can take something that’s been done, but put your spin on it to fit your branding or personality and in that way it can stand out in a saturated market.

Work With Me

If you are interested in launching your own products, you need help with technical design, or maybe you’re just stuck in your brand and you’re not sure how to scale or where to go next. Please feel free to reach out to me. I genuinely get excited and passionate about helping people with their business and their ideas.

You can email me at rebecca@theproductsessions.com or click work with me to see pricing etc.