Meaningful Differentiation For Service Providers

Services vs Products

Often I get asked about differentiation and how much easier it is to in products rather than
services. Well certainly it is a great thing to do in products but I can categorically state that it is no harder
to do in services but simply following the very same principles that make it valuable for products.

Meaningful Differentiation

Regardless of whether we are talking about physical products or services, the guiding principles are the same.

Namely:

1.       That the point of difference must relate to the unmet need.

The unmet need examines that part of the customer need that remains unmet. It reflects the area of dissatisfaction
that is still being felt by the customer or prospect that still carries negative consequences for them.
If a point of difference is not related to want customers want it will be seen as being of little or no value
and will therefore add nothing significant to your overall product value proposition.

2.       That the point of difference must be sustainable over time.

Even if the differentiation you come up with is directly related to the customer’s unmet need and therefore intrinsically valuable,
it will still need to have sustainability where the benefit will be able to be provided over a significant time. If this is not the case,
then the benefit being provided is not a true differentiator but rather a simple sales promotion that is finite and not really expected to
distinguish one product from another.

In The Services Sector

So applying these two key criteria let’s now examine a great example of a service provider I believe can tick both boxes and thereby lay claim to
having achieved a true differentiation in his market place.

I met an impressive Financial Advisor a couple of years ago that automatically stood out for me from others I had met.
David Perez and I spoke at length and it was clear to me from our first conversation that he had an enormous amount of information and insight not only
about our local Australian domestic market and economic conditions but also just as importantly those from overseas and specifically
how they would be likely to impact on us here moving forward.

He is obviously committed to continually working on his knowledge and therefore being able to apply it to maximise the opportunity each client has,
based on their specific financial and  personal circumstances.  

As well, being independent and therefore not being aligned to specific banks, funds or other strategic partners he is able to provide unbiased opinions that are
not designed to sell specific predetermined shares, funds or other investments, but rather advice that flows from a robust analysis that has the best chance of success
based on the best decision making processes and all the currently available data.

So the differentiation is obvious in terms of broader based and deeper levels of knowledge that is because of its source also sustainable over time to
be able to continuously provide that to all his clientele so in the end he provides a better service and can maintain it over time.

So what about your business? What are the unmet needs that are there that need to be more adequately filled to provide high levels of Value and
ultimately customer satisfaction. If you find them, you will be able to unlock the door to growth.

So until next time, good luck and good marketing.

Regards,

Daniele.

David Perez’s contact details are:  

Level 7, 215 Spring Street

Melbourne VIC 3000

P.   +61 3 8646 4000

F.   +61 3 8646 4010

M.   0430 727 250

E.    dperez@pwm.net.au

 

http://www.davidperezadvisor.com/