How differentiated is our firm?
Many agencies are convinced that they are different by virtue of being “better.” But better isn’t different – only different is different.
Apple is widely admired for having “better” products, but that’s not the only thing that what makes them different. Apple goes out of their way not to operate like other technology companies, and the list of things they do differently is a long one. Here are just a few:
- Other computer companies have open platforms; Apple’s is proprietary.
- Other computer companies routinely discount their products; Apple never does
- Other computer companies exhibit at a variety of trade shows; Apple exhibits only at their own shows
Does Apple act differently because they are Apple; or are they Apple because they act differently? The answer is the latter. You become different by thinking and acting differently, sometimes doing the polar opposite of the rest of the industry.
The crossroads of relevance and differentiation
To get a sense for how differentiated your firm is, make a list of 10-15 things you say to describe yourselves. Then give each description a rating on a scale of 1-10 on two dimensions: Relevance and Differentiation.
Relevant = Degree to which this is considered an important core feature or benefit by the client
Differentiating = Degree to which this makes us different from other direct competitors
Rate the following on a scale of 1 (poor) to 10 (excellent).
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Differentiation questionnaire
Next, administer the following questionnaire (using one of the popular online survey tools such as SurveyGizmo) to the key people in your organization. Use a similar 10-point scale to rate yourselves as follows:
Rate the following on a scale of 1 (strongly disagree) to 10 (strongly agree).
- We have identified what we do well -- our strengths and core competencies.
- We try to focus on what we do best instead of attempting to offer every possible feature, product, or service.
- We have a clear definition of our best customer (clients who want us for what we do best).
- We target a specific segment of the market, not the center of the market.
- We avoid the promise of “full service,” or “wide range of services.”
- We are as concerned with making our brand different as we are making it better.
- We believe in the strategic advantages of “narrow and deep” over “broad and shallow.”
- We avoid imitating the marketing and marketing claims of our competitors.
- We are willing to stand for something instead of trying to stand for everything.
- We are differentiated not only by our capabilities, but by our point of view.
Remember, a commitment to work hard and do your best is not a positioning strategy. Chances are the agencies you admire not only do good work, but work differently.
Questions or feedback? Contact us.
Copyright © 2011 Ignition Consulting Group, Inc. Terms of Service
