Only 10% to 20% of Customers See Your Brand as Unique

Only 10% to 20% of a brand's customers see it as unique, 2007 research found. A new MarTech analysis argues speed, AI and martech blandness have made differentiation even harder to sustain.

Wire notes

  • Ehrenberg and colleagues found in 2007 that only 10% to 20% of a brand's customers see it as unique or different.
  • Trout and Rivkin's 'Differentiate or Die' was published in 2000; Byron Sharp's 'How Brands Grow' followed in 2010.
  • Forrester found more than 80% of B2B buyers end up dissatisfied with their chosen provider after the purchase process.
  • Intel's 'Intel Inside' campaign, built on heritage and market leadership, followed an AMD rivalry based on minor performance advantages.
Your brand isn’t as differentiated as you think
PhotoYour brand isn’t as differentiated as you think — AI-generated

By Priya Raman

Only 10% to 20% of a brand's customers see it as unique or different. That figure, published in 2007 by Andrew Ehrenberg and his colleagues, sits at the center of a new MarTech analysis that argues most marketers overestimate how differentiated their brands actually are.

The analysis, published on MarTech under the headline "Your brand isn't as differentiated as you think," makes a blunt case: too many marketers try to convert minor features or new products into differentiation, and the approach rarely survives contact with competitors. The author cites Vine's short-form videos and Bowmar's pocket calculator as examples of differentiators that competitors copied or erased.

What changed the debate?

For roughly two decades, the dominant framework came from Jack Trout and Steve Rivkin. Their 2000 book, "Differentiate or Die: Survival in Our Era of Killer Competition," pushed marketers to build strategy around points of differentiation. Trout did not count features, capabilities, customer support or service as differentiators. His list included heritage, specialization, ownership of attributes and being first.

The counterargument predates the book. In 1997, Ehrenberg and his colleagues argued that most buyers did not see substantial differences between competing products and services. The 2007 research quantified the point: only that 10% to 20% minority of a brand's customers perceived it as unique.

Byron Sharp broke the consensus open in 2010 with "How Brands Grow," which argued that distinctiveness mattered more than differentiation. Sharp also said that simply being easy to find and buy from was a key factor in growing a brand.

Why does speed make differentiation harder?

The analysis identifies copy speed as the structural problem. Unless a brand holds intellectual property competitors cannot replicate, rivals can now copy products faster than ever. Even an inferior copy can destroy perceived differentiation.

Software shows the effect most clearly. AI enables rapid development and deployment, so, as the author puts it, "any differentiation you have today is likely to be everyone else's feature tomorrow."

Physical products follow the same pattern. Globalization and technology let almost any brand match a competitor's product in months, rather than the years or decades the process once took. The result: brands can lose differentiation before prospects even realize they offer something unique.

Is martech making the problem worse?

The author argues it is. Differentiation only exists if the audience perceives it, and few brands spend enough time promoting their sources of differentiation. Instead, many fixate on what their martech tools can do, which the author notes is often more fun than repeating the same message.

AI and stock imagery compound the problem by spreading blandness across categories. Competitors reuse the same stock images, and AI pushes multiple brands toward nearly identical messaging. Personalization, in the author's view, often makes things worse: many personalization efforts are bland statements about the customer rather than compelling reasons the brand is the only or best choice.

What should practitioners do instead?

The analysis points back to Trout's original criteria. Most differentiators marketers list today fail those tests and work better as unique selling propositions. What genuinely separates brands, the author writes, is how well they treat customers: customer support, delivery performance, personal interaction and prices.

The bar is low. Forrester found that after the purchase process, more than 80% of B2B buyers end up dissatisfied with their provider of choice. Since nearly every brand claims great service, the winning move is often simply not making a mistake.

The author's template is Intel. In the AMD versus Intel battle, minor performance advantages initially served as differentiators. Intel then launched Intel Inside, a campaign built on heritage, market leadership and status as the first company of its kind, and dominated for years.

The practical instruction is direct: next time a colleague tries to elevate an unimportant feature into a differentiator, push back, and find something more likely to stand the test of time.

via semrush.com (Original)

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Priya Raman

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Correspondent covering people, launches and day-to-day practice in marketing, advertising, marketing technology, media, SEO and search at Marketing Herald.

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