What are some common mistakes that companies make when trying to differentiate their products from competitors?

The biggest mistake is to focus on what the competitor does versus what the customer cares about. Don't start with what the competition is doing or not doing, start with what specific customer needs are not being met by the current players, and find better ways to serve them. Another common issue is to be too reactive to the competition and following competitors into whatever new shiny thing they believe will give them an edge. Again, looking at what the customer wants and why they want it will ...Read More

I can think of several common mistakes companies make when trying to differentiate their product. However, I'm going to focus on a few key ones: Overemphasizing features instead of benefits. AI is a great example of this. We hear a lot of buzzwords like "AI-enhanced" and "AI-powered." AI is a feature, not the end goal. Customers aren't really interested in the technology itself per se; they care about how it helps them. If your messaging doesn’t clearly articulate the tangible benefits—how your ...Read More

A common mistake I see is immediately going from "positioning" to "features." What your product does is far less important than what it helps your customers do, and chances are not every button and knob make your customer feels like they have superpowers! Instead, I try to use the Google product marketing adage when crafting positioning: Know the user. Know the magic. Connect the two. First, know your user. Then, describe how your product is magic for them - not just what it does different that ...Read More

The biggest mistake I have seen marketing teams make when trying to differentiate their products from competitors is to "differentiate" by renaming industry-accepted terms and capabilities for the sake of being different vs. showcasing what is that you offer, how are you different, and why that should matter to customers. Another mistake I have seen many companies make is to believe a feature list comparison on a website suffices to claim you are different vs. a key competitor. Most customers do ...Read More

Generally speaking, I think buyers are skeptical of "first", "only" or "best at" claims from vendors. I prefer to take a softer tact in messaging by acknowledging competitor strengths while then pivoting to a gentle but firm delivery of what makes us different ("they do a good job at X, but our customers typically choose us when they need Y"). Even subtle messaging to introduce your differentiators like "here's what makes us different..." instead of "here's why we're the best solution" tend to p ...Read More

Lack of deep understanding of the target audience: Differentiation should be based on a thorough understanding of the target audience's needs, preferences, and pain points. Like everything in product marketing- it should start with your customer. Building parody features or postioning to copycat a competitor is a fast road to a dead end. Neglecting to communicate the value proposition clearly: Even if a product has distinctive features or benefits, failing to communicate them clearly to the targ ...Read More

One of the most common mistakes companies make when trying to differentiate their products is focusing too much on feature comparisons rather than customer outcomes. Companies often build messaging around why their feature set is better than a competitor’s, assuming buyers make decisions based on a checklist. In reality, customers care less about individual features and more about how a product solves their problem more effectively, with less friction, or at a better ROI. Simply having “more AI” ...Read More

I think everyone forgets about "status quo" and "no solution" competitors. These two more often than not - make up the vast majority of whitespace / addressable market for a company. We get excited by stories - which are told by our competitors. The problem is they are distracting to us and our market. Focus on the people who are doing things the old way or have not yet made up their mind. Convince them by focusing on why YOU win. What makes you different. What are the 5 things your product does ...Read More

I’ve seen product teams and sales teams get so beaten down by focusing too much on competitors. Here are the top 3 biggest mistakes I’ve seen.  Companies get too caught up in feature comparison. The value is totally lost here. What to do? Ensure your sales team has a competitive positioning story that articulates HOW your product provides value and WHY this is better for customers in the long run. Sales teams talk too much about competitors and not enough about their own product’s value to the c ...Read More

They either pay no attention to how their competitors are positioned or they copy a competitor's position. Plus they don't have an effective way to determine if their position is unique or not. My clients use an Excel application that creates a competitive map that makes it easy to see how competitors are positioned. Then use it to determine if a proposed position diferentiates. See competitive map examples in my assessment of the positioning effectiveness of the leading Financial Planning and A ...Read More