Product differentiation

Now a day in this competitive market, to gain profit the companies have two alternatives either introduce a product with a reasonable price or to have a product differentiation. Product differentiation is the best way in case the company does not want to reduce the price. It can be done in the following ways:

1.)    Form: the company can make product differentiation by changing its products size or shape. Like Yippy noodles instead of square shape make product differentiation with Maggi noodles by making it in round shape.

2.)    Features: the company can make product differentiation by its features. Like Foodles noodles instead maida make product differentiation with Maggi noodles by making it of wheat, ragi, corn etc.

3.)    Performance, quality: the company can make product differentiation by its Performance and quality. Like Goderaj locks, safes performance, quality makes them a different product in the market.

4.)    Durability: it is important through which company can make product differentiation. Like Nokia mobile phones are more durable than Micromax or any other local brand.

5.)    Reliability: reliability is an important product differentiation strategy. Nokia mobile phones are more reliable than Micromax or any other local brand.

6.)    Reparability: the company can make product differentiation by its reparability also. Like, spare parts of Maruti cars are easily available than any other cars.

7.)    Style and design: style and design are very important product differentiation strategy. For eg. Activa is more popular than any other scooter due to it’s style and design.

8.)     Service: the company can make product differentiation by providing great service to its customers. Like if the company has customer care to listen customers complaints than the customers will buy that product rather than a company, which is not listening to customers problems.

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