Market Research Toolbox: Brand Differentiation Analysis
Be Different, Be Outstanding
Companies that are positively distinguished in the market are less likely to lose customers to competitors. Reputation, service, and a variety of other factors have the potential to make a company stand out. BioInformatics offers the Brand Differentiation Analysis to help life science suppliers determine if they do stand out or if they are simply running with the pack. Using this powerful tool, you can learn which competitors potential customers perceive to be most similar and, thus, which companies will be seeking to acquire a supplier’s market share.
Case Study: Where do I stand in the eyes of my customers?
A leading research organization wondered how they stacked up next to other national competitors. BioInformatics employed a Brand Differentiation Analysis to ask current and potential customers to rate our client’s similarity with a number of other organizations. Results provided striking evidence to support their hypothesis about which competitors posed the greatest threat. In addition, our research brought other key competitors to light that had not been previously considered.
Understanding Brand Differentiation Analysis
Through a sophisticated online survey system, BioInformatics is able to perform Brand Differentiation analysis that examines the degree of similarity between suppliers. The closer customers perceive two companies to be, the more likely they will be to switch from one to the other. Conversely, the more dissimilar two companies appear to be, the less likely customers will be to switch allegiances. Respondents are asked to rate each brand pairing on scale from 0 to 10, with 10 being the most different and 0 being the most similar. The results are then aggregated to create the spider-web diagram (below), which enables you to understand:
- Which brand(s) are closest competitors
- A brand’s competitive position relative to other brands in attracting and satisfying customers
With this information, our client confirmed which brands they should guard their market share against and which brands from whom they can acquire new customers.
Equipped with BioInformatics’ research and analysis, our client is undertaking an effort to capitalize on their position in the market. Brand Differentiation Analysis has provided critical information about their position in the perceptive eyes of their current and potential customer base.
To get more information on BioInformatics’ Brand Differentiation Analysis or to discuss further details of your potential market study, please contact Greg Thompson at 703-778-3080 x-22 or [email protected].
