Introduction
For the past decade, marketing experts have debated the concepts of differentiation and distinctiveness. The discussion has divided professionals into two camps.
The traditional view holds that differentiation is the key to a brand’s success. The premise is that consumers need a compelling reason to choose one brand over another, making it essential for brands to set themselves apart. This thinking, reinforced by books like Differentiate or Die, is largely based on anecdotal evidence.
In 2010, Byron Sharp challenged this conventional wisdom in his book How Brands Grow. He argues that brands do not necessarily need differentiation to succeed, supporting his claim with three key points:
Brands exhibit minimal differences in image metrics.
Loyalty levels among large brands are slightly higher than for smaller brands. If differentiation were a driving force, niche brands would have high loyalty but a small customer base—yet data shows this is not the case.
User profiles of different brands show little variation across categories. If strong differentiation existed, consumer groups should be more distinct.
While Sharp’s insights have influenced modern marketing thought, this article presents a balanced view, acknowledging both differentiation and distinctiveness as essential components of brand success.
Re-Evaluating Byron Sharp’s Claims
While Sharp argues that there is little variation in brand image profiles, this claim relies on brand tracking surveys from research firms such as Nielsen, Kantar, and Ipsos. However, these traditional survey methods have significant limitations and often fail to detect existing brand differences. More sophisticated methodologies reveal greater variations in brand perception than Sharp suggests.
Be Digital’s Framework: Three Pillars of Brand Positioning
At Be Digital, we recognize three ways in which brands can distinguish themselves from competitors:
Product Differentiation
Brand Differentiation
Distinctiveness
1. Product Differentiation
The ideal form of differentiation is having unique product features that add tangible value for consumers. A brand that offers a superior product gains a competitive advantage that goes beyond marketing perceptions.
However, in highly competitive industries, maintaining product differentiation is nearly impossible. Successful innovations are rapidly copied by competitors, eliminating any sustained advantage. Consider industries like beer, telecommunications, finance, and automobiles—how many truly differentiated products exist within these categories?
Unless a company possesses technological superiority, sustaining product differentiation is difficult. For most brands, competing on product differentiation alone is a utopian ideal rather than a realistic long-term strategy.
2. Brand Differentiation
When products are functionally similar, brands turn to emotional and symbolic differentiation to stand out. Through advertising, packaging, and messaging, brands create unique associations that make them more attractive to consumers.
There is extensive evidence that advertising is effective in shaping consumer perceptions. Many brands have built enormous value by successfully differentiating themselves in consumers' minds through strategic communication.
However, Sharp does not dismiss brand differentiation outright. In How Brands Grow, he states:
“Brands are different from one another, and they are perceived as such, but differentiation plays a small role in how brands compete.”
His argument is not that differentiation is impossible or useless, but rather that it is not always necessary for success. Many large brands thrive without strong differentiation—proving that distinctiveness can be just as powerful.
Consumer Behavior: Preference vs. Habit
A common assumption in marketing is that consumers must first develop a preference for a brand before they become loyal buyers. However, behavioral science suggests otherwise.
Academic research shows that consumer behavior often precedes preference. People may initially purchase a product without a strong preference, and over time, repeated use builds familiarity and brand loyalty.
This raises a key question: If consumers don’t have an initial preference, why do they choose one brand over another? The answer lies in distinctiveness.
Distinctiveness: The Power of Being Recognizable
Distinctiveness refers to the visual, auditory, or symbolic cues that make a brand instantly recognizable. Unlike differentiation, which aims to create unique brand perceptions, distinctiveness simply ensures that consumers notice, recognize, and recall a brand in purchasing situations.
Examples of Distinctive Brand Elements:
Logos & Symbols (Nike’s swoosh, McDonald’s golden arches)
Slogans & Taglines (Nike’s “Just Do It”, Johnnie Walker’s “Keep Walking”)
Brand Characters (M&M’s characters, Tony the Tiger)
Signature Sounds & Jingles (Intel’s “Intel Inside” sound, McDonald’s “I’m Lovin’ It” jingle)
A strong distinctive brand makes purchasing decisions easier and more automatic for consumers. They don’t need to actively evaluate alternatives—recognition and habit drive their choices.
Differentiation vs. Distinctiveness: The Key Distinction
Differentiation is about what associations come to mind when thinking about a brand, while distinctiveness is about how easily a brand comes to mind. Byron Sharp calls this mental availability—the probability that a consumer will notice and consider a brand when making a purchase decision.
Why Distinctiveness Matters:
Consumers perceive familiar brands as less risky, making them more likely to purchase.
Distinctiveness helps brands build habit-driven buying behaviors, where preference follows behavior rather than the other way around.
In low-involvement categories (where consumers do not deeply evaluate purchases), distinctiveness often outweighs differentiation in influencing sales.
Distinctive assets also enhance advertising effectiveness, making it easier for consumers to link a message back to the brand.
Conclusion: Striking the Right Balance
Distinctiveness has rarely been acknowledged in marketing literature or by practitioners until How Brands Grow was published. Before that, the dominant conversation centered around differentiation. Byron Sharp deliberately made a strong case against differentiation, likely to challenge and balance prevailing marketing perspectives.
In his effort to bring distinctiveness to the forefront, Sharp makes bold claims about the absence of loyalty and the limited role of differentiation. Some readers misinterpret his arguments and assume that he dismisses differentiation entirely, which is unfortunate.
Sharp’s conclusion that brands tend to lack differentiation may be somewhat influenced by the limitations of traditional image measurement methods. However, his argument for distinctiveness remains compelling and serves as an important counterbalance to the marketing community’s long-standing emphasis on differentiation.
What marketers should take away is that few brands truly achieve differentiation, yet many brands succeed without it. Regardless of a brand's level of differentiation, maintaining strong distinctive elements remains crucial.
Both differentiation and distinctiveness play important roles, but differentiation has historically received far more attention from the marketing community. Few companies actively prioritize the development and measurement of distinctive assets as a core part of their marketing strategy.