To this provocative question, some might simply answer: "If you sell them, no doubt
you offer Value. No Value, No Sale!". Fair enough. But this answer might not be
sufficient when you are creating new products for example. You probably need to
ask yourself the question of what your new product will bring. To whom. And the
next question might be: "Is that really different from what others offer?". Value
creation and Differentiation are at the core of what marketers and innovators should
live and breathe...
In this edition of the SpecialChem newsletter on "Marketing & Innovation in the
Chemical industry", we are sharing an article that analyses the mechanics of value
creation in chemicals, while getting back to some common misconceptions one can
frequently encounter. It also explores the practical relationships between
Value and Differentiation.
"Hype". This is probably the best word that qualifies the concept of Value
today in the chemical industry, a sort of spice that is being put in many different
sauces: "Value proposition", "Value in use", "Value chain",
"Value selling", "Value pricing", "Customer Value management"...
Can a marketer or a business developer talk about its products without adding a
bit of Value here and there? To the point that you can wonder if Value is not a
useful word to hide the vacuity of some offerings or mask the lack of customer understanding.
Or is it just an attempt to preserve higher margins? ...
Differentiation is providing reasons for customers to buy from you, effectively
communicating what unique attributes can benefit the customer more than competitive
offerings. The range of unique attributes includes ...
Imagine you are in a car showroom thinking
about buying a high-end vehicle for the first time. The luxurious environment and
polished sales staff, although slightly intimidating, reek of success. Despite the
price, you revel in the experience and are convinced you should purchase the car...