Intangibles are the Most Powerful Differentiators

In high-technology, where purchase decisions are high-risk and products are complex, the most powerful and sustainable differentiators are often intangible. When a customer is making a multi-million dollar decision or betting their own product's success on a supplier's component, their choice is driven by factors that go far beyond a spec sheet.

The buyer is always concerned about the future: Will the system work? Will it arrive on time? Will the supplier fix it when it breaks? Will they even be in business in five years?

Key Intangible Differentiators:

• Trust and Confidence: The customer's belief that the supplier is a reliable partner who will ensure their success. This is built over time through consistent performance.
• Management Commitment: The visible commitment of the supplier's top executives to the customer's success. This provides a level of assurance that a simple sales relationship cannot.
• Reputation and Brand Image: The collective perception of the company's quality, service, and reliability (e.g., IBM's reputation for support, Maytag's for longevity). This is a core part of The Company Itself is a Differentiator.
• Service: The promise and, more importantly, the proof of excellent service. Good Service is a Juggernaut Differentiator.

Marketing's job is to design these intangibles into the product and then communicate them effectively. In a world of look-alike devices, the company that wins is the one that builds the most confidence.