“People buy emotionally.” 

This type of differentiation strategy is most suitable for:

• Brands that compete in categories that require a high level of involvement in the purchase decision. A company that sells toothpicks will find it hard generate emotional connections with the brand. A car manufacturer, such as Mercedes-Benz, can make use of this positioning very successfully.
• Brands in categories that are hard to differentiate on product features. Most will say that water is a commodity that offers very little or no differentiation opportunities. However Evian has managed to position its brand in the premium segment by capitalizing on every parent’s concern for the health of their new born babies. Using the source of their water, the Alps, to suggest purity, Evian is perceived as the only water for newborn babies.
• Brands with a long tradition and heritage. Almost every brand is launched as a result of a product innovation. However, as the time passes and the brand becomes more known and experienced, consumers attach emotional attributes to it. Coca Cola has started by delivering a unique product, which was an innovation at that time. Today the brand moved to the much broader positioning on image reflected by the slogan “Open Happiness”, and communication that focuses on people rather than the product characteristics.
• Brands that offer highly personalized products. Rolls Royce owners prefer the brand not for the technical features of the automobile but for the fact that it is hand crafted for each individual needs, and reflection the owner’s personality.
• Brands that offer unique or limited edition products. What makes a painting valuable is not the quality of paint or canvas, but its uniqueness, and the impossibility of ever being replicated. Luxury clothing and accessory brands fit this category perfectly.