Repeatability

A Well-Differentiated Core

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example of this. These are three of the most powerful forms

of differentiation through unique customer relationships. In a

sense, these companies almost become part of their customers’

habits, routines, and repeatability.

After you have isolated and defined as clearly as possible your

sources of differentiation, the next task is to ask why you have

been able to do that and how sustainable that advantage is. This

requires going at least one more layer down. So, for instance, in

the case of American Express, its differentiated capabilities trace

back to its customer database and the unique way that it gathers

transactional data.

This process of probing three levels down for the essence of

your differentiation ...