Product differentiation is a marketing strategy that businesses use to make their products stand out from competitors. By highlighting unique features, quality, or benefits, companies can attract specific customer segments. For example, a smartphone brand might focus on its superior camera quality or longer battery life to appeal to photography enthusiasts. This approach helps consumers make informed choices by showcasing what makes a product special. When a coffee shop offers unique blends or a cozy atmosphere, it differentiates itself from other cafes. Ultimately, product differentiation can lead to increased customer loyalty and higher sales, as people are often willing to pay more for something they perceive as unique.