For all the talk about differentiation and branding, I'm realizing that many businesses are a little fuzzy on where one begins and the other ends.

It's no wonder when you look at their definitions:

Branding is the unique identity your product/service has that distinguishes it from competitors.

Differentiation is the act of highlighting the things that make your product/service unique in the marketplace.

They're essentially two sides of one coin, and that coin is about standing out in a crowded marketplace.

Let's start with the obvious: You need both.

Here's the less obvious: The same image or methodology can be used to create your brand and to differentiate your product from your competitors'. But not always, and certainly not forever.

Your brand can and should last a long time. You may choose to update it to keep up with the times, but there are elements that should never change.

McDonald's golden arches are a good example. The restaurant design could changed. The mascots could change. But those arches should never change, because that's the brand.

Differentiation, on the other hand, will need to change over time.

As technology evolves, new players enter the market, or buyer behavior shifts, the power of your differentiation may weaken or even disappear.

Netflix adopted streaming technology when it was new. Blockbuster didn't. They stuck with their original differentiation strategy — having the largest library of videos available for rent and knowledgeable employees who could help customers find a movie they'd like.

The trouble was, as streaming evolved, no one cared anymore.

What was once a competitive advantage became a liability.

It's also important to understand the difference between a brand and a differentiator.

Coca-Cola's brand is iconic. You only need to see Coca-Cola red, the script logo, or its uniquely shaped bottle, and you know you're getting a Coke. That a powerful brand.

But it's not differentiation.

When Coca-Cola was invented in 1886, they had some huge differentiators: carbonation; their sweet, syrupy flavor; a non-alcoholic refreshment (soft, not hard).

But as the market developed, carbonation was no longer a differentiator. Soft drinks became a category.

The flavor itself was almost recreated by market challenger Pepsi, so that's no longer a differentiator.

And now, buyers are looking for healthier options for their flavored drinks. The sweet syrup is a liability, not a differentiator.

To grow your business, you need a strong brand and some differentiators that set you apart from your competition.

You can start with brand colors and a logo, but think about the bigger picture.

One of my clients created a brand around the science of what they do. They call themselves scientists and wear lab coats when they speak on stage.

The scientific method has been their differentiator for years. But like Coke, their competitors are encroaching. It may be time to find a new differentiator.

Always remember: Your brand is forever. Your differentiator may change over time.

Stay awesome!

Kathryn Aragon

Growth Consultant @ KA Media

P.S. Interested in branding? I go a little deeper in this article.​