horizontal differentiation

Horizontal differentiation refers to differences in products that are similar but appeal to different preferences or tastes. For example, two brands of coffee may both be coffee, but one might focus on organic or single-origin beans, while the other offers different flavors or brewing styles. These differences don't make one product objectively better or worse; instead, they attract different customers based on personal preferences. Horizontal differentiation allows companies to target specific segments of the market by emphasizing unique features that appeal to particular consumer tastes.