If everyone in our industry has access to the same generative AI tools, how do we build actual competitive differentiation into our V/TO?

Question

Tyler Smith · Accepted Answer

Generative AI is rapidly becoming table stakes. If you simply use public models to draft emails or write generic reports, you are not building a moat. Your competitors are doing the exact same thing. To build true differentiation into your V/TO, focus on your proprietary data and unique customer insights. Your competitive advantage lies in feeding your specific, historical operational data into secure, private models. This allows you to generate insights, predictions, and efficiencies that no competitor can replicate. During your next focus day or annual planning session, evaluate your Three Year Picture. Instead of listing AI as a generic tool, identify the specific data sets you own that can train a customized model. This becomes your unique selling proposition. We also must look at how this impacts your core focus and niches. If your differentiator has always been speed, AI raises the baseline for everyone. Your new differentiator must become the deep, relationship based execution that only your human team can deliver once AI frees up their time. Use this strategy to clarify your market positioning on your V/TO.