A small internet meme is currently doing the rounds, this one authored by Warren Buffett. He calls it an economic moat. Put simply, the wider and more durable a company’s competitive advantages, the wider the moat. And the wider the moat, the better for a company, as it keeps competitors at bay and profits high. Economies of scale, intellectual property and relationships with key suppliers all help build a business’s moat. What can content offer? The answer, I think, is tone. Content is a highly effective way for companies to express what they believe and what they stand for. And that matters because often the product they sell is easily replicable. What does Samsung’s Galaxy phone do for you that iPhones do not? Content offers a way to differentiate from the competition and attract like-minded customers. It’s a terrific way for companies to build up their economic moat and become even more valuable.

Posted in: Opinion