So you offer the same products/services as your competitor(s). What makes you so different? It could be price. But wouldn't you spend just a little more for better service? I would. And I think that's what makes people more "brand loyal."
On Forrester's Marketing Blog Peter Kim talks about the keynote session Bruce Temkin gave at Forrester's Finance Forum. The reference here is to banking, but I think this theme crosses all business boundaries. The example given is this:
Successful firms practice "experienced-based differentiation" based on three key areas.
- Obsess about customer needs, not product features.
- Reinforce brands with every interaction, not just communications. I.e. make promises and keep promises.
- Treat customer experience as a competence, not a function.
Take a look at Peter Kim's post for example of each of these areas and also for the experience-based differentiation self-test (note: content is not free).