Product differentiation strategy has been identified as one of the most significant competitive strategy for NEXT. Exciting products, beautifully designed, excellent quality clothing and home ware are playing a vital role in the success of NEXT.Lipsy, one of the popular fashion brands among females, introduced new products that resulted in 61% higher sales and accounted at £45 million (Annual Report, 2011). A wide range of quality products and demands made Lipsy to trade from 27 stores. Huge discounts over online purchase through website have created greater attraction for company’s household products, clothing and footwear goods. Company has a very well-balanced product mix that offers a good value for money to its customers and also has wide range of products available to meet higher demand of customers(McKinlay,A.J.R ,2011).