There are two different ways:
(1) You could list out four or five of your biggest "selling points".
For example: your industry experience; or your track record in similar roles; or key technical skills; or important "soft" skills; or key accomplishments, or your awards; or relevant education and training.
There's nothing wrong with an answer like this. But there's an even better way to differentiate yourself.
Here's how I recommend you answer this question:
Look the interviewer (or the one who asked you this question) square in the eye, and give them one excellent reason why they should hire you.
Just one reason.
It's what we call a Unique Selling Proposition. It's not just *a* reason why the hiring manager should snap you up quickly -- it's *the* reason. It needs to be crystal clear. It needs to be specific. It needs to speak to the one thing he or she (and their organization) cares about more than anything else, for your field.
This single sentence makes you the pre-eminent candidate.
It elevates you to a higher status and makes you stand head and shoulders above the other candidates for all the right reasons.
Actually -- strike that.
It makes you stand out for *the* most important reason.
This is where its power comes from.
This is why a strong Unique Selling Proposition commands respect.
Now...
Do I have a tip for you -- to help you develop and refine your own Unique Selling Proposition, one that you can say with authority and integrity?
Yes and no.
Crafting a powerful Unique Selling Proposition is not complicated. It comes down to identifying their big problem and showing how you deliver a unique and valuable solution.
However, there are a series of steps and "homework" assignments you need to work through in order to get to the core of what you uniquely offer and why a certain type of hiring manager should pay a premium to hire you.
There's no shortcut for this process.
I wish I could tell you it's easy, but the truth is, it does require work.
So...
No. I don't have a "tip" that can help you with this. Not today.
Here's what I do have, though:
There's a complete package of multimedia presentations, "deep dive" surveys (designed to uncover your most valuable talents and core strengths), worksheets, cheatsheets, and written guides -- and if you follow the steps exactly as they're laid out, you'll have your Unique Selling Proposition.
The entire process takes between 1.5 and 3 hours.
It's something you'll only have to do once -- and when you've done it, you'll have an authoritative and powerful answer to that question.
Even better...
You'll know exactly how to reach out to hiring managers cold (or what to put on your resume, cover letter, LinkedIn profile, etc.) to communicate your Unique Selling Proposition and use it to:
(a) Get more job interviews (with organizations that are a better fit for your talents, and the kind of opportunities you'd most cherish);
(b) Get more respect (because interviewers are already pre-sold on what you uniquely bring to the table, and now view you as a prize candidate);
(c) Marginalize other (mostly younger) candidates who can't match your Unique Selling Proposition, even if they had access to this same process.