An overview is presented of the progress in understanding polymer heterogeneity over the last 20 years and how this has contributed to the improvement of coatings. Solvent-based polymers are homogeneous in nature, since all polymeric materials tend to be dissolved in the same solvent mixture. This is different for most waterborne polymers, which tend to be present in a compartmentalized way. Most polymeric materials are present in particles, which are separated by the continuous aqueous phase. This gives excellent opportunities to create particle morphologies that form the basis for the film morphology after drying of the coating. This article gives an overview of the various types of heterogeneity which are accessible in waterborne polymers and will show how heterogeneity in the polymer can contribute to the solution of several persistent problems of the coating industry.