Suppose you want to have a cold drink. What do you ask for? Coke, isn’t it? Taking the most common example, suppose you want to search for something. Where will you go first? Google, exactly.
Through these years, companies like Google, Coca-Cola, etc. have built their brand image in such a way that no matter what, their company names will be the first ones to pop up in their consumers’ minds whenever they want related products. Within all these years, Google and Coca-Cola have held on to their brand positions in this competitive market.
Brand position in the market is the influence that a brand has on its influencers. Brand positioning helps businesses to create brand awareness, know the target audience, and improve the brands’ image. In today’s article, we will learn about positioning in marketing, its types, benefits, and some amazing brand positioning strategies in the market.
- 1 What is Positioning in Marketing?
- 2 Types of Positioning in Marketing
- 3 Benefits of Positioning in Marketing
- 4 Strategies to Create Brand Position in the Market
- 5 Final Verdict
What is Positioning in Marketing?
Positioning in marketing refers to the strategic process of establishing a distinct image and perception of a product or brand in the minds of consumers relative to competitors. It involves crafting a unique value proposition that resonates with the target audience and differentiates the product or brand from others in the market.
Effective positioning highlights key attributes, benefits, and emotions associated with the offering, shaping how consumers perceive its relevance and superiority. Through strategic messaging and communication channels, positioning influences consumer perceptions, preferences, and purchasing decisions, ultimately driving competitive advantage and market success.
Types of Positioning in Marketing
Once you have learned what positioning in marketing is, you need to understand the several types of market positioning strategies. In this highly competitive market, standing out of the crowd is becoming very difficult with every passing day, which is why brand owners have to come up with multiple strategies to create a brand position in the market. But before moving to strategies, you need to learn about the types of sectors which you can choose to create your brand position for.
1. Pricing Positioning
As we know, customers are always bothered about product prices. Low prices attract the majority of the crowd, but in return, as a brand, you need to give them the quality for the same. To create a position in the market with your product or service prices, you need to be as affordable as you can. When you are conducting a business, product pricing is the most crucial decision to make. In this type, brands that offer the best at affordable prices win the game.
Before shaping any pricing strategy, conduct thorough market research and analyze your competitors’ prices and their product or service quality. In the initial stages, you might incur some loss, but once you have created your brand position, you can gradually increase your prices.
Best Brand Example: Apple Inc. is the best example of this market positioning type, as it targets high-end customers and offers premium quality products in the technological market.
2. Customer Service Positioning
With the rise in the eCommerce market, where customers enjoy the facility to shop 24/7, the need for customer support has also increased. If you are offering premium products at a bit higher price than others, and customers appreciate your products, but if you do not offer them proper customer services, then you might lose your valuable customers within no time.
A lot of things go with customer service positioning, like giving them live chat support for quick response queries, SMS notifications about their order updates, etc. By offering them all these services and increasing their user experience, you can not only gain more customer audience, but your brand will also gain more customer loyalty.
Best Brand Example: Zappos, an online retailer specializing in shoes and clothing, has built its reputation around delivering exceptional customer service.
3. Convenience Positioning
Convenience positioning in marketing focuses on positioning a product or service as convenient and easy to use or access for consumers. This strategy capitalizes on the modern consumer’s desire for efficiency and simplicity in their busy lives. It involves emphasizing aspects such as accessibility, ease of purchase, quick service, and hassle-free user experience.
Brands employing convenience positioning often optimize distribution channels, offer online ordering options, provide fast delivery services, and streamline the purchasing process through technologies like mobile apps or self-checkout systems.
Successful execution of convenience positioning requires a deep understanding of target audience preferences and a commitment to delivering seamless and time-saving solutions.
Best Brand Example: Amazon, has won this game by offering the best of convenience to its users, from one-day delivery to Amazon Prime for paid entertainment and Amazon MiniTV for the free ones.
4. Differentiation Positioning
Customers are always in search for different products. Differentiation positioning in marketing is a strategy where a company focuses on highlighting unique qualities or attributes of its product or brand that set it apart from competitors in the market.
Differentiation can be based on various factors such as product features, quality, price, design, customer service, or brand image. By effectively communicating these points of differentiation through marketing channels, companies can attract customers seeking specific benefits or experiences not available from competitors.
Successful differentiation positioning builds brand loyalty, strengthens customer relationships, and enhances perceived value, ultimately driving competitive advantage and long-term success in the marketplace.
Best Brand Example: Once again, Apple Inc. has won the race in offering the best hi-tech products with sleek designs, user-friendly interfaces, and innovative technology. The brand has always focused on offering products with unique features and functionalities.
5. User Group Positioning
User group positioning in marketing refers to the strategic placement of a product or service to appeal to specific segments of consumers based on their needs, preferences, and characteristics.
It involves identifying target user groups with distinct demographics, psychographics, or behaviors and tailoring marketing messages, features, and benefits to resonate with each group effectively.
By understanding the unique desires and challenges of different user groups, companies can position their offerings as solutions that meet the specific needs of each segment, thereby increasing relevance and market success.
Best Brand Example: Johnson & Johnson is the best example for this type of positioning in marketing, as it targets user groups with infants and also offers an impressive range of baby products.
6. Quality Positioning
Quality positioning in marketing refers to establishing a brand’s reputation and perception as a provider of high-quality products or services within its market segment. It involves communicating the brand’s commitment to excellence, reliability, and superior performance compared to competitors.
Effective quality positioning emphasizes key attributes such as durability, craftsmanship, innovation, and customer satisfaction. This strategy aims to differentiate the brand from others in the market, allowing it to command premium pricing, attract loyal customers, and build long-term trust.
Best Brand Example: Rolex has established itself as a symbol of luxury, precision, and craftsmanship. Through meticulous attention to detail and exceptional materials, Rolex has positioned itself as a prestigious and reliable brand in the watch industry.
Benefits of Positioning in Marketing
1. Strong Competitive Position
Once your brand has created its position in the market, this position will influence your customers and will make them choose your brand over your competitors. With this, you can also get the benefit of holding onto your current market position and win over your competitors.
2. Boosted Sales
A clear and compelling positioning strategy can drive consumer preference, loyalty, and advocacy, ultimately leading to increased sales and market share for the company.
3. Clear Target Market
Positioning enables companies to identify and target specific customer segments that align with their offerings, leading to more efficient marketing efforts and higher conversion rates.
4. Customer Loyalty
Consistent positioning builds trust and loyalty among customers who associate the brand with specific values, qualities, or benefits, leading to repeat purchases and long-term relationships.
5. Competitive Advantage
Effective positioning can create a sustainable competitive advantage by establishing a strong brand identity and perception that competitors find challenging to copy.
Strategies to Create Brand Position in the Market
1. Understand Your Current Brand Position
Before building any brand positioning strategy, know your brand’s current status in the market. Your current brand position analytics will guide you on where to go next and what move to make to create a strategy.
Keep in note specific answers to questions like;
- What is so unique about your brand?
- What does your brand stand for?
- What is your brand’s aim?
- How can your product/service solve your customers’ problems?
With all this information, you can easily know your position in the market and curate strategies further.
2. Competitors’ Analysis
Once you have got to know about your brand’s current position in the market, analyze your competitors’ position and the strategies they have used so far to be in that position. Doing this will help you shape your brand positioning strategies that will be beneficial for your brand.
Conduct a quick market research using brand-relevant keywords and check which of your competitors’ keywords are ranking. You can also opt to ask for your customers’ feedback because, in the end, not every customer group is the same. Leveraging social media can help you collect customers’ feedback easily.
After completing this initial competitors’ analysis, you can move to conduct in-depth research about your and your competitors’ business goals, what’s the difference between your products/services, what are your strengths and weaknesses, etc.
3. Develop a unique Position
Creating a brand position is all about telling your customers about your brand products’ uniqueness and how they will benefit them in a better way. As we discussed above point, competitor analysis helps you identify your brand’s weaknesses and strengths, and it can also help you learn that your competitors’ weaknesses are your strengths and maybe your competitors’ strengths are your weaknesses.
This unique position could be based on various factors like superior quality, innovative features, exceptional service, or even an emotional appeal. It’s not just about being different; it’s about being relevant and valuable to the target audience. A well-defined, unique position helps in creating a strong brand identity, making it easier for customers to remember and choose the brand over others.
4. Create a Positioning Statement
A positioning statement briefly defines how your brand or product uniquely meets the needs of your target market in a way that competitors do not. It should clearly articulate the target audience, the key benefit, and the reason to believe in this benefit. This statement serves as a guiding light for all marketing communications, ensuring consistency and clarity in how the brand is presented.
5. Create an Attractive Tagline
A tagline is a brief, memorable phrase that encapsulates the essence of a brand or product, differentiating it from competitors. A well-crafted tagline resonates with the target audience, aiding in recall and recognition. It becomes an integral part of the brand’s identity, often encapsulating the brand’s personality, values, or the experience it promises to deliver.
Some of the best examples of this are McDonald’s “I’m Lovin’ It.” and Nike’s “Just Do It.” Hence, a tagline is not just a marketing tool; it’s a compact narrative that shapes consumer perception and brand experience.
6. Adaptive to Market Changes
Consumer behavior and market trends keep on changing frequently. A product that is trending today will be long forgotten. Hence, you need to be adaptive to every market change. Successful brands are those that effectively adapt to the changes around them. This requires ongoing market research and a willingness to pivot or tweak the positioning strategy as needed.
Regularly soliciting customer feedback and evaluating the effectiveness of your positioning strategy is essential. This can be done through surveys, focus groups, or analyzing customer data. Feedback provides insights into how well the positioning resonates with the target audience and can guide future adjustments.
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From this informative article, we can easily conclude that creating a brand positioning is not a one-night thing, and positioning in marketing is challenging and demands time, effort, and sometimes turning down certain opportunities. It’s essential, particularly when trying to generate steady income, attract new customers, and keep existing ones.
Positioning helps draw potential customers, skilled employees, and influential people to your business, making it a worthwhile investment. This guide aims to assist you in developing an effective positioning strategy.