Positioning

The development of specific marketing mix to influence potential customer's overall perception of a brand, product line or organization in general
The act of designing the company's offering and image to occupy a distinctive place in the mind of the target market

Activities in Positioning

Definition of a competitive frame of reference
- By determining category membership
- Sets of products with which a brand competes and which functions as close substitutes.
- The preferred approach to positioning is to first inform customers of a brand's membership before stating its POD
Definition of the points-of-difference (PODs) - Attributes or benefits consumers strongly associate with a brand, positively evaluate, and believe that they could not find the same extent with a competitive brand
Determination of points-of-parity - Associations that are not necessarily unique to the brand but may in fact be shared with other brands
Differentiation strategies
- Product differentiation
- Personnel differentiation
- Channel differentiation
- Image differentiation
Goal
- To locate the brand in the minds of consumers to maximize the potential benefit to them

Good brand positioning - helps guide market strategy by clarifying the brand's essence, what goals it helps the consumers achieve, and how it does so in a unique way-customer-focused value proposition

Positioning Errors

Underpositioning - when the buyers have a vague idea of the brand
Overpositioning - when buyers have too narrow an image of the brand
Confused Positioning - when buyers have a confused image of the brand because of too many claims
Doubtful Positioning - When buyers may find it hard to believe the claims of the brand

Bases in Positioning

Attribute Positioning
Benefit Positioning
Use or application Positioning
User Positioning
Competitor Positioning
Product Category Positioning
Quality or Price Positioning