MKTG 2202 - Lec 8 - Ch 6 Brand Positioning (1)

Brand Positioning Strategy Overview

Definition

• Brand Positioning: The art and science of aligning a product or service to specific segments to differentiate from competitors.

• Importance for advertisers to understand the client’s market positioning strategy.

Market Positioning Strategy

• Identifies target market decisions and marketing mix elements tailored to market needs:

  • Product

  • Price

  • Distribution

  • Marketing communications

Brand Positioning Strategy Components

• Intended image of a product relative to competitors in specific market characteristics.

• Guides advertising and Integrated Marketing Communications (IMC) decisions.

• Brand perception exists in the minds of the target audience.

Market Partitioning Approaches

By Product Type

• Segmentation of cars:

  • Subcompact, Compact, Sedan, Mid-size, Full-size, Coupe, Sports, Convertible

By End Benefit

• Car attributes:

  • Safety, Economy, Size, Technology, Price, Fuel efficiency, Speed, Performance, Handling

By Usage Situation

• Car usage contexts:

  • Short and long commutes, Travel destinations, Pleasure, Active lifestyles

By Brand

• Car brands categorized into:

  • Basic (Chevrolet, Ford) and Premium (Honda, Toyota, Cadillac, Lexus, Infiniti, BMW)

Brand Positioning Strategy Techniques

Salient Beliefs

• Attitudes are shaped by beliefs regarding specific product attributes or benefits, which can vary across segments.

Market Definition Elements

• Key focus areas:

  • End Benefit, Brand Name, Usage Situation, Product Category

• Consumer Purchase Motives:

  • Informational (based on logic) and Transformational (based on emotional response)

Differential Advantage

• Positioning strategies categorized into:

  • Differential Positioning

  • Central Positioning

  • Brand Benefit Positioning

  • User Positioning

Brand Positioning Decisions Examples

• Activia's marketing highlights:

  • End benefits and endorsements (e.g., celebrities)

• VIA Rail's strategy emphasizes travel benefits based on usage situations.

Brand Attitude Model

• Understanding how consumer attitudes form is crucial:

  • Multi-attribute model detailing levels of importance and beliefs about specific attributes.

Persuasion Techniques

• Increasing brand appeal through:

  1. Influencing attribute beliefs

  2. Modifying attribute importance

  3. Adding new beliefs

  4. Challenging competitor brand beliefs

Consumer Purchase Motives

Categories of Motives

• Informational and Transformational motives which drive purchase decisions.

• Additional categories include sensory gratification, problem removal, social approval, and intellectual stimulation.

Brand Repositioning Strategy

Importance of Repositioning

• Critical due to existing brand attitudes shaped by competition, market conditions, and consumer expectations.

Options for Altering Brand Strategy

• Focus on:

  • Market definition

  • Differential advantage

  • Target audience

  • Salient motives / purchase motivations