Positioning

Introduction

After deciding the segments and the targets, the company needs to decide as to what position it needs to occupy in the markets. A product occupies a position in the minds of the customers based on its; Important attributes relative to competitors products

The unique benefits and differentiation in customers mind

CHOOSING POSITIONING STRATEGY The Firm has to position itself after a study of competing product and the relative advantages Know customers needs Deliver more value to customers No empty promises (it harms the company)

IDENTIFYING COMPETITIVE ADVANTAGES

Must think through entire customers experience with product or service under offer
Create a product differentiation features, technology, benefits, performance, style, colours, after sales service, safety and power saving, personal selling and CRM

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CHOOSING THE RIGHT COMPETITIVE ADVANTAGES

Introduction

When the company has developed certain advantages, then it should decide as to how many or which ones it needs to adopt for positioning How many differences to promote Should company choose only one USP (unique selling proposition) for each brand as buyers tend to remember only one. Some also believe that a firm should have more than one as the competitors may also be claiming to be best on some attribute on which you are also banking.

When today more markets are fragmenting, it is necessary that companies broaden their Positioning Strategies to appeal to more segments.

What differences to promote 1. An IMPORTANT difference that delivers high value 2. A DISTINCTIVE difference 3. SUPERIOR than others 4. The difference must be COMMUNICABLE

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5. Which can not be copied easily 6. Consumers must be able to pay for the DIFFERENCE 7. Should be profitable to do for the company

Introduction

SELECTING OVERALL POSITIONING STRATEGY 1. MORE for MORE 2. MORE for the SAME 3. SAME for LESS 4. LESS for MUCH LESS 5. MORE for LESS