1. BRAND positioning

2. Objectives of the Class
To grasp the essence of the concept of a BRAND
To get understanding of what positioning is
To get theoretical knowledge about practical procedure of brand positioning
To comprehend where and how the concept of a BRAND fits within a wider context of marketing function

3. What is a BRAND?
An orange... is an orange... is just an orange. Unless, of course, that orange happens to be a SUNKIST, a name eighty percent of consumers know and trust
-Russell L.Hanlin, CEO, Sunkist Growers

4. The Definition I
“A brand is a name, term, sign, symbol or design, or a combination of them intended to identify the goods or services of one seller or group of sellers and to differentiate them from those of competition.”
American Marketing Association

5. The Definition II
“...A brand is a collection of perceptions in consumer’s mind...”
Paul Feldwick

6. Definition III A brand is A continuous collection
Of functional, emotional and self-expressive
Promises
To a target audience
That are unique and important
These promises are actively communicated thruogh the 4 P (product, price, place, promo)

8. The key to branding is that consumers perceive differences among brands in a product category

9. Creating perceived differences
Branded product may be
Physical good
Place, person
Organization, idea
Brands create competitive advantages
By product performance (Sony, Gillette, 3M)
Non-product-related means (Coca-Cola, Calvin Klein)
Associations
By creating perceived differences between products through branding, marketers create value

10. How to brand a product?
To brand a product it is necessary to give consumers a LABEL for the product (identification)
And to provide a MEANING for the brand to consumers (i.e. here’s what this particular product can do for you and why it is special and different from other brand name products)
Branding involves creating mental structures and helping consumers organize their knowledge about products/services in a way that clarifies their decision making and, in the process provides value to the firm.

11. Customer-based Brand Equity Pyramid
4. RELATIONSHIPS =
What about you & me?
3. RESPONSE =
What about you?
2. MEANING = What are you?
1. IDENTITY = Who are you?
Resonance
Judgements
Feelings
Performance
Imagery
Salience

12. What is Positioning?
The act of designing the company’s image and value offer so that the target customers understand and appreciate what the company stands for in relation to its competitors. P Kotler

13. What is Positioning?
Positioning is the choice of target market segments which determines where the business competes, and the choice of differential advantage which dictates how it competes. P Doyle

14. Positioning
“Positioning starts with a product. A piece of merchandise, a service, a company, or even a person… But positioning is not what you do to a product. Positioning is what you do to the mind of the prospect. That is, you position the product in the mind of the prospect.” Ries and Trout

15. Positioning: Stage1 Target Audience Whom this brand is attributed to?
Category need
What product category the brand belongs to?
Main offer
What does the brand offer to the consumer?

16. Positioning: Stage 2 What are the benefits of our brand?
How and/or why consumer would benefit from using our brand?
Do these benefits distinguish our brand from competition?
Are the benefits of our brand
Important to the consumer?
Unique in the product category?
Does our brand really deliver on these benefits?
How many of these benefits should we mention in our message? 1? 2? 3?
All of them?

17. Positioning: Stage 3 Attribute The focal length of the lense is 9-18mm
Benefit
The wide-angle lense
Ability to take panoramic pictures
Emotion
Take ALL your impressions with you
Your most beautiful landscapes
Grasp the glory of an architecture

18. Example: Potato Chips 1 Attribute 2 3 Benefit 4 5 (-) (+) Emotion
Thick chip 2
Better tasting because it’s thick 3
Better tasting 4
Better tasting (previously dissatisfied) 5
Fun because it’s better tasting 6
Just fun 1
Attribute 2 3
Benefit 4 5
(-)
(+)
Emotion
John R. Rossiter, Larry Percy, Advertising Communications & Promotion Management, 1998, McGraw Hill

19. The Key Output of Positioning: Positioning Statement
“For _______________ , the _________________ offers
[Highest Ranked Segment [Product Family Name]
_________________________________________ because
[Highest Weighted Benefit]
________________________________________________. ”
[Competitive advantage company possesses]

20. Positioning Statement Examples
EXAMPLE : AVIS
“For business people who rent cars, Avis is the company who will provide the best service because the employees own the company.”
EXAMPLE : HOME DEPOT
“For do-it-yourselfers, Home Depot offers the best prices because we are the largest building supply company.”
EXAMPLE : BODY SHOP
“For people seeking wellness, the Body Shop offers the most natural bath and cosmetic products because we are the most environmentally friendly cosmetics company.”
EXAMPLE : SOUTHWEST AIRLINES
“For short-route travelers, Southwest Airlines offers the best prices with reasonable and dependable service because we don’t charge customers for amenities.”

21. Manufactured Goods Positioning Statements

22. Unique Positioning Checklist
Strongly Strongly
Disagree Agree
Customer Checklist
1. Target customers can comprehend it
2. Target customers will find it memorable
3. Target customers will find it believable
4. Target customers will find it relevant to their needs
Organization Checklist
1. We have the resources to attain this position
2. It is flexible enough to allow us some room to maneuver in the future
3. We can ultimately reach to multiple segments with this positioning statement
4. This positioning statement is consistent with our core competencies.

23. Unique Positioning Checklist
Strongly Strongly
Disagree Agree
Competition Checklist
1. Competition will concede this position
2. This is distinctive from the competition’s positioning statement
3. It would be hard for an existing competitor to match this positioning statement
4. It would be hard for a potential competitor to match this positioning statement
Scoring: Outstanding
50-54 Excellent
42-49 Acceptable
<42 Unacceptable

25. Questions: What is the positioning of this product in the market?
Write the positioning statement for this product

26. Marketing Mix Decisions
The concept of a BRAND trancends all parts of Marketing Mix

27. Multiatribute Strategies for Brand Attitude
Increase the brand’s perceived delivery on a benefit
Increase the importance of a benefit on which the brand delivers uniquely
Weaken a competitors perceived delivery on a benefit
Add a new benefit which is important an on which the brand delivers uniquely
Alter the choice rule to favor the brand

28. Reading
Pickton, D. and Broderick, A. (2005) Integrated Marketing Communications Prentice Hal, Chapters related to branding and positioning
De Pelsmacker, P. Geuens, M., and Van Den Bergh ,J. (2004) Marketing Communications, Prentice Hall, London, Chapters related to branding and positioning
Fill, C. (2005) Marketing Communications Prentice Hall, London, Chapters related to branding and positioning