1. Chapter 8: Brand positioning

2. Contents Concept of brand positioning Brand values
Brand positioning statement
Crafting the positioning strategy
Guiding principles for positioning
Repositioning

3. Introduction
Organizations can communicate all the good things about a brand but how the consumers perceive the brand depends upon a number of variables including the customers own experience with the brand.
The unique place the brand occupies in the minds of the customers is positioning.
A brand cannot be successful if it is not well positioned in the mind of the consumers.
Positioning a product is therefore integral to the success of a brand.
The brand perceptions impact the business customer relationships in the long term and are therefore of strategic importance.

4. Definition
“Arranging for a product to occupy a clear, distinctive, and desirable place in the market, and in the minds of the target consumers”.
Kotler (1984)
This definition thus specifies that
first the brand needs to be distinguished or distinct from other brands in the market and
second that it is a desirable place in the minds of the consumers.
That is the brand is as good as what the customers think about it.

5. Importance of Positioning
Positioning is how the brand is unique and relevant for consumers
It is how the brand is different from the other brands in the product category.
It gives a raison d'être to the customers to buy the product.
For services organizations, positioning also helps to overcome the concept of intangibility.
Further how the firm positions products also acts as a guiding hand in the development of the marketing mixes.

6. Brand values
A brand has to compete at various levels in a given market. The task is to develop a distinctive image that leads to competitive advantage for the brand.
The characteristics of the brand that are highlighted (by the organization while positioning) leads the consumer to develop various attributes specific to a particular brand.
Over a period of time as the brands evolve and expand across categories the core brand values help to define the five to ten most important elements of the brand and what the brand stands for.
The core brand values for a brand can be mapped by asking the customers for ‘their top-of-mind brand associations’.
These are then grouped into categories and each category description then acts as a core brand value

7. Positioning statement
Positioning statement is ‘the message that communicates brand image to consumers… it conveys to consumers how one firm’s offering are differentiated from a competitors’ and signals how the firm wishes to be seen or perceived. A strong and consistent positioning statement is necessary to stand out against competitors and should help sharpen and strengthen the brand identity’

8. Positioning statement (contd.)
The template of choice of the positioning statement was authored by Geoffrey Moore (cited in The Beaupre Buzz, 2003) and is as follows:
For (target customers)
Who (have the following problem)
Our product is a (describe the product or solution)
That provides (cite the breakthrough capability)
Unlike (reference competition),
Our product/solution (describe the key point of competitive differentiation)
Nirula’s positioning statement “Nirula's is warm, contemporary, accessible, eating place for families including children and young adults, serving the widest variety of Indian and International food, beverages and desserts, at affordable prices. “

9. Positioning Strategy Selecting the strategy SITUATIONAL ANALYSIS
Segmentation
Consumer based
Buying situation based
TARGETING
Evaluate market segment
Select Market segment
Positioning
Strategy
Identification of brand benefits
CHANGING CONSUMER TRENDS
SITUATIONAL ANALYSIS
Internal corporate analysis
Current positioning (if repositioning)
External market analysis
COMPETITOR ANALYSIS
Analysis for differentiation possibilities of the brand image
POP
POD
Selecting the strategy

10. Guiding principles for positioning
Product
On basis of tangible attributes
Product form, product ingredients, product attributes, product characteristics and customer benefits, product use, product class
On basis of intangible attributes
Price quality
Symbols
Competition
Personnel
Employees
Product user
Demographics

11. Guiding principles for positioning
Channel
Image
Customer care and service
Corporate identity
Positioning by brand endorsement
Positioning related to specific category of customers
Usage occasion and time
Corporate social responsibility

12. Repositioning strategies
Changing demographic trends and lifestyles
The young Indian consumer
Rising household income
Spending habits and brand behaviour
Rise of the Indian women as a consumer
Changing consumer expectations
Changing lifestyle
Regional differences

13. Repositioning strategies
PRODUCT
Same Different
Image
repositioning
Product
repositioning
Same
Different
TARGET
MARKET
Intangible
repositioning
Tangible
repositioning

14. Quick Recapitulation Concept of brand positioning Brand values
Brand positioning statement
Crafting the positioning strategy
Guiding principles for positioning
Repositioning

15. Questions?