Positioning is the art of telling people how distinct the product is from competing brands.
The intention behind positioning is to build an enticing identity that leverages the unique strengths of a product. Marketers may also draw up positioning strategies for businesses and individual products. The ideal customer must have a justification to want to buy the product or do business with the client. Positioning comments sometimes become phrases, sometimes used in advertising. In return, this is expected to increase revenue by capturing a more significant share of different market segments.
Placement makes the entire enterprise market-oriented.
Brand placement is part of the broader advertising strategy. This involves recognising the dominant qualities of the brand and rendering them more propitious to customers than competitors. The whole organization’s mission is affected by the positioning theory. However,once the brand is positioned effectively, that doesn’t mean it’s over just yet. It is important to note that the dynamics of markets always change.
As a result of new technological trends, unique competitive strengths should be recognised, identified or established to satisfy the rising demands of the consumer.
Once you’ve covered of all of this, it is most likely your product or services will fulfil the buyer’s needs. Thus, brand placement may help to meet the expectations of customers. Customers often don’t buy a product if they don’t need or want to. Every goods and service has a set of benefits that are typically extracted from its functionality.
That said, a very effective positioning entices consumers to purchase it, even when they don’t need it. Similar to selling ice to the Eskimos in the north pole.
Marketers sometimes use positioning phrases to restore the competitive edge of the product by pointing to new benefits. The advantages themselves are not necessarily new, but the understanding of them may be new to some consumers.
Since advertisers must first identify who the ideal customer is, a marketing approach helps companies to concentrate. Once marketing managers make a statement, they need to learn what the potential customer’s key desires are and what makes the consumer distinct from other groups.
Since the positioning claim forms the customer’s view of the item, the positioning approach allows advertisers to assess pricing. If the marketing team wants to target low-income earners choosing value over performance, prices are likely to be priced marginally below industry averages.
On the other side, niche goods that prioritise individuality and high quality are typically sold at a premium. Typical target markets for these types of products are consumers who want the top of the line. Premium marketing is also beneficial with items that use new technologies or unusual elements, such as organic food.
Mostly, positioning statements are useful since they provide an image to a product or company. The consumer should be able to understand what the company, item or enterprise is all about. Meanwhile, for company that sells luxury items, the positioning would indicate the value-based pricing over the needs and benefits of a product.