Brand Positioning Definition and Concept

BRAND POSITIONING 1
DEFINITION AND CONCEPT

 Brand positioning refers to “target consumer‘s
reason to buy your brand in preference to others.
 It is ensures that all brand activity has a common

aim; is guided, directed and delivered by the
brand‘s benefits/reasons to buy; and it focuses at
all points of contact with the consumer.
 Brand Positioning can be defined as an activity of creating a brand
2
offer in such a manner that it occupies a distinctive place and value in
the target customer’s mind.
 For instance-Kotak Mahindra positions itself in the customer’s mind as

one entity- “Kotak ”- which can provide customized and one-stop
solution for all their financial services needs. It has an unaided top of
mind recall.
 It intends to stay with the proposition of “Think Investments, Think

Kotak”.
 The positioning you choose for your brand will be influenced by the
competitive stance you want to adopt.
 Brand Positioning involves identifying and determining points of similarity
and difference to ascertain the right brand identity and to create a
3
proper brand image.
 Brand Positioning is the key of marketing strategy.
 A strong brand positioning directs marketing strategy by explaining the

brand details, the uniqueness of brand and it’s similarity with the
competitive brands, as well as the reasons for buying and using that
specific brand.
 Positioning is the base for developing and increasing the required

knowledge and perceptions of the customers.
 It is the single feature that sets your service apart from your competitors.
 For instance- Kingfisher stands for youth and excitement. It represents

brand in full flight.
Brand positioning must make sure that: 4
 Is it unique/ distinctive vs. competitors?
 Is it significant and encouraging to the niche market?
 Is it appropriate to all major geographic markets and businesses?
 Is the proposition validated with unique, appropriate and original

products?
 Is it sustainable - can it be delivered constantly across all points of

contact with the consumer?
 Is it helpful for organization to achieve its financial goals?
 Is it able to support and boost up the organization?

PROCESS OF BRAND POSITIONING 5
1. Identifying the business's direct competition
2. Understanding how each competitor is positioning their business today.
3. Documenting the provider's own positioning as it exists today
4. Comparing the company's positioning to its competitors' to identify

viable areas for differentiation.
5. Developing a distinctive, differentiating and value-based positioning

concept.
6. Creating a positioning statement with key messages and customer value

propositions to be used for communications development across the
organization.
BRAND POSITIONING STRATEGIES 6
1. Quality Positioning 2. Value or Price Positioning
 There are two ways to approach
 The quality of a given product is one
value or price positioning, both of
of the most important components of
which are crucially dependent on
a company brand, and can be
quality.
combined with other positioning
 One approach is to use a high-end
strategies rather easily.
tack, which exploits the psychological
 Since every business is trying to belief that the more expensive
emphasize its commitment to quality, something is, the more intrinsically
a good way to distinguish the brand valuable it must be.
from competitors is to narrow the  Positioning the brand as the provider
focus to one area of expertise, of high-quality, value-priced products
thereby branding the company as a or services.
high-quality and trusted specialist.
3. Benefit Positioning 4. Problem and Solution Positioning
 Positioning a brand as the solution to a 7
 Communicating the unique benefits
consumer's problem is also a powerful
of a product or service has long been
strategy.
a popular brand position.
 The idea is to demonstrate that the
 With this strategy, the goal is to company has the power to relieve
highlight your company's most customers of whatever problem they

may be facing, both quickly and
powerful attributes — attributes no
efficiently.
competitor can claim and that are
 Example- Pre-packaged chopped
valuable to the consumer.
vegetables solve the consumer's
 Colgate toothpaste uses a benefit problem of time-consuming food
strategy with an effective message: preparation in a snap.
Brush with Colgate and prevent
cavities and gingivitis, a benefit
promise that appeals to consumers.

5. Competitor-Based Positioning 6. Celebrity-Driven Positioning 8
 Business is nothing if not competitive.  Hiring celebrities as spokespeople or to
Therefore, with this positioning strategy, a endorse a company's product or service is a
company takes aim at one or several popular way to position a brand.
competitors to demonstrate its
 The goal is to garner brand awareness and
superiority among others offering the
recognition by associating your company
same type of product or service.
with a glamorous individual.
 Car insurance companies often employ
 While this is an expensive route to take, the
this strategy to establish a powerful
consumer tends to trust celebrities implicitly
brand by comparing their rates or
because she's familiar with their faces.
service to those of other companies. The
 This familiarity inspires buyers to follow the
message is that consumers should
celebrity's lead or to emulate him, making
cancel their old policies and purchase
this strategy ideal for selling luxury goods or
their coverage from a different and
athletic apparel.
better insurer.
POSITIONING ERRORS 9
1. Under positioning:
This is a scenario in which the customer’s have a blurred and unclear idea of
the brand.
2. Over positioning:
This is a scenario in which the customers have too limited a awareness of the
brand.
3. Confused positioning:
This is a scenario in which the customers have a confused opinion of the

brand.
4. Double Positioning:
This is a scenario in which customers do not accept the claims of a brand.

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BRAND POSITIONING 1

DEFINITION AND CONCEPT

 It is ensures that all brand activity has a common

 For instance-Kotak Mahindra positions itself in the customer’s mind as

 It intends to stay with the proposition of “Think Investments, Think

 Brand Positioning is the key of marketing strategy.

 A strong brand positioning directs marketing strategy by explaining the

 Positioning is the base for developing and increasing the required

 For instance- Kingfisher stands for youth and excitement. It represents

 Is it unique/ distinctive vs. competitors?

 Is it significant and encouraging to the niche market?

 Is it appropriate to all major geographic markets and businesses?

 Is the proposition validated with unique, appropriate and original

 Is it sustainable - can it be delivered constantly across all points of

 Is it helpful for organization to achieve its financial goals?

 Is it able to support and boost up the organization?

2. Understanding how each competitor is positioning their business today.

3. Documenting the provider's own positioning as it exists today

4. Comparing the company's positioning to its competitors' to identify

5. Developing a distinctive, differentiating and value-based positioning

6. Creating a positioning statement with key messages and customer value

highlight your company's most customers of whatever problem they

Brush with Colgate and prevent

cavities and gingivitis, a benefit

promise that appeals to consumers.

This is a scenario in which the customers have a confused opinion of the

This is a scenario in which customers do not accept the claims of a brand.

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