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Crafting The Brand Positioning

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74 views23 pages

Crafting The Brand Positioning

Uploaded by

Zainab Ghaddar
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPT, PDF, TXT or read online on Scribd
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10

Crafting
the Brand Positioning

Marketing Management, 13th ed


Chapter Questions

• How can a firm develop and establish an effective


positioning in the market?
• How do marketers identify and analyze
competition?
• How are brands successfully differentiated?
• What are the differences in positioning and
branding with a small business?
Developing and Establishing a Brand
Positioning

• All marketing strategy is built on segmentation,


targeting, and positioning (STP).
• Positioning is the act of designing the company’s
offering and image to occupy a distinctive place
in the mind of the target market.
• The result of positioning is the successful creation
of a customer-focused value proposition
Value Propositions

• value proposition is a cogent reason why the


target market should buy the product
• Perdue Chicken
• More tender golden chicken at a moderate
premium price
• Domino’s
• A good hot pizza, delivered to your door
within 30 minutes of ordering, at a moderate
price
Determining a Competitive Frame of
Reference
• The competitive frame of reference defines which
other brands a brand competes with and therefore
which brands should be the focus of competitive
analysis and it includes:
• Identifying Competitors
• Analyzing Competitors
Identifying Optimal Points-of-Difference
and Points-of-Parity

Points-of-difference Points-of-parity
(PODs) (POPs)
• Attributes or benefits • Associations that
consumers strongly are not necessarily
associate with a unique to the brand
brand, positively but may be shared
evaluate, and believe with other brands
they could not find to
the same extent with
a competitive brand
Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall 10-6
Multiple Frames of Reference
• To identify more than one actual or potential
competitive frame of reference, if competition
widens or the firm plans to expand into new
categories.
Straddle Positioning
• In these cases, the points of-difference for one
category become points-of-parity for the other
and vice versa.
Conveying Category Membership

• Announcing category benefits


• Comparing to exemplars
• Relying on the product descriptor
Consumer Desirability Criteria for
PODs
• Relevance
• Distinctiveness
• Believability

Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall 10-9


Deliverability Criteria for PODs

• Feasibility
• Communicability
• Sustainability

Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall 10-10


Examples of Negatively Correlated
Attributes and Benefits

• Low-price vs. • Powerful vs. Safe


High quality • Strong vs.
• Taste vs. Low Refined
calories • Ubiquitous vs.
• Nutritious vs. Exclusive
Good tasting • Varied vs. Simple
• Efficacious vs.
Mild
Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall 10-11
Addressing negatively correlated
PODs and POPs
• Present separately
• Leverage equity of another entity
• Redefine the relationship

Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall 10-12


Differentiation Strategies

• Product
• Channel
• Personnel
• Image

Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall 10-13


Product Differentiation

• Product form • Style


• Features • Design
• Performance • Ordering ease
• Conformance • Delivery
• Durability • Installation
• Reliability • Customer training
• Reparability • Customer consulting
• Maintenance

Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall 10-14


Claims of Product Life Cycles

• Products have a limited life


• Product sales pass through distinct
stages each with different challenges
and opportunities
• Profits rise and fall at different stages
• Products require different strategies in
each life cycle stage

Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall 10-15


Strategies for Sustaining
Rapid Market Growth
• Improve product quality, add new features,
and improve styling
• Add new models and flanker products
• Enter new market segments
• Increase distribution coverage
• Shift from product-awareness advertising to
product-preference advertising
• Lower prices to attract the next layer of price-
sensitive buyers

Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall 10-16


Stages in the Maturity Stage

• Growth
• Stable
• Decaying maturity

Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall 10-17


Marketing Product Modifications

• Quality improvements
• Feature improvements
• Style improvements

Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall 10-18


Marketing Program Modifications

• Prices
• Distribution
• Advertising
• Sales promotion
• Services

Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall 10-19


Ways to Increase Sales Volume

• Convert nonusers
• Enter new market segments
• Attract competitors’ customers
• Have consumers use the product on
more occasions
• Have consumers use more of the
product on each occasion
• Have consumers use the product in
new ways
Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall 10-20
Market Evolution Stages

• Emergence
• Growth
• Maturity
• Decline

Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall 10-21


Emerging Markets

• Latent
• Single-niche
• Multiple-niche
• Mass-market

Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall 10-22


Maturity Strategies

• Market fragmentation stage


• Market consolidation stage

Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall 10-23

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