Have you ever wondered why people choose iPhones even though they’re more expensive than other smartphones? Or why many are willing to stand in long lines for a cup of Starbucks coffee? The answer lies in the right brand positioning, which makes a brand more than just a product, it becomes consumers‘ top choice.
Also read: Easier, Automatic, and Real-Time Transactions with API Disbursement
What Is Brand Positioning?
Brand positioning is the way we place our products or services in consumers’ minds, making them appear special and different from others. It’s not just about catchy logos or taglines but about creating perceptions in the minds of consumers. With the right positioning, consumers will immediately think of your brand when considering a specific product category.
According to Kotler, brand positioning is “the act of designing a company’s offering and image to occupy a distinctive place in the target market’s mind.” In other words, brand positioning explains how a brand differentiates itself from competitors and where or how it resides in consumers’ minds. The goal of a brand positioning strategy is to create brand associations so consumers perceive the brand in a particular way.
For example, when someone thinks of “bottled water,” many immediately think of Aqua. That’s a successful brand positioning example.
The Importance of Brand Positioning
Every business has a brand, whether it forms naturally or is intentionally planned. You can choose to proactively shape your brand positioning or let it be defined by others. However, if you allow others to shape it, you lose control over the outcome.
According to Forbes, brand positioning is crucial for several reasons:
Differentiating Your Brand from Others
A company’s brand is its identity. That’s why it’s essential to know what makes your business unique. Brand positioning clarifies who your business serves and tells your target audience why your company is the best choice and what sets your product or service apart.
Justifying Pricing Strategies
Brand positioning can help support your pricing strategies. If a product’s price is higher due to quality and exclusivity, and your brand positioning emphasizes those factors, consumers will perceive the price as reasonable. Conversely, for more affordable products, proper positioning will also help highlight the value offered at that price.
Making Your Brand More Creative
Many brands offer similar products and services to the same target markets, yet they manage to stand out through unique brand positioning. This makes brand positioning a key differentiator. Creative and innovative strategies combined with strong execution will keep customers returning.
Types of Brand Positioning
Brands can use different positioning strategies depending on their goals, target market, and competitive advantages. Below are some common types of brand positioning strategies.
1. Customer Service Positioning Strategy
This strategy focuses on making customer service the main value in the positioning. Companies ensure consumers feel cared for by providing responsive and high-quality service.
2. Price-Based Positioning Strategy
This strategy emphasizes competitive pricing, appealing to cost-conscious consumers. Xiaomi, for example, positions its products as affordable yet high-quality tech devices.
3. Convenience-Based Positioning Strategy
This strategy highlights the convenience offered to consumers. Gojek, for instance, not only provides online transportation but also offers services like food delivery and digital payments, making it a practical, all-in-one solution for everyday needs.
4. Quality-Based Positioning Strategy
This strategy emphasizes high quality as the brand’s main value. Apple, for example, is known for its innovative products, premium design, and well-integrated ecosystem.
5. Differentiation Positioning Strategy
This strategy focuses on the uniqueness of the product or service that sets the brand apart from competitors. Netflix, for instance, stands out with its exclusive and original content compared to competitors.
6. Social Media Positioning Strategy
This strategy leverages the power of social media to build brand identity. TikTok, for instance, uses an organic content approach and viral strategies to promote its platform, successfully engaging a younger audience.
Spend with Flexibility, Anywhere with Jack
How to Implement Strong Brand Positioning
Effective brand positioning can be achieved by considering several key steps. Additionally, there are important points to note for ensuring the strategy’s success. Here are steps to creating strong brand positioning.
1. Analysis Stage
As an initial step, companies need to analyze important aspects such as consumer needs, company capabilities, and competitors’ brand positioning. A deep understanding of your product is crucial, without it, finding the right positioning becomes difficult.
2. Planning Stage
After analysis, the next step is to develop a clear brand positioning plan. Define what you want to communicate to consumers, what the company can offer, and what needs to be differentiated from competitors.
Avoid making exaggerated or overly generic claims. For instance, steer clear of terms like “high-quality” or “trusted,” as they can dilute your positioning. Instead, choose three specific words that describe your brand, such as fresh, authentic, and preservative-free.
3. Execution Stage
The next stage is execution. Brand positioning must be reflected in all aspects of the business, from packaging design, product services, visual design identity, to communication with consumers. This is where you can demonstrate what sets your brand apart, enabling consumers to feel and understand your message.
4. Avoid Over-Positioning
Determining the right positioning is crucial. Avoid making excessive claims or promises you can’t deliver. Over-positioning can shrink your target market and create bias in branding messages, potentially leading to new challenges in conveying your true message.
5. Focus on Target Market
When conducting research to determine brand positioning, it’s not just about thinking about the general market but identifying the right target market. Knowing your audience helps create more relevant and effective messages. Without a clear understanding of your audience, brand positioning can lose its direction.
Use Jack for your business needs
The right brand positioning helps your brand stand out and build strong relationships with consumers. A clear strategy enables your brand to not just compete but create long-term loyalty.
Positioning is not just about differentiating yourself, its also about delivering relevant value to your audience. Understand your market and product well, and let strong positioning pave the way to your brands success.