What are the main ways to position a product?

Brands/products can be positioned in many different ways in the marketplace.

However, there are several major categories of positioning approaches, which will help us understand the
range of positioning options available.

The major positioning categories include:

positioning by product attribute (product feature and/or benefit),

positioning by user,
positioning by product class,
positioning versus competition,
positioning by use/application, and
positioning by quality or value.

Main Categories of positioning

POSITIONING CATEGORY
DESCRIPTION
By product attribute A product attribute is a specific feature or benefit of the product. Positioning in
this way focuses on one or two of the products best features/benefits, relative to the competitive
offerings.

By user This positioning approach highlights the user (the ideal or representative target consumer) and
suggests that the product is the ideal solution for that type of person and may even contribute to their
social self-identity.

By product class This positioning strategy tends to take a leadership position in the overall market.
Statements with the general message of we are the best in our field are common.

Against competition With this approach the firm would directly compare (or sometimes just imply), a
comparison against certain well-known competitors (but not generally not the whole product class as
above).

By use/application With this approach, the product/brand is positioned in terms of how it is used in
the market by consumers, indicating that the product is the best solution for that particular task/use.

By quality or value Some firms will position products based on relative high quality, or based on the
claim that they represent significant value.

By using a combination of the above options Some products/brands are positioned using a
combination of the above positioning options. However, care needs to be taken not to clutter and confuse
the message by trying to connect with too many competitive advantages.

Which positioning approach to use?

One of the key goals of positioning is to be able to enter an existing competitive market, by highlighting
some unique features, benefits, and advantages to the end-consumer, with the goal of winning market
share (often from selective demand). With this task in mind, the following table of questions can act as a
guide to the selection of an appropriate positioning statement.

AREA TO CONSIDER
QUESTIONS TO ASK
Market gaps Where are their gaps in the target market? Why does the gap exist? Can we fill the gap?
Substance/support Do we have the capability to deliver on this positioning promise? Can we really
produce high quality products or compete on price? How we will compare to our competition when we
get to market?

Market need Would this positioning space appeal to the target market? Which features/benefits are of
most interest to target market?

Competitive barrier Will this be a long-term positioning? How easily could this position be
duplicated by our competitors?

Profitable What level of sales/profits is likely to flow from this positioning? Can we develop a
supportive marketing mix on a cost-effective basis?

Communication Is the positioning statement easy to communicate via media? Will it be simply understood
by the target market?
Examples of Product Positioning
Many firms have a tagline that is designed to support the firms/brands identity. A review of a tagline
may help provide a clear indication of the product/brands desired market positioning.

But you may need to care take with this approach as some firms use a slogan for a short-term marketing
campaign. As an example, the firm might use great deals over summer or now with an improved
taste. These slogans do not indicate the full positioning of the brand/product, which means that
interpreting the positioning intentions of the firm by simply reviewing their slogan can be difficult.

Regardless, the following table contains some famous taglines (still also referred to as slogans at times),
which were designed to create a clear positioning in the minds of the target consumers.

TAGLINE/SLOGAN
COMPANY
POSITIONING DISCUSSION
Melts in your mouth, not in your hands

M&Ms

This slogan clearly establishes the competitive advantage of this candy product. It highlights a single
product attribute and communicates a single clear benefit to the consumer.

Always

Coca-Cola

This seemingly simple slogan, encapsulates the ongoing connection between Coca-Cola and its
marketplace. It is a product that has wide consumer appeal, strong loyalty, and is often treated like a
friend to the consumer. Hence the word always reinforces this close consumer/product relationship.
When it absolutely, positively, has to be there overnight

Federal Express

This slogan clearly highlights the efficiency and reliability of the courier and delivery service. Again it is
an example of a clear statement that efficiently communicates a distinct positioning.
We try harder

Avis Rent-a-Car

This well-known slogan highlights that their competitive advantage is in the area of superior customer
service and creates a clear positioning that the firm will do more to help their customers.
Eat fresh

Subway

In the competitive fast food market, this simple two word slogan stands out by clearly differentiating their
offering on the healthiness and the freshness of their menu offering.
Choice of a new generation
Pepsi

This very effective positioning slogan makes a clear connection to younger people (or young-at-heart)
that their product is the preferred cola product for todays modern, youthful and energetic consumers.

Examples of Positioning by Category

TAGLINE/SLOGAN
BRAND
HOW IS IT POSITIONED?
Snap, Crackle, Pop

Rice Krispies

(or Rice Bubbles)

By product attribute

Simply highlighting the attribute of noise that this cereal makes, which adds a fun benefit to the product

Finger lickin good

KFC

By product attribute

Focuses on the enjoyable taste of the product

No battery is stronger longer

Duracell Batteries

By product class and by product attribute

Indicates that the battery is the leading product in its product class for durability

The un-cola

7-up

Against competition and by user

Suggests a clear alternative to cola drinks and was designed to appeal to certain attitudes held among the
target market

Everything is easier on a Mac

Apple Computer
Against competition

Is targeting IBM style computers, highlighting that the Mac is much simpler and easier to use

Once you pop, you cant stop

Pringles

By product attribute

Highlights that the taste is irresistible

Impossible is nothing

Adidas

By user

Taps into the self-identity and motivation of serious sportspeople

Dont leave home without it

American Express

By use/application

States that the product is vital when you are traveling

Have it your way

Burger King

Against competition

Highlights the flexibility of their menu choices, implied against McDonalds offerings

A glass and a half in every half pound

Cadbury

By product attribute

Simply focuses on a single ingredient

Melts in your mouth, not in your hands

M&Ms

By product attribute

Connects a product feature directly to the benefit it provides

Always

Coca-Cola

By user

Targeted at regular consumers who feel connected to Coke

When it absolutely, positively, has to be there overnight

Federal Express

By product class

States that there is no competitive alternative when you want promptness and reliability

We try harder

Avis Rent-a-Car

Against competition

Targets the market leader (Hertz), by implying that they are lazy and complacent, particularly in the area
of customer service

Eat fresh

Subway

By product class

Highlights their fresh menu items, against the range of fast food options available

Choice of a new generation

Pepsi

By user and against competition

Tapping into the youth market; this is your drink and clearly targeted against Coca-Cola
Positioning techniques
Companies apply various positioning techniques in market so that they are always ahead in competition.
Some of the techniques used for positioning are:

Perceptual Mapping: When we define Perceptual mapping we say that it is basically a technique to
represent what people think about products or services, people or ideas. Technically they are all objects. It
is a spatial representation of the perceptions about the brands on the parts of different individuals. If you
perceive the brands to be similar then you are getting them closer in the perceptual space, and if you
perceive them to be dissimilar then you are putting them apart. In short, I can say that it represents both
brands and people.

As everyone knows that the environment is turbulent so it changes fast and calls for frequent changes in
positioning. At times a company can lose its position due to change in technology, consumer attitudes,
competitive activity both in the economy and amongst creative executives. That is the reason why a
company should be in touch with the market place, and reposition itself before it suffers in terms of
products, image and revenue.

Positioning a product to specific segments: Positioning a product to specific segments is the next
logical step. Thus positioning involves sacrifice we have to sacrifice a few segments of the market. We
cannot afford to give all things to all people.
When we are discussing about positioning, we have to decide as to who all are our competitors. Then
there is a need to develop a core strategy that runs as a common thread through all pieces of planning.
Core strategy basically tells us why customers buy our product and how we shall compete with
others. Different segments need different core strategies. Core strategy is broader than USP because it
considers both external and internal factors.

Communication Process: When we are discussing about planning activity, we consider the offer, which
consists of product, services, price and the way it is represented to the customer through a communication
message. Communication helps the marketer to builds up image of the product. Image build up is
influenced more by the effectiveness of the communication than by the communication budget. Most of
the organization creates value through this offer.

When we are discussing about the total marketing budget it is spent on advertising, sales promotion, sales
management and distribution acts basically to enhance the value created by the offer, and accordingly
they delivers the same value to the customer. These are infact marketing support activities. By this they
are trying to market the offer in an attractive manner to their marketing intermediaries and customer.

All of us know that a product has attributes and features. But these must be related to perceived benefits,
preferences and selection.

Positioning Map: Now lets us see the discussion on Products or services, which are mapped together on
a positioning map. This allows them to be compared and contrasted in relation to each other. This is the
main strength of this tool. Marketers decide upon a competitive position, which enables them to
distinguish their own products from the offerings of their competition. The marketer would draw out the
map and decide upon a label for each axis. They could be price (variable one) and quality (variable two),
or Comfort (variable one) and price (variable two). The individual products are then mapped out next to
each other Any gaps could be regarded as possible areas for new products.
 3.4 Positioning Methods / Positioning Strategies

The following is a list of some established product positioning methods / strategies.

Against a Competitor: Positioning your product directly against a

competitors typically requires a specific product superiority claim.

A memorable example is Avis Rental Cars Were #2. We try harder.

Away from a Competitor: Positioning yourself as the opposite of your

competitor can help you get attention in a market dominated by some other
product.

A famous example is 7-UP calling itself the Uncola.

Benefits: This strategy focuses on a benefit your product provides to your

target audience.

Examples include Volvos emphasis on safety and Crest toothpastes focus on

reducing cavities.

Product Attributes: Highlighting a specific attribute of your product can also be

compelling.

For example, Ritz Carlton hotels focus on luxury; Motel 6 focuses on

economy.

Product Categories: Comparing your product to a product in a different

category can be an effective way to differentiate yourself. In a soap-compares-
itself-to-lotion

Example, Palmolive dishwashing liquid claims that it softens you hands while
you do the dishes.

Usage Occasions: This kind of positioning stresses when or how your product is
used by your target audience.

Jeeps focus on off-road driving is an excellent example.

Users: Focusing on the unique characteristics of specific users can also be

effective.

The For Dummies series of instruction books are attractive to people who
want to learn about a topic from a source that doesnt assume any prior knowledge
on the readers part.
POSITIONING BY PRICE/COST LEADERSIP
When it comes to marketing the business, there are three generic strategies you can use: focus,
differentiation and cost leadership. This means that you need to minimize your costs and pass the
savings on to your customers.
WAL-MART
Wal-Mart Stores Inc. has been successful using its strategy of everyday low prices to attract
customers. The idea of everyday low prices is to offer products at a cheaper rate than competitors
on a consistent basis, rather than relying on sales. Wal-Mart is able to achieve this due to its large
scale and efficient supply chain. They source products from cheap domestic suppliers and from low-
wage foreign markets. This allows the company to sell their items at low prices and to profit off thin
margins at a high volume.
MCDONALD'S
The restaurant industry is known for yielding low margins that can make it difficult to compete with a
cost leadership marketing strategy. McDonald's has been extremely successful with this strategy by
offering basic fast-food meals at low prices. They are able to keep prices low through a division of
labor that allows it to hire and train inexperienced employees rather than trained cooks. It also relies
on few managers who typically earn higher wages. These staff savings allow the company to offer its
foods for bargain prices.

POSITIONING BY LIFESTYLE
Brand position in car-MAZDA
MAZDA's Brand Positioning Strategy
There are similar products throughout the automotive industry. Mazda considers it vitally important to
strengthen its emotional bonds with consumers. In order to create an excellent brand image through
strong emotional ties with consumers, Mazda did not initially concentrate on brand strategy
schemes, but rather sought to define a brand DNA.

Target customers
Mazda's target customers are those individuals who stay young, have a good capability to express
themselves, are always passionate and are self-confident in their choices.
Mazda's Brand DNA
Mazda's brand DNA is divided into two concepts of Personality and Product. In order to gain pathos
from the target customers, Mazda tried to create an image where Personality is defined as Stylish,
Insightful and Spirited, and to guide Mazda's craftsmanship, Product is defined as Distinctive Design,
and Responsive Drive.

POSITIONING BY ATTRIBUTES
Brand positioning is designed to develop a sustainable competitive edge on product attributes in the
minds of the consumers.
The consumer choice depends upon the attributes of the brand and the utility thus derived.brand
attributes also known as core values,represent the essence of the brand.
FEW STRONG BRAND ATTRIBUTES:
Sustainability: A strong brand makes business competitive.A sustainable brand drives an
organization towards innovation and success.Example:Marks and spencer's.
Inspirational: A strong brand should transcend/inspire the cateogary it is famous for.Example: NIKE
transcendent jersey.
Appealing: A strong brand should be attractive. Customers should be attracted by the promise one
makes and by the value one delivers. Example:life insurance companies.
Sometimes a product can be positioned in terms of two or more attributes simultaneously. The price
and quality attribute dimension is commonly used for positioning the products. The product is
associated with attributes it possess.
Ariel offers a specific benefit of cleaning even the dirtiest of clothes because of the micro cleaning
system in the product.
Colgate offers benefits of preventing cavity and fresh breath.
Promise, Balsara's toothpaste, could break Colgate's stronghold by being the first to claim that it
contained clove, which differentiated it from the leader.
Nirma offered the benefit of low price over Hindustan Lever's Surf to become a success.
Maruti Suzuki offers benefits of maximum fuel efficiency and safety over its competitors. This
strategy helped it to get 60% of the Indian automobile market.

POSITIONING BY QUALITY
Another way is to communicate a specific image or position for a brand is to associate it with a
specific use or application-'Quality It Possess'
Surf Excel is positioned as stain remover ' Surf Excel hena!'
Clinic All Clear - "Dare to wear Black".

POSITIONING ON THE BASIS OF PRODUCT

CLASS
Often the competition for a particular product comes from outside the product class. For example,
airlines know that while they compete with other airlines, trains and buses are also viable
alternatives. Manufacturers of music CD's must compete with the cassettes industry. The product is
positioned against others that, while not exactly the same, provide the same class of benefits.

POSITIONING BY COMPETITOR
Competitors may be as important to positioning strategy as a firm's own product or services. In
today's market, an effective positioning strategy for a product or brand may focus on specific
competitors. This approach is similar to positioning by product class, although in this case the
competition is within the same product category.
Onida was positioned against the giants in the television industry through this strategy, ONIDA colour
TV was launched with the message that all others were clones and only Onida was the leader.
"Neighbour's Envy, Owners Pride".

POSITIONING ACCORDING TO THE

PRODUCT USER
Clinique, for example, has a strong image of being fresh, clean, and pure, with a white-coat clinical
approach to skin care and cosmetics. The typical user is perceived to be a young woman with oily
skin. The challenge for Clinique is to maintain its current image strengths but to soften the youthful
image (to make the brand accessible to mature women) and to reach out beyond the specialized
focus on oily, problem skin to a broader audience. For instance, Clinique would like to inject
elements of elegance into the line, not to compete with the "elegant" position of competitors but to
expand beyond their strong clinical position.

POSITIONING BY OCCASION
Recognizing the market potential, Cadbury decided to add the Diwali twist to Celebrations. With the
1999 campaign that surprised families with `Diwali Ki Meethi Shubhkaamnaaye' and the `Har Pal
Bane Ek Utsav'campaign in 2000, people were now reveling in the Diwali festivities with a box
of Cadbury Celebrations. In 2002, with the tagline `Rishtey Pakne Do' the Rich Dry Fruit Collection
was introduced in the market that got families together in festive times. Delving beyond families, the
2004 Celebrations commercials starring Amitabh Bachchan cemented the spirit of friendship with the
tagline `Aisi Mithaas Jo Dosti Banaye Khaas'. In 2009, Celebrations took the brand thought deeper
into the meaning of Diwali; it was now a symbol of new friendship, spreading happiness, and taking
a moment to thank all those who remain unappreciated for most part of the year. Tapping into the
festive mood of togetherness, Celebrations started asking people `Iss Diwali Aap Kisse Khush
Karenge?'