Brand Positioning

A. Kwanta Panthongprasert Albert Laurence School of Communication Arts Department of Advertising 2010

Chapter Outline
Basic Concepts of Brand Positioning Target Market
Segmentation bases Criteria

Positioning Guidelines
Defining and communicating the competitive frame of reference Choosing and establishing points of parity and points of difference

Defining and Establishing Brand Mantras

Core brand associations Brand mantras

Reference Texts:
Keller, Kevin L. (2003), Strategic Brand Management: Building, Measuring, and Managing Brand Equity (second ed.). Upper Saddle River, NJ: Prentice Hall. Aaker, David A. (2002), Building Strong Brands. New York: Free Pr. Aaker, David A., Joachimsthaler E. (2002), Brand Leadership. New York: Free Pr. Haig M., (2005), Brand Failures: the truth about the 100 biggest branding mistakes of all time. London: Kogan.

Brand Positioning
Positioning: identifying and establishing points of parity and points of difference to establish the right brand identity and brand image.

Basic Concept
Unique, meaningful points of difference provide a competitive advantage and reason why consumers should buy the brand. no reason why not

 Brand Positioning: is at the heart of marketing strategy. It is the act of designing the companys offer and image so that it occupies a distinct and valued place in the target customers minds. Position = Location (finding proper location of the product in the consumers minds)

How it is different?

And why consumers should purchase and use it?

So, marketers need to know

1. Who the target consumer is? 2. Who the main competitors are? 3. How the brand is similar to these competitors? 4. How the brand is different from them?

Target Market
Market: is the set of all actual and potential buyers who have sufficient interest in, income for, and access to a product. Market Segmentation: divided the market into distinct groups of homogeneous consumers who have similar needs and consumer behavior.

Segmentation Bases
Descriptive or customer-oriented: what kind of person or organization the customer is Behavioral or product-oriented: how the customer thinks of or uses the brand or product

Descriptive or customer-oriented

Who?
Consumers VS Business Buyers

Consumer Segmentation Bases

Behavioral
User status Usage rate Usage location Brand loyalty Benefit sought Income Age Sex Race Family

Psychographic
Value, opinions, and attitudes Activities and lifestyle

Demographic

Geographic International regional

Business-to-business Segmentation Bases

Nature of good
Kind Where used Type of buy

Demographic
SIC code Number of employees Number of production workers Annual sales volume Number of establishments

Buying condition
Purchase location Who buys Type of buy

Behavioral or product-oriented

How?
**Depend on each product category**

EX: Toothpaste
1. The sensory segment: seeking flavor and product appearance 2. The sociables: seeking brightness of teeth 3. The worriers: seeking decay prevention 4. The independent segment: seeking low price

Who the main competitors are?

How the brand is similar to these competitors? How the brand is different from them? Points of parity: associations that are not unique to the brand but may be shared with other brands. Points of difference: attributes or benefits that consumers strongly associate with a brand and they believe that they could not find from a competitive brand

Positioning Guidelines
Designing and communicating the competitive frame of reference
To determine category membership Which products does the brand complete? Different categories will lead to different points of parity and points of difference Ex: PDA smart phone, laptop, palm Ex: Coca cola soft drink, carbonated drink, general beverage Ex: Kelloggs Corn Flakes cereal, snack, morning meal

Positioning Guidelines
Choosing points of difference
Desirability criteria
Relevance Distinctiveness Believability

Deliverability criteria
Feasibility Communicability Sustainability

Positioning Guidelines
Establishing Points of Parity and Points of Difference
Separate the attributes Leverage equity of another entity Redefine the relationship

Positioning Guidelines
Updating positioning over time
Laddering: how to deepen the meaning of the brand to tap into core brand associations or more abstract considerations Reacting: how to respond to competitive challenges that threaten an existing positioning
Do nothing Go on the defensive Go on the offensive

Exercise
Pick 2 big brands in the same category Evaluate the positioning of each brand.
Who are the target markets?
Who and how?

What are their main points of parity and points of difference?

Both performance and imagery

Have they defined their positioning correctly? How might it be improved?

Defining and Establishing

Brand Mantras

Core Brand Associations

Core Brand Associations: are those abstract associations that characterize the 5 to 10 most important aspects or dimensions of a brand.
They can serve as the basis of brand positioning in terms of how they create points of parity and points of difference.

How do we know core brand associations?

Create mental map: all salient brand associations and responses for a particular target market. Group brand associations into related categories with descriptive labels

Ex. MTV mental map

trendsetter popular changing

mainstream trusting
leader MTV

original
Real and genuine For me Fun and entertaining young Hip and cool Irreverent and rebellious interactive

informative
music lifestyle

Live and immediate

connected

Ex. MTV core brand associations

Music
Whats hot and whats new

Interactivity
Connected and participatory

Credibility
Expert, trusting, reality

Community
Share experience

Personality
Irrelevant, hip, cool

Spontaneity
Up to the minute, immediate

Accessibility
Relevant, for everyone

Originality
Genuine, creative

Fluidity
Always changing and evolving

Brand Mantras
Heart & Soul Core brand promise Similar to brand essence 3 5 words that captures spirit of the brand Ex: McDonalds brand philosophy: Food, Folks and Fun

Designing Brand Mantra

What the brand is and what is not!!!
Brand function: nature of product, benefits the brand provides ex: Nike performance ex: Disney -- entertainment Descriptive modifier: further clarifies its nature ex: Nike athletic (not just typical performance) ex: Disney -- family Emotional modifier: provide another qualifier, how exactly does the brand provide benefits and in what ways? ex: Nike Authentic ex: Disney -- fun

Implementing Brand Mantra

Communicate: a good brand mantra should both define the category of business to set the brand boundaries and clarify what is unique about the brand Simplify: an effective bran mantra should be memorable, short, vivid Inspire: the brand mantra should also stake out ground that is personally meaningful and relevant to as many employees and possible