How can a firm develop and establish an effective positioning in the market

Developing and Establishing an Effective Brand Positioning

What is Positioning?

Positioning is the act of designing a company’s offering and image to occupy a distinctive place in the minds of the target market.

The goal is to locate brand in the minds of consumers to maximize the potential benefit of the firm.

How to develop positioning in market?

1Determine a Competitive Frame of Reference

Identifying Competitors: Industry Competition: Product that are close substitute for one another.

Market Competition: Companies that satisfy same customer need.

VS

VS

Coca-Cola, focused on its soft drink business, missed seeing the market for coffee bars and fresh-fruit-juice bars.

VS

Identifying Competitors:

12Identify Optimal Points-of-Difference and Points-of-Parity

Points-of-difference: Attributes or benefits consumers strongly associate with a brand, positively evaluate, and believe they could not find to the same extent with a competitive brand.

Points-of-parity: Attributes that are not necessarily unique to the brand but may be shared with other brands Defining Association.

(design, ease-of-use) (performance, winning)

(germ cleaning) (germ cleaning)

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VS

13

Creating a Brand Mantra

McDonald’s brand philosophy(Food, Folks and Fun)

Nike’s mantra:(authentic athletic performance)

Disney’s brand mantra:(fun family entertainment)

Credits

Photos:www.google.com

Content:Marketing ManagementA South Asian Perspective

- Philip Kotler

Presentation created by - Rashmi Choudhary, IIT Bombay

During an internship by Prof. Sameer Mathur, IIM Lucknow http://www.iiminternship.com