Brand Positioning and Values
Brand Positioning and Values
Where we have been
We understand– Brand equity and the psychology behind it– A function of awareness, strength, favorability,
and uniqueness of the nodes and links in memory BE is created in a progressive fashion
– Establish proper Brand Identity– Create Brand meaning– Elicit positive Brand responses – Forge strong Brand relationship
Identifying and establishing Brand Positioning
The Integrated Brand Model– Six elements that define a brand
Unified Leverage each other Brand Drivers a function of Organization Drivers
– These six elements serve as a “roadmap” to our Brand Equity model
At every step, we can figure out what to do from our Brand and Organization Drivers
Brand Positioning
Brand Positioning– Brand positioning is all about identifying the
optimal location in our customers’ minds for our Brand and our competitors
– Proper positioning makes it easier to facilitate understanding of our Brand
Taken to its’ logical conclusion, you might think of the Principle as an indicator of a brand’s position
First Steps
The first step is to identify and establish Brand positioning and brand values (Keller)
Positioning is the foundation for creating and fostering the desired knowledge and perceptions of your customers– remember our 3 types of associations in memory?– We can really only manage one (positive), can
respond to a second (negative), and have no control over the third (idiosyncratic)
Proper Positioning
Proper positioning– Clarifies what the Brand is all about– How it is both unique and similar to competitive
brands– Why customers should purchase and use the
Brand
Example: Pepsi One
Millions in R&D for ingredient Ace-K (artificial sweetener)
37,000 hours to design the can
100 Million Marketing budget
Original Target Market– 20-30 yo Males who did not
like taste of diet colas
Pepsi One Brand Conveyors: Then and now
Full flavored, healthy alternative to regular cola
“Only one has it all” “True cola taste, one
calorie” “Tastes like regular
cola” Celeb: Tom Green
“Breakthru Sweetener” “Too good to be one
calorie, but it is”
Celeb: Kim Katrell– Better for 20-30 yos?
In order to Position a Brand…
…you must decide– Who the Target Consumer is– Who your main competitors are– How the Brand is similar to your competitors– How the Brand is different from your competitors
Where do you get this information?– Your BRAND INVENTORY!!
Target Market Segmentation
A market segment should have similar knowledge structures and brand knowledge– Similar knowledge structures might mean similar
perceptions and beliefs about your Brand There are 2 ways to segment
– Descriptive: characteristics of the individuals in the market
– Behavioral: grouped by how individuals in the market perceive or use the product
Toothpaste Segmentation
Four main segments Sensory segment
– Flavor and product appearance
Sociables– Brightness of teeth
Worriers– Decay Prevention
Independent– Low Price
3 stripes, one for each of the 3 main segments
Flavor, Brightness
Decay Prevention
Target Market Segmentation
Which works better? Behavioral– Easier to match perceptions (right/wrong) or beliefs
(right/wrong) with strategy (reinforce/change). – Many times, behavior and descriptive go hand in hand
Demographics may be basis of targeting, but tend to represent some underlying behavioral reason– In some cases, demographics may mask underlying
differences
Advantages of demographic segmentation
Demographic segmentation is well known, easier to buy media on that basis
However, with the emergence of non-traditional media, this advantage is getting smaller– Web ads can target by demographics traditionally
difficult to access AA, Asian Americans, College students
Criteria for a Segment
Identifiability– Can the segment be easily identified?
Size– It is big enough to bother?
Accessibility– Are distribution outlets and media available to us to reach
the segment?
Responsiveness– How favorably will the segment respond to a tailored
marketing program? (this one is tough to quantify)
Segmentation Example
Mobil’s 5 types of gasoline buyers– Price Drivers
Not brand loyal, driven by price, has been focus for years
– Road Warriors Upper income, MAMen, 25-50k/year, buy food and services
with credit card (Premium gas)
– True Blues Brand loyal, Mid income, pay with cash
– Generation F3 Fuel, food, fast: half under 25 yo, in and out quickly
– Homebodies Soccer moms using whatever is on their route
The Competition
Market Segments define competitors– They are targeting the same segments
Don’t be too narrow in your definition of competitors
Consider Sprite– Product Type (non-cola soft drinks)– Product Category (all soft drinks)– Product Class (all beverages)
Baskin-Robbins Competitive analysis
Original Tagline:– 31 Flavors
100 M$ facelift in late 1990s Expanded from Ice cream
– Frozen coffee drinks– Fruit Smoothies
Perceived competitors– Starbucks– Jamba Juice– TCBY– (and still Dairy Queen)
Part 3: POP and POD
POD (Point of Difference)– Strong, favorable, unique brand associations– May be any kind of attribute or benefit
Two types of PODs– Attribute Based
Functional, performance related differences
– Image Based Affective, experiential, brand image related differences
Part 3: POP and POD
POP (Point of Parity)– Associations that are shared with other brands
Two types– Category: attributes that are required to include
your product as a member of that category– Competitive: POP that negate your competitors
PODs POPs can be “good enough”, but PODs
should be “superior
Similar concepts
Unique Selling Proposition (USP; Reeves and Bates)– Advertisers should give a compelling reason to buy
a product that competitors could not match What component of the IBM reflects this?
Sustainable Competitive Advantage (SCA) The advantage of delivering superior value in the
marketplace for a prolonged period of time Further, SCAs can result from any component of the firm
– Similar to notion that Principle exists in every part of the firm
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POP AND POD: BMW over the years
1971
1975
1985
1991
• International• Desirability
• Fun to drive• Economical
• Affluence, exclusivity• Fun to drive
• Affluence, exclusivity • Fun to drive
Managerial Issues
How do I begin to position my Brand?– Communicate category membership– This is the “frame of reference”, where customers
can activate what they know about the category and apply it to your POPs and PODs
How?– Communicate category benefits– Compare your product to exemplars– Rely on product descriptor
Sneaky psychology sidebar - Exemplars
Memory is modeled in a hierarchical was as well– Exemplars can be real or amalgamated (prototypes)– Generated from experiences and exposures from the
environment
Exemplar example (heh)– DRAW A PICTURE OF A CHAIR (THE FIRST THING
THAT COMES TO MIND
Compare your picture to your other team members– Is it the same or different
Ways to convey category membership (cont): Comparison to Exemplars
Thus, two strategies:– Created exemplar (not a real product)– Real exemplar (coke when talking about cola-
based carbonated beverages)
NOTE: Keller defines exemplars as– Well known, noteworthy brands in a category
Pepsi One example (after repositioning)
Nuts and Bolts
How do I decide on my PODs and POPs? POPs
– Analysis of category What attributes do all of my competitors have? I probably need
to have those, or my competitors automatically have a POD POPs get you included in category
PODs are more difficult– Don’t use PODs that are product centric (dominate
competition) but customer centric (uniquely address need of customer)
Managerial issues
Criteria for POD– Desirability
Must be Relevant Must be Distinctive Must be Believable
– Deliverability Feasibility Communicability Sustainability
Establish POP and POD in marketplace
Difficulty: Many attributes that make up POP and PODs are negatively opposed– Low price vs. High quality– Tastes Great vs. Less filling
Separate the attributes Leverage equity in another entity Redefine the relationship
Defining Values and Principle
You already know how to do this– Your values and principle are part of your Org and
Brand drivers!!!– Keller calls principle “Brand Mantra”
Your Values, Principle, and position all are related– NOTE: Keller says that associations are values,
but we have a stricter definition of associations from the IBM
Principles a la Keller: What makes a good Principle?
Three components– Emotional component (Comfortable)– Descriptive modifier (Casual)– Brand function (clothing)
Other Examples– Nike: Authentic, Athletic Performance– Fun Family Entertainment