Brand Positioning
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
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 trusting leader MTV changing
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
BRAND EQUITY CONCEPT
Perceived quality
Brand awareness
Brand association Other propriety brand asses
Brand
loyalty
Brand equity (Name, Symbol)
value to
customer
value to
company
TRADE
LEVERAGE
REDUCED MARKETING COSTS
VALUE OF BRAND LOYALTY
ATTRACTING NEW
CUSTOMER
PROVIDE TIME TO RESPOND TO COMPETITIVE THREATS
BRAND LOYALTY PIRAMID
COMMITTED BUYER
LIKING THE BRAND
SATISFIED BUYER HABITUAL BUYER
SWITCHER