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Crafting The Brand Positioning

The document discusses brand positioning strategies. It outlines a process for marketers to uncover the most powerful brand positioning by starting with target customers' needs and developing a value proposition. Positioning is designing a company's offering and image to occupy a distinctive place in the minds of customers. It involves choosing points of parity and points of difference versus competitors based on what customers desire, the company can deliver, and what differentiates the brand. An effective brand positioning also uses a concise brand mantra to guide marketing decisions.

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407 views

Crafting The Brand Positioning

The document discusses brand positioning strategies. It outlines a process for marketers to uncover the most powerful brand positioning by starting with target customers' needs and developing a value proposition. Positioning is designing a company's offering and image to occupy a distinctive place in the minds of customers. It involves choosing points of parity and points of difference versus competitors based on what customers desire, the company can deliver, and what differentiates the brand. An effective brand positioning also uses a concise brand mantra to guide marketing decisions.

Uploaded by

olmezest
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Chapter 10: Crafting the Brand Positioning

No company can win if its products and services resemble every other product and  offering. As part of the
strategic brand management process, each offering must represent the right kinds of things in the minds of the
target market. In this chapter, we outline a process by which marketers can uncover the most powerful brand
positioning

Developing a Brand Positioning: Product positioning starts with target customers. The needs of target customers
—the benefits they seek in usage and the prices they are willing to pay—should drive product positioning.
Product positioning also includes developing a brand name that communicates a desired brand image and
marketing communications that correspond to target customer message and media preferences.
Understanding Positioning and Value Propositions
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 act of designing the company’s offering and image to occupy a distinctive place in the mind of the target market.”
The first is the development of a positioning strategy based on target customers’ needs. To do this, the company must answer
two questions: “Who is our target customer?” and “How do we offer superior value for target customers?”
Value proposition— A brand’s value proposition is the set of benefits or values it promises to deliver to consumers to satisfy
their needs. the full mix of benefits on which a brand is differentiated and positioned. It is the answer to the customer’s
question “Why should I buy your brand?”
Company and Product Target Customers Key Benefits Price Value Proposition
Perdue (chicken) Quality-conscious Tenderness 10% premium More tender golden chicken at a moderate
consumers of chicken premium price

PRODUCT POSITIONING STRATEGIES : 1. Differentiation and Product Positioning 2. Branding and Brand Management Strategies 3.
Brand and Product Line Strategies.
Positioning requires
(1) choosing a frame of reference by identifying the target market and relevant competition,
(2) identifying the optimal points-of-parity and points of-difference brand associations given that frame of reference,
(3) creating a brand mantra summarizing the positioning and essence of the brand.
Choosing a Competitive Frame of Reference
Linked to target market decisions , to determine category membership — products or sets of products with which a brand
competes and which function as close substitutes.
Identifying Competitors : Broader set of actual and potential competitors , Direct & Indirect competitors
Analyzing Competitors : Survey: Customers’ Ratings of Competitors on KSF, Conduct competitive SWOT analysis & theirs
Strategies.
Once marketers have fixed the competitive frame of reference for positioning by defining the customer  target market
and the nature of the competition, they can define the appropriate points-of-difference and points of-parity associations
Identifying Potential Points-of-Difference (PODs) : attribute or benefit, Uniqueness, reasons for strongly associate with a
brand. Example: Energizer as having the longest-lasting battery.
Strong brands often have multiple points-of-difference : Nike (performance, innovative technology, and winning)
Three criteria determine point-of-difference: Desirability, Deliverability, and Differentiability.
 Desirable to consumer : relevancy to them, actually want, Able to satisfy need.
Example: NIVEA Wrinkle Control Crème with Q10 co-enzyme.
 Deliverable by the company: a promise brand can actually deliver on, resources and commitment of Company.
 Differentiating from competitors: Distinction, brand association as distinctive and superior to relevant competitors.
Example: Red Bull by differentiating itself on its innovative 16-ounce can
Points-of-Parity : Driven by the needs of category membership, Essentially Industry standard attributes or benefit
association with Brand.
• Category points-of-parity : Essential to a legitimate and credible offering within a certain product or service category,
may change over time due to technological advances, legal developments, or consumer trends.
• Correlational points-of-parity : Potentially negative associations that arise from existence of positive associations for
the brand.
• Competitive points-of-parity : overcome the perceived weakness of the brand or negate competitors' perceived point-of-
difference.
Choosing Specific POPs and PODs
Means of Differentiation : Marketers have to match consumers’ desire for a benefit with their company’s ability to deliver it,
benefit that is sufficiently desirable, deliverable, and differentiating can serve as a point-of-difference.
Example: Pepsico natural and organic product lemon-lime soft drink:
Perceptual Maps: Quantitative visual representations/ correspondence analysis of consumer perceptions and preferences on
different products, services, and brands for measure the way products are positioned in the minds of consumers.
Emotional Branding : The art of convincing, emotional bond, long-lasting, emotional connection between customers and a
brand achieved by evoking strong feelings to ensure the brand stays in customers’ minds.
Brand Mantras : Neither A Tagline Nor A SLOGAN! Its “brand essence” and “core brand promise.” , Internal
manifestation, Driving message, 2-5 words articulation of the heart and soul of the brand encapsulating brand’s vision,
outlook, and emotion.
Example : Nike’s Brand Mantra= Authentic Athletic Performance Whereas, Nike’s Tagline = Just Do It.

Role of Brand Mantras : By highlighting points-of-difference, provide guidance about what products to introduce under the
brand, what ad campaign to run, and where and how to sell the brand.
Designing a Brand Mantra : Three key criteria
 Brand functions : Describes the nature of the product or service or type of experiences or benefits the brand provides.
 Descriptive modifier : further clarifies its nature.
 Emotional modifier: Another qualifier—how exactly does the brand provide benefits and in what ways?

Implementing a Brand Mantra


• Communicate: Set the brand boundaries and clarify what is unique about the brand.
• Simplify: Memorable. short, crisp, and vivid.
• Inspire : Personally meaningful and relevant to employees. Ability to inspire, if the brand values tap into higher-level
meaning with employees as well as consumers.
Establishing & Communicating Brand Positioning:
Brand-positioning bull’s-eye. “Marketing Memo: Constructing a Brand Positioning Bull’s-eye” outlines one way
marketers can formally express brand positioning without skipping any steps. Often a good positioning will have
several PODs and POPs.
Communicating Category Membership: Three main ways to convey a brand’s category membership:
1. Announcing category benefits : Assure consumers that brand will deliver on fundamental reason for using a category,
2. Comparing to exemplars—Well-known, noteworthy brands.
3. Relying on the product descriptor—Concise means of conveying category origin.

Communicating POPs and


PODs
Negatively correlated
attributes/benefits
• Low price vs. high quality
• Taste vs. low calories
• Powerful vs. safe
• Ubiquitous vs. exclusive
• Varied vs. simple
Communicating POPs and PODs : Negatively correlated attributes/benefits • Low price vs. high quality • Taste vs. low
calories • Powerful vs. safe • Ubiquitous vs. exclusive • Varied vs. simple.
Monitoring Competition : Assessing potential threats from competitors, three high-level variables are useful: 1. Share of
market—The competitor’s share of the target market.
2. Share of mind—The percentage of customers who named the competitor in responding to the statement “Name the first
company that comes to mind in this industry.”
3. Share of heart—The percentage of customers who named the competitor in responding to the statement “Name the
company from which you would prefer to buy the product.”
Alternative Approaches to Positioning : less structured & qualitative approaches
Brand Narratives and Storytelling
• Setting: The time, place, and context • Cast: The brand as a character, including its role in the life of the audience, its
relationships and responsibilities, and its history or creation myth • Narrative arc: The way the narrative logic
unfolds over time, including actions, desired experiences, defining events, and the moment of epiphany
• Language: The authenticating voice, metaphors, symbols, themes, and leitmotifs.
Cultural branding : Douglas Holt believes that to build iconic, leadership brands, must assemble cultural knowledge,
strategize according to cultural branding principles through hire and train cultural experts.
Positioning and Branding for A Small Business : Challenges for small business
• Limited resources and • Budgets. numerous success stories exist of entrepreneurs. Critical Success factors : Focus
and consistency & Creativity.
Branding Guidelines:
Find compelling product performance advantage
• Focus on building one or two strong brands based on one or two key associations
• Encourage product trial in any way possible
• Develop cohesive digital strategy to make the brand “bigger and better”
• Create buzz and a loyal brand community
• Employ a well-integrated set of brand elements
• Leverage as many secondary associations as possible
• Creatively conduct low-cost marketing research
• Find compelling product performance advantage • Focus on building one or two strong brands based on one or two key
associations • Encourage product trial in any way possible • Develop cohesive digital strategy to make the brand “bigger
and better” • Create buzz and a loyal brand community • Employ a well-integrated set of brand elements • Leverage as
many secondary associations as possible • Creatively conduct low-cost marketing research.

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