‘Positioning’ is the last step in the marketing strategy formulation. Marketing strategy begins with the identification of market segmentation and later choosing a target for marketing activity. The term ‘position’ in a physical sense is used to refer to or specify the place or location of an object. The marketing battle is not fought for acquiring a geographical unit but to win customers or market share. Retailers or the end users are usually the targets of the marketing battles.
In marketing, the soldiers are typically the sales people, and other value creating tools like advertising, sales promotions, demonstrations, product, after sales care, price, reputation etc, are the tools used to fight the marketing battles. Brands are the ultimate fighters used to fight marketing battles. Positioning is about building the image of a brand. Take, for example, Dominos; guarantees pizza delivery in 30 minutes. It is about how the brand is going to be perceived in the market.
Here are some essential elements of a best-in-class brand positioning statement.
THE TARGET CUSTOMER
The first and the foremost consideration in the search for a position is the concept of target market or customer. Customers are relevant for two reasons: first, they are the targets for the positioning effort. Positioning is created in their minds. Second, they are the ultimate marketing targets. This totally defines the relevance of your brand or product in the market, and answers to whom are you selling the product or service.
THE TARGET COMPETITION
The best strategy in warfare is the one where the target is achieved without any conflict or bloodshed. If a brand enters in a pristine value space where it meets no competition, it is the best strategy. In a way, positioning is also about choosing one’s competition. Once the value space is identified, then different types of competitors could be distinguished. The direct competitors and the competitors based on product categories.
Say, Cadbury’s Dairy Milk chocolate now competes with traditional Indian sweets such as barfi served on all kinds of happy occasions. So, it’s all about your uniqueness of the brand or what we call the, USP of the brand.
COMPANY OR BRAND
Brand represents a value that a marketer packs for its target customer. Key to successful positioning requires simultaneous consideration of both of, the audience and competitors. Combining these two dimensions representing relevance (customer side) and uniqueness (competitor side) enables the marketer to choose a path to create an image for the brand that is both relevant and unique. Relevant resources and competencies must back whatever is the position that a marketer intended to create for his brand and the company in the prospect’s mind.
Demographic variables like age, income, sex, education or location could be used to divide the market. This is all about keeping into consideration the main target of a segment of the audience or customer you are targeting. Whether it is the businessmen or the working women, boy or a girl, etc. Like GetMeAShop targets the business oriented people in the market, so as others in the market.
The usage volume differs in the market and this gives rise to groupings like light, heavy and medium user segments. The Behavior of people towards your competitors brand can be a stepping stone for your own brand. Hence, always keep these patterns into consideration for better positioning.
The use of psychological variables is gaining popularity nowadays. Pepsi has all along been positioned as a drink of what they call a ‘new generation’ or ‘Generation Next’.
Also read: Ways to Build A Killer Marketing Plan