POSITIONING

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POSITIONING
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Analysis (i.e. consumer, product, market)
Identifies Problems Opportunities Which Leads
to Positioning Decisions

• PRODUCT ANALYSIS
• CONSUMER ANALYSIS
• MARKET ANALYSIS

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Product Analysis

• Core Benefit or Service
• Actual Product
• Brand Name
• Packaging
• Features
• Design
• Quality Level

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Product Analysis (cont)

• Augmented Product
• Delivery/Credit
• Installation
• After-sale Service
• Warranty

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Positioning Decisions Provides Direction to
Advertising Programs
CREATIVE PROGRAM
POSITIONING DECISION
MEDIA PROGRAM
BUDGET PROGRAM
SALES PROMOTION PROGRAM
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POSITIONING DRAWS FROM ANALYSIS SECTION OF
ADVERTISING PLAN
CONSUMER ANALYSIS
PRODUCT ANALYSIS
MARKET ANALYSIS
SEGMENT POTENTIAL
MARKET SEGMENTS
PRODUCT ADVANTAGES
POSITIONING DECISION
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TARGET MARKETING Major Steps

• Segmenting
• Targeting
• Positioning

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TARGET MARKETING Major Steps

• Segmenting
• Targeting
• Positioning (within segment)

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POSITIONING

• The act of designing the companys offer so that
  it occupies a distinct and valued place in the
  target customers minds.
• Process
• Identify positioning concepts for each target
  segment
• Select, develop, communicate chosen positioning
  concept

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DEFINES HOW THE ADVERTISER WISHES TO HAVE
TARGET MARKET CONSUMER PERCEIVE THE BRAND
IN RELATION TO COMPETITIVE PRODUCTS.
(i.e. how the brand will differentiate
itself and gain competitive advantage over
brands in the same target market.)
Positioning (Continued)
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IDENTIFY POSITIONING CONCEPTS FOR SEGMENTS

• Differentiation is the act of designing a set of
  meaningful differences to distinguish the
  companys offer from competitors offers.
• Every product/service can be differentiated.

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TYPES OF DIFFERENTIATION

• Product Differentiation
• Price/Quality Differentiation
• Application Differentiation
• Product Class
• Product User
• Competitor
• Cultural Symbols

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IDENTIFY POSITIONING CONCEPTS FOR SEGMENTS

• Product Differentiation (Salient Attributes)
• Features
• Performance
• Conformance
• Durability
• Reliability
• Repairability
• Style

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IDENTIFY POSITIONING CONCEPTS FOR SEGMENTS

• Price/Quality Differentiation
• Price not relevant/high quality product
• or
• Quality Good at Competitive Price

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IDENTIFY POSITIONING CONCEPTS FOR SEGMENTS

• Application Differentiation
• Associate brand with specific use or application
• Ex. BD SnakeLight shown as solution to the
  problem of trying to hold a flashlight while
  working.
• Ex. Arm Hammer Baking Soda promoted multiple
  uses.

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IDENTIFY POSITIONING CONCEPTS FOR SEGMENTS

• Product Class Differentiation
• Position as an alternative to existing products.
• Ex. Amtrak has positioned itself as an
  alternative to airplanes, citing cost savings,
  enjoyment, etc.

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IDENTIFY POSITIONING CONCEPTS FOR SEGMENTS

• Product User Differentiation
• Associating product with a particular user or
  group of users

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IDENTIFY POSITIONING CONCEPTS FOR SEGMENTS

• Competitor Differentiation
• Focusing on competitor
• Ex. Avis positioned itself against Hertz (Were
  No. 2, we try harder.)

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IDENTIFY POSITIONING CONCEPTS FOR SEGMENTS

• Cultural Symbols Differentiation
• Communicated through cultural symbols
• Consumers ascribe meanings to these symbols
• Ex.
• Jolly Green Giant
• Ronald McDonald
• Mr.. Peanut
• Pillsbury Dough Boy

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SELECT, DEVELOP COMMUNICATE POSITIONING CONCEPT

• Differences must be
• important
• distinctive
• superior
• communicable
• affordable
• profitable
• preemptive

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SELECT, DEVELOP COMMUNICATE POSITIONING CONCEPT

• Determine of differences to promote
• single benefit positioning
• double benefit positioning
• triple benefit positioning
• Promote major strengths provided target market
  values these strengths

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POSITIONING EXAMPLES

• DOVE IS POSITIONED AS A MOISTURIZING BEAUTY
  BAR.
• COKE CLASSIC IS POSITIONED AS THE REAL
  THING.
• CHEER IS THE DETERGENT FOR ALL TEMPERATURES.

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POSITIONING EXAMPLES (continued)

• SURF DETERGENT IS POSITIONED AS THE DIRT
  AND ODOR REMOVER
• OIL OF OLAY CONDITIONING BATH BAR PROVIDES
  YOUNGER FEELING SKIN BECAUSE IT IS NOT A
  SOAP.
• TYLENOL IS THE PAIN RELIEVER HOSPITALS USE
  MOST.

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POSITIONING EXAMPLES (continued)

• ULTRA TIDE IS THE DETERGENT TO USE WHEN
  STAINS GET IN DEEP.
• MILK-BONE BRAND DOG BISQUITS CLEAN TEETH
  AND FRESHEN BREATH.

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PREEMPTIVE POSITIONING

• POSITIONING IN WHICH A BRAND IS PRESENTED
  TO CONSUMERS AS UNIQUE TO ITS SEGMENT.
• (ex. EGGLANDS -- With more Vitamin E than
  regular eggs and the hens are fed a unique
  all-vegetarian diet with no animal by-products.)

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COMPETITIVE ADVANTAGEThe Firm has a
Marketing Mix that the Target Market sees as
better than a Competitors Mix.
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POSITIONING STATEMENT

• PRODUCT X IS POSITIONED AS OFFERING
  (BENEFIT) TO (TARGET MARKET) WITH THE
  COMPETITIVE ADVANTAGE OF (COMPETITIVE
  ADVANTAGE) BASED ON (BASIS FOR COMPETITIVE
  ADVANTAGE).

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Positioning Statement (Exanple)

• Colgate Junior is positioned as offering to kids
  a toothpaste made especially for those kids who
  dont like to brush with the competitive
  advantage of a mild fruit taste and lower foaming.

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REPOSITIONING

• Altering or Changing a Products or Brands
  Position
• Ex. K-Marts attempt to reposition to level of
  higher quality
• Reasons for Repositioning
• declining or stagnant sales
• anticipated opportunities in other market
  positions

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PERCEPTUAL MAP

• Shows How Target Consumers Perceive Brands in a
  Product Category
• Shows Positions Occupied by Rival Brands
• Suggests where New Brands Might be Positioned.

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PERCEPTUAL MAP - SNACKS
Non-Portable
Homemade Pie
Tapioca Pudding
Cheesecake
Gelatin Desserts
Boston Cream Pie
Fancy
Plain
Coffee Cake
Cupcakes
Date Bar
Brownies
Homemade Cookies
Portable
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THE END