When it comes to branding, positioning is key. Brand positioning is the act of defining how your ideal customers think about your brand in relation to the rest of the market/competition. There are several approaches that businesses can use to position their brands, each with its own unique benefits and challenges. In this post, we’ll take a look at seven approaches to brand positioning and how businesses can use them to effectively position their brands in the market.
There are 2 overarching brand positioning approaches: price and differentiation. Typically, price-based positioning has been employed by brands who are targeting value shoppers, while the differentiation approach has been used by brands targeting a more discerning audience. This is a rudimentary way to break down positioning based on your pricing and your overall value, but while it is helpful to figure out which “camp” your brand is in, I believe that using a more specific approach will help you zero in on your positioning statement. Ultimately, you’ll want to use one approach or a blend of approaches to write up your positioning statement, so you have an idea guiding how your brand stands out in the market and where it sits in your buyer personas’ minds.
Price-based positioning:
This approach involves positioning a brand based on its price relative to its competitors. This can be a useful way to appeal to price-sensitive consumers or differentiate a brand based on its affordability. However, it’s important to consider other factors such as the quality and value of the product or service, as well as the target audience, in order to create a well-rounded brand positioning strategy.
Example:
Walmart: “Save money. Live better.” Walmart positions itself as the most affordable option in the market, appealing to budget-conscious consumers.
Value-based positioning:
This approach involves positioning a brand based on the value it offers to customers relative to its price. This can be a useful approach for brands that want to differentiate themselves based on the benefits and value they offer to customers, rather than just their price. By highlighting the unique value proposition of a brand, companies can appeal to customers who are willing to pay a higher price for a product or service that offers a good value.
Example:
– Subaru: “Love. It’s what makes a Subaru a Subaru.” Subaru positions itself as a brand that offers a good value to customers, highlighting the durability and reliability of its products.
– Southwest Airlines: “Low fares. Nothing to hide.” Southwest Airlines positions itself as a budget-friendly option that offers a good value to customers, highlighting its transparent pricing and no-hidden-fees approach.
Competitive differentiation positioning:
This approach involves identifying the unique qualities of a brand and how they differ from those of its competitors. This can be a useful way to differentiate a brand in the market and stand out to potential customers. However, it’s important to be authentic and genuine in this approach, as customers can see through false or exaggerated claims.
Example:
Nike: “Just do it.” Nike positions itself as a brand that inspires and motivates athletes to achieve their goals, setting itself apart from other sports apparel brands.
Tesla: “Accelerating the world’s transition to sustainable energy.” Tesla positions itself as a innovative and environmentally-conscious brand, setting itself apart from other car manufacturers.
Target audience positioning:
This approach involves identifying the specific needs and desires of a brand’s target audience and positioning the brand as the solution to those needs. This can be a great way to connect with the target audience on an emotional level and build a loyal customer base. However, it’s important to accurately identify and understand the needs and desires of the target audience in order to effectively position the brand.
Example:
Old Navy: “Fashion for all.” Old Navy positions itself as a brand that offers fashionable clothing for a wide range of consumers, appealing to its diverse target audience.
Toyota: “The best cars made by the best people.” Toyota positions itself as a brand that offers high-quality and reliable cars to families, appealing to its target audience of parents and caregivers.
Benefits positioning:
This approach involves identifying the benefits that a brand offers to customers and positioning it as the best solution to their needs. This can be a powerful way to connect with potential customers and differentiate a brand from competitors. However, it’s important to be specific and genuine in the benefits that are communicated, as customers can sense when a brand is making exaggerated or false claims.
Example:
Crest: “A healthy, beautiful smile for everyone.” Crest positions itself as a brand that offers dental products that promote healthy teeth and gums, appealing to consumers who value oral health.
Samsung: “Do what you can’t.” Samsung positions itself as a brand that offers innovative and cutting-edge products that allow consumers to do more, appealing to consumers who value convenience and productivity.
Unique selling proposition (USP) positioning:
This approach involves identifying the unique value proposition of a brand and communicating it to potential customers. A strong USP can be a powerful tool for differentiating a brand and standing out in the market. However, it’s important to ensure that the USP is truly unique and cannot be easily replicated by competitors.
Example:
– Zappos: “Powered by service.” Zappos positions itself as a brand that offers exceptional customer service, setting itself apart from other online retailers.
– Dollar Shave Club: “Shave time. Shave money.” Dollar Shave Club positions itself as a brand that offers a convenient and affordable subscription-based razor service, setting itself apart from other razor brands.
Emotional appeal positioning:
This approach involves positioning a brand in a way that evokes emotions in its target audience. This can be a great way to connect with customers on a deeper level and create a lasting impression. However, it’s important to ensure that the emotional appeal is authentic and genuine, as customers can sense when a brand is trying too hard to manipulate their emotions.
Example:
– Airbnb: “Belong anywhere.” Airbnb positions itself as a brand that allows users to feel at home and connected to new places, appealing to consumers who value a sense of community and belonging.
– TOMS Shoes: “One for One.” TOMS Shoes positions itself as a brand that gives back and makes a positive impact on the world, appealing to consumers who value social responsibility and sustainability.
There are several approaches that businesses can use to position their brands in the market (and new approaches are popping up – like “celebrity-based positioning”). By carefully considering the unique value proposition of their brand and the needs and desires of their target audience, businesses can effectively position their brands and stand out in the competitive marketplace.
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