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How to position a brand powerfully 04 11-2013

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Brand positioning
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How to position a brand powerfully 04 11-2013

  1. 1. How to position a brand powerfully By Maxwell Ranasinghe.
  2. 2. What is positioning     “ Disembodied mental image , specifically, a location in consumers mind” “Positioning is doing something to the collective mind of the consumer” There is a comparative perspective in positioning as positioning implies the existence of something else. The positioning is the act of creating a perception or image or status in buyers mind.
  3. 3. Positioning is used to make a specific brand appear to be different and better than all competing brands  1. 2. 3. Key points to note are It is a strategic activity( not tactical) It is aimed at developing a sustainable competitive advantage It is concerned with Managing Perceptions Brand image and reputation are the end results
  4. 4. Strategic not Tactical     Positioning is not a short term tactical activity Change the consumers perception and reach a unique position. Lasting image that is not dependant on the product features or other elements that can be copied.(by competitors) Positioning should negate the situation of your competitors catching up and overtaking you.
  5. 5. Sustainable competitive advantage      Aims at long term competitive advantage Should offer a proposition of high benefit or significance Real brand strength that reflects a competitive advantage has to be adopted. The personality and other intangible values to be projected. Brand has to be capable of consistently performing at least as the competing brands.
  6. 6. Managing Perceptions Consumers do not know who produces goods and services  They may not know all the features of a product or service But they know in their minds why they like the product. They think in terms of the benefits. It could be tangible or intangible. But it is real to consumers. 
  7. 7. Create favorable perceptions     Once the perceptions are created it is difficult to shift It applies to both good and bad perceptions. It is very difficult to convince a consumer to try again a product that she or he had bad experience. If the product lives up to its promise, it has a great chance of achieving a brand image if not it will lack credibility.
  8. 8. Positioning is an ongoing activity to sustain the image      Once a favourable image is created it should be sustained. It should be continually reinforced. A long term communications strategy is required. Consumers are bombarded with thousands of messages everyday. The Challenge is to keep the brand at the forefront of their mind.
  9. 9. Strategies for brand positioning Features And Attributes Benefits Problem Solving Competition Corporate reputation and image Target user Cause emotion Value or pricing Guarantee Aspiration
  10. 10. Features and Attributes      This is a very clear strategy People constantly look for features Producing unique features and attributes is rather difficult Many features and attributes could be copied by others in at least in long term Continuous Innovations are necessary
  11. 11. Benefits     Closely connected to the features and attributes This strategy stresses the benefits of possessing it Benefits not be vague. It should be clear, attainable and useful. Ceylinco Insurance “On the spot claims payment” is convenient for customers not having to go to police and lodge claims and undergo a lengthy procedure
  12. 12. Problem Solving     Brands that solves problems for consumers are appreciated. This strategy requires a full understanding of consumer problems, well trained staff with social and communication skills Ceylinco “On the spot claim payment” solves the problem of lengthy claim process. E-channeling- solves the patients going to the hospital twice, once to make an appointment and then to consult the doctor.
  13. 13. Competition      Positioning against the competition To be handled with care from legal and advertising standards perspectives Coke and Pepsi Munchee and Maliban Claiming a position in the market such No1 – 2nd Challenger
  14. 14. Corporate reputation and image Existing brand and reputation to be used as a positioning e.g.; from the pioneers of cellular phones with the approval of Dental Association When two competitors mergeThey were tough competitors but now a strong alliance……. 
  15. 15. Target user    Target user positioning says that they clearly address the specific requirement of their target audience. High alcohol beer for hard liquor drinkers who wants to show they are moderate drinkers or to beer drinkers who needs the “kick” Instant food for people who do not have time for cooking.
  16. 16. Cause Cause related marketing. Associate the company with a worthwhile cause such as social, environmental cause.  E.g.; prevent accidents = CTC Eagle protect wildlife = ODEL  It gives additional impetus to the brand as it is conscious of social and environmental aspects. 
  17. 17. Aspirations   Positioning brands on ambitions, cravings,desires, dreams, goals hopes, longings and wishes E.g.;-Lotteries in Sri Lanka  Luxury cars, Holidays, designer dresses, fashion brands,
  18. 18. Usage     How and when consumers use products can help marketers position their products Beer- relax and unwind after a days work Coffee- -doExpress sophistication by consuming a special brand at special times. Champagne at celebrations
  19. 19. Value    Value for money concept positioning Value for money expresses a combination of price and quality E.g.: Air con intercity bus service  Denim clothes
  20. 20. Personality     Positioning based on personality can be one of the powerful strategies Creating personality to the product or service make it unique where competitors cannot match You got to project personality characteristics that the target market wants in the product E.g.; Mercedes Benz – Rolex watches, Hilton Hotel
  21. 21. Emotion    Emotion is a very powerful positioning strategy. Sex, music,aspirations,nostalgia,humor, nationality and many other techniques are used in appealing to the emotional drive of the consumer. Sisil fridge, Maliban Cream Cracker, Elephant Soda, Orange barley, MD Jam, DSI shoes
  22. 22. Combination of positioning strategies      Most of the products do not solely depend on one strategy. They use a combination of strategies. Such as value for money, emotion Aspirations and personality Corporate reputation and cause.
  23. 23. How many positions can a brand have?     Brand should have only one central position A position presents the identity and personality of the brand to the outside world. Multiple positioning in the same market segment seem odd and disorderly Discuss in relation to “Nestomalt” of Nestles
  24. 24.   E.g.; Nestomalt’s central positioning is nutritious drinkbut it is presented various segments in different forms such as – energy giving drink for active people- dietary supplement for elderly- growth supplement for youngstersrelaxation drink for people with work pressure.
  25. 25. Make the brand live through positioning      Positioning is strategic and it is not short term Unless re-positioning the positioning will not change The sole aim of the positioning is to persuade customer that this brand is different and better than other brands It tries to occupy a special position in the minds of the customer. Everything relates to the consumer to the brand has to be consistent. No
  26. 26. Positioning and segmentation    If the product is globally focused on one market segment a standard positioning could be adopted such as Nike, Rolex and Benz If the product has different segments then different positioning may be required. Eg. Bajaj Positioning may be perceived differently from market to market – e.g.. Beer may be an average drink one country but may be regarded as a prestige drink in another country.
  27. 27. Positioning in action 1. Identify the Target Audience (ITA) Segment the market and select the target market well Address the needs of the market Marketing communications matters a lot in this process Discuss in detail with add agencies Internal staff should also know the objectives and the exact position that the product is going to be positioned
  28. 28. 2. Identify Point of Parity (POP) - Know the similar product features and benefits other products in the market - Keep an eye on the competition and their reaction
  29. 29. 3. Portray Point of Difference ( POD) - Mention a USP - Indicate the benefits that consumers get in comparison to others products -State the brand name and inform the market that “it is better than others”
  30. 30. 4. Provide Reasons to Believe ( RTB) Leverage on your reputation and brand name Talk about the guarantees Talk about testimonies Independent reports
  31. 31.   Conceptual Mapping Mobile phone service providers Coverage Price VAS Image
  32. 32.  Representative Brand Denominating Colour-Product Attribute-Rating  Dialog GSM   Light Blue Colour Line Brand Image 5 Coverage 5 Price 5 Value Added Services (VAS) 5      Mobitel GSM Green Color Line Brand Image 4 Coverage 4 Price 3 Value Added Services (VAS) 3 Airtel Red Colour Line Brand Image 3 Coverage 3 Price 3 Value Added Services (VAS)4         
  33. 33.  Etisalat Dark Blue Colour Line 3 4 2 3 Brand Image Coverage Price Value Added Services (VAS)          Hutch Orange Colour Line Brand Image Coverage Price Value Added Services (VAS) 3 3 1 3 This Rating should be based on research findings. Lickert scale questions (from 1-5) can be used to do the research
  34. 34. So you know how to do it. Then go and do it in the market. Good Luck. University of Kelaniya
  35. 35. So you know how to do it Then go and do it in the market place Thank you Good luck…….. Maxwell 04-11-2013