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10 
Crafting 
the Brand Positioning 
Marketing Management, 13th ed
Chapter Questions 
• How can a firm choose and 
communicate an effective positioning in 
the market? 
• How are brands differentiated? 
• What marketing strategies are 
appropriate at each stage of the 
product life cycle? 
• What are the implications of market 
evolution for marketing strategies? 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-2
Positioning Victoria’s Secret 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-3
What is Positioning? 
Positioning is the act of designing the 
company’s offering and image to 
occupy a distinctive place in the mind 
of the target market. 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-4
Value Propositions 
• Perdue Chicken 
• More tender golden chicken at a moderate 
premium price 
• Domino’s 
• A good hot pizza, delivered to your door 
within 30 minutes of ordering, at a 
moderate price 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-5
Competitive Frame of Reference 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-6
Defining Associations 
Points-of-difference 
(PODs) 
• Attributes or benefits 
consumers strongly 
associate with a 
brand, positively 
evaluate, and believe 
they could not find to 
the same extent with 
a competitive brand 
Points-of-parity 
(POPs) 
• Associations that 
are not necessarily 
unique to the brand 
but may be shared 
with other brands 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-7
PODs and POPs 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-8
Establishing Category Membership 
• This “four-in-one 
entertainment 
solution” from 
Konica failed to 
establish category 
membership 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-9
Conveying Category Membership 
AAnnnnoouunncciinngg ccaatteeggoorryy bbeenneeffiittss 
CCoommppaarriinngg ttoo eexxeemmppllaarrss 
Relying on the product 
descriptor 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-10
Consumer Desirability Criteria for PODs 
RReelleevvaannccee 
DDiissttiinnccttiivveenneessss 
BBeelliieevvaabbiilliittyy 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-11
Deliverability Criteria for PODs 
FFeeaassiibbiilliittyy 
CCoommmmuunniiccaabbiilliittyy 
SSuussttaaiinnaabbiilliittyy 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-12
Examples of Negatively Correlated 
Attributes and Benefits 
• Low-price vs. 
High quality 
• Taste vs. Low 
calories 
• Nutritious vs. 
Good tasting 
• Efficacious vs. 
Mild 
• Powerful vs. Safe 
• Strong vs. 
Refined 
• Ubiquitous vs. 
Exclusive 
• Varied vs. Simple 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-13
Addressing negatively correlated 
PODs and POPs 
• Present separately 
• Leverage equity of another entity 
• Redefine the relationship 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-14
Differentiation Strategies 
Product 
Personnel 
Channel Image 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-15
Product Differentiation 
• Product form 
• Features 
• Performance 
• Conformance 
• Durability 
• Reliability 
• Reparability 
• Style 
• Design 
• Ordering ease 
• Delivery 
• Installation 
• Customer training 
• Customer consulting 
• Maintenance 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-16
Personnel Differentiation: 
Singapore Airlines 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-17
Channel Differentiation 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-18
Image Differentiation 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-19
Claims of Product Life Cycles 
• Products have a limited life 
• Product sales pass through distinct 
stages each with different challenges 
and opportunities 
• Profits rise and fall at different stages 
• Products require different strategies in 
each life cycle stage 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-20
Figure 10.1 Sales and 
Product Life Cycle 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-21
Figure 10.2 Common 
Product Life-Cycle Patterns 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-22
Figure 10.3 Style, Fashion, and 
Fad Life Cycles 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-23
The Pioneer Advantage 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-24
Figure 10.4 Long-Range Product 
Market Expansion Strategy 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-25
Strategies for Sustaining 
Rapid Market Growth 
• Improve product quality, add new features, 
and improve styling 
• Add new models and flanker products 
• Enter new market segments 
• Increase distribution coverage 
• Shift from product-awareness advertising to 
product-preference advertising 
• Lower prices to attract the next layer of price-sensitive 
buyers 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-26
Stages in the Maturity Stage 
Growth Stable Decaying 
maturity 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-27
Marketing Product Modifications 
• Quality 
improvements 
• Feature 
improvements 
• Style improvements 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-28
Marketing Program Modifications 
Prices 
Distribution 
Advertising 
Sales promotion 
Services 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-29
Ways to Increase Sales Volume 
• Convert nonusers 
• Enter new market segments 
• Attract competitors’ customers 
• Have consumers use the product on 
more occasions 
• Have consumers use more of the 
product on each occasion 
• Have consumers use the product in 
new ways 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-30
A Product in Decline 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-31
Market Evolution Stages 
Emergence Growth 
Maturity Decline 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-32
Emerging Markets 
Latent 
Single-niche 
Multiple-niche 
Mass-market Zibbie Zone is one of several 
virtual worlds tied to toys. 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-33
Figure 10.5 Maturity Strategies 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-34
Marketing Debate 
 Do brands have finite lives? 
Take a position: 
1. Brands cannot be expected to last 
forever. 
or 
2. There is no reason for a brand to 
ever become obsolete. 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-35
Marketing Discussion 
 What strategies do firms use to 
try to position themselves on the 
basis of pairs of attributes and 
benefits? 
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-36

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Kotler mm13e media_10

  • 1. 10 Crafting the Brand Positioning Marketing Management, 13th ed
  • 2. Chapter Questions • How can a firm choose and communicate an effective positioning in the market? • How are brands differentiated? • What marketing strategies are appropriate at each stage of the product life cycle? • What are the implications of market evolution for marketing strategies? Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-2
  • 3. Positioning Victoria’s Secret Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-3
  • 4. What is Positioning? Positioning is the act of designing the company’s offering and image to occupy a distinctive place in the mind of the target market. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-4
  • 5. Value Propositions • Perdue Chicken • More tender golden chicken at a moderate premium price • Domino’s • A good hot pizza, delivered to your door within 30 minutes of ordering, at a moderate price Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-5
  • 6. Competitive Frame of Reference Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-6
  • 7. Defining Associations Points-of-difference (PODs) • Attributes or benefits consumers strongly associate with a brand, positively evaluate, and believe they could not find to the same extent with a competitive brand Points-of-parity (POPs) • Associations that are not necessarily unique to the brand but may be shared with other brands Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-7
  • 8. PODs and POPs Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-8
  • 9. Establishing Category Membership • This “four-in-one entertainment solution” from Konica failed to establish category membership Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-9
  • 10. Conveying Category Membership AAnnnnoouunncciinngg ccaatteeggoorryy bbeenneeffiittss CCoommppaarriinngg ttoo eexxeemmppllaarrss Relying on the product descriptor Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-10
  • 11. Consumer Desirability Criteria for PODs RReelleevvaannccee DDiissttiinnccttiivveenneessss BBeelliieevvaabbiilliittyy Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-11
  • 12. Deliverability Criteria for PODs FFeeaassiibbiilliittyy CCoommmmuunniiccaabbiilliittyy SSuussttaaiinnaabbiilliittyy Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-12
  • 13. Examples of Negatively Correlated Attributes and Benefits • Low-price vs. High quality • Taste vs. Low calories • Nutritious vs. Good tasting • Efficacious vs. Mild • Powerful vs. Safe • Strong vs. Refined • Ubiquitous vs. Exclusive • Varied vs. Simple Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-13
  • 14. Addressing negatively correlated PODs and POPs • Present separately • Leverage equity of another entity • Redefine the relationship Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-14
  • 15. Differentiation Strategies Product Personnel Channel Image Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-15
  • 16. Product Differentiation • Product form • Features • Performance • Conformance • Durability • Reliability • Reparability • Style • Design • Ordering ease • Delivery • Installation • Customer training • Customer consulting • Maintenance Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-16
  • 17. Personnel Differentiation: Singapore Airlines Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-17
  • 18. Channel Differentiation Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-18
  • 19. Image Differentiation Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-19
  • 20. Claims of Product Life Cycles • Products have a limited life • Product sales pass through distinct stages each with different challenges and opportunities • Profits rise and fall at different stages • Products require different strategies in each life cycle stage Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-20
  • 21. Figure 10.1 Sales and Product Life Cycle Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-21
  • 22. Figure 10.2 Common Product Life-Cycle Patterns Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-22
  • 23. Figure 10.3 Style, Fashion, and Fad Life Cycles Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-23
  • 24. The Pioneer Advantage Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-24
  • 25. Figure 10.4 Long-Range Product Market Expansion Strategy Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-25
  • 26. Strategies for Sustaining Rapid Market Growth • Improve product quality, add new features, and improve styling • Add new models and flanker products • Enter new market segments • Increase distribution coverage • Shift from product-awareness advertising to product-preference advertising • Lower prices to attract the next layer of price-sensitive buyers Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-26
  • 27. Stages in the Maturity Stage Growth Stable Decaying maturity Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-27
  • 28. Marketing Product Modifications • Quality improvements • Feature improvements • Style improvements Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-28
  • 29. Marketing Program Modifications Prices Distribution Advertising Sales promotion Services Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-29
  • 30. Ways to Increase Sales Volume • Convert nonusers • Enter new market segments • Attract competitors’ customers • Have consumers use the product on more occasions • Have consumers use more of the product on each occasion • Have consumers use the product in new ways Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-30
  • 31. A Product in Decline Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-31
  • 32. Market Evolution Stages Emergence Growth Maturity Decline Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-32
  • 33. Emerging Markets Latent Single-niche Multiple-niche Mass-market Zibbie Zone is one of several virtual worlds tied to toys. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-33
  • 34. Figure 10.5 Maturity Strategies Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-34
  • 35. Marketing Debate  Do brands have finite lives? Take a position: 1. Brands cannot be expected to last forever. or 2. There is no reason for a brand to ever become obsolete. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-35
  • 36. Marketing Discussion  What strategies do firms use to try to position themselves on the basis of pairs of attributes and benefits? Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10-36