A firm can develop an effective positioning by defining its brand's value proposition, points of parity and difference compared to competitors, and creating a concise brand mantra. Marketers identify competition by analyzing their market share, brand awareness, and customer preference. Brands are successfully differentiated by offering desirable attributes that competitors cannot match, through elements like employees, channels, image and services. For small businesses, positioning requires emphasizing uniqueness and fit within niche markets.

1. 10
CRAFTING THE
BRAND POSITIONING

2. Chapter Questions
 How can a firm develop and establish an
effective positioning in the market?
 How do marketers identify and analyze
competition?
 How are brands successfully differentiated?
 What are the differences in positioning and
branding with a small business?

3. What is Positioning?

4.  Brand positioning has been defined by Kotler
as “the act of designing the company's offering
and image to occupy a distinctive place in the
mind of the target market”. In other words,
brand positioning describes how a brand is
different from its competitors and where, or
how, it sits in customers' minds.

5. Value Propositions
 A value proposition is a statement that
answers the 'why' someone should do
business with you. It should convince a
potential customer why your service or product
will be of more value to them than similar
offerings from your competition. ... So, having
a clear, concise value proposition is more
important than ever.

6. 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

7.  Positioning requires the marketers define and
communicate similarities and differences
between their brand and its competitors.
Specifically deciding on positioning requires
i. Choosing a competitive frame of reference.
i. Identifying optimal POP and PODs
ii. Creating Brand Mantra

8. Competitive Frame of Reference

9. Competitive Frame of Reference
 The competitive frame of reference defines
which other brands a brand competes with and
therefore which brands should be the focus of
competitive analysis.

10. Defining Associations
Points-of-difference
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
Associations that are
not necessarily unique
to the brand but may
be shared with other
brands

11. Point-of-Difference Criteria
Desirable
Deliverable
Differentiating

12.  Desirable
Consumers must see the brand association as
personally relevant to them.
 Deliverable
The company must have the internal resources and
commitment to feasibly and profitably create and
maintain the brand association in the minds of
consumers. The product design and marketing offering
must support the desired association.
 Differentiating
Finally, consumers must see the brand association as
distinctive and superior to relevant competitors.

13. POP versus POD

14. Forms of Point-of-Parity
 Category point of parity
 Competitive point of parity

15. Category POPs are perceived
obligation characteristics a
brand has to provide to exist in
a specific category.
 A bank, for example, would lose
out to competitors if it wouldn’t
be able to ensure adequate
access to ATMs.
 Some German automakers
have long refrained from
placing cup holders in their
vehicles as they were
convinced that car purists
would not like such distractions.
But when the cup holder
became a kind of standard for
many clients, they finally had to
follow.
 Competitive POPs are
designed to negate a
competitor’s point of difference
 A good example is McDonalds
which had a competitive parity
problem when it began losing
customers concerned with
healthy eating. So McDonalds
began to offer grilled chicken
sandwiches, a variety of salads
and fruit smoothies, besides
starting to make their signature
fries with dramatically healthier
fats. The goal was not to make
McDonalds a destination for the
healthy-eating segment, but to
create enough parity to reduce
the number of customers who
wouldn’t even consider the
brand.

16. POPs and PODs??

17. What is a Brand Mantra???

18. Brand Mantras

19. Brand Mantra
 A brand mantra is an articulation of the heart and soul of the
brand and is closely related to other branding concepts like
“brand essence” and “core brand promise.”
 Brand mantras are short, three- to five-word phrases that capture
the irrefutable essence or spirit of the brand positioning.
 Their purpose is to ensure that all employees within the
organization and all external marketing partners understand what
the brand is most fundamentally to represent with consumers so
they can adjust their actions accordingly.
 Internally, Nike marketers adopted the three-word brand mantra,
“authentic athletic performance,” to guide their marketing efforts.

20. 10-20

21. Designing a Brand Mantra
Communicate
Simplify
Inspire

22. Cont…
• Communicate. It should also clarify what is
unique about the brand.
• Simplify. An effective brand mantra should be
memorable. For that, it should be short, crisp,
and vivid in meaning.
• Inspire. Ideally, the brand mantra should also
stake out ground that is personally meaningful
and relevant to as many employees as
possible

24. Brand Positioning Bull’s-Eye
 The brand positioning bullseye aids in
positioning of a brand. The Brand Positioning
Bullseye provides context to improve
understanding of the position of the brand in
the market

25. Brand Positioning Bull’s Eye

26. Cont…
 The Brand Positioning Bull’seye aids in positioning of
a brand. In the center is the brand mantra with around
it the key points-of-parity and point-of-difference.
 The next outward circle contains the substantiators, or
reasons-to-believe, that support the key concepts. The
substantiators help to justify the points-of-parity and
points-of-difference to consumers.
 The outer circle ring contents two categories of
information as values, personality, character and
visual identity that add more insight on brand
positioning.

27. Constructing a
Brand Positioning Bull’s-Eye

29. Means of Differentiation
Employee
Channel
Image
Services

30. Cont..
Companies can have better-trained employees who provide
superior customer service.
Companies can more effectively and efficiently design their
distribution channels’ coverage, expertise, and performance to
make buying the product easier and more enjoyable and
rewarding.
Companies can craft powerful, compelling images that appeal to
consumers’ social and psychological needs.
A service company can differentiate itself by designing a better
and faster delivery system that provides more effective and
efficient solutions to consumers.

31. Monitoring Competition
Market Share, Mind Share,
and Heart Share
 In general, the firm should monitor three variables when
analyzing potential threats posed by competitors:
1. Share of market—The competitor’s share of the target market.
2. Share of mind—The percentage of customers who named the
competitor in responding to the statement, “Name the first
company that comes to mind in this industry.”
3. Share of heart—The percentage of customers who named the
competitor in responding to the statement, “Name the company
from which you would prefer to buy the product.”

32. For Review
 How can a firm develop and establish an
effective positioning in the market?
 How do marketers identify and analyze
competition?
 How are brands successfully differentiated?
 What are the differences in positioning and
branding with a small business?