The presentation gives an brief idea about the Positioning of competitors on a Position Mapping based on their criteria's of Price, Location and Quality of Service they provide.

1. SERVICE MARKETING :
POSITION MAPPING RESTAURANTS
Rohan Solanki
1310

2. Market Segmentation
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Before going to Position Mapping, it is essential
to understand market segmentation.
Firms vary widely in ability to serve different
types of customers.
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Adopt strategies of market segmentation, identifying those
parts of the market that can be serve best.
A market segment is composed of a group of buyers
sharing common:
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Characteristics
Needs
Purchasing behavior
Consumption patterns
Within segments, they are as similar as possible. Between
segments, they are as dissimilar as possible.

3. Consumer Preferences
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Consumers usually choose between alternative
service offerings based on their perceived
differences.
Attributes that distinguish competing services
from one another are not necessarily the most
important ones.
Determinant attributes determine buyers’ choices
between competing alternatives
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Service characteristics are important to
purchasers.
Customers see significant differences between
competing alternatives on these attributes

4. Position Mapping
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It is a great tool to visualize competitive positioning and
map developments of services
Useful way to represent consumer perceptions of
alternative products graphically.
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Consumer preferences
Consumer buying behavior
Typically confined to two attributes, but 3-D models can
be used to portray positions on three attributes
simultaneously.
Also known as perceptual maps (built on preference
maps)
Information about a product can be obtained from
market data, derived from ratings by representative

5. Mapping of Restaurants :
Service – Price Relationship
Expensive
Tunga
Mainland
China
Four Points : Sheraton
High
Service
Bhagatchand
Tarachand
Health
Navratna
Moderate
Service
Yummy Dosa
Less Expensive

6. Service – Price Relationship
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Looking at the figure. we can conclude that
how restaurants set their prices.
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Mainland China, Tunga and Four Points – Sheraton
provide premium services to its customers. Thus charging
a premium price.
Whereas Health, Bhagatchand Tarachand and Navratna
provide moderate services. This change in the quality if
service affects their pricing. As customers purchasing a
service would prefer to pay a premium for high quality of
service.
In case of Yummy Dosa, it is a fast food center where the
service offered is just satisfactory and the charges levied
on the customers are also less expensive.

7. Mapping of Restaurants :
Location – Quality of service
High Service
Mainland
China
Tunga
Four Points : Sheraton
Corporate
Offices
Station/Malls
Bhagatchand
Tarachand
Inner Suburbs
Colleges
Navratna
Health
Yummy Dosa
Moderate Service

8. Location – Quality of service
Relationship
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The above figure gives us a brief idea about
the location – quality of service relationship. It
also briefly justifies service – price
relationship.
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As we can see, Mainland China, Tunga and Four Points –
Sheraton are located close to corporate offices and malls,
there may be a high intake of consumers looking for quality
food and services.
Whereas Health, Yummy Dosa are located close to
colleges and inner suburbs. Thus the spending power of
the consumer there is slighly lower then that of those near
corporate offices and malls.
Bhagatchand Tarachand and Navratna are restaurants that

9. Importance of Position Mapping
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Positioning maps display relative performance of
competing firms on key attributes
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Research provides inputs to development
positioning maps—challenge is to ensure that
of
Attributes employed in maps are important to target
segments
 Performance of individual firms on each attribute
accurately reflects perceptions of customers in target
segments
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Predictions can be made of how positions may
change in light of future developments. The next
figure will explain how new developments would
affect the current positioning.

10. New establishment : Barbeque
Nation
Effect on Service – Price Mapping.
Expensive
Action?
Tunga
Mainland
China
Barbeque Nation
Four Points : Sheraton
High
Service
Bhagatchand
Tarachand
Health
Navratna
Moderate
Service
Yummy Dosa
Less Expensive

11. New establishment : Barbeque Nation
Effect on Loaction – Quality of service
Mapping.
High Service
No
Mainland
Action?
China
Tunga
Four Points : Sheraton
Corporate
Offices
Station/Malls
Barbeque Nation
Bhagatchand
Tarachand
Inner Suburbs
Colleges
Navratna
Health
Yummy Dosa
Moderate Service

12. 
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In the above figures we can see, how a new
establishment would affect the positioning of their
competitors.
In the first figure, based upon price – service. Mainland
China was being affected with the opening of a new
establishment.
Whereas in the second figure, based upon location.
Bhagatchand Tarachand would be the restaurant that
will be significantly affected due to opening of Barbeque
Nation.
Position Mapping is an important step in determining the
competitiveness in service industry. Specially an
industry like the Food and Beverage industry. The

13. THANK YOU…