Brand Positioning
g
Session 5
Subhadip Roy
Definition
 " p
positioning
g is not what yyou do to a p
product.
Positioning is what you do to the mind of the
prospect. That is, you position the product in the
mind of the prospect.
prospect "
- Al Ries and Jack Trout
Positioning is the act of designing the
 "Positioning
companys offer and image so that it occupies a
distinct and valued place in the target customers
mind
i d
- Kotler and Keller
Segmenting Consumer Markets
 Geographic
 Demographic
 Psychographic
y
g p
((Lifestyle,
y , Personality,
y,
Values)
 Behavioural (Occasion,
(Occasion User Status
Status,
Usage Rate)
Effective Segmentation
 Only when the segment is:
 Measurable
 Substantial
 Accessible
 Differentiable
 Actionable
Brand Positioning
 Define competitive frame of reference
 Target market
 Nature of competition
 Define desired brand knowledge
structures
 Points-of-parity
 necessary
 competitive
 Points-of-difference
 strong,
t
ffavorable,
bl and
d unique
i
brand
b d associations
i ti
Points of Parity and Difference
Potential Brand Differences
Wants and Needs
Consumers
Our
B
Brand
d
PODs
POPs
Their
PODs
 Points of Parity (Category
Benefits)
C
Competition
Competitive Brand
Differences
The purpose of a PODs
analysis is to identify what ideas
from our brand and competitive
brands are most meaningful and
potentially differentiating.
The purpose of a POPs
POP s
analysis is to identify which
category benefits are critical for
establishing credibility.
Defining Associations
Points of parity
Points-of-parity
Points-of-difference
(PODs)
(POPs)
 Attributes or benefits
 Associations that are
consumers strongly
not necessarily
associate with a brand,
unique
q to the brand
positively evaluate,
but may be shared
and believe they could
with other brands
nott find
fi d to
t the
th same
extent with a
competitive brand
POP and POD
 POD also known as
 Unique Selling Proposition (USP)
 Sustainable Competitive Advantage (SCA)
 POP could be
 Category
 Competitive
POP AND POD: BMW over the
years
1991
1985
1975
1971
 Affluence, exclusivity
 Fun to drive
 Affluence, exclusivity
 Fun to drive
 Fun to drive
 Economical
 International
 Desirability
Headline: Makes other cars look like couch potatoes.
Issues in Implementing
Brand
d Positioning
Define Competitive Frame of Reference
E t bli hi Category
Establishing
C t
Membership
M b hi
Identifying & Choosing POPs & PODs
Communicating & Establishing POPs &
PODs
 Sustaining & Evolving PODs & POPs
Establishing Category Membership
 Communicate Category
Membership
 Exemplar Comparison
 Product Descriptor
Identifying & Choosing POPs & PODs
 Desirability criteria
(consumer perspective)
 Personally relevant
 Distinctive
i i i & superior
i
 Believable & credible
 Deliverability criteria
(firm perspective)
 Feasible
 Communicable
C
i bl
 Sustainable: Pre-emptive,
defensible & difficult to
attack
tt k
Communicating & Establishing
POPs
 & PODs
 Create POP
POPs
s and POD
PODs
s in the face of
attribute & benefit trade-offs
Price & quality
Convenience & quality
Taste & low calories
Efficacy & mildness
Power & safety
Ubiquity & prestige
Comprehensiveness (variety) & simplicity
St
Strength
th & refinement
fi
t
Volvo: Safety and Class
Establishing POP
POPss & PODs
POD s
 Establish separate marketing programs
 Leverage secondary association (e.g., cobrand,, Subwayy testimonials))
 Re-define the relationship from negative to
positive (New Fair and Lovely ad
ad.))
Sustaining POPs & PODs Over
Time
 Update over time
 Laddering (Attribute
(Attribute-Benefit-Value)
Benefit Value)
 Reacting
 Do Nothing
 Defend
 Offend
Major
j Challenges
g in Positioning
g
 Find compelling & impactful pointsof-difference
of
difference (MacMillan & McGrath,
McGrath
HBR, 97)
 How do p
people
p become aware of their need for your
y
product and service?
 How do consumers find your offering?
 How do consumers make their final selection?
 How do consumers order and purchase your product
or service?
 What happens when your product or service is
delivered?
 How is your product installed?
 How is your product or service paid for?
Major Challenges in Positioning
 Find compelling
p
g & impactful
p
p
pointsof-difference (cont.)
How is your product stored?
How is your product moved around?
What is the consumer really using your product for?
What do consumers need help with when they use
your product?
 What about returns or exchanges?
 How is your product repaired or serviced?
 What happens
pp
when your
y
product
p
is disposed
p
of or no
longer used?
Thank You, Class