POSITIONING – GUIDING PRINCIPLES:Communicating the actual positioning, Evaluation criteria, Coining the message

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Brand Management (MKT624)

Lesson 20

POSITIONING GUIDING PRINCIPLES

Introduction

The topic of this lecture is a continuation of the concept of AUDIENCE as partially discussed

in the previous one1. It also discusses the fifth and the final principle of repositioning. With that

concept wrapped up, it concludes discussion on positioning with the understanding of how to

choose a realistic positioning statement.

· I:

Inspiration: Your colleagues should be inspired by the results that you generate

out of the formal and informal research about the positioning rationale. Those results

should create a sense of inspiration to work for the brand objectives.

· E:

Engagement: With the right sense of direction and inspiration, everyone will

feel engaged in working for the positioning.

· N:

Naturalness: If the right people are in place, then it will be natural for them to

work for the stated objectives. Having the right people is important for positioning to

work.

· C:

Criteria: Establish criteria for rewards on achievement of objectives. Those

rewarded should set examples for others to feel motivated.

· E:

Education: Train your people to become brand ambassadors.

5. Strong brand positioning is customer-driven

Without getting into repetition, a correct brand picture provides you with a lot of data and

information. Using that, you can come up with what is exactly the customer's needs, strengths

and weaknesses of your and competitive brands. Armed with that information, you can create

the right promises, deliver them, and maintain the contract to have a strong position.

Communicating the actual positioning

The most challenging decision here is to decide about the actual positioning, meaning the

communication that you direct toward the target. Having the right information is not a

guarantee that you will come up with the right most statement and strategies.

Given the sensitivity of the matter you need to choose a position, which has the strongest

appeal to the target audience and the one the company can sustain over a long time. Toward

that objective, you should develop a few strategies and then see which one is the most suitable

in terms of positioning your brand.

The challenge stems from the fact that your brand carries more than one benefit. Talking about

all of them does not have the punch. To keep your message straight forward and strong, you

have to pick one of the benefits as the basis of your positioning statement.

In the case of brand XYZ, the positioning statement is very clear. It takes into account all the

components the category in which the brand is going to operate, the competitive benchmarks,

the target market, and the point of difference.

The challenge here is, out of so many benefits the brand is going to offer (good price, high

quality, easy availability, and good looks to name a few), which is the one that will keep the

message simplest and strongest to position the brand in the oversimplified mind.

Positioning considerations

The criteria against which you can measure the decision mechanism can consist of the

following considerations:

· One could be related to quality.

· One could be related to price.

Brand Management (MKT624)

One could be related to accessibility.

Another could talk about the taste profile.

Yet another could emphasize on appearance dimensions.

You may think that talking about revolutionizing the service at lunch time is the hallmark

of the marketing effort and hence a relevant consideration.

· Or, you may like to talk about the variety the brand XYZ offers.

· Any other that you may think of.

All of the above positioning considerations sound convincing. Whichever the company may

like to choose has to stem from customer's point of view so that he can own it. For that the

company must evaluate it against criteria like:

Evaluation criteria

· Are the product's looks and appearance compatible with the positioning?

· How strong is the consumer motivation behind this positioning?

· What size of market is involved in such positioning?

· Does it capitalize on competitors weaknesses?

· Is this positioning distinctive and specific?

· What financial resources this positioning requires?

· Is this a sustainable positioning, or are competitors going to imitate this in no time?

· Does this positioning leave us an alternative to switch to another positioning in case this

failed?

· Does this justify a price premium?

The best way to choose the right positioning is to pick each consideration and evaluate it

against all the evaluation criteria one by one. Going through this process of evaluation, you will

come up with the most convincing positioning for the brand.

Coining the message

Once you have decided the positioning for the brand, you can coin the brand's message as the

outward expression of the brand's inner substance. This is the message (slogan or ad line) that

appears in all your communications, including the product's package. You must take charge of

positioning; otherwise competitors will be quick to do that to your loss.

Positioning is the single most important activity in developing your brand management

strategy. If you craft it right, then your decisions to introduce new brands, extensions, pricing,

and communication become fairly straightforward, as you will see in the coming lectures.

Summary - positioning

Positioning stems from the areas of segmentation and differentiation. Knowledge about the

business you are in, the target market, and the point of difference that matters for your product

lays the foundation for positioning of your brand. Once done with that, you communicate the

position of your brand to the target market.

Positioning is very central to brand strategy. All operational strategies stem out of the

positioning of a brand. Propounded as a concept by two advertising executives, it followed the

product and the image eras.

Positioning is what you do to the mind of a consumer. You communicate a piece of information

about your product in a way that it gets lodged in the mind of the consumer. If the product is

full of promises and upholds the brand contract, it becomes difficult for competition to dislodge

it.

Brand Management (MKT624)

Every brand manager should strive to create a strong position for his/her brand. There are

certain principles that you must follow to create a strong position. While you improve your

brand to keep it current, you must manage the desired shift in positioning in a subtle way. The

brand must not lose credibility.

You must be careful and highly analytical in choosing the right position for your brand, for you

should position it from the platform of one benefit. Talking about all benefits in your

communications leads to confusing the consumer. Different benefits should be weighed against

a set of criteria to choose the best position for the brand.

Bibliography:

1. Scot M. Davis: "Brand Asset Management Driving Profitable Growth through

Your Brands"; Jossey-Bass, A Wiley Imprint (123)

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