The placement of your brand or brand positioning in the context of the market of your industry, is everything that your company stands for, through your product or service. It is a statement of the personality, culture & values of the company, with which you want your potential customers to identify you.
Proper placement incorporates strong values & distinct differences in relation to respective competing brands, which a large portion of consumers consider important. The brand positioning strategy of your company, concerns the decision you have to make for WHERE you want to place your brand in the context of the market in which you operate and in relation to your competition, in combination with the value you want to give to your potential consumers.
« Brand positioning = Market landscape + value proposition »
Your brand defines what you support, a promise you make to your potential customers. And while it includes your logo, the color palette you choose for your corporate identity and your slogan, these are just creative elements that convey your market position, and you are able to choose them once you have identified the strategy you will follow. Instead, based on brand positioning, all subsequent communications of your brand are built, coming into daily interaction with your customers by:
- The images you convey to your customers
- The messages you communicate to your customers
- How your employees interact with customers
- The opinion of a customer about you in relation to your competition
It is the thought behind which the foundations are laid for the creation of relationships between consumers and the brand. Your brand strategy enlivens your competitive position and works to place you as “something more” in the minds of your customers.
A successful brand also creates the so-called “brand equity” which means that customers are willing to pay a certain amount just because it concerns your brand. A successful brand allows consumers to interact with the company on a more personal, emotional level. In addition to generating revenue, brand equity makes your company valuable in the long run, as it creates loyal customers, ie customers loyal to your brand, who will hardly replace you with a competitor.
To determine how you can market yourself, you must first determine the following:
Your audience: What are their demographic characteristics?
Your purchase: What category do you belong to? Are you B2b or B2C? And how does your brand relate to your audience better than your competition?
The benefit – the promise you give to your customers: What are the biggest benefits of your product or service in the eyes of your audience? What promise do you make to them to choose you?
Your evidence: What indisputable evidence can you offer to prove that you keep your promise?
Once you have determined how you can market yourself, the next thing you need to choose is how to communicate it to your potential customers.
The following is a list of the most important placement tactics you can link your company to. The placement of your brand must have a resounding and clear message, without this meaning that it can not be combined with other parameters from the following.
Attitude regarding the quality of the product
Product quality is one of the most important components of a brand and can be combined with other placement strategies. As every business strives to emphasize its commitment to quality, a good way to differentiate yourself from competitors is to focus on one area of expertise, thus making your company a trusted specialist by offering high quality. Another way to create the perception of high quality in consumers, is simply to place a higher price on your brand. It is true that most people think that a high quality product from another is reflected in the price difference between them, when in fact, things are not always as they seem. In addition, the higher price is a kind of advantage for a group of people, as they gain the psychological satisfaction of the market & public consumption of an expensive & high quality product. Of course, the product or service must have some advantage or difference to justify the higher price.
Positioning in terms of value / benefit
Although once, products that are considered good value for money meant they were cheap, this theory is slowly declining. Today, higher value brands are enjoying greater popularity among consumers.
There are two ways to approach value or price, both of which depend heavily on quality. One approach is, as we said above, to use a higher value, in order to take advantage of the psychological belief that the more expensive something is, the more valuable it must be.
You can also establish your brand as a provider of high quality and value products or services such as the cosmetics company Mac Cosmetics, which launched its products as a professional with a higher price than other mass cosmetics brands. The fact that she launched several series, at a lower price, to be consumed by the average woman, did not make her lose her recognition as a professional beauty product.
Of course, if the quality of the product does not justify a high price, then the placement is transferred to the low price of a product that meets a need from a large portion of consumers eg alliexpress.
Positioning regarding the unique advantages of the product
Communicating the unique benefits of a product or service is a fairly popular method used by brands to differentiate themselves from other competing products. With this strategy, the goal is to highlight the strongest features of your company – features that the competitor can not claim and are valuable to the consumer. Of course, there is a risk that a competitor will appear in the market, which will exceed these advantages as is done, for example, in mobile telephony, and for this reason brands are constantly upgrading and updating their models.
Attitude towards the solution of a problem
Positioning a brand as the solution to the consumer problem is also a powerful strategy. The idea is to show that your company has the power to relieve customers of any problem they face, both quickly and effectively. For example, robotic brooms solve the consumer problem in the time-consuming and tedious sweeping process.
Position in terms of superiority over the competition
Business is nothing if it is not competitive. Therefore, with this placement strategy, a company aims, to one or more competitors, to prove its superiority, among other things, by offering the same type of product or service. Internet service providers often use this strategy to create a strong brand name by comparing their prices or services with those of other companies. The message they want to communicate is that consumers need to cancel their old subscriptions and buy their coverage from a different and better provider. An important weapon to use this strategy is the positive reviews & evaluations of the existing network in relation to their competitors.
Using celebrities as representatives of a company’s product or service is now a popular way to position a brand. The goal is to gain recognition & popularity of its brand by connecting the company with a well-known person. Although using celebrities as your brand’s so-called “ambassadors” is an expensive strategy, the consumer tends to trust celebrities more quickly because he is familiar with their faces, and admires them for their own presence in their own business. . This intimacy inspires buyers to follow the celebrity’s choice or imitate him, making the strategy ideal for selling goods, mainly luxury, such as sports shoes, perfumes and so on.
Positioning in terms of benefit
Finally, there are brands that base their entire strategy on the fact that by consuming their product or service they return a benefit to the consumer. Credit cards, for example, tell consumers to buy the product, and they will have a refund on points for consuming other goods.
Whatever the brand positioning strategy of your company, the message you will communicate should be:
- Related to the needs of the target audience
Think of successful companies like Apple, Coco Chanel or Goody’s. You probably know what each brand represents. Now imagine competing with one of these companies. If you want to gain significant market share, you need to start with a strong branding strategy.