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  1. Positioning • Positioning (the act of designing the company’s offering and image to occupy a distinctive place in the mind of the target market) • Value position (a cogent reason why the target market should buy the product)

  2. Developing and Communicating Positioning Strategy • Positioning According to Ries and Trout • Strengthen own current position in consumer’s mind. • Grab an unoccupied position • De-position • Re-position • Product ladders: Different brands are present in consumer’s mind in form of a ladder. (Priority wise) • Exclusive club strategy. E.g. A company can promote the idea that it is one of the Big three.

  3. How many Ideas to promote? • Unique Selling Proposition (USP): Marketers advocate promoting only one central benefit. • Sometimes companies go for double-benefit positioning or triple-benefit positioning.

  4. How many Ideas to promote? • Four Major Positioning errors: • Under-positioning: Brand is seen as just another entry in a crowded marketplace. E.g. Pepsi introduced its clear crystal Pepsi and customers were unimpressed. • Over-positioning: Consumer might think that diamond ring at Nakshatra starts at 10,000 when in fact it is now offered at 5,000 only. • Confused positioning: Company’s making too many claims or changing brand’s positioning frequently. • Doubtful positioning: Buyers may find it hard to believe the brand claims in view of product features, price or manufacturer.

  5. How companies select their Positioning? Perceptual Map (Theme Park)

  6. Developing and Communicating Positioning Strategy • Theme park’s positioning possibilities: • Attribute positioning: Company position itself on an attribute such as size or number of years of experience. E.g. Disneyland as largest theme park in the world. • Benefit positioning: Positioned as leader in a certain benefit. E.g. Theme park that delivers a fantasy experience. • Use or application positioning: Positioning as best for some use or application. E.g. Theme park for tourist who has only an hour to catch some quick entertainment. • User positioning: Positioning as best for some user group. E.g. Theme park as best for ‘Thrill Seekers’. • Competitor positioning: Product claims to be better than a competitor. • Product category positioning: Positioned as the leader in a certain product category. E.g. Theme park as best ‘educational theme park’. • Quality or price positioning: Positioned as offering the best value.

  7. Which differences to promote? Method for Competitive-Advantage Selection H=high, M=medium, L=low