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a tutorial by Lisa Adams Introduction What images come to your mind when you think of a Cadillac? Now, what images appears when you think of Chevy? What comes to mind should be two totally different images of who uses the products, prestige it brings, the price of the vehicles and many other factors. These companies both produce cars, but they also produce different images and position in a consumer’s mind. Positioning a product is very important because this is how a customer sees the image or features of a product. How a customer sees the product will influence the purchase decision. Many companies go through the process of changing consumer’s ideas on how their product is perceived. Product positioning is defined as the brand image a marketer wants to convey to a selected market segment in comparison to the competitor’s brand (Best et al. 351). Marketers want to bring about a certain feelings or associations with their product that are directed to a target market or the consumers that are most likely to purchase the product. This technique is also used to distinguish one’s product from the competitors. Product positioning is not only used for products, but also for larger positions such as for companies, stores or product categories (Best et al. 352). This is very significant to consumer’s behavior. Consumers have a tendency to buy products that fit their style, image, or beliefs. How a marketer chooses to give those attributes to the product will also choose what market segment will or will not buy that product. Consumers buy product and product images. Positioning has an influence over the consumers to buy into a product image. Another way to describe positioning is a brand image. This also explains the product position in the consumer’s mind and how it might affect the purchasing behavior. If the wrong image is being portrayed then marketers will reposition the product. The most common way to do this is through advertising, packaging, or even through promotions. Certain products will vary in the repositioning techniques. These methods will also focus on how the consumers remember the product and its features. Explanation of Positioning There are many methods used to position a product. A marketer may do this by product attribute, price or quality, use or application, versus the competitor, and/or for specific problems (Denver Business Journal 1). Position by attribute: Attributes are the features or "extras" of a product. Some examples of attributes would be attachments on a vacuum or navigation system of a car. For example, Volvo stresses its safety. Volvo positions itself by trying to be the safest automobile in its class. They can advertise safety statistics or even explain the car is designed to withstand a great amount of impact. To position in this way, some attributes will have to be easy for the target market to understand and must be simple for most of the consumers to use. A few experts can not be the only ones use the attributes, like with some cameras or technological equipment. Position by price or quality: Price or quality is important in attracting the type of competition a marketer wants. The price will determine the value of the product for a consumer. If it is a quality product targeted to the upper class, then it should not be priced on the lowest end in its class. Some products position themselves as high price and quality like a Lexus. Other products can be only perceived quality if the company puts a higher price on the product. Customer will assume it is quality because it is a more expensive item than the other brands. Position by use or application: Use or application is how a product is intended to be used. Marketers need to realize what problems consumers can solve by using their products. There are many creative ways to uses products that consumers do not think of using them for. An example would be dryer sheets that can be put in the trashcan or anyplace else to make it smell nice. Another example would be using Arm & Hammer’s baking soda in the refrigerator. A product can be positioned beyond the normal intended uses. A marketer can make the product "user friendly". They can do this by making the product known for its convenience to open or other easy to use features. Position against the competitor: Many smaller competitors want to compete with more recognizable brands. A marker could use a direct comparison method. A marketer uses the direct comparison method by showing a product’s features directly against a certain named competitor's features. Using comparative ads could do this. Comparative ads can be effective in positioning new brands or increasing product image (Best et al. 418). This method should normally not be used if a product is the second best in the industry and is compared to the best. This might draw extra attention to the competitor and bring the competitor more business. Direct comparison also is better in print ads (Best et al. 416). This gives the consumer a chance to examine the comparison results in greater detail, especially if comparing numbers. Like Avis did successfully use their "We’re number two, so we try harder" campaign. They used this slogan to position themselves with the better service quality against the competition. Position for use to solve specific problems: This method is similar to positioning by attribute. The positioning will focus on the problems that only the certain product can solve. Positioning strategy: Companies must plan their product’s position to convey the proper image to consumers. Markets form a positioning strategy. These strategies help a marketer decide what target market are they trying to reach and how to get them to react to the product (Denver Business Journal 2). Many factors are analyzed for this strategy. Some methods might be advertising distribution, slogans, or stronger stated positions. A positioning statement directs this position strategy. A position statement is like a mission statement of a company but it focuses on the target market and how the company wants these consumers to view their products (Denver Business Journal 2). This statement has four interrelated parts. It has a defined target market, the product or service, frame of reference, point of difference or uniqueness. The target market is whom the marketer intends to purchase the product. A frame of reference is all the options available to fill the consumers need or substitute for a product or service. The uniqueness is something that is original only to the product. Once this statement has been recognized, constant feedback is necessary to assess the difference between where the company is in the consumer’s mind to where they want to be. Feedback: Marketers need to get feedback from its consumers to see if the image that they hold is the image that the marketers want them to have. Feedback can be received by customer surveys or focus groups interviews. Focus groups are monitored and controlled by the marketer to discuss the given product within groups of about 10 people. In these group methods, the customers gives their feelings on how they view the certain product. Another way to get feedback is through monitoring sales. Keeping a close account of products that are selling well and ones that are not will be an indicator where the proper image is being conveyed. Brand image: Product positioning is sometimes referred as brand image. Brand image is the product’s attributes, benefits, usage, users, and characteristics in the eyes of the target market (ANBAR 1). Brand image relates to how a consumer remembers the product and what associations are networked from that product. More than in recent past, consumers are purchasing brand name items than ever before (ANBAR 2). Think of how many people you know who carry around a bottle of designer water. These products are more than just products. Consumers are purchasing an image and feelings also. Memory: For a consumer to remember a brand, the memory structure must be examined. One model used is the associative network model (ANBAR 1). This model draws line in association to words, feeling, or descriptions that are brainstormed after a person thinks of a brand or product. These associations about a product are a consumer’s schematic memory (Best et al. 348). This schematic memory or schema is the thoughts and associations of feelings that a product makes the particular consumer think of. To change an association a marketer must alter or add to the consumer’s beliefs about the product. Many of these beliefs are deeply held by the consumer and are difficult to change. Product comparison: There are many different types and classes of certain products. For example, there are hundreds of kinds of shampoos sold in the market, but consumers can classify specific shampoos together and clearly tell the difference between the products. This shows marketers how important it is to recognize these attributes and identify the competitors that are an immediate concern. One way a marketer can do this is by creating a product map (Oster 254). This map shows how much or little a product has of a certain given attribute. Products are plotted on the mapped based on consumer’s perceptions of the characteristics or attributes of the products. Marketers will have a better understanding for possible product substitutes for their brand. The products that are similar are located close together on the map.
The brands of models that are closest to one another will bring out the greatest competition. In this slightly fictional product map example, certain sedan type car models are plotted on their price and comfort level. These two attributes are somewhat in correlation, but there are clear differences between the models. In regards to positioning a marketer can decide what attributes they want their product to have and position themselves based on the potential competition. Repositioning: If the wrong image is being portrayed about a product, then marketers will try to reposition the product. A product is repositioned to appeal to more of the products target market. The marketers assess the current brand image to figure out how to alter the perception to the desired image. Some methods to repositioning are easier to observe than others. Some companies might just change the design of the package. Other companies will change a position by appealing to advertisements and the media. Many products try to change or enhance their image. (Examples are given in the last section.) Some firms have found this to revive slowing sales, but other has seen it have the reverse effect. Also, as time passes product might need to refresh their image. The marketers might want to reverse any negative episodes that a consumer might have had with the product by making new improvements or totally changing the style of the product. Like with soft drinks, a few years back Pepsi wanted to appeal to Generation X. Pepsi wanted to position itself as a soda for the younger crowd to expand its market segment. Advertising an image: There are many ways to get an image across through advertising tactics. Certain images are played on the consumer’s emotions. How many perfume ads describe how their perfume is the cheapest or has the best ingredients? Perfume is sold by the image that is portrayed through the model’s actions in the advertisement. Advertising can give any product certain feelings. Many beer and liquor producers advertise through sexual appeal. So when customer think of their product, they think of excitement, happiness, and desire. Beer has nothing to do with these feelings or attributes, but advertising has made these associations occur. Marketers must be aware of the reactions that might be thought of by the consumer. Many things might appeal to certain people, but turn away others. Positioning is an important part of consumer behavior and product purchasing. But marketers can control their brand image. With planning and monitoring techniques, an image can be repositioned and possibly increase slumping sales. Examples: Every product has a certain market that they target. Marlboro: Marlboro used to be marketed towards women. The cigarette was considered feminine. Marlboro decided to change their position and packaging to focus on men. This eventually led to the Marlboro Man. He was a rough cowboy who was pictures on his horse usually in the mountains. This repositioning technique eventually led to the change of gender to the target market. The product and packaging was redesigned to look more masculine. This past image is mostly forgotten and Marlboro successfully repositioned its product. Levi-Strauss and Co.: Levi’s wanted to develop a consumer-focused brand management. This new model, with its intense focus on the consumer, is intended to enable the company to build its existing brands as well as a larger variety of brands. As part of this new strategy, Levi’s is devoting more resources to innovative marketing and product design in all of its three divisions worldwide. In addition to new ad campaigns for the Levi’s brand, the company is actively involved developing a more intense fashion image. This position will try to boost its image of the competition like JC Penny’s. This year, Levi’s will launch an assortment of new product offerings, many of which will be available on the company’s new Internet commerce sites (www.levis.com).
Summary: Positioning a product relative to its competitors is very important in a market strategy. Positioning gets into the minds of the consumer in how they actually see a particular product. Marketers do have the ability to control what image the consumer sees. Being able to successfully portray the proper image to the target market will give any company the ability to control brand image and quite possibly sales.
Bibliography Anonymous (1996), "Branding and Market Orientation" ANBAR Electronic Intelligence, July www.mcb.co.uk/courseware/mba/mm-008.htm Hawkins, Del I., Roger J. Best, and Kenneth A. Coney (1998). Consumer Behavior: Building Market Strategy 7th. edition. Boston: Irwin McGraw-Hill. Connelly, Mary (1997) "Hyundai Ads Seek to Bolster Brand Image" Automotive News (17 February) 10. Lefton, Larry (1997), "Repositioning: Starter Turns to Roots" Brandweek, (8 Dec.) 18-19. Myron, Monique and Pamela Truax (1996), The Denver Business Journal (11 Nov.) 1-3 http://www.amcity.com/denver/stories/1996/11/11/smallb6.html Oster, Sharon (1994). Modern Competitive Analysis. Oxford UP. Rice, Cori and Roxanne St.Claire (1998) "Gotta Have a Look," Business Wire (25 March) www.businesswire.com
Multiple Choice Questions on Positioning Choose the best response to the following questions: 1. Positioning is:
3. A brand's image is another word for:
Answer Key: 1c, 2d, 3b, 4c, 5a |
Sunglass Hut: Sunglass Hut announced in March of 1998 that they
are producing their first campaign to position their product image (Rice 1). This campaign
is designed to show the firms expertise, creativity and fashion to appeal to their fashion
conscious consumers (picture is shown). This new advertisement focuses on the name brands
and the style that the glasses convey (www.sunglasshut.com).
Starter:
In 1997, Starter apparel began to position itself to influential youths. They are no
longer focusing on athletic positioning, but now to fashion image (Lefton 18). Starter is
also focusing on retail locations that are located in urban areas and places to get
stylish clothes (Lefton 18). Starter was aware of a positioning problem when sales were
dropping. The picture is just one of the many ads that display their apparel
as a fashion statement.