Marketing Positioning)

POSITIONING & DIFFERENTIATION

POSITIONING • When you think of thanda, [ ] often comes to mind. • If you are looking for luxury of a car and thrill of SUV, you probably think of [ ]. • Whenever you want a long lasting paint for your home, [ ] often comes to mind.

POSITIONING These products have well defined positions in the minds of consumer

POSITIONING Definition • Act of designing the company’s offering and image to occupy a distinctive place in the mind of the target market. •Defined by consumers on the basis of important attributes.

Process of Market Positioning 1. Identify key offer characteristics and their weight age by target market 2. Draw a perceptual/ positioning map on characteristics considered most important by target market

Positioning of Hotels in Belleville: Price vs. Service Level Expensive

Grand Regency

High Service

PALACE Shangri-La Sheraton

Atlantic

Moderate Service

Italia

Less Expensive

Castle Alexander IV Airport Plaza

Positioning of Hotels in Belleville: Location vs. Physical Luxury High Luxury

Regency

Grand

Shangri-La Sheraton PALACE Financial District

Shopping District and Convention Centre

Inner Suburbs

Italia

Castle

Alexander IV Atlantic Airport Plaza Moderate Luxury

Process of Market Positioning 3. Identifying possible competitive advantages (Cost leadership or differentiation) 4. Choosing the right competitive advantage  How many differences to promote? • Unique selling proposition (i.e. pick one benefit; Volvo = safety) • Choose more than one if others share a claim to be best: Which differences to promote? - Important Benefits, Distinctive, Superior, Affordable

Process of Market Positioning 5. Developing a positioning statement  Positioning statements summarize the company or brand positioning  EXAMPLE: To (target segment and need) our (brand) is (concept) that (point-of-difference).

6. Communicating the chosen position A common way to communicate a product’s positioning is through its marketing mix especially promotion.

POSITIONING STATEMENTS Example: • To young, active soft-drink consumers who love adventure, Mountain Dew is the soft drink that gives you more energy than any other brand. Mountain Dew – DAAR KE AAGE JEET HAIN

Differentiation Strategies • • • •

Product Personnel Channel Image

Differentiation through Product • Based on product design – Kinetic honda • Based on Formula/Ingredients – Vatika • Based on functional value – Whirlpool Refrigerator 6th sense door open alarm • Based on additional features – Aristocrat suitcase with wheels

Differentiation through Channel • • • • •

Maruti Hutch Reliance mobile Dell computers Eureka-Forbes

Differentiation through People • Educational institutes – IIMs, IITs • ICICI bank

Differentiation through Image • • • • •

Soft-drinks – Pepsi, Thumbs up, Fanta Luxury products – Ornaments Cigarettes and liquor brands Hotels Tourist destinations

Task of the day Define positioning statements of PULSAR DOMINO’S PIZZA THUMBS UP MOUNTAIN DEW