Transcript How to Position a Product.

Tuesday, November 23
HOW TO POSITION A PRODUCT.
THE POSITIONING PREMISE
Marketers have to be prepared to alienate some
consumers, but this is not necessarily a bad thing.
 Positioning a product means some people will not
want the product.
 Some companies will accept this, and position to
their specific market knowing that people outside
the market will not purchase their products.


I.e. Skateboard companies positioning to the
“skateboarding lifestyle” will not care about alienating
the figure skating market.
MASS MARKETING - AVOID “TAKING A STAND…”
Some companies will attempt to make
everyone happy.
 Nike, for example, tries to sell athletic shoes to
both sexes, every age group, and every lifestyle.
 The last thing Nike wants to do is cause offence
or controversy, as its business depends on
Mass Marketing.

LONG-TERM POSITIONING

Marketers usually try to select a position that
will be able to maintain for a long period of
time.
 This
means avoiding basing their positioning
strategy on a technological innovation that is likely
to be copied by competitors.

I.e. Sony’s Beta– failed because it protected it
technology, and led to the pioneer of the VCR,
which would make Beta obsolete.
RELEVANT POSITIONING
Marketers have to make sure that the position
of their product is relevant to the consumer.
 Translating business positioning benefits to
consumer benefits.

CLEAR AND COHERENT POSITIONING
Marketers also have to ensure that the position
of their product is clear and coherent so
consumers can understand it.
 Tim Horton’s Position:

 Its
products are always fresh, and always available.
 In-store displays, cups, napkins, signs, advertising
campaigns and trucks display and deliver a
coherent message, “Always Fresh.”
DISTINCTIVE POSITIONING
Consumers need a reason to choose one
product over a competitor’s product.
 By not positioning in a distinctive manner, or
not at all, the company will be forced to use
significant discounts, a complicated push
strategy, and/or a costly advertising campaign
to attract consumers.

ACTIVITY: POSITION A PRODUCT

Use the handout provided, and in groups of 2,
complete the questions and be prepared to
discuss your answers.