Differentiation and Positioning

Positioning

A product position: is the way a product is defined by consumers on important attributes – the place the product occupies in consumers minds relative to competing products.

“how organizations want their consumers to see their product”

Positioning

“safety”

“Performance”

“Luxury”

Positioning

“اسرع ديليفرى فى مصر”

Positioning

Economy”

Positioning Maps

Choosing a Differentiation and Positioning Strategy

1.Identifying possible competitive advantages.

2.Choosing the right competitive advantage.

3.Selecting an overall positioning strategy.

Identifying possible competitive advantages

competitive advantage: An advantage over competitors gained by

offering greater customer value, either through

lower prices or by providing more benefits that

justify higher prices.

Identifying possible competitive advantages

Product differentiation

Service differentiation

Channel differentiation

People differentiation

Image differentiation

Product differentiation

• product differentiation brands can be differentiated on features, performance, or style and design.

Service differentiation

• services differentiation through speedy, convenient, or careful delivery.

Channel differentiation

• channel differentiation gain competitive advantage through the way they design their channel’s coverage, expertise, and performance.

People differentiation

• people differentiation—hiring and training better people than their competitors do.

Image differentiation

• image differentiation. A company or brand image should convey the product’s distinctive benefits and positioning.

Choosing the right competitive criteria))advantage

Important

Distinctive

Superior

Communicable

Preemptive

Affordable

Profitable

Selecting an overall positioning strategy

More for More

More Benefits More price

• Not only is the market offering high in quality, it also gives prestige to the buyer.

More for the Same

More Benefits The same price

The Same for Less

Benefits Price

Less for Much Less

Benefits Price

More for Less

Benefits Price

Positioning Statement

• A statement that summarizes company or brand positioning—it takes this form: To (target segment and need) our (brand) is (concept) that (point-of-difference).

Positioning Statement

“To busy, mobile professionals who need to always be in the loop, BlackBerry is a wireless connectivity solution that gives you an easier, more reliable way to stay connected to data, people, and resources while on the go.”