MKM803Chap5

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Brand Positioning Decisions
Positioning

“The art and science of fitting the product
or service to one or more segments of
the broad market in such a way as to set
it meaningfully apart from competition.”
Market Positioning Strategy

Concerns the final decision of the market(s) in
which firms wish to compete, combined with
specific elements of the marketing mix
designed to fulfill the respective needs of the
market(s).
 Guiding principle and direction for:




Product
Price
Distribution
Marketing communications
Market Position
The reaction of the market to the firm’s
marketing programs.
 The intended or unintended consumer
beliefs of the organization’s efforts, not
the current or past strategic plans of
marketing managers.

Illustration of Market Positioning
Strategy
Figure 5-1
Brand Positioning Strategy
Brand Positioning
Strategy:
Relates to the intended
image of a product or brand
relative to a competing
brand for a given
competitive space as defined
by certain product market or
category characteristics.
A key decision prior to
determining the most
effective selling message of
the advertising or the IMC.
Brand Positioning
Strategy  Part of
the overall
advertising or IMC
plan.
Brand Position 
Exists in the minds
of the target
audience.
Brand Position Illustration By
Attributes
Figure 5-2
Brand Position Illustration By
Benefits
Figure 5-3
Brand Positioning Strategy Via
Brand Attitude
Salient Beliefs
 Beliefs concerning specific attributes or
benefits that are activated and form the
basis of an attitude.
Multiattribute Attitude Model
Attribute
Importance
(1-10)
Rating:
My Brand
(1-10)
Rating:
Competitor 1
Overall
A rating of 1 is the lowest or most poor
score, 10 is the best
Rating:
Competitor 2
Cars – Compact SUV’s
Attribute
Importance
Rating:
My Brand CRV
Rating:
Toyota RAV4
Power
9
7
9
Interior
Space
8
6
8
4 WD
9
8
9
Style
5
8
5
223
251
Overall
Rating:
Mazda
Attitude Change Strategies

Increase or change the strength or belief rating of
a brand on an important attribute

Change consumers’ perceptions of the importance
or value of an attribute

Add a new attribute to the attitude formation
process

Change perceptions of belief ratings for a
competing brand
Brand Positioning Strategy
Options
Options via Consumer and Competition
Positioning by Product
Attributes and Benefits
Positioning by
Price/Quality
Positioning by Use or
Application
Positioning by Product
User
Repositioning
Positioning by Competitor
Positioning by Product
Class
Positioning By Product Attributes
and Benefits
Positioning by Price/Quality
Brand Positioning Strategy Decision Process
Identify Competitors
Assess Consumers’
Perceptions of Competitors
Determine Competitors’
Positions
Analyze the Consumers’
Preferences
Make the Brand Positioning
Strategy Decision
Monitor the Position
Implications

Brand positioning strategy decision is an
important requirement for:
Setting the overall strategy for advertising.
 Content of the advertising message.
 Creative strategy.
 Tactics.

Group Assignment
Consider the market for compact cars. Choose
three competitors in this market.
1. Develop a positioning grid using:


Attributes
Benefits
2. Show how the multiattribute model can be
used in this market.
3. Develop a positioning statement for your
three competitors
Advertising Creativity
The ability to generate fresh, unique and
appropriate ideas that can be used as solutions
to communication problems.
“Its not
creative
unless it
sells”
Suits
Artists
“Only artistic
value and
originality
count”
Absolut’s Advertising Represents
Synergy Between Creative and Media
Creative Challenge

The job of the creative team is
challenging:


Every marketing situation is different, and
each campaign or advertisement may
require a different creative approach.
Guidelines have been developed for
creating effective advertising, but there is
no magic formula.
A Campaign that Generated Debate
Over Creativity
An Artsy Commercial For Norwegian
Norwegian Changed its Creative
Approach
Young’s View of the Creative
Process
Immersion
Getting Raw Material, Data,
Immersing One's Self in the Problem
to Get the Background.
Digestion
Ruminating on the Data Acquired,
Turning It This Way and That in the
Mind.
Incubation
Ceasing Analysis and Putting the
Problem Out of Conscious Mind for
a Time.
Illumination
A Sudden Inspiration or Intuitive
Revelation About a Potential Solution.
Verification
Studying the Idea, Evaluating It, and
Developing It for Practical Usefulness.
Wallas’ View of the Creative
Process
Illumination
Seeing the
Solution
Preparation
Gathering
Information
The
Creative
Process
Verification
Refining
the Idea
Incubation
Setting
Problem
Aside
Getting Creative Input
Read anything
related to the
product or
market!
market
Use the
Use the
product to
product to
become
become
familiar with
familiar with it
it!
Work in and
learn about
the client’s
business
Listen to what
people are
talking
talking about!
about
Ask everyone
involved for
information!
information
Marketing Research Methods Employed
to Probe Consumers’ Minds
Verification and Revision of
Ideas
Evaluate Ideas Generated
Reject Inappropriate Ideas
Objective
Refine Remaining Ideas
Give Them Final Expression
Directed Focus Groups
Message Communication Studies
Portfolio Tests
Viewer Reaction Profiles
Techniques
This Ad Campaign was Based on
Psychographic Research
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