Definition

Brand positioning is a marketing phrase that refers to the distinct value that a brand offers its customers.

Description

It is a marketing approach that brands use to define their brand identity while communicating their value proposition, which is why a customer prefers their brand over others. 

 

Brand positioning is employed when a firm wants to position itself in a specific way to their audiences so that customers can form associations between the brand and its value proposition. It is a part of marketing brand strategy

 

For a brand it is important to create a brand positioning statement.

 

A brand positioning statement is an internal positioning summary that businesses use to describe and promote the value their brand provides to their target market and customers. 

 

It is intended to express a brand’s value proposition in a concise manner. Typically, brand positioning statements are part of a business’s overall marketing strategy, and they should strike a balance between aspiration and reality.

 

When developing a brand positioning statement, consider the following:

 

• Who is the target audience or customer?
• What is your product or service category?
• What is the most significant advantage and impact of your product or service?
• What is the evidence of such benefit and impact?

 

Importance of positioning in marketing 

Brand positioning helps in attracting the correct audience, and effectively communicating your value proposition. Understanding what makes your company distinctive allows you to position your brand in a way that resonates with your target audience, demonstrating why you’re the best option for them and what distinguishes your products or services.

•  It allows you to defend your price strategy. The brand’s positioning can be used to support price strategies. In other words, when a product’s price is high due to its quality and rarity, and the brand positioning accentuates these factors, the cost becomes justifiable in the eyes of the client. This also holds true for lower-cost products.
• It boosts your brand’s creativity. Although multiple companies provide products and services that appeal to the same target market and audience, they differ and are distinct according to their brand positioning. That is why proper positioning can make or ruin your brand. Customers will return for more if you use a new, inventive plan and execute it well!

 

How do you create brand positioning strategy?

 

Creating a brand positioning strategy involves a series of crucial steps to establish a distinct identity in the minds of your target audience. Let’s elaborate on each point:

1. Establish your present brand positioning: Understand your brand’s position in the market. This includes determining how people perceive your brand, their associations with it, and how it compares to competitors.
2. Create a brand essence chart. A brand essence chart assists in defining your brand’s essential beliefs, personality, and characteristics. It often comprises the brand’s mission, values, personality attributes, and tone of voice.
3. Identify your competition. Determine who your primary competitors are in the market. This covers direct competitors who provide identical products or services and indirect competitors who may meet the exact requirements through various means.
4. Conduct competitive research: Analyze your competitors’ strengths and weaknesses. This entails evaluating their positioning strategies, messaging, target audience, product offerings, price, and marketing techniques.
5. Determine your unique value proposition: Explain what distinguishes your brand from competitors and why customers should choose your brand over others. Your distinct value proposition should highlight your advantages or solutions that your competitors do not.
6. Create a brand positioning structure. Create a foundation for your target audience’s perception of your brand. This includes developing your brand’s positioning statement, core messaging, and strategies.
7. Create a positioning statement: Create a succinct statement highlighting your brand’s unique value proposition and market position. This statement should resonate with your target demographic and set your business apart.
8. Evaluate if your positioning works: Continuously monitor and evaluate the efficacy of your brand positioning approach. This includes receiving consumer feedback, researching market trends, and measuring brand perception metrics to ensure your positioning is effective with your target demographic.
9. Create an emotional connection with prospects and customers. Create messages and brand experiences that elicit strong emotional responses from your consumers. This could include storytelling, visuals, and customer engagement methods that create a deep emotional bond with your brand.
10. During the sales process, emphasise your brand’s distinguishing features. Ensure your sales and marketing efforts continually emphasise your brand’s distinct value proposition and distinguishing characteristics. This helps to reinforce your brand positioning and increases the likelihood of conversion.
11. Create value. Showcase the value your brand offers customers through its products, services, and brand experience. This includes fulfilling commitments, exceeding customer expectations, and constantly providing high-quality services.
12. Ensure that customer-facing staff embody your brand. Train and empower your personnel to represent your company’s values and provide a consistent brand experience to customers. This involves ensuring staff attitude, communication, and actions are consistent with your brand’s positioning and values.

 

Branding trends that can emerge in 2024

Some of the striking branding trends that can emerge in 2024:

 

1. Personalisation

Personalization has emerged as a critical branding trend in 2024, helping firms stand out and connect with their audiences. 

Personalization is more than a trend; it is a strategy that has the potential to revolutionise your brand. By modifying interactions, products, and services to audience preferences, you can stand out in a competitive market and establish a devoted client base. This trend is prevalent in industries such as retail and hospitality, where consumer loyalty is critical to success.

Consider Coca-Cola’s “Share a Coke” campaign, in which the brand attached names on billions of Coke bottles, which led to more than 100 million social media interactions! It increased customer interaction by inspiring thousands to visit stores and see their name on a bottle.

 

1. Colours:

A monochromatic brand colour palette contains various shades of the same colour. You start with a base colour and add different shades through font, images, icons, materials, etc.

Monochromatic colours create a cohesive look for your brand and generate a soothing sense of tranquillity. The primary colour you choose establishes the rest of your brand colour palette. So, choose a colour relevant to your industry and embodies your brand personality.

 

1. Use of illustrations:

In 2024, an increasing number of brands will choose for a holistic, human-like appearance. It creates an instant emotional connection! Consider the use of illustrations by MailChimp.

 

The dynamic, sketchy style evokes a sense of speed, which aligns with the brand’s objective to make email marketing as quick and simple as possible for its consumers.

 

1. Simplify brands 

 

To develop a memorable brand, you can also use a bold font, a vibrant colour scheme, and careful use of negative space are sufficient.

Choose one design element, such as a font or colour palette, and make it memorable! 

Fabindia’s brand is distinguished by a colourful and earthy colour palette influenced by Indian culture and history. The brand frequently uses colours like deep indigo, rich maroon, brilliant orange, and earthy tones like olive green and mustard yellow. These hues represent the variety and vibrancy of India’s heritage and craft traditions.

 

Fabindia’s branding materials feature a mix of traditional and contemporary fonts. The font employed by the company is frequently sophisticated but approachable, expressing a combination of contemporary design and tradition. Fonts are chosen to be easy to read while still complementing the brand’s overall design.

 

Fabindia has built a distinct brand identity that resonates with consumers in India and around the world by continuously incorporating these features into its products, packaging, marketing materials, and retail spaces. 

 

In 2024, marketers will use simple features that deliver a punch to convey their message. This branding style arose from a desire for simplicity and structure without losing originality.

 

1. Use of multimedia or sonic branding

In 2024, we anticipate to see more brands incorporate multimedia components into their branding.

 

Forbes defined sonic branding as the strategic use of sound as part of a brand’s identity. This allows marketers to go beyond visual components and elicit emotions, memories, and deeper connections with their customers, all while enhancing brand recall.

 

What else could be a best example other than Netflix.

One famous example of Netflix’s auditory branding is the iconic startup sound, also known as the “ta-dum” sound. This characteristic sound, created by Hans Zimmer’s studio, acts as Netflix’s audio branding and is played before the start of any original content. 

 

The “ta-dum” sound has become synonymous with Netflix and immediately alerts users that they are about to watch content on the network.

 

Netflix strengthens its brand identity by using a variety of auditory aspects in its user interface, promotional materials, and marketing initiatives. These may include background music in advertising videos, sound effects in user interfaces, and audio cues tailored to specific content genres or events.

 

Example

Amul, an iconic Indian brand, has carved itself a niche in the market by promoting itself as “The Taste of India.” With a focus on quality and trust, Amul has become synonymous with dependable dairy products. 

 

Despite its devotion to quality, Amul remains affordable, ensuring that its products are available to a wide spectrum of customers. Amul’s logo reflects its Indian history, incorporating traditional patterns and iconography to reinforce its authenticity. Amul’s brand positioning is also based on innovation, with the company regularly releasing new flavours and marketing through digital media. 

 

FAQ

 

How do you establish brand positioning?

Brand positioning include defining the brand’s distinct value proposition, determining target audience needs and preferences, analyzing rival positioning, and developing a clear and convincing positioning statement.

 

What factors should be considered when determining brand positioning?

Consider market research, target audience demographics and psychographics, competitive analysis, brand principles and personality traits, product/service features and benefits, and current market trends.

How do you measure the effectiveness of brand positioning?
Several indicators can be used to assess the efficacy of brand positioning, including brand awareness, brand perception surveys, customer feedback, sales performance, market share, and brand loyalty.