As any expert would tell you, brand positioning lies in the heart of marketing strategy. This is all the same for online businesses. For effective digital marketing, one needs to understand the concept of brand positioning. So, if you have an online business, this is something you must know! Read on to find what is brand positioning strategy in marketing?
For a single type of product, there are generally a vast variety of substitutes available. Then why should customers buy only from you? What is the quality of your brand that makes it stand out? How does your brand stand out from the rest in the industry?
If you really want your target market to choose your brand, these are some important questions to consider. When you answer these questions, you will be able to discover the true strengths of your brand.
When you know your business’s strengths, it will give your marketing a finer edge. You will be able to communicate the values of your brand better.
Well, this is what brand positioning strategies help you with.
But before hoping onto that, make sure you understand…
What is brand positioning strategy?
Brand positioning basically implies setting your brand apart from that of your competitors. It aims at creating a unique image or identity in the minds of the target market for one’s product, brand, or organization. Therefore, brand positioning may be understood as an image or position a brand has in the minds of people.
Below are some examples of what brand positioning can look like:
- McDonald’s position itself as a low-priced, family restaurant
- Nike positions itself as a brand for serious athletes
- Apple as a brand stands by simplicity, creativity, and humanity
Creating a distinct and value in the minds of your target audience is important. If you don’t give them something unique to remember your brand, they will forget it like a whirlwind.
Now, let’s learn a bit about its different types.
Some common types of brand positioning strategies
Why do some people go to ridiculously high-priced restaurants or buy expensive bottles of wine? Ever wondered something like that? I for one had a hard time understanding why would people go to Starbucks and pay so much for coffee. I mean, in the end, it’s just coffee anyway!
Well, why many people would go to that high-priced restaurant, buy expensive wine, or Starbucks coffee is for—quality.
But many a time you’d notice that the person buying that expensive wine can’t really differentiate between the qualities of wine. Then why is he buying that?
If quality is the factor, it may be because the producer company of that particular wine has positioned its brand as a “high-quality wine.” And so, it markets its brand as such. It has managed to position itself as a high-quality wine-producing company, and that is why customers trust its quality and buy from it.
This, in a nutshell, is how brand positioning based on quality works.
Pricing is another common brand positioning factor. Apparently, the price of a product greatly affects buying decisions. Most customers want to spend the least and get the most. Hence, when pricing is the basis of a brand to position itself, they generally like to come across as low priced.
For example, McDonald’s has positioned itself in the market as a low-priced food chain. What sets it apart from its competitors is that it offers nice meals at a cheap price.
However, in some cases, people prefer high-priced goods as it becomes a symbol of status. Hence, there is a common perception that higher the price, better the quality, and vice versa.
#3. Customer service
Customer service is another basis for many companies to position their brands distinctly. This is especially so in the industries where customer interaction constitutes a big part of the service. When engaging with such companies, customer service becomes a big factor influencing the buying decision. Examples of such industries can be airlines, restaurants, banks, and so on.
For example, international airline Emirates stand out in the industry for its exceptional customer service.
Convenience is another ground on which many companies market their brand distinctively. For example, HubSpot distinguished its brand by introducing digital marketing tools that were efficient, user-friendly, and customer-centric.
All these factors help make HubSpot’s inbound marketing software tools convenient to use. Though there are other competitors, the company still stands distinguished.
Related Article: Quick Guide to Choose the Best Inbound Marketing Software
Differentiation is another basis for many companies to position their brand distinctly. A company would market its products by magnifying those features that absolutely set it apart from its competitors. However, it goes hand-in-hand with having a strong UVP (Unique Value Proposition).
Generally, in the case of differentiation, the product or service is so dramatically different that the brand doesn’t have to worry about competition.
For example, if the bike sector is a kingdom, Harley Davidson is one of the kings. The motorbike brand sets itself apart from others in the market with various distinct features. The V-twin engine in Harley-Davidson motorcycles produces such a distinctive sound that the company applied for a sound trademark back in 1994. Although the competitors opposed it and the application was rejected, Harley Davidson V-twin engines continue to distinguish the brand from others. Moreover, the company has hundreds of biker clubs all over the globe. Hence, the community and brand culture the company provides further differentiates its brand.
Having a brand positioning strategy is important for effective digital marketing. It allows you to understand and communicate what lies at the core of your business proposition. Hence, to survive and thrive in the cut-throat competition in the digital market, it is important to have an effective brand positioning strategy. Pricing, quality, differentiation, customer service, or convenience—find out where the strength of your business lies to effectively position your brand in the market.
How did you like the interesting example of brand positioning? We’d love to hear from you in the comment below!