At a recent family get-together, my aunt became consumed by a single question: who directed Casablanca? The film is one of her all-time favorites. Unable to recall the name of the director, she simply waved it aside and began broaching a new topic. Eager to provide her with an answer, I whipped out my smartphone and announced, “I’ll Google it.”
The truth is: there are plenty of search engines out there – MSN, Yahoo, Bing. And Google certainly wasn’t the first search engine to pop onto the market. Remember Ask Jeeves? Over the years, however, Google solidified its position as the go-to place to find answers on the web. The phrase “I’ll look it up on the internet” has simply fizzled out of existence, replaced by some version of “I’ll Google it.”
That, my friends, is what I call the power of brand positioning. Popular household names like Band-Aid, Kleenex, and Q-tip (yep, a Q-tip isn’t actually the official term for the ear cleaner…it’s a cotton bud) have become the standard terminology for similar items within their niche.
Sure, your business probably isn’t aiming to become the generic term for the item you’re selling, but driving awareness and profitability ultimately requires a strong brand positioning strategy. In fact, businesses that execute a consistent brand positioning strategy see between an average of 10% and 20% increase in revenue.
In today’s hyper-competitive market, consumers are constantly bombarded with information. Whether it’s product ads on their social feeds, commercials, or marketing emails. With all the noise out there, developing a strong positioning strategy is an integral piece of differentiating yourself from competitors and fostering loyalty among your target audience.
What is Brand Positioning?
As Philip Kotler so perfectly puts it, “Brand positioning is an act of designing the company’s offering and image to occupy a distinct place in the mind of the target market.”
How you opt to position your brand stems beyond a fancy logo or well-written tagline. It lives at the heart of your brand’s identity and communicates what makes your business different from competitors. What value do you offer? Why should your ideal customer choose to do business with you, and you alone?
Brand positioning allows your company to communicate who you are, why customers should choose you over a competitor, and what sets you apart. When done effectively, your target consumer will perceive your brand as favorable, credible, and valuable. It’ll resonate deeply with customers. It’ll evoke genuine emotion. And, most of all, it’ll ensure consumers carve out a place for you in their minds.
The Importance of Brand Positioning
What’s more beneficial for your business: cultivating a persona and reputation for your brand or allowing the public to control your image? Hint: it’s the former.
Think about it: when you head to a friend or family member’s house for dinner, how often do they ask you to bring Tupperware to take home leftovers? Tupperware, similar to Q-Tips, has become synonymous with food containers even though it’s a brand name.
Cultivating a thoughtful and impactful narrative for your brand is pivotal for differentiating your business from competitors. Your brand positioning strategy serves as a tool to communicate your value, drive awareness, increase customer loyalty, and justify pricing – all factors that ultimately affect your bottom line.
The good news? There isn’t just a single path to formulating a solid brand positioning strategy. In fact, there are several positioning models to choose from – each with its own unique approach and objective. To help get the ball rolling on cultivating your own, here are 6 common brand positioning models and why they’re effective.
1. PRICE-BASED POSITIONING MODEL
From a psychological lens, high-priced items are often perceived as having higher value. However, lower-priced goods or services can lean on the advantages of affordability and utilize that positioning to accumulate a broad consumer base. Offering the lowest price, if economically feasible, is one effective way of converting prospects into customers.
One example of a brand that utilizes this positioning is Arizona Iced Tea. While time has gone by and with that, prices have inflated, Arizona Iced Tea has offered its canned beverages for 99¢ since launching in 1992. That’s pretty powerful stuff, right?
2. QUALITY-BASED POSITIONING MODEL
While quality often comes at a premium cost, if your business has invested blood, sweat, and tears into producing a high-quality product, then this positioning strategy can generate a loyal customer base. Take Apple products, for example. Their iPhone is significantly more expensive than their Android counterparts. However, the iPhone continues to generate buzz and attract customers willing to pay the $750+ price tag for the smartphone because of its quality.
3. CUSTOMER SERVICE-FOCUSED POSITIONING MODEL
There’s a strong likelihood that you’ve opted for a particular restaurant, service provider, or retailer in the past due to their superior customer service. Placing an emphasis on the customer experience and weaving your commitment to customer service into your company’s value proposition is a powerful way to bolster your brand reputation, referrals, retention, and overall customer lifetime value.
A word to the wise: be conscientious and unwavering in your commitment to this strategy (should you elect to travel this route). If you build advertising campaigns around the unparalleled customer service you offer, it’s imperative to deliver on your brand promises. Otherwise, you open the doorway for irate tweets, negative online reviews, scathing emails, and even Better Business Bureau complaints.
4. SOCIAL MEDIA POSITIONING MODEL
Unlike the other brand positioning models, this tactic leverages several channels in lieu of a sole stand-alone approach. Social platforms offer a great outlet to generate interest, share your story, and build a community around your brand. The key? Knowing which social channels to utilize.
By conducting market research, you’ll gain a solid understanding of where your target audience spends the bulk of their time, looks for advice, and spends their money. You can then use these insights to craft a creative, impactful, and intentional social strategy aimed at meeting the customer where they are.
Take a look at Wendy’s social strategy. Sure, consumers are familiar with the fast food chain’s iconic logo and square burgers. However, it’s Wendy’s top-notch social game that has truly propelled the brand to new heights in recent years. They have solidified themselves as a brand that delivers witty posts and hilarious roasts, particularly on Twitter.
5. DIFFERENTIATION POSITIONING MODEL
If you offer a service or product that is innovative and unique, then you have a valuable way to differentiate yourself from competitors. There is an entire market of consumers that are drawn to brands that are innovative or a pioneer within their industry. Just ask Tesla.
Electric-powered vehicles have been in existence since the early 1900s. However, they were never adopted by the mainstream until Tesla rolled onto the scene. The popular car manufacturer delivered a sleek, fully electric car with cutting-edge technology that had yet to be introduced to the market.
6. CONVENIENCE POSITIONING MODEL
To employ a convenience-based strategy, your company should spotlight why your product or service is more accessible and convenient than others on the market – whether that be ease of use, location, technological features, or other factors.
After the unprecedented onset of the pandemic, normal activities – like visiting a supermarket or restaurant – became incredibly difficult (if not impossible). When lockdown protocols were still being enforced, brands like Instacart skyrocketed in popularity due to their ability to deliver food and household goods right to your doorstep. It was convenience personified. While restrictions have been lifted, Instacart continues to be a success because they offer a simple solution for obtaining groceries without having to disrupt your hectic schedule.
Brand Positioning: The Key To Fueling Your Success
Still wondering who directed Casablanca? Drum roll…it was Michael Curtiz. Thought we’d save you the trouble of Googling it.
The benefits of cultivating a well-crafted positioning strategy are irrefutable. How you position your business will communicate to customers whythey should utilize you over a competitor.
Your positioning strategy has the power to shape brand perception, influence behaviors, and foster loyalty. And don’t forget: it should be a reflection of your brand identity and values. This allows your target audience to forge a genuine connection with your brand and become long-term customers.
Need help getting started? As a full-service branding, graphic design, and digital marketing agency, JonesHaus can help you effectively position your brand to build genuine trust and brand loyalty with customers. Contact us today to learn how we can drive your marketing and branding efforts to new heights.