Brand Positioning Definition

“Brand Positioning is the activity of trying to get customers to perceive a company’s product differently from the way they perceive what competitors are offering. The customer’s viewpoint is a crucial aspect of product positioning”, as defined by Reibstein, David J (Marketing: Concepts, Strategies and Decisions, Prentice-Hall, 1985)

Brand positioning is the activity of a brand occupying a distinct space in its competitive environment. This ensures that consumers can recognize and select a brand over other competitor brands. A marketer has to carefully manipulate the marketing elements to achieve the brand’s desired market position to make a unique impression in the customer’s mind.

Brand Positioning Advantages

1. Brand Positioning creates market differentiation

Brand positioning helps to carve out a unique territory for your brand where no competitor will dare venture. Most successful brands offer products and services with a unique positioning statement that summarizes their attitude towards their products and services. This unique approach makes them resonate strongly with consumers and to stand out from competitors.

2. Brand Positioning facilitates easy decisions:

Consumers want to make easy decisions without having to think too much or search too many products. Brand Positioning helps to trigger an emotional connect from your target audiences. When brand positioning is able to pull the right chord, brands have a higher likelihood of being chosen. 

3. Brand Positioning to win more clients:

Positioning is advantageous as it offers the persuasive sales tools that are required to nurture and close deals. Unique brand positioning boosts firm visibility and top-of-mind-recall for prospects to help shut out the competition. 

4. Brand Positioning brings customer loyalty:

Well-designed and executed brand positioning creates customer loyalty by augmenting the purchase of products in the consumer’s mind. When a campaign for sporting goods focuses on physical fitness and not just on a particular product, it eventually establishes the brand as a leader in the industry.

Brand Positioning Example

A very good example of brand positioning is of Australian Yellow Tail Wines. Yellow Tail wanted to enter the US market, and their intelligent brand positioning strategy helped them to conquer the US wine market. 

Yellow Tail used “Blue Ocean Strategy” (blue ocean where there is no competitor) to escape the crowded market (a red ocean where all the sharks are attacking each other). It created demand rather than fighting over the established demand. 

Yellow Tail developed an easy-drinking wine that is soft and sweet as approachable as beer. It came up with a fun and adventurous name that represents the tail of a Kangaroo. The design, communication strategy and the pricing were all well thought out. This clever brand positioning gave them sales of 1 million bottles in the US, which far exceeded the predicted 25,000 sales.