Why Brand Positioning Is Key to Your Business's Success

Imagine starting a bakery in a busy city, only to realise customers walk past you without a second glance. Despite serving the best croissants and choux buns, you find yourself overshadowed by larger chains right around the corner. That’s where brand positioning comes in! It’s the secret ingredient that helps your business stand out in a crowded market. When I first started learning about marketing, I made the mistake of trying to appeal to everyone. It wasn’t until I defined my unique value and targeted a specific audience that my efforts began to resonate. Let’s explore how you can position your brand effectively.

What Is Brand Positioning?

Brand Positioning is a marketing concept that refers to the process of designing and establishing exactly how a brand is perceived in the minds of their target audience, relative to its competitors. This unique space businesses create for their brand is what distinguishes it from others. And this is communicated through their values, messaging and the overall experience they provide.

E.g. a brand sells clothing for women aged 18-25 who are interested in the latest trends, but on a budget. This is an example of a clothing brand positioning themselves as a cheaper clothing option than competitors for young fashion conscious women. They're communications will focus on student discounts as well as the advertising of clothing capturing new trends.

Why Is Brand Positioning Important?

Without clear brand positioning, your business risks being overlooked. Customers need to understand why your brand is for them. Companies that try and appeal to everyone usually end up appealing to no one. Effective brand positioning ensures your business stands out, attracts the right audience, and communicates your unique value proposition.

How Do I Position My Brand?

Here are 6 easy steps to create your own brands positioning.

1. Establish the need

First, when deciding how to position your brand, it is important to have a good understanding of the need your brand satisfies. Whether it provides shelter, entertainment, clothing or perhaps knowledge, identifying this ensures your business addresses a demand. For example, if you’re launching a meal subscription service, the need might be “easy and healthy meal preparation for busy professionals.” Write down this need to keep your efforts focused.

2. Select The Product Category

This refers to the type of product you're selling, Is it a convenience product, a luxury item, or perhaps a speciality product? Identifying your products category enables you to make decisions based on how it's sold and where. For instance, a convenience product like sandwiches should be easily accessible in supermarkets. It is important your product can be found in a place customers can expect to find it! So, now you have the need and the category.

3. Analyse the Target Audience

Who your brand is aimed towards plays a significant role in your brand's position. This could be men, women, students or perhaps young kids. Find out how old they are, what their main interests are and what their income is like. Once you understand your target audience, you can tailor your branding and marketing strategy to appeal to this specific group of customers. 

If you feel there are some differences among your target audiences, such as age category, gender etc, it is useful to separate them into segments with a common characteristic. An example of a category could be women between the ages of 25-30, with high incomes. This will allow you to tailor your marketing messages to appeal to the different groups. Over 65's do not need to hear about student discounts!

Be careful not to try and attract too many groups, this is a common business mistake. Attracting many groups is difficult and typically leads to mixed messages.

4. Identify your differentiator

Now its time to go back to the need your product addresses. How will your product compare to competitors products? Do you want to offer higher quality? A more competitive price? Or maybe you want to provide a faster service? For example, a meal subscription service targeting busy professionals might differentiate itself by offering the fastest delivery time. The differentiator you choose to pursue should align with what is important to your target audience. If your target audience are students for example, then competing on cost would be an advisable strategy.  

Some brands implement a comparative positioning strategy, where their product is meticulously placed next to a competitor products in the same category, to really highlight its differentiating factors, e.g. quality. 

5. Identify The Benefits

The benefits of your product are what your customer is looking out for. Once you can specifically identify these benefits, you must clearly communicate these in your marketing material. 

Benefits can be explored at 3 separate levels;

The Core Product - This is the primary benefit. For example, a television’s core benefit is entertainment.

The Actual Product - Features, brand, and quality. For a curved, 4K Samsung TV, this includes its high resolution and sleek design. This is what they are physically getting.

The Augmented Product - Additional benefits like warranties or customer support. For the TV, this might include a warranty or installation services. With a Samsung TV, I'd hope for a warranty! Should anything go wrong with the product, that was out of my control, I would be happier knowing that I will receive a replacement.

Highlighting each of these benefits ensures your messaging resonates with what your customers value most.

6. Form your Brand Positioning Statement

A brand positioning statement is an internal tool that is used to make branding decisions and build marketing campaigns. It should clearly and succinctly define where your brand will sit in the market based on the need it meets, your target audience, and your differentiator. For example: “Our meal subscription service provides busy professionals with healthy, chef-crafted meals delivered faster than any other service, ensuring convenience without compromising on quality.”

Brand Example

Let's take a look at Zara, a global leader in fashion to understand effective brand positioning:

Need - Clothing

Product category - Apparel & Accessories

Target audience - Young men and women 18-35, looking for hot off the press fashion

Differentiator - Affordable yet high quality fashion items with a 2 week turn around for new product releases.

Benefits - (Core) Improve self-image / confidence, (Actual) High quality, low cost Zara garment (Augmented) Home delivery, post-purchase emails, future discounts. 

If you are a customer of Zara, you will notice that this brand consistently communicates these elements and has cemented its position as a go-to brand for trendy, affordable fashion.

Conclusion

Brand positioning really is the cornerstone of a successful business strategy. By defining the need your brand meets, understanding your audience, and communicating your unique value, you can position your business in the market. Take inspiration from leading brands like Zara or Coke, but remember to be authentic and stick to your goals.

Reflect on your brand’s unique strengths and craft a positioning strategy that will leave a lasting impression on your audience. Whether you’re launching a new product or refining an existing one, clear brand positioning will set you apart and pave the way for success.