Updated: Sep 15, 2022
In Marketing Business Positioning refers to how your customers perceive your brand or products, services in relation to competing brand, products or services. It is the process of establishing the image or identity of your brand or product so that customers perceived it in a certain way.
It is important to position your business in the market and to differentiate yourself from your competition and that your value proposition is unique to your business and has relevancy with your products or services offered to your customers or potential customers.
Positioning is the process of identifying an appropriate niche for a product, service or brand and getting it established in that area.
A positioning statement is an expression on how a given product or service, brand fills a particular consumer need in a way that its competitors don't. Meaning that your business has a unique position and a unique proposal in the market the business operate or has a competitive edge over its competition in the market the business operate.
Defining the positioning price in a market place cluttered with lots of products or services and brands offering similar or the same benefits to the customers it is difficult to achieve a fair price therefore the price will be determine by the quality of the goods, services or brand offered to the customers.
A good positioning make a brand, product or service stand out from the crowds, confers it the ability to charge a higher price and slave off the competitions. In marketing a products or services of excellent quality, sturdy withstanding time command a higher price, however, for the same or similar cheap lower quality products or services, easily breakable product command a lower price. Hence, it is good in term of pricing to benchmark yourself to your industry this way you offer similar, slightly higher or lower prices than your competitor in the same industry.
Product positioning is a form of marketing that present your product to a particular target audience for example a product may have market dominance with their main target audience and also have a secondary audience that is also interested in the product but perhaps in a different way such as some people are coffee lovers and only drink coffee without milk in a cup without sugar and another group of coffee lovers will only drink coffee with milk in a mug without sugar.
Positioning your business
Positioning can enclosed branding, advertising, promotion, pricing, product development, sales, distribution and operations. The following are the common types of market positioning. Positioning is important as it helps provide the persuasive sales tools your business development team need to nurture and close more sales.
Market positioning of a brand or product must be maintained over the life of the brand or life cycle of a product to achieve this requires ongoing marketing initiatives intended to reinforce the target market’s perceptions of the product, service or brand. Unique brand positioning boost your business visibility and become a top-of-mind recall for consumers to help beat the competitions that why having a brand positioning strategy is so important.
Cost leadership and differentiation
As there is only two broad categories in market positioning which are mainly cost leadership and differentiation. These two strategies are applicable to any businesses in any industries. Therefore a business can choose to position itself using cost leadership or business differentiation strategy. Hence you choose from the start of your business which position in the market in your chosen industry you want to hold throughout the life cycle of your business and your products or services which strategies is best for you.
Cost Leadership strategy
A business using cost leadership strategy attempt to position itself in the consumers mind as the business that provides products the consumers want at a price that is lower than competing products or services available in the marketplace. Consumers expect basic products with no specification or speciality from a business using a cost leader strategy that the product is of a cheaper quality and that the product meet the need of the consumers and nothing else.
A business using differentiation business strategy attempts to position itself in the mind of the consumers as a business that provide unique products that consumers will pay more for because they cannot find comparable products, product features or services anywhere else in the marketplace. Consumers expect to pay more from a differentiated product or service and therefore are willing to pay a premium price for a differentiated product or services. This is true as long as the unique feature of the product add some value to the product or a service provide value this will make it more valuable to consumers, whether a functional feature or an aspect of image or prestige that enhances the perception of the product or services.
Re-positioning your business
Re-positioning a brand or product means changing its place in the mind of the consumers or essentially altering the brand's or product's image or identity. When you are trying to change the consumer's perception of a brand or product after it has already been established may confuse or alienate consumers in the target market. It is not really good for your business either and can result in a loss of loyal consumers and sales.
An example, if Apple decided to slashed dramatically the price of its Iphone or any other Apple products and began selling them at the same price as a cheaper handset brand-name mobile phone, consumers would no longer perceived the company and its products as prestigious status symbol even though the Iphone features may remain unchanged.
Girlfridayz in order to keep the position we hold in our market and industry some of our services prices will increased of 2.4% on the 1st of July 2019 in line with retail price index (RPI), inflation and the current economy and the new price will appear on our website after this date. The changes will only affect our website design all inclusive bundles get more for less, landing page price, less than 5 pages website price and business start-up and Small Business & SMEs tasks price. All other prices for our other services will remain the same including the price of Girlfriday Local Event ticket will remain unchanged.
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