11/28/2013

Positioning and Perceptual Mapping

Session Outline
STP process Revisit Positioning Steps of effective positioning Points of Parity and Differentiation Perceptual Mapping Why perceptual Mapping Importance

STP process

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Positioning
Place occupied by a product in consumers minds relative to competing products

Implants unique benefits and differentiation in the customer mind

Positioning

Consumers perspective

Important attributes

Relative to competitors

Positioning
The strategic attempt to influence / control the mental position of the brand in the mind of the target customer segment(s) The articulation of Brand Brand Values, USP, Value Proposition, The Intended Brand Equity The different kind of differentiations A guide to staff A strategic lighthouse What we do, what we do not do, how we do it
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Steps for Effective Positioning

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Steps for Effective Positioning

Documenting
What benefits are the most important to your current and potential customers?

Deciding
What image do you want your current and potential customers to have of your business/brand?

Differentiating
Which competitors do you want to appear different from and what are the factors you will use to make your business different from them?

Differentiation
Product Differentiation
i.e. Features, Performance, Style and Design etc

Services Differentiation
i.e. Delivery, Installation. Customer Training etc

Image Differentiation
i.e. Symbols, Atmosphere, Events etc

Personnel Differentiation
i.e. Hiring, Training Better People Than Competitors etc

Positioning Parity and Differentiation

Company

Points of Parity

Competitor

Customer

Common POINTS OF PARITY category benefits

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Positioning Parity and Differentiation

Company

Competitor

Points of Differentiation

Points of Differentiation

Customer

POINTS OF DIFFERENTIATION potential advantages with the category

Important

Profitable

Distinctive

Differences Worth Establishing

Affordable Superior

Preemptive

Communicable

Steps for Effective Positioning

Designing
How will you develop and communicate these differences?

Delivering
How will you make good on what you promised and how do you make sure that you have delivered?

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Positioning statements
Positioning statements summarize the company or brand positioning EXAMPLE: To (target segment and need) our (brand) is (concept) that (point-of-difference)

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Examples of Positioning statement

Positioning statements from large and small companies: Mercedes-Benz: Engineered like no other car in the world Wharton Business School: The only business school that trains managers who are global, cross-functional, good leaders, and leveraged by technology Melbourne Business School: Global Business Leaders BMW: The ultimate driving machine Southwest Airlines: The short-haul, no-frills, and low-priced airline Avis: We are only Number 2, but we try harder Famous Footwear: The value shoe store for families Miller Lite: The only beer with superior taste and low caloric content The Heidel House Resort: The place to reconnect with loved ones Northern Nevada Business Weekly: The only source for local business news

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Positioning in mobile phone sets

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Perceptual Mapping

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Perceptual Mapping

Displaying or graphing the location of products or brands in the minds of consumers.

Perceptual Maps are useful - Key reasons

Assessing strengths and weaknesses relative to competing brands along certain criteria important to the customer. This is revealed by the positions of the marketer's brand and competing brands along the axes. Identification of competitive advantage for the brand Perceptual maps show differentiation among products in the customer's mind. Identifying market opportunities Empty spaces near an ideal point (meaning an attractive market segment) on the perceptual map represent potential market opportunities. See how ideal points are moving In addition, perceptual maps show how ideal points shift as markets mature, and therefore a brand might shift its positioning in order to retain or gain a competitive advantage.

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OTC Pain Relievers

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Pain Relievers

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Perceptual Mapping Super markets

Session Take Away

Marketers plan positions that give their products the greatest advantage in selected target markets, and they design marketing mixes to create these planned positions. In planning their positioning, marketers often prepare perceptual maps that show consumer perceptions of their brand versus competing brands on attributes that are important to the consumer, whether functional or symbolic.

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