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Positioning consists of arranging for a market offering to occupy a clear, distinctive and
desirable place relative to competing products in the minds of target customers.
Why Positioning?
Objectives of Positioning:
1. To create a distinctive place of a product or service in the minds of potential
customers.
2. To convey attractiveness of the product or the service to the target market.
3. Place an intangible service within a more tangible frame of reference.
4. Help influence both service development and redesign of existing service.
5. Follow consideration of the competitors possible moves and responses so that
appropriate action can be taken as.
6. To give the target markets the reason of buying your services and then design
the whole strategy.
7. To provide guidelines for the development of marketing mix with each element
being consistent with the positioning.
Positioning Analysis seeks answers to the following questions:
1. What is the current position of the product or service in the mind of the target
customer?
2. What position does the firm want to own i.e., looking for positions or holes in the
market place?
3. How can it be done (select the appropriate approach that will work for the target
market)?
POSITIONING PROCESS
Various Steps of developing affective positioning:
1. Market Positioning
2. Psychological Positioning
a. Objective positioning
b. Subjective positioning\
3. Positioning approaches
The positioning process should be dynamic and it must keep pace with the changes
in the marketing environment in including changing needs of the customer and
changing tactics of the competitors.
This step involves the use of communication to convey, the firms or its offerings
identity and image to the target market. It convert the needs into images and
positions the offering in the customers mind. Psychological positioning enables
marketers to create a unique product image with the objective of creating interest
and attracting customers.
For example, two tourist attractions which are dissimilar may be perceived as the
same by a consumer and two similar tourist attractions may be perceived as
different. Marketer make an attempt to control the positioning and do not allow it to
let it happen.
2 kinds of Psychological Positioning:
1. Objective positioning
2. Subjective positioning
Objective Positioning.
The OP relates to the objective attributes of the physical product. It is concerned
with creation of an image of service offering that reflects physical features and
functional features. Usually Psychological positioning is concerned with what
actually is, what exists. e.g Mussorie is mountain.
OP is usually used in the Tourism industry. An attraction or destination which has a
unique features, that feature can be used to objectively position the attraction or
destination to create an image and to differentiate it from the competition.
Degree of Objective positioning depends upon the uniqueness of features. If the
features of an attraction are not unique the objective position will be of lesser
degree.
For example, Many tourist attractions which are promoted with pictures of beaches
or mountains fail to create a distinct image or successfully differentiate the offering.
Subjective Positioning
and other
projecting not only more value for your money but added benefit of its natural
attractions.
3. Positioning by use of application:
Service offering is positioned on the basis of the reason for its use.
For example, Hotel Inter-Continental, New Delhi positions itself to the meeting
market with meeting place and promises one stop meeting solutions, consistent
standards, attention to detail and personalized service.
4. Positioning according to users or class of users
This relates to consumer segments using a service offering
Airlines target the executive class, the frequent fliers and the tourists.
For example, The Ashok group position itself to corporate world with Conference
venues can help write corporate history and promises attention to the minutest
detail.
5. Position with respect to product class
The positioning could be based on functional benefits as well as symbolic and
emotional benefits. This technique is generally used to associate an offering with
experiences that are unique.
For example, Thailand Tourism positions as holding a convention in Thailand is
:Smooth as silk where sky is the limit.
6. Positioning against competition
This approach is used to meet the competition HEAD ON to bring out differences
between destinations. The international player avoid this approach because it may
involve negative statements about other country or regions. but it is regularly
employed in product and services marketing
For example, Visa cards compete with American Express by examples of places in
the world that do not accept American Express cards only Visa cards are accepted.
7. Positioning by endorsement
It involves use of celebrities or other product successes. Rebok has used Rahul
Dravid for their products.