Kimberly: Ok! Zip

Eric: Thank you very much! First of all, there is no word like Product Positioning. There is Positioning or you may also call it Brand Positioning. But not Product Positioning. (Why? We’ll discuss it in next video)

Let’s start discussing from real issues marketers are facing, related to positioning concept. So that, we can also understand the importance of positioning.

Kimberly: Go ahead Eric!

Eric: According to Al Ries’ interview on this blog, KamilAli.com

Marketing people believe in positioning, they just don’t believe in the principles of marketing, principles that we have been writing about for decades.

Kimberly: What does he mean?

Eric: In other words, you should realize and remember three things:

1. The positioning concept is widely misunderstood. People have learnt the definition of it, and forget the steps required to achieve, and sustain positioning.
2. How to do positioning is difficult to comprehend, it’s even more difficult to apply on the brand.
3. If you’ll use your common sense, you’ll be lost. On the other hand, if you’ll use your marketing sense, you’ll be on the right track.

If we’re going to learn positioning it is necessary to know about two marketing gurus. We might discuss their quotes during the discussion.

Kimberly: Who are they?

Eric: They are the fathers of positioning concept, who coined this term. Those were two marketing strategist and world’s top marketing gurus, Al Ries and Jack Trout.

Al Ries

Jack Trout

Positioning creates a specific perception, of the brand in the, specific category.

For example, In America, what is the name of the safest car? It’s Volvo.

So, In consumers mind, Volvo has, a “perception” of, Safety.

This is a task of positioning to put a perception in the mind of consumer or prospect. (Positioning is a process of putting the perception in the mind of consumer or prospect)

So, positioning of Volvo has been created, by putting the perception, safety, in the mind of consumer. Now, Volvo is famous for safety, NOT for speedy car, good driving or luxury car.

Kimberly: But, what if the competitor wants to develop the same positioning? In this case, safety?

Eric: Good question! Here’s the rule of thumb: when we talk about competitor, “differentiation” comes in.

Positioning is built through “perception” and, competitor is engaged through “differentiation”.

Combine them, and you will have the definition of positioning.

Kimberly: So, what is positioning?

Eric:

Definition of Positioning:

Positioning is to differentiate the brand in the mind of consumer.

Kimberly: That means, the perception of competitor’s brand, has to be “different” from the perception” of our brand?

Eric: Yes, if our competitor’s brand positioning is safety, we have to choose different positioning, like, luxury car.

For example, if Volvo’s positioning is safety, Ferrari positioning is speedy car, BMW’s positioning is ultimate driving and Lexus’ positioning is luxury car.

Kimberly: How I’ll be able to do positioning like that?

Eric: By getting in to the mind of consumer before our competitor.

Kimberly: And, how do we get into the mind of that, bloody consumer?

Eric: That’s the real part, how to do positioning: how to get in to the mind of consumer and then hang in there. We’ll learn it in the next meeting!

For today, here are two Kamil’s Bonuses:

1. Positioning is what you do to the consumer’s mind, not to the product.
2. It is a process to cope with major competitors.