Selecting a Positioning Strategy
The positioning statement summarizes the subjective evaluation of a product in comparison to its competition. It is written in terms of how consumers will see the product. Companies have two basic choices when it comes to positioning their products versus the competition – head to head in direct competition or differentiate their own product by making it so unique that it has no direct competition. Warren Keegan in his book entitled Marketing describes six basic strategies by which companies can position their products.
Positioning by Attributes or benefits
The most frequently used positioning strategy tries to capitalize on a specific product attribute, benefit or feature. Economy, reliability or durability are attributes frequently used in this strategy. Products can be positioned in terms of a combination of attributes. However, using too many attributes in a positioning strategy may confuse consumers as to what the product stands for.
Positioning by Quality / Price
The best way of looking at this strategy is in terms of a continuum from high to low. In some cases, a strategy of high quality/ high price is pursued while other companies pursue a strategy of good value at a low price.
Positioning by Use
To stimulate consumption of products whose growth has slowed, companies attempt to develop new ways for consumers to use a product. An example is orange juice which used the following message to stimulate consumption. “It’s not just for breakfast anymore.”
Positioning by User
This strategy entails associating a product with a user or a class of users. For example, Harley Davidson broadened its image to reach a new class of motorcycle enthusiasts: aging baby boomer professionals.
Positioning by Product Category
With this strategy, one objective is to get consumers to associate a product with a product category about which they have a positive image. For example, Folgers instant coffee positioned itself as tasting like freshly brewed coffee.
Positioning by Competitors
Positioning relative to competitors can succeed when a competitor is well-known or has a well-established image. The most famous example of this strategy is the Avis car rental slogan, We’re number two, but we try harder.” A more recent example is Sun Country Airlines positioning itself against Northwest Airlines as the smaller, more affordable airline.
Regardless of which positioning strategy you use, it is a subjective evaluation of the product and must be used in terms of how consumers will see the product.