They say that whoever tries to please everyone ends up not really liking anyone. Exactly the same thing happens with brands.
A brand without positioning is like a person without personality: without clear tastes, without affinities and without relationships.
Nowadays, consumers seek to establish real connections with brands, but this is only possible when the brand clearly communicates who it is aimed at, with whom it identifies and what values it represents.
What is brand positioning
A brand with a defined positioning demonstrates character and personality, allowing a specific type of consumer to be reflected in it. When this happens, a powerful emotional connection emerges and the purchase decision is virtually assured.
Brand positioning is the public's perception of a company, product or service in relation to its competition. It's not just about what a company says about itself, but how it's viewed by its customers and the market in general.
What is the difference between brand positioning and branding
They are not different concepts, but one encompasses the other.
You can consider the branding the discipline that focuses on creating a brand that connects with your customers.
Within branding, we can define two parts:
- Strategy: all those decisions we make with the objective of getting our ideal customers to connect emotionally with the company.
- Identity: is how we represent strategy through the 5 senses.
Within the brand strategy, we would find positioning, but also the tone of voice, personality attributes, or the brand persona, among others.
How to position your brand
Think about the purpose of positioning: to stand out. So you can think of positioning as a way to Distancing yourself of the competition. What ways could there be to steer you away from the competition?
Positioning based on quality
It focuses on superior craftsmanship or high-quality materials.
Example: Rolex emphasizes precision and luxury in watchmaking.
Price-based positioning
It is positioned as affordable (Economic) or high-end (Premium).
Examples: Walmart (Economy), Louis Vuitton (Premium).
Professional advice: Ranking for the cheapest price has a name: price war. And it's not recommended at all unless you're Amazon, and you can compete on price as part of a larger long-term strategy. In any other case, you would be doing your brand a disservice, devaluing market perception, and only getting customers who buy from you because you are the cheapest (which is the recipe for burning out very quickly).
Positioning based on benefits
Highlight the specific benefits provided by the product.
Example: Colgate focuses on tooth decay prevention.
Positioning based on problem solving
It solves a specific consumer problem.
Example: Tylenol is positioned as a remedy for relieving pain in a specific way.
User-based positioning
Aimed at a specific demographic or type of user.
Example: Dove targets “real” women, not models.
Competition-based positioning
It differs directly from competitors.
Example: Pepsi with its campaign “The Choice of a New Generation” versus Coca-Cola.
Emotional positioning
Connect with consumers through emotions.
Example: Coca-Cola campaigns focus on happiness and togetherness.
Positioning based on cultural/social responsibility
It aligns with values or social causes.
Example: Patagonia defends environmental sustainability.
Positioning based on innovation/technology
Highlight advanced or cutting-edge features.
Example: Apple is positioned as a leader in technological innovation.
Positioning based on heritage/history
Take advantage of a long-standing tradition or legacy.
Example: Guinness highlights its more than 260 years of brewing history.
Positioning based on sustainability/ecology
It focuses on environmental awareness.
Example: Tesla promotes electric vehicles to reduce the carbon footprint.
Lifestyle-based positioning
It is associated with a certain way of life.
Example: Red Bull is linked to extreme sports and adventure.
Service-based positioning
Prioritize an exceptional customer experience.
Example: Zappos is known for its hassle-free returns and excellent customer support.
Positioning based on product attributes
Highlight a unique or distinctive feature.
Example: Volvo stands for vehicle safety.
Positioning based on use or application
It focuses on specific use cases.
Example: Gatorade is marketed to improve athletic performance and hydration.
Positioning based on brand personality
It embodies traits or a distinctive character.
Example: Harley-Davidson represents rebellion and freedom.
Most likely, your brand positioning is a combination of any of these strategies, but they don't have to be all of them.
Professional advice: Avoid falling into the myth that focusing your brand on a specific niche will cause you to have less market share, because there are fewer people. This mistake will cost you a lot of money. Focusing on your brand allows you to send much more specialized messages, and that increases the ROI of your campaigns. Much more than trying to convince everyone to buy your products just for the sake of it.
How to create a positioning strategy for your brand
Here you have a Step-by-step guide for creating a brand positioning strategy, adapted for SMEs (small and medium-sized enterprises), with practical examples:
Step 1: Define your target audience
Question: Who needs your product or service?
- Action: Define your audience with demographics (age, location), psychographic (values, lifestyle), or specific problems.
- Example: A local bakery targets:
- Busy parents who need healthy and quick snacks for their children.
- Coffee lovers looking for artisanal pastries.
Step 2: Analyze the competition
Question: What do your competitors do and how can you differentiate yourself?
- Action: Make a list of 3-5 competitors and note their strengths and weaknesses. Look for gaps in the market.
- Example: Competitor (coffee shop): “Fast and cheap coffee.”Your chance: “Locally roasted organic coffee, with an inviting space to work.”
Step 3: Identify your value proposition
Question: What makes you different?
- Action: Highlight 1-2 key benefits that matter to your audience. Do you solve something that your specific audience needs?
- Example: Value proposition for an ecological cleaning product:“Non-toxic formulas safe for pets and children.”
Step 4: Create your small manifesto
Use this template:
“For [TARGET AUDIENCE], [BRAND] is the [CATEGORY] that [BENEFIT] because [REASON].”
- Example (Fitness App):“For busy professionals, FitLife is the fitness app that offers 10-minute workouts because we prioritize efficiency without sacrificing results.”
Step 5: Build an Emotional Connection
Question: What emotion do you want them to associate with your brand?
- Action: Link your brand to a value (trust, joy, sustainability) or a story.
- Example: A brand of handmade soaps:“Made with love, using traditional recipes to bring simplicity back to skin care.”
Step 6: Consistency across all touchpoints
Question: Is your message consistent everywhere?
- Action: Review:
- Your website, social networks, packaging and customer service.
- Example: A pet food brand:
- Web: “Premium nutrition for your furry family.”
- Social media: Share customer stories with healthy and happy pets.
Step 7: Test and Adjust
Question: Does your positioning resonate?
- Action:
- Customer Survey: “What words come to mind when you think of us?”
- A/B test messages in ads or web pages.
- Example: An economic accounting software tests two slogans:
- “Affordable tools for SMEs.”
- “Stress-free finance in 5 minutes a day.”
Step 8: Monitor and evolve from time to time
Question: Is your positioning still relevant?
- Action: Analyze market trends, customer feedback and competitive movements. Adjust as needed.
- Example: A bookstore changes from “The lowest prices” to “Selected reads for independent book lovers” after competition from Amazon.
It seems easy, but it's not
Although doing this exercise does not require a real budget, because it is a purely intellectual exercise, most of the time companies need external and fresh help, to find the great idea that allows them to stand out from the competition in a saturated market.
A good marketing agency has cross-cutting experience in different sectors, and can help you focus your brand in a strategic and at the same time creative way.
Knowing and applying brand positioning is an urgent act that can significantly increase the return on your marketing efforts.
If you think that your brand goes unnoticed, or that your customers do not know how to understand what you offer, contact us, and we will help you define a brand strategy that in the long term will make you the benchmark in your sector.
