Benefits of a Defined Brand Positioning Strategy
When building your own company or reading a business book, you might have heard of the term brand positioning. It is a term and concept wildly used in business. So, what is it? The concept was first introduced and pioneered in 1969 by Jack Trout, an American executive, and marketer. It refers to how a company sets itself apart to have a distinguished place in the minds of its target market.
That is the work of brand positioning. Those brands have engrained their services or products into the mind of consumers to the point that their names are synonymous with their respective industries even with just a mention of simple words.
Why is it important?
Creating the perfect brand positioning strategy can have a huge impact on a company’s marketing. It acts as a guide for the company to follow keeping the brand consistent and effective. This helps in shaping the minds of the targeted consumers and directly affects consumer and brand loyalty. An effective brand position will impress trust on the target market and encourage the willingness of the consumers to buy from a specific brand. Here are some more advantages of a well-defined brand position:
1. Specific Target Market
When a company has a clear brand positioning strategy, it may reveal a niche market to focus on. A clear idea and understanding of the target market will mean that marketing resources will be maximized and efforts will be more effective to capture the target audience’s attention.
2. Being Different
When in the process of creating a company’s brand position statement, it can reveal a clear image of what sets the company apart from competitors. When the company’s strength is highlighted very effectively, it will leave a positive impression on the consumers.
3. Win New Clients
A strong brand position will create a ripple effect, from managing the current target market to luring in new prospects. If the public understands a company brand clear as day, they will be more encouraged to try out whatever services or products the company offers.
4. Creative Decision Making
Creating brand positioning is an incredibly insightful process. It is the creative process that helps to understand the core of the company , which is the core of what is needed to market to consumers. Hence, it will provide a better understanding of any decision making process related to the success of the company.
5. Development and Pricing
Since the brand positioning will reveal how a company compares to it’s competitors, decisions about product/service development and pricing will be more informed. When making these kinds of decisions, reverting to the brand positioning statement ensures that the company is not deviating from what the target market has come to know the company’s brand to be and provide.
Overall, taking time to develop a well suited brand positioning strategy has many key benefits that can help a company properly market it’s brand and ensure a successful connection with it’s target consumers.
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