In today’s competitive market, with a diverse presence of brands, businesses need to determine a clear positioning strategy to attract consumer trust and attention. Brand positioning, also known as brand positioning, is the process of identifying and building a unique position and distinct identity in the minds of customers. This helps the brand stand out from the crowd and guides marketing and product development activities. Let’s explore with Optimal Agency how to Build a brand positioning strategy that brings the highest efficiency through this article!
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What is a brand positioning strategy?
Brand positioning is written in English as Brand Positioning. This is simply the process by which a business identifies and builds a special and distinct position for its product or service in the minds of customers. This helps customers identify and differentiate your brand from other competitors in the market. For example, Porsche has successfully positioned itself as a rare luxury car that only truly successful people can own. This special feature has helped Porsche create a clear difference compared to competitors in the same segment such as Mercedes-Benz, BMW, or Range Rover.
Humans operate on the principle of organizing and storing important features in memory for retrieval when needed to make decisions. Therefore, when a brand achieves successful positioning, customers will easily associate and recall the business when mentioning a specific product characteristic. For example, when a customer wants to buy a TV, they will automatically think of criteria such as durability, price, design, brand reputation, etc. TV brands are famous and well-positioned. will be in their “top of mind” and given priority for consideration. If the product meets these criteria, customers will tend to decide to buy immediately.
Brand positioning not only helps businesses stand out and grow in the hearts of target customers but also aims to build an impressive brand world and bring long-term value to the business.
Concept of brand positioning in digital
Digital brand positioning is the process by which businesses identify and establish the unique positioning of their products or services in the online space. In this way, they help customers easily recognize and differentiate their brand from competitors. This process includes building user-friendly websites and mobile applications, providing valuable content, closely interacting with customers through online channels, and using data and technology to analyze behavior. consumers, and continuously adjust strategies to maintain competitiveness and sustainable development in today’s digital market.
Classification of brand positioning strategies
To help you better understand brand positioning methods, below are specific details and examples of each method:
Quality-based positioning: This positioning method focuses on building reputation and trust from customers through product/service quality. Brands like TH True Milk have succeeded in creating the image of pure, natural fresh milk products with the message “Really natural”. This helps them create a difference in quality and maintain consumer trust.
Value-based positioning: This approach focuses on meeting customer expectations, such as class, luxury, and comfort. Car brands such as Porsche or BMW have successfully positioned themselves as symbols of luxury and class in the car world.
Feature-based positioning: In the technology industry, especially mobile, feature-based positioning is the most popular. Developing products with unique and pioneering features in the market helps brands like Apple and Samsung quickly attract consumer attention. However, this exclusivity can be lost without continuous innovation and improvement.
Positioning based on relationships: Building sustainable relationships with customers helps brands like Viettel overcome the traditional limitations of telecommunications. Viettel’s slogan “Your way” encourages customers to confidently create and express themselves, thereby strengthening trusting relationships with users.
Positioning based on desire: Brands like X-men have successfully positioned themselves as symbols of authentic, elegant, and strong men. This evokes the customer’s desire for the image and lifestyle they wish to achieve.
Positioning based on use: Brands like Head & Shoulders have successfully positioned themselves as an effective solution to the problem of dandruff. Use-based positioning helps them focus on solving specific problems that customers are facing, thereby building trust and dependence on the product.
Problem/solution-based positioning: This positioning method emphasizes the ability to solve customers’ problems. Brands in information technology and finance, such as Microsoft or Visa, have successfully positioned themselves as effective solution providers for software or electronic payment problems.
Competitor-based positioning: This positioning provides a comparison of quality and differentiation compared to competitors. Brands Milo and Ovaltine have used this strategy to emphasize their superiority in nutritional drinks.
Positioning based on emotions: Baemin has successfully positioned itself as a door-to-door delivery service provider with concise messages that focus on consumers’ emotions. This strategy helps them build a strong emotional bond with customers.
From the examples above, you can see that each brand positioning method brings its advantages and challenges, depending on the context and goals of the business. Combining these methods flexibly and effectively will help the brand build a solid position in the market and the hearts of customers.
How to build a brand positioning strategy?
To build an effective and successful brand positioning strategy, you can follow the steps that Optimal shares specifically as follows:
Step 1: Identify target customers
Identifying the correct target customer is an important first step in the brand positioning process. By outlining the characteristics of target customers in detail, businesses can focus on building precise positioning strategies that match what customers need and expect. Deeply understanding customers not only helps increase interaction and relationships but is also the foundation for building trust and a lasting connection with the brand.
Step 2: Analyze competitors
Thoroughly researching competitors is an important step to help businesses better understand the market and competition. Using SWOT analysis and other methods such as sales research, reading market reports, and customer surveys, businesses can evaluate competitors from many perspectives. This helps them identify strengths, weaknesses, opportunities, and threats from competitors, thereby building unique characteristics and advantages to compete effectively in the market. Use the competitor analysis tool to get the most accurate data.
Step 3: Determine the appropriate positioning method
After clearly understanding customers and competitors, businesses need to choose an appropriate brand positioning method. There are many positioning methods such as positioning based on value, customer service, product quality, and differentiation. This positioning method must create a unique point of difference, and attract and retain customers in their hearts.
Step 4: Place the brand on the positioning chart
A brand positioning diagram is an important tool to help businesses clearly understand their position compared to competitors in the market. Through this diagram, they can identify the strengths and differentiators of the brand, thereby focusing on developing these characteristics to attract customer interest and build a sustainable competitive advantage. solid.
Step 5: Test the effectiveness of the positioning strategy
Testing and evaluating the effectiveness of the positioning strategy is extremely important. Feedback from customers will help businesses better understand the market’s reception and reaction to their strategy. If necessary, they can recalibrate their strategy to ensure that the brand consistently meets customer needs and expectations, while remaining competitive in today’s digital marketplace.
The importance of building a brand positioning strategy
Brand positioning is becoming increasingly urgent and of particular importance in the business strategy of every enterprise. This not only helps the brand attract many customers but also plays an important role in many different aspects, as follows:
- Identify trends in the market: Brand positioning is the process of carefully researching and analyzing the market and competitors. Thanks to this, businesses can better recognize new trends and potential opportunities in the market. Identifying trends early helps businesses prepare and develop more effective business strategies.
- Increase customer trust: A well-positioned brand will gain trust and confidence from customers. Building a mark and reputation in the hearts of customers increases brand value. Smart and modern customers will always choose products/services from reputable and trustworthy brands. From there, businesses can attract and maintain a loyal and stable customer base, bringing sustainability to the development of the brand.
- Create a solid foothold for the brand: Brand positioning helps build a strong and unique position in the market, reinforcing the brand’s presence in the minds of consumers. Thanks to this, businesses can attract a large number of loyal customers who are willing to support their products/services. This stability not only helps increase sales but also strengthens its competitive position and ability to adapt to market fluctuations.
- A prime example is Apple, a brand that has successfully positioned itself as a symbol of luxury and innovation in the technology industry. Apple products are not only known for their classy design but also for the combination of technology and practical needs of users.
- Help develop digital brands: In today’s digital age, brand positioning is an important factor in developing digital brands. Good brand positioning helps businesses build a consistent and professional brand image on online platforms. Thanks to this consistency, businesses can increase customer trust and increase their ability to attract consumers online. This helps enhance brand value and promote sustainable development in the future.
Brand positioning is not just a strategy but a continuous and detailed process, requiring methodical and strategic investment to bring the highest efficiency to the business.
In the article on Optimal Agency, we have listed the detailed content most accurately. We hope that the information we have shared can help everyone in learning about the concept of brand positioning strategies and take steps to build this strategy effectively and successfully.
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Frequently asked questions
Brand positioning plays an extremely important role in an organization’s business strategy. It not only helps determine the direction of the market but also creates uniqueness and trust from customers. Good brand positioning will build a solid position and help the brand develop sustainably in the long term.
Brand positioning is not an easy job, especially in the context of fierce competition and rapid market changes today. The main challenges include finding the brand’s strengths and uniqueness while ensuring that the positioning message is conveyed clearly and effectively to customers. In addition, maintaining consistency and adapting to changes in consumer trends is also a big challenge for businesses in the process of positioning their brands.
