SHRI RAMSWAROOP MEMORIAL UNIVERSITY

MBA [SEMESTER - I]
TEACHING NOTES-4
MARKETING MANAGEMENT
(MMG -1013)
Unit: 2 Name of Faculty: Dr. Pankaj Dhingra

Positioning
Definition: Positioning defines where your product (item or service) stands in relation to others offering similar
products and services in the marketplace as well as the mind of the consumer.

Description: A good positioning makes a product unique and makes the users consider using it as a distinct
benefit to them. A good position gives the product a USP (Unique selling proposition). In a market place cluttered
with lots of products and brands offering similar benefits, a good positioning makes a brand or product stand out
from the rest, confers it the ability to charge a higher price and stave off competition from the others. A good
position in the market also allows a product and its company to ride out bad times more easily. A good position is
also one which allows flexibility to the brand or product in extensions, changes, distribution and advertising.
The more intense a positioning strategy, typically the more effective the marketing strategy is for a company. A
good positioning strategy elevates the marketing efforts and helps a buyer move from knowledge of a product or
service to its purchase. Positioning creates a bond between the customer and the business. It’s that friend of the
customer who’ll always stay in their subconscious mind and will make them recall about the company whenever
they hear about the any of its product or a particular feature which makes it stand out.

Examples of Brand Positioning

 Colgate is positioned as protective.

 Patanjali can be trusted as it is fully organic.
 Woodland is tough and perfect for outdoors.
 Coca-Cola brings happiness.
 Axe deodorants have a sexual appeal.

Types of Positioning

A positioning strategy depends on many factors which include current market conditions, your product, USP of
your product, competitors, their products and the USPs of their products. Marketers plan of how they want their
product to be seen by the customers in future also plays a vital role in deciding which type of positioning strategy
to choose.

While there are numerous position strategies in marketing to choose from. The task for the marketers is to
complement their promise to the product features they have to offer.

Lifestyle Positioning

By positioning itself as a lifestyle brand, a brand tries to sell an image and identity rather than the product. The
main focus is to associate the brand with a lifestyle and focus is more on the aspirational value than the product
value. Cigarette, Alcohol, and Tabacco companies are often seen to use lifestyle positioning while marketing their
products.
The Problem Solver

Most of the brands focus on positioning their products as a one stop solution for a specific problem. They pinpoint
the pain areas and the challenges the consumers face in their communication and other marketing strategies and
mend it into promoting their product.

Parent Brand

This positioning strategy aims at establishing a brand promise and a reputation of the parent brand. All the
products and sub-brands under the parent brand seem to comply to the established promise.
Product Specific

Some brands which caters to different market segments, use product specific positioning strategies where they
position their different products differently than others. This is usually seen in the automobile industry.

Feature Specific

When the competition is huge and the products are similar, companies usually position their products by focusing
more on specific features like price, quality, or other micro features depending on the product sold. This type of
positioning strategy is usually seen in mobile industry.
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