STP PROCESS / SEGMENTATING, TARGETING, POSITIONING: (Part 3) - POSITIONING / BRAND POSITIONING

Summary

This video dives into the concept of 'Positioning' in the STP (Segmentation, Targeting, Positioning) process, emphasizing its importance in marketing. It explains how positioning shapes the consumer's perception of a brand or product, distinguishing it from competitors. The video discusses various positioning strategies, including product attributes, benefits, price-quality relationships, user representation, competitor comparison, and product category leadership. It also outlines the four key steps to effective positioning: identifying the target market, defining the frame of reference, determining the point of difference, and establishing competitive advantages. Ultimately, positioning helps brands create memorable and favorable impressions in consumers' minds.

Takeaways

• 😀 Positioning is the third step in the STP (Segmentation, Targeting, Positioning) process, following segmentation and targeting.
• 😀 Positioning refers to how consumers perceive a product, creating an image or impression in their minds that sets it apart from competitors.
• 😀 A well-executed positioning strategy helps a product become easily memorable to consumers and establishes a clear distinction from similar products.
• 😀 Example: Toyota Avanza is positioned as an affordable commercial vehicle, BMW as a high-performance luxury car, and Ferrari as a symbol of luxury and status.
• 😀 There are six main strategies for positioning: product attributes, product benefits, price-quality balance, user persona, competitor comparison, and product category leadership.
• 😀 Product positioning based on attributes can include specific characteristics like color, size, or functionality (e.g., Marjan syrup marketed for Ramadan).
• 😀 Positioning based on benefits emphasizes the unique advantages a product offers, such as faster relief from headaches (e.g., medicine brands).
• 😀 Price-quality positioning is about offering reasonable pricing with better quality compared to competitors, rather than just being the cheapest option.
• 😀 User persona positioning often involves using celebrity endorsements or ambassadors to represent the brand and influence consumer perception.
• 😀 Competitor-based positioning involves highlighting how a product is superior to rival products, as seen in the rivalry between Apple and Samsung.
• 😀 Category-based positioning focuses on establishing a product as a leader within a specific category, such as Indofood’s focus on the Indomie brand despite having other instant noodle brands.

Q & A

What is the main focus of the video discussed in the script?

The main focus of the video is on 'Positioning,' which is the third step in the STP (Segmentation, Targeting, Positioning) process of marketing.

What does the term 'Positioning' mean in marketing?

Positioning refers to the image or perception that a product or brand holds in the minds of consumers. It's about differentiating a product from competitors in a way that makes it memorable and valuable.

Can you give examples of products that use positioning effectively?

Yes, examples include Toyota Avanza, which is positioned as an economical commercial vehicle; BMW, which is positioned as a premium brand with high quality and performance; and Ferrari, which is positioned as a luxury sports car.

What are the six main strategies for product positioning mentioned in the video?

The six main strategies are: 1) Product attributes, 2) Product benefits, 3) Price/quality ratio, 4) User characteristics, 5) Competitor-based positioning, and 6) Product category leadership.

How does positioning based on product attributes work?

Positioning based on product attributes highlights specific features or characteristics, such as size, color, or packaging, that differentiate the product. For example, Marjan syrup is positioned around Ramadan as a cultural and seasonal product.

How is positioning based on product benefits different from other strategies?

Positioning based on product benefits focuses on the specific advantages or uses a product offers. For example, a painkiller brand that promises faster relief might be positioned as more effective than a competitor, even if both have similar active ingredients.

What does price/quality positioning mean?

Price/quality positioning emphasizes offering the best value for money. It’s not always about being the cheapest, but about providing products that offer superior quality at a reasonable or competitive price.

How does competitor-based positioning work?

Competitor-based positioning involves positioning a product as better than its competitors. For example, Apple and Samsung often engage in advertising that highlights the superiority of their respective products over the other's.

What are the steps in determining product positioning?

The four key steps in determining product positioning are: 1) Identifying the target market, 2) Establishing a frame of reference, 3) Determining points of difference, and 4) Setting competitive advantages.

Why is identifying the target market crucial for positioning?

Identifying the target market helps businesses understand the specific needs and preferences of their customers, which is necessary to create a brand image that resonates with them and differentiates the product effectively.