What Is Brand Positioning? [With Examples]

Summary

In this video, Stephen Houraghan from BrandMaster Academy explains the critical concept of brand positioning. He emphasizes that branding is more than just logos and visuals—it's about influencing perceptions and creating a distinct position in the audience's mind. Drawing from the book *Positioning: The Battle For Your Mind*, Stephen highlights the importance of differentiation and understanding audience pain points. Using Dollar Shave Club's success against Gillette as an example, he illustrates how effective positioning can disrupt even established industries. He encourages viewers to refine their brand strategy and engage with his content for further insights.

Takeaways

• 😀 Brand positioning is crucial for businesses to stand out and connect with their audience beyond just having a logo.
• 📚 The book 'Positioning: The Battle For Your Mind' by Al Ries and Jack Trout is a foundational text for understanding brand positioning, despite being over 40 years old.
• 🧠 Neuroscience has reinforced the importance of positioning, emphasizing that the real battleground for brands is in the minds of consumers.
• 🏢 Branding is about more than visuals; it's fundamentally about influencing perceptions and making a business more appealing to its target audience.
• 🎯 Effective brand positioning involves understanding the audience's desires, fears, and journey to define a brand's unique value proposition.
• 🆚 New brands must differentiate themselves in the market by clearly communicating how they are different from established competitors.
• 🔍 Understanding audience pain points is key to developing a compelling brand positioning strategy that resonates with consumers.
• 💡 Dollar Shave Club is highlighted as a successful example of brand positioning, disrupting the market with a unique value proposition and tone of voice.
• 📈 A well-executed positioning strategy can challenge industry giants and capture significant market share, as demonstrated by Dollar Shave Club's impact on Gillette.
• 💬 Engaging with the audience through comments and discussions can provide valuable insights and feedback for refining brand positioning strategies.

Q & A

What is brand positioning and why is it important?

Brand positioning is how a brand distinguishes itself from its competitors and defines why it is different and why the audience should care. It is important because it helps bring a business and an audience closer together by shaping their perceptions of what the brand represents.

What does the term 'branding' commonly get misunderstood as?

The term 'branding' is often misunderstood as merely getting a pretty logo for a business. However, branding encompasses much more than visuals; it's about creating a connection with the audience and influencing their perceptions.

What is the significance of the book 'Positioning: The Battle for Your Mind' by Al Ries and Jack Trout?

The book 'Positioning: The Battle for Your Mind' is considered foundational in understanding brand positioning. Despite being over 40 years old, its insights remain relevant, particularly in how it emphasizes the importance of owning a position in the minds of the audience.

How has neuroscience influenced our understanding of brand positioning?

Neuroscience has confirmed much of what the book 'Positioning: The Battle for Your Mind' proposed, particularly that the position a brand wants to own is in the mind of the audience. This understanding has been reinforced by studies on human behavior and cognitive processes.

What did Marty Neumeier mean when he said 'Your brand is not what you say it is, it's what they say it is'?

Marty Neumeier's statement emphasizes that a brand's identity is not determined by the company's claims but by the audience's perception of it. This highlights the importance of understanding and influencing audience perceptions through branding and positioning.

Why is it critical for new brands to have a clear positioning strategy?

New brands entering a market with established competitors need a clear positioning strategy to highlight their unique value and differences. This helps them gain attention and carve out a space in the market where they can stand out.

How does understanding the audience's desires, fears, and journey contribute to effective brand positioning?

Understanding the audience's desires, fears, and journey is crucial for effective brand positioning because it allows brands to tailor their messaging and offerings to resonate with the audience's needs and aspirations, thus making the brand more appealing.

What is the role of brand identity in influencing audience perceptions?

Brand identity, which includes logo, messaging, and visual elements, plays a significant role in influencing audience perceptions. It serves as the visual representation of the brand's positioning and helps in shaping how the audience perceives and remembers the brand.

Can you provide an example of effective brand positioning from the transcript?

The Dollar Shave Club is cited as an effective example of brand positioning. They entered a market dominated by Gillette with a strategy that emphasized affordability, convenience, and a fresh tone of voice, which resonated with their audience and allowed them to gain significant market share.

What is the primary goal of branding according to the transcript?

The primary goal of branding, as mentioned in the transcript, is to bring an audience and a business closer together. This is achieved by shaping the audience's perceptions of the brand through effective positioning strategies.

How can businesses learn more about positioning and implementing it effectively?

Businesses can learn more about positioning and its effective implementation through resources like the BrandMasterAcademy.com, where they can access videos, articles, and tips on brand positioning and other brand strategy techniques.

Outlines

00:00

🔍 Understanding Brand Positioning

Stephen Houraghan from BrandMasterAcademy.com introduces the concept of brand positioning, emphasizing that it's more than just a logo. Branding is about creating a connection between a business and its audience to make the business more appealing. Houraghan explains that while good design is crucial, it's not enough to influence audience decisions. Brand positioning is about influencing perceptions in the audience's mind, as highlighted in the book 'Positioning: The Battle For Your Mind' by Al Ries and Jack Trout. The video suggests that understanding audience needs and desires is essential for effective brand positioning.

05:03

🚀 Crafting an Effective Positioning Strategy

The second paragraph delves into how to identify an effective brand position by defining the difference a brand will make in the audience's lives. It's crucial to articulate what sets a brand apart, such as offering faster, stronger, or more convenient products. The Dollar Shave Club is used as a case study to illustrate how a well-defined positioning strategy can disrupt an established market. Despite being a startup, Dollar Shave Club challenged the dominant Gillette by offering a cheaper and more convenient alternative, demonstrating the power of understanding audience pain points and presenting a compelling alternative.

Keywords

💡Brand Positioning

Brand positioning is the strategic process by which a brand creates a unique identity in the minds of its target consumers, differentiating itself from competitors. In the video, it is emphasized that positioning is not just about visuals but about influencing perceptions and making a brand more appealing to its audience. The video uses the example of Dollar Shave Club, which positioned itself as a cheaper and more convenient alternative to established brands like Gillette, successfully capturing market share.

💡Branding

Branding encompasses the visual and emotional aspects of a brand that differentiate it from others in the market. The video clarifies that branding is more than just a logo; it's about creating a connection between the business and its audience. Branding is crucial for entrepreneurs as it helps in building a strong identity that resonates with the target market, as illustrated by the misconception that branding is only about getting a pretty logo.

💡Logo

A logo is a graphic representation or symbol of a brand, often used as a visual shorthand to represent the company's identity. The video script points out that while a good logo is essential, it is not the sole component of branding. It is part of the brand identity, which also includes other elements like messaging and design, all contributing to the overall brand perception.

💡Audience Perception

Audience perception refers to how a target market views and understands a brand. The video underscores the importance of shaping these perceptions through effective branding and positioning strategies. It mentions that the brand is not what the company claims it to be, but what the audience perceives it to be, highlighting the audience's mind as the battleground for positioning.

💡Neuroscience

Neuroscience is the study of the nervous system and brain, which in the context of the video, relates to understanding human behavior and decision-making processes. The video mentions that insights from neuroscience have confirmed and enriched the understanding of brand positioning, emphasizing the importance of the mind in the battle for brand perception.

💡Al Ries and Jack Trout

Al Ries and Jack Trout are the authors of the book 'Positioning: The Battle For Your Mind,' which is considered foundational in the field of brand strategy. The video recommends this book as a key resource for understanding the concept of positioning and its impact on how brands are perceived in the minds of consumers.

💡Marty Neumeier

Marty Neumeier is a well-known designer and author who has contributed significantly to the field of branding. The video quotes him saying, 'Your brand is not what you say it is, it's what they say it is,' which encapsulates the idea that brand perception is determined by the audience, not the brand itself.

💡Competitor Analysis

Competitor analysis is the process of evaluating a brand's competition to identify their strengths, weaknesses, and strategies. The video stresses the importance of understanding the competitive landscape to define a unique positioning. It mentions that new brands must show their difference and not merely offer what competitors already provide.

💡Differentiation

Differentiation in branding refers to the unique features or qualities that set a brand apart from others. The video explains that effective brand positioning involves clearly defining what makes a brand different and why it matters to the audience. It uses the Dollar Shave Club's strategy as an example of successful differentiation by offering a cheaper and more convenient alternative to established brands.

💡Market Share

Market share represents the portion of the market a brand holds relative to its competitors. The video uses the Dollar Shave Club's story to demonstrate how a well-executed positioning strategy can lead to capturing significant market share from established competitors, even for a startup with limited resources.

💡Subscription Model

A subscription model is a business strategy where customers pay a recurring fee to receive products or services over time. The video mentions that Dollar Shave Club utilized a subscription model for razor blades, which was part of their successful positioning strategy by offering convenience and value to their customers.

Highlights

Brand positioning is crucial for businesses to stand out and connect with their audience beyond just a logo.

Branding is about bringing a business and an audience closer together through more than just visuals.

Good design is a prerequisite for building a brand, but it's not the only factor in influencing audience decisions.

The book 'Positioning: The Battle For Your Mind' by Al Ries and Jack Trout is considered foundational for understanding brand strategy.

Neuroscience has confirmed the importance of the mental battle for brand positioning in the last 20 years.

Branding is about influencing perceptions that live in the minds of the audience, not just logos and fonts.

Marty Neumeier's quote emphasizes that a brand is defined by audience perception, not by the company's claims.

Brand positioning is how a brand distinguishes itself from competitors and defines its relevance to the audience.

New brands must have a clear positioning strategy to highlight their differences in a market with established competitors.

Understanding the audience's journey, desires, and fears is critical for developing an effective positioning strategy.

Defining the difference a brand makes in the audience's life is key to identifying an effective position.

A brand's position should be memorable and valuable to the audience, setting it apart from the competition.

Dollar Shave Club's success is an example of effective brand positioning against a market giant like Gillette.

Dollar Shave Club's strategy of affordable pricing and a subscription model addressed customer pain points.

The importance of understanding audience pain points and presenting alternatives for effective brand positioning.

Branding's end goal is to shape audience perceptions and bring them closer to the business through a strong positioning strategy.

The presenter offers more resources and videos on positioning for those interested in learning more.

Engagement with the audience is encouraged through comments and subscriptions for more brand strategy tips.

Transcripts

What's up brand builders! Stephen Houraghan here of BrandMasterAcademy.com and in this

video you're gonna learn what brand positioning is so you can clearly

articulate it to your client so they finally understand exactly why they need

more than just a logo.

now if you're a subscriber welcome back if you're new to

the channel and you want actionable brand strategy tips and techniques to

grow your business well then make sure you hit that subscribe button and the

notification bell and you will be well on your way now the term branding has

absolutely been through the wars over the last decade or so because there are

literally millions upon millions of entrepreneurs out there that think that

branding their business is all about going out and getting themselves a

pretty logo and then deeming themselves branded but if you know anything about

branding and brand strategy you know that branding is about far more than that

branding is about bringing a business and an audience closer together to make

that business seem more appealing to that audience and you need far more than

visuals to do that now don't get me wrong good design is an absolute

prerequisite and non-negotiable if you're building a brand and you want

that brand to be as visually appealing as possible to who that audience is but

when it comes down to influencing decisions your audience wants far more

than just those good looks so let's dig a little deeper into what brand

positioning is and where it's come from now back in 1980 there was a book

written that's widely considered to be the bible of positioning now that book

although it is really dated now at this point it's over 40 years old it's still

very very relevant and in fact it's possibly more relevant today than it was

back then and that book the authors are called

Al Ries and Jack Trout and the title of the book is called Positioning:

The Battle For Your Mind now if you do have an interest in brand strategy and

positioning and you haven't read the book well then I highly recommend that

you read it but there's been a lot learned in the last 20 years through

neuroscience about our understanding of how humans behave how we work

how our mind works and it really pulls into context how ahead of its time that book

was that was back in 1980 and really over the last twenty years we've learned

a lot through neuroscience that confirms a lot about what we know from that book

and probably the biggest takeaway is right there in the title Positioning: The

Battle For Your Mind because it highlights the fact that the position

that you want to own is actually in the mind of your audience so branding

therefore is not a game of logos and fonts and colors and typography it's a

game of influencing perceptions and those perceptions live in the mind of

your audience now Marty Neumeier once famously said that your brand is not

what you say it is it's what they say it is and essentially here he's saying the

same thing he's saying that your brand lives in the mind of your audience and

they perceive it how they will perceive it and you don't really have any control

over that now you do have some influence but you don't have control and that

influence comes in the form of yes your brand identity how that looks your logo

and your messaging and more importantly your biggest tool of influence your

positioning so what exactly is brand positioning well it's how one brand

distinguishes itself to its audience from its competitors

so essentially what brand positioning is it's how a brand defines why they're

different to their competitors and why their audience should care now this is

critically important to new brands because as any new brand coming into the

marketplace they're never really coming into a place where there are no

competitors there are already competitors in the marketplace offering

products and services to your targeted audience and what you need to do as a new

brand on the block is come in there and show your difference there is absolutely

no point in you coming into the marketplace and offering what your

competitors are already offering because they have one up on you they already

have brand awareness they already have a brand presence their audience already

knows who they are and they don't know who your brand is so if you are coming

into the market as a new brand you better have a well-defined

positioning strategy and a well-defined differentiator to

highlight why you're different and why your audience should care now one of the

most critical components of an effective positioning strategy is going back to

the title of the book Positioning: The Battle For Your Mind your mind or your

audience's mind is such a critical component for effective positioning you

need to understand who this audience is you need to understand where they're

coming from the journey they're on what they're going through what their desires

are what their fears are and what outcome do they want because if you

don't have all of that information then you're not going to be able to

effectively position your brand only when you understand what it is they want

only when you understand the journey they're on or what they're going through

on what they already have in the marketplace as an option through your

competitors can you then define an effective positioning strategy so how do

you identify an effective position well it's all about defining the difference

that you're going to make in the lives of your audience so what are you going

to mean to them are you gonna be faster stronger quicker more convenient more

efficient newer better designs cheaper more luxurious what is the difference

that you're going to own in their mind what do you want your audience to

remember you for because at the end of the day if you come into the market and

again you're offering the same you're the same level of luxury as the other

brands you're the same level of efficiency you're the same price you're

the same design you're the same everything then you're not going to make

any kind of noise in the marketplace you're not going to get the attention of

your audience so defining your positioning strategy is really about

identifying clarifying and articulating the difference that you're going to make

in the lives of your audience when you become crystal clear on exactly what

that difference is and exactly why your audience should remember you and more

importantly the value of that difference to your audience well then you are on to

an effective positioning strategy now one of my favorite examples of effective

brand positioning is from the Dollar Shave Club now the Dollar Shave Club

broke on to the scene back in around about 2010 2011 as a start-up in the

men's razorblade sector now Gillette absolutely dominated

this sector they own about 80% of the market share but Dollar Shave Club came

into the market with a fresh positioning strategy so they understood the pain

points of their audience they understood that their audience didn't like paying the

high prices for razors that Gillette was charging they didn't like all the

unnecessary features that they were offering to justify those prices and

they wanted something simpler and more convenient so Dollar Shave Club

understood that they researched their audience they understood their pain

points and they came into the marketplace as a cheaper and more

convenient option their blades were much more affordable they had this convenient

subscription model where the blades were dropped right to their customers door

and they spoke to their customers differently to Gillette they spoke to

them with a sense of humor with this light-hearted tone and language and that

really appealed to who the audience was now the reason I love this example and

the reason I use it time and again is that Dollar Shave Club were just a

startup just like any other startup and they went into the marketplace with

little other than an effective positioning strategy and a unique tone

of voice but they were able to go in there and ruffle the feathers of an

absolute giant of a brand in Gillette and then they went on to steal a huge

amount of market share from them as well and nobody would have expected that and

it gives any startup real confidence that they can go into any marketplace

with an effective positioning strategy and just by understanding who the

audience is and understanding their pain points and presenting them with an

alternative they can put themselves on the map now I could sit here and give

you over 100 reasons why branding is more than just a logo or a website and

positioning is just one of those reasons but it's my go-to and the one that I go

back to time and again because at the end of the day when we talk about

branding we have to look at the end goal what is the end goal of branding well

it's to bring an audience and a business closer together and the best way the

most effective way that we can do that is by shaping their perceptions of what

that brand means to them and the biggest tool of influence here is your positioning

strategy it's by defining what difference you're going to make in the

lives of your audience and then clearly articulating that difference and

making it easy for them to understand and remember your brand if you'd like to

learn more about positioning including how to position your brand effectively

the different approaches that you can use and plenty more examples as well

well then I've got plenty more videos on positioning I'll leave some links in the

description below and some links above as well but I would love to hand it over

to you I'd love to hear from you as to what your challenges are when it comes

to positioning do you have processes in place and what are your experiences when

it comes to positioning brands please let me know what those challenges and

those questions are I'll do my best to answer all of those if you like this

video please give it a thumbs up and hit that subscribe button and the

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have until next time brand like a master and I will see you in the next video!