Market Positioning

Market positioning is about how you want your customers to perceive your product or service in relation to their perception of your competitors and what marketing strategies you should adopt to reach this perceptual goal. In other words, what message about your product or service is your company trying to put across and how will you do that?

A market position will happen whether or not you are proactive, reactive or passive about the on-going process of developing and sustaining a market position. However, you can positively influence these perceptions by developing and implementing deliberate market positioning strategies.

When developing a market position you need to select the most persuasive, meaningful and unique points of difference that will allow you to compete for the largest number of potential customers.

Developing a positioning strategy depends largely on how competitors position themselves. Some companies develop a 'me too' strategy and position themselves close to their competitors so prospects can make a direct comparison when they purchase.

Other companies develop marketing strategies which position them well away from their competitors. Offering a benefit which is superior depends on the marketing mix strategy the company adopts. Your pricing strategy must reflect the benefit offered and your promotion strategy must clearly communicate this benefit.

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