Market Positioning

Market Positioning

1. Definition: Where a business decides to position a new product of service in relation to customer perceptions and the positioning of competitors.

2. Marketing strategy

   • medium-to-long-term plan for meeting the marketing objectives, delivered through the marketing mix.
   • Market Mapping
     • a grid plotting where each existing brand sits on scales based on two important features of a market; e.g. Luxury/economy and high/low price

3. Niche and mass Markets

   • Using market mapping you can identify a nice market not yet been filled or a mass market with potential gaps
     • Linked to how competitive a market is or how much added value you can add - nice markets deemed more 'luxury/specialist' goods

4. Competitiveness

   • Businesses aim to gain competitive advantage; the ability to perform in one or more ways (7ps) that competitors cannot or will not match.
     • This can also be achieved through product differentiation

5. Market Research

   • Research needs to be conducted on the market, competitors, customers needs and wants (7ps) to ensure the positioning of a brand is competitive and successful
   • Product Differentiaton
     • The degree to which consumers perceive that your brand is different from its competitors
     • USP

6. Marketing Mix

   • 7P's

7. Added Value

   • the difference between cost of making a product and the price that a company can get for its goods. This is determined by the consumers perception of how much a product is worth (willingness to pay)
     • A business can position a brand carefully to help value - a product well positioned as luxury/ glamorous good can bee seen as worth more in the eyes of the customer and therefore sold at a higher price.
     • Link to price elasticity - how much will demand change based on price placed on a pproduct

Imágenes y archivos del mapa