Position Strategy
The conccpt of positioning, first introduced in 1981 by Ries and Trout," is grounded on the observation that the human mind has a number of slots or positions it assigns to things, to products or services. Using this technique a company institutes a communications cam¬paign that attempts to create a slot with a perception for its own product.
Once the position is filled, occupied by a brand that dominates it, all subsequent purchases are measured against that brand. This positioning then becomes the basis for all communi¬cations—branding, advertising, promotions, packaging, sales force development, mer¬chandising and publicity.12
There are a number of positioning strategies that serve as a guide for the venture's mar¬ket strategy. First, there must be a clear association between customer and product and sat-isfaction in expected use or actual usage. The product must be needed. It must do the job and it must make the customer happy. Second, the product or service needs to be analyzed in com¬parison to the competition and the product features they will or are offering. Are there dif¬ferences that can serve in the interest of the new product? Are they significant? Needed? Finally, certainly in regard to consumer products, there must be an "inherent drama" or "sizzle" that can assist the perception-positioning process. Pillsbury, as an example, took a common product, essentially flour and water, turned it into a "doughboy" and established a position in prepared flour products that will last for decades.
Position Strategy
The conccpt of positioning, first introduced in 1981 by Ries and Trout," is grounded on the observation that the human mind has a number of slots or positions it assigns to things, to products or services. Using this technique a company institutes a communications cam¬paign that attempts to create a slot with a perception for its own product.
Once the position is filled, occupied by a brand that dominates it, all subsequent purchases are measured against that brand. This positioning then becomes the basis for all communi¬cations—branding, advertising, promotions, packaging, sales force development, mer¬chandising and publicity.12
There are a number of positioning strategies that serve as a guide for the venture's mar¬ket strategy. First, there must be a clear association between customer and product and sat-isfaction in expected use or actual usage. The product must be needed. It must do the job and it must make the customer happy. Second, the product or service needs to be analyzed in com¬parison to the competition and the product features they will or are offering. Are there dif¬ferences that can serve in the interest of the new product? Are they significant? Needed? Finally, certainly in regard to consumer products, there must be an "inherent drama" or "sizzle" that can assist the perception-positioning process. Pillsbury, as an example, took a common product, essentially flour and water, turned it into a "doughboy" and established a position in prepared flour products that will last for decades.
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