Positioning
Why positioning is essential.
Positioning is the magical process through which an organization presents itself in a unique light to distinguish from competition, crafting a positive image. This can lead to increased revenue, growth, and a more motivated team. Let us help you (re)position your organization!
Definition of Positioning
The strategic association of a brand with a set of characteristics, associations, and attributes that secure a unique space in the consumer’s mind relative to competitors.
We delve deeply into the definition of positioning in ‘The meaning and definition of positioning‘.
We discuss all aspects of positioning but do not go into depth everywhere; we do that in separate articles. Per topic, you will find links to articles where we delve deeper into that component. Haven’t we answered your question yet? Ask the question by email and we will gladly add it!
Many brands behave like penguins. They mimic each other; use the same buzzwords (think: customer-oriented, innovative), apply the same colors, and tell the same story. This results in a lack of distinctiveness. Just like penguins on an ice floe, they are hard to tell apart. Customers find this challenging; how should they choose?
In practice, companies often compete on price in this situation, although it can be different. A brand with a unique story can distance itself from its competitors and claim its own market position. This process, the structural and systematic work towards a strategically desirable market position for a brand, is called positioning.
Why Positioning? The Value and Absolute Necessity
The economy is thriving, but many companies still vividly remember the leaner years. During that time, we paused and settled for ‘how it always was.’ There was little focus on positioning, and thus, opportunities were missed. Now there is room again, but the mindset remains. What a waste. We identify seven reasons why it is crucial for a brand to work on its positioning.
- Lack of distinctiveness due to diluted positioning
- The customer journey is changing
- A remarkable story is more important than ever
- Competition uses practically the same positioning
- Colleagues have no sense of the positioning
- Customers are looking around
- Benefit from a well-performing economy
The background of these reasons can be read in ‘7 reasons why your positioning is more important than ever‘.
At Merkelijkheid, positioning has been central since the beginning. We see positioning as the foundation for all marketing and communication. We are no longer the only ones, but that wasn’t always the case. To clarify the necessity of positioning, we developed the positioning matrix.
Merkelijkheid Matrix
The Merkelijkheid matrix represents the foundation of positioning: how you want to be seen compared to how the market perceives you. It’s clear to everyone that a brand that sees itself as ‘an Apple,’ but is referred to by the market as ‘a Dell,’ has a problem. The matrix provides a clear view of both the current situation and action perspective to change it.
PositioneringsMatrix
Our ideal client often resides in the ‘Hidden’ quadrant. The brand knows what it’s good at but struggles to communicate this to the market. We discuss the use of the model and quadrants extensively in the piece ‘The Merkelijkheid matrix for brands and organizations‘.
With the help of the Merkelijkheid matrix, it quickly becomes clear to many: we need to get to work on our positioning. But what does that look like in practice, and when are we successful?
What Makes a Strong Positioning?
We identify four crucial aspects of positioning. These guide the process, allow you to assess ideas, and serve as your first guideline for implementation. The key aspects of a rock-solid positioning are:
- Purpose – A clear, understandable goal provides direction to your colleagues and helps customers make their choice.
- Emotion – Even the most rational engineer subconsciously weighs his feelings in a purchase decision. It is up to your positioning to evoke the right feeling.
- Consistency – Innovation tomorrow, lowest price today. At some point, no one knows what your brand stands for. Be consistent!
- Flexibility – A positioning must be ‘broad’ enough to grow and evolve with a brand.
In ‘4 aspects of a rock-solid positioning‘, we take a closer look at the key aspects of a strong positioning with examples.
The end goal is in sight, and the necessity is clear to all of us, but now comes the hardest question: where do we start? To determine that, it’s necessary to have an overview of the components of a positioning.
The Components of Positioning
Because positioning often recurs and is used diversely, there are many elements that together form the positioning. These are:
- Positioning concept
- Positioning pitch
- Positioning story
- Value proposition
- Core values
Think of concept, pitch, and story like a newspaper article. The title (the concept) only tells you the most important thing and shares a feeling, the first paragraph (the pitch) conveys the essence of the story, while the rest of the piece (the story) provides the background leading to understanding. The value proposition then translates that into the ‘proposal’ you make to customers.
Core values are often a goal in themselves for many companies, customer-oriented as a core value should ensure that colleagues are more customer-oriented. We prefer to focus on positioning, with core values being mnemonic aids.
We discuss the components of positioning extensively in ‘Components of positioning, what does a positioning consist of?‘.
For many brands, the temptation to ‘choose’ the best positioning in their eyes is very high. Think of a starting computer manufacturer, why wouldn’t it position itself like Apple? In practice, the comparison is not so obvious, and the disadvantages are also less apparent.
A positioning is not a mask that you can easily switch or take off.
Choosing the Right Positioning, Is There an Ideal Positioning for Your Brand?
Brands that seriously engage with their positioning for the first time are often looking for ‘the best.’ They think there is one positioning that will bring in endless orders and skyrocket their brand awareness. And they want to adopt that positioning.
In practice, a positioning is not so easily made. Important factors for a brand’s positioning, such as organizational culture or history, are not so easy to change.
In ‘Choosing Positioning: is there an ideal positioning for your brand?‘, we discuss the influence of company culture, market, and competition and help you determine which positioning best fits your brand. For clarity, it’s not the positioning of Tesla or Apple.
Enough theory and frameworks? Now it’s time to make positioning concrete.
Positioning Roadmap (10 Steps)
In our roadmap, we distinguish 10 steps for each positioning project:
- Burning platform
- (Market) research
- Strategic framework
- Ambitions and (brand) values