Marketing 3000 Appendix- Competitive and Goal Positioning

Brand Positioning Elements
1. category of brand membership (Bud light is a member of the light beer category)
2. advantage that the brand holds over other category members (the king of beers is presented as the brand’s advantage)
Competition-based positioning plays on what…
Human capability of long-term memory
Hierarchical Organization of Natural Categories
most cases only two levels, the brand and the category in which it has membership and frame of reference (Bud and light beer)
What are attributes?
physical characteristics of a product such as its color size, and flavor
What is an image in marketing?
people and occasions together
What is a Benefit in Marketing?
abstract concept such as convenience, pleasure, or fun

ex. Bud Light attributes could be the brand’s carbonation, the people might be young adults and the occasions might be happy hour

Irrelevant attributes could be used why…
a means of persuasion ex. Natural Silk Shampoo claims that it puts silk in every bottle

**does this actually make your hair silkier? probably not but it gives a reason to believe the benefit***

Is a product feature an attribute or a benefit?
Ex. taste might be considered an attribute that affects the benefit enjoyment
or
taste could be viewed as a benefit where its attributes are the amount of sweetener or amount of carbonation
For highly established products/services is Category Membership a huge issue?
no, consumers know that coke is a leading brand of soft drink and that corn flakes is a leading brand of cerean
for Who is Category Membership important?
introduction of NEW products ex. all-natural cereal (position it as a healthy cereal that tastes better than other cereals or great tasting cereals that were healthier than other cereals)
Dell example for category membership
consumers know that Dell produces computers but they may not be certain whether Dell computers are in a class with IBM of Compaq. Need to reinforce category membership in this case.
Ways to convey brand’s Category Membership
-benefits are used to announce category membership
ex. industrial motors might claim to have power (shows they have these properties)
Points of Parity
benefits that imply category membership
Attributes and Image role in Category Membership
ex. electronic device might be positioned as a computer by emphasizing that it has memory, a monitor, a keyboard, and can be used for electronic mail

ex. beer advertising varying the age of the drinker and the place in which consumption occurs influences whether the brand is competing in super-premium, premium, or price category

When image is used to create membership…
a brand membership is often used to create a point of difference

ex. 7UP is positioned as a soft drink by its occasions of use. It is distinguished from other soft drinks by the fact that it is colorless in appearance and it has a tart taste (implys the benefit superior thirst quenching)

Exemplars
also used to specify a brand’s category membership

ex. Subaru advertising compared the brand to Volvo not because they compete for the same customers but to make Subaru look like a safe car
ex. Calvin Klein (before he got big) would compare himself as a great American designer by associating with Calvin Klein/already established brands

What is the preferred approach to positioning?
1. inform consumers of a brand’s membership before stating its point of difference in relation to other category members
2. consumers need to know what a product is and what function it serves before they can assess whether it dominates the brands against which it competes
3. *new products* separate campaigns are generally needed to inform consumers of membership and to educate them about a brand’s point of difference
What this means for brands with Limited Resources…
need to develop a campaign that establishes category membership prior to one that states a point of difference
What this means for brands with Greater Resources…
can develop concurrent campaigns where one features membership and the other the point of difference
What does not work for new Brands…
an effort to inform consumers of membership and point of difference in the *same* campaign
Benefit Selection
-to identify potential benefits that might serve as *points of difference* it is useful to identify accepted consumer beliefs

ex. false belief that honey is nutritionally superior to sugar is how Honey Nut Cheerios came to be

ex. campaign by Listerine that convinced consumers that its bad taste was what made it effective

Large Brands Point of Difference
ex. tide detergent stresses superior cleaning power
ex. Microsoft claims the most advanced software
Small Brands Point of Difference
attempt to establish a niche as their point of difference. ex. Jif was positioned as the best-tasting peanut butter and Skippy (smaller brand) was positioned as the greateset brand *with the greatest nutritional value*
Number of Benefits
-it is important to limit the number of benefits that are presented
-conveying a benefit of often requires an elaborate demonstration that *shows* the benefit and also gives consumers a reason to *believe* the benefit.
-more benefits can be shown in PRINT
Normative Benefits
are the benefits that customers say are important because of societal standards rather than because these benefits actually influence behavior

ex. people frequently claim safety is an important factory in their selection of cards/nutirition is an important factory in their selection of food products.

***research shows this is not as important as people make it seem in brands chosen**
-consumers rate safety and nutrition highly because they are parents, homemakers ex…

Competition-based position can be represented by…
a positioning *triangle*
Brand Essence
1. attributes and image
2. benefits
Laddering up
progression from attribute to benefit to more abstract benefit
Laddering up Approach example…
US West cellular advertising campaign-
-initial advertising was on unique product features that made the service reliable
-then focused focus on less concern about being tied to the office to await important calls
-later focused on the implication of having the freedom of movement afforded by a cell phone
Laddering up Approach Example #2…
Mcdonalds:

-initially focused on the cleanliness of the stores, good tasting food, and that McDonald is fun
-then implied McDonald is a good place for kids
-then implies peace of mind and freedom to pursue personal goals for parents

What laddering up involves
repeatedly asking what the implication of an attribute or benefit is for the consumer!
Story of Jean
59 year old woman who was an illegitimate child and her adoptive parents wanted to give her up for adoption spends insane amount of time on making sauce
Mcdonald’s Brance Essence
-brands often have a gender, age, and social class, as well as personality characteristics

ex. burger king is masculine, McDonald is more feminine

Laddering down
involves giving credence to the assertion that a brand delivers some benefit
ex. Lexus and Reebok