What is brand positioning?
The unique position of a brand in the market compared to its competitors, based on specific characteristics and values.
What is the connection of the brand positioning and the business strategy?
Strategic brand positioning is aligned to the business strategy and vision. This way, the brand can contribute to implementing the strategy – for example, to achieve growth, enable internationalization or increase profitability.
What is the purpose of brand positioning?
Precise positioning of the brand ensures that the corporate goals are translated into attractive communication. The positioning also ensures that the brand is relevant for all stakeholders – while at the same time differentiating it from the competition. The positioning then forms the basis for developing the brand experience.
How to develop a brand positioning?
First of all, the actual positioning in relation to competitors must be clarified. Can the brand be positioned exclusively as a premium brand, or is it better positioned in the volume business sector? Will the brand be able to credibly convey pioneering innovations, market leadership or outstanding excellence over many years? Or is it deliberately positioned as traditional, close to the consumer and rooted in the region? The specific purchase drivers for this brand – and the market opportunities – are crucial for the positioning.
The positioning is described in a relevant and differentiating brand promise and translated into an inspiring brand story. The development of the brand personality is also part of the positioning.
What are the biggest mistakes when developing a brand positioning?
- Missing alignment with business strategy: a brand that is positioned incorrectly will not support the implementation of the business strategy – in the worst case, the brand will even work against the strategy.
- Unclear positioning: brands that do not take a clear position find it difficult to generate relevance for their stakeholders.
- Lack of credibility: Brands that fail to keep their promises lose the trust of their customers.
- Frequent changes to the positioning without strategic justification weaken the brand. Here, too, relevance is lost.
- Lack of differentiation: A brand that does not stand out from the competition offers no reason for customers to choose it.
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