How to Find Great Positioning: Establishing Your Brand's Unique Identity

In today's crowded marketplace, where countless brands vie for attention, finding great positioning is crucial. Positioning is a foundational element of your brand strategy that determines how your product or service is perceived by your target audience.

This guide will delve into how to establish a distinctive place for your brand, product, or service in the minds of your customers relative to competing offerings, including how they accomplish their jobs today, even through non-consumption. Additionally, we will discuss how customer research can enhance your positioning strategy, and we’ll integrate insights from April Dunford’s work on positioning.

What is Positioning?

Positioning is the process of establishing and maintaining a distinctive place in the market for a product or service relative to competing offerings. It involves creating a specific image or identity in the minds of the target audience. Effective positioning ensures your brand stands out, fostering stronger brand recognition and customer loyalty.

Key Aspects of Positioning

Positioning involves several critical aspects that work together to create a cohesive and compelling brand image. Let's explore each of these key aspects:

1. Market Category: The broader category in which the product competes.
2. Target Audience: The specific segment of the market being targeted.
3. Competitive Frame of Reference: The competitive set and how the product compares.
4. Point of Difference: The unique attributes or benefits that differentiate the product from competitors.
5. Brand Identity: The desired perception of the brand in the minds of consumers.

1. Market Category

The market category defines the broader context in which your product competes. This helps customers understand what kind of product you offer and sets the stage for comparison.

• Insight: Clearly defining your market category helps customers immediately grasp where your product fits within the broader market. For example, is your product positioned as a luxury item, a budget-friendly option, or a sustainable alternative?
• How to Use: Clearly communicate your market category to set customer expectations. This involves stating the category explicitly in your messaging and ensuring that all marketing materials reflect this positioning.

2. Target Audience

Your target audience is the specific segment of the market you aim to reach. Understanding who your ideal customers are and what they value is crucial for effective positioning.

• Insight: Identifying your target audience allows you to tailor your messaging to resonate with those specific customers. Knowing their needs, preferences, and pain points ensures that your product meets their expectations.
• How to Use: Conduct thorough market research to gather insights into your audience. Use this information to create detailed customer personas and tailor your marketing efforts to address their specific needs and desires.

3. Competitive Frame of Reference

The competitive frame of reference involves understanding the competitive landscape and how your product compares to others. This includes not only direct competitors but also alternative ways customers accomplish their jobs, including non-consumption.

• Insight: By analyzing how customers currently solve their problems, whether through competitors, makeshift solutions, or non-consumption, you can identify opportunities for differentiation.
• How to Use: Study your competitors and alternative solutions to highlight your product's superior features. Emphasize how your offering provides a better or unique solution to customer problems.

4. Point of Difference

The point of difference highlights the unique attributes or benefits that set your product apart from competitors. This is a critical aspect of positioning as it defines why customers should choose your product over others.

• Insight: Establishing a clear point of difference helps in communicating your product's unique value. This could be a feature, benefit, or overall value that no other competitor offers.
• How to Use: Identify and promote the distinct features or benefits of your product. Ensure these points of difference are meaningful and valuable to your target audience.

5. Brand Identity

Brand identity reflects the desired perception of your brand in the minds of consumers. It encompasses your brand’s values, mission, and unique attributes, shaping the overall image and identity of your brand.

• Insight: A strong brand identity shapes how customers perceive your brand and ensures consistency across all touchpoints.
• How to Use: Develop a consistent brand identity that aligns with your values and mission. Communicate this identity through all marketing channels, including your website, social media, and advertising campaigns, to build a cohesive and memorable brand image.

Insights from April Dunford on Positioning

April Dunford, a leading expert on positioning, provides invaluable insights in her book "Obviously Awesome." Her approach emphasizes making your product’s value clear and compelling to your ideal customers. Here are some key takeaways:

Context is Crucial

Dunford emphasizes that positioning should provide context for why your product matters to the target audience. It's about making your product obvious to your ideal customer. Use market context and customer insights to frame your product’s value clearly and compellingly. This means understanding where your product fits within the market and communicating that effectively.

Five Components of Effective Positioning

1. Competitive Alternatives: Understand what alternatives your customers have. This includes direct competitors and other methods customers use to solve their problems.
2. Unique Attributes: Identify what makes your product different. Highlight the unique features or benefits that set your product apart.
3. Value (and Proof): Articulate the value of these attributes and provide proof. This could be through customer testimonials, case studies, or data showing your product’s effectiveness.
4. Target Market Characteristics: Clearly define who benefits the most from your product. Understanding the specific needs and preferences of your target market helps in crafting a focused message.
5. Market Category: Place your product in the context that makes its value obvious. This helps customers immediately understand what your product is and why it matters to them.

Iterative Process

Dunford highlights that positioning is not a one-time activity but an iterative process. Continuously gather customer feedback and refine your positioning to stay relevant and compelling. This ongoing process ensures that your positioning adapts to market changes and evolving customer needs, keeping your brand competitive and appealing.

The Role of Customer Research in Positioning

Customer research is integral to effective positioning. It provides the foundation for understanding your target audience and refining your strategy to meet their needs better. Here’s how it helps:

Understanding Customer Needs and Pain Points

To effectively position your brand, you must first understand what your customers need and the problems they face. This involves conducting surveys, interviews, and focus groups to gather in-depth insights. Use this information to tailor your value proposition, ensuring it addresses these specific needs and pain points. This approach makes your product or service more relevant and appealing to your target audience.

Identifying Customer Preferences

Customer feedback and behavior analysis help you understand what your customers value most in a product or service. By highlighting the features and benefits that resonate most with your target audience, you can emphasize these aspects in your positioning. This ensures your messaging aligns with what your customers find most appealing, increasing the likelihood of them choosing your brand over competitors.

Evaluating Current Solutions

Understanding how customers are currently solving their problems, whether through competitors, alternative solutions, or even non-consumption, provides a clearer picture of your competitive landscape. This knowledge helps you position your brand as a superior solution. By highlighting your product’s advantages over existing methods, you can create a compelling case for why customers should switch to your offering.

Validating Positioning Statements

Once you have developed your positioning statements, it’s crucial to test them with real customers. Gather feedback to refine your messaging and ensure it resonates with your target audience. This step helps you validate that your positioning effectively differentiates your brand and appeals to your customers, ensuring that your strategy is both relevant and compelling.

Finding Great Positioning

Conduct Market Research

Gather comprehensive insights about your target audience, competitors, and how customers currently solve their problems. Use tools like surveys, focus groups, and competitive analysis to collect data. This research forms the foundation of your positioning strategy, providing the necessary context and information to make informed decisions.

Define Your Unique Attributes

Identify what makes your brand unique. This could be a feature, benefit, or value that no other competitor offers. Highlight how your solution is superior to both direct competitors and the current methods customers use, including non-consumption. This differentiation is crucial in making your product stand out in the market.

Craft a Value Proposition

Develop a clear and concise value proposition that includes:

• Who: Your target audience.
• What: The category or industry.
• Why: The unique benefit or value your product offers.
• How: The reason customers should believe in your value proposition.

For example: “For environmentally conscious consumers, our biodegradable packaging provides a guilt-free shopping experience because it reduces plastic waste.”

Test and Refine

Validate your value proposition with real customers. Gather feedback and make necessary adjustments to ensure it resonates with your audience and clearly differentiates your brand. This iterative process helps refine your positioning to make it as effective as possible.

Integrate into Marketing Strategy

Apply your positioning across all marketing efforts. Ensure that your website, social media, advertising, and customer service consistently communicate your brand’s positioning. Use storytelling and visual elements to reinforce your brand’s unique identity. Consistency across all channels helps build a strong, cohesive brand image that is easily recognizable and memorable.

Finding great positioning is essential for making your brand stand out in the market.

By understanding the key aspects of positioning, leveraging customer research, and integrating insights from experts like April Dunford, you can create a distinctive and memorable brand identity. This identity should resonate with your target audience and differentiate you from competitors, including how they currently get their jobs done. Through consistent and strategic positioning, you can build a strong brand that attracts and retains loyal customers.