Friday, October 13, 2017

Selecting an overall positioning strategy.

When a brand has full positioning power then it is called a value proposition. The value proposition is the answer to customer's "why should I buy your brand?"

For example BMW's value proposition is " ultimate driving machine", KZ Says," your beauty our satisfaction".
 The positioning strategy has five winning value proposition that differentiation & positioning & gives the company a competitive advantage. These're-

1. More for more:  It involves providing the most upscale product & service. It always charges a higher price to cover the higher costs. It not only offers higher quality but also gives prestige to the buyers. It shows your lifestyle & personality.

2. More for the same: It happens when companies attack a competitor's same product at the same price rate. For example: Toyota, BMW cars are different but offer the same price rate.

3. The same for less:  It is a powerful value proposition. Walmart, best buy use this value proposition. This is discounted stores but offers the same benefit with a less price cost.

4. Less for much less:  A market which offers fewer benefits with a little price rate. It involves meeting consumers with lower performance at a much lower price.

5. More for less: Many companies do this for achieving such lofty positions.  When a company offers more benefit but in a little price that is called more for less positioning.

All companies must adopt a positioning strategy to serve the needs & wants of its target markets. More for more can draw one target market, less for much less can draw another target market.

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