Brands that stay consistent with their identity will see a revenue increase of 10% to 20%. Do you want to get a slice of that revenue boost? You can do so once you learn what brand positioning is, its many types, and how to do it right. Plus, we will share the best practices you need to apply to connect with your target market successfully and build a memorable brand.
By the end, you will be ready to create an effective brand positioning to help you gain a lasting identity.
What Is Brand Positioning? Types & Its Benefits
Brand positioning is how your business defines itself in the minds of your target audience compared to competitors. Think of it as the unique space your product or service occupies in the market. It is the “thing” you are known for by your customers or the masses.
Take Nike, for example. Their brand message, “Just Do It,” is simple yet powerful. It resonates with their target audience—people who are driven by performance, innovation, and self-motivation.
The result? The company became the go-to brand for athletes and fitness enthusiasts. Nike sells the idea that anyone, regardless of skill level, can achieve greatness through hard work. Through the years, their brand persona became synonymous with empowerment and pushing limits.
With such a strong brand positioning statement, Nike creates a strong emotional connection with their target audience that helps them maintain a dominant position in the sportswear market.
So, why do companies take the time to nail down a strong brand positioning strategy? Here are its 5 game-changers:
- Investors are more likely to support you because a strong brand identity shows stability, growth potential, and industry knowledge.
- A well-positioned brand makes you more appealing to potential business partners since it signals reliability and mutual value.
- Clear market positioning reassures customers, helping you keep their trust even when challenges arise.
- It creates a cohesive brand experience since it guarantees that your messaging, tone, and values are aligned across all platforms.
- Strong positioning strengthens your brand equity, which increases the overall worth of your business.
To get a clearer picture of how to manage your brand effectively and achieve those benefits, let’s dive into the different types of positioning:
Value-Based Positioning
In this, you highlight the value or benefits your product or service offers. For example, Patagonia positions itself as a leader in environmental sustainability while offering high-performance outdoor gear that lasts.
Their combination of durability and eco-consciousness provides added value to their customers, who appreciate investing in products that align with their values and are built to withstand the outdoors.
Quality-Based Positioning
With this, focus on the superior quality of your product or service. For example, Prime Time Window Cleaning positions itself as the top choice in Chicago by emphasizing their unmatched results and dedication to quality.
They highlight serving over 100,000 homes in Chicago to attract customers who value reliability, long-lasting results, and a company that puts quality first in every job. Plus, they talk about their high-quality service all over their website, so visitors know quality is at the heart of everything they do
Convenience-Based Positioning
You need to emphasize the ease and accessibility of your product or service. Amazon, for example, dominates with its convenience-based positioning, offering fast delivery and easy returns.
If you are a solopreneur, this beginner guitar course is a solid example you can take inspiration from. It offers online lessons with guided practice videos, progress tracking, and 1-on-1 Skype calls.
Learners control their pace and schedule, making it easy to fit learning into their busy lives—without sacrificing quality.
Price-Based Positioning
In this type, affordability and presenting your brand as a budget-friendly option is the focal point. For example, Southwest Airlines’ positioning strategy revolves around offering low fares and dependable service to attract cost-conscious customers who value both convenience and reliability.
Now, it successfully positioned itself as an accessible, traveler-friendly alternative. They provide consistent value without sacrificing customer experience to build a loyal base.
Differentiation Positioning
The differentiation strategy is about offering something unique that sets your brand apart and gives you a competitive advantage. With this, you need to highlight what makes your company’s offer different or better for your target customers.
Heard of Amazon Kindle? In the eBook industry, Kindle completely changed the game. It lets you carry a whole library in your pocket, making it easy to read anywhere—whether you are on the bus or at the beach.
Plus, its paper-like display makes flipping pages feel natural. With all this, Amazon Kindle positions itself as the go-to choice for avid readers who value portability and ease of use.
How To Create A Brand Positioning Strategy: 5 Steps
Highlight the key action points as you go through each step. Focus on how you can apply them directly to your brand to build a clear and effective brand positioning strategy from the ground up.
Step 1: Review Your Brand’s Current Position In The Market
Ask yourself: Am I showcasing what makes my product, service, or overall brand stand out? Or am I just another generic choice?
You need to understand where your brand stands. Think of it as taking a snapshot of your brand’s current reputation, customer perception, and how well you are reaching your target customer. With this, you can gain valuable insights that guide your next steps.
Here’s how you can assess your current brand positioning:
- Review your brand’s online presence. Check your site comments, social media, and product reviews. See how people interact with your brand online, so you know whether you need to adjust your approach.
- Conduct market research on your audience using surveys, focus groups, or social media listening. Ask them how they perceive your brand versus other brands and what they value most. For example, do they see you as a reliable choice or as a premium brand?
To make this step easier, consider hiring a virtual assistant with experience in research-heavy projects. They can dive into all your online and offline channels, gather insights, and hand over actionable findings. This way, you are free to focus on the bigger picture and tackle the next strategic steps without getting bogged down in the details.
Also, while you are doing your research, don’t forget to check that your website is always up and running. Your website using eCommerce hosting is often the first place customers interact with your brand, so any downtime can hurt your reputation.
To keep things running smoothly, use Ultahost’s website status checker to make sure your site is always accessible. That way, your brand’s perception stays uncompromised and your research data is not skewed by a single negative situation.
Step 2: Define Your Target Audience To Create Tailored Brand Messaging
Go beyond knowing their age, income, or location. Instead, understand what makes them tick—their values, challenges, and consumer preferences.
Once you know those, you can craft brand messaging that feels personal and relevant. Plus, your brand personality can resonate more when it directly connects to your audience’s interests.
Why is this important?
Well, suppose you run a product-based company and are selling home repair kits. If you understand your target market, you can notice preferences like wanting quick, affordable solutions.
So, you can focus your positioning on budget-conscious customers who value convenience. You can highlight things like fast delivery in your positioning statement to meet their expectations perfectly.
Meanwhile, if you run a service-based company like Fortune Restoration, this step can uncover that your target customers value reliability, skilled workmanship, and the use of high-quality materials. With this, you can tailor your brand positioning statements and internet marketing strategy around these priorities.
How do you define your target audience? Build a buyer persona.
Step 3: Analyze Your Competitors To Spot Opportunities for Differentiation
A well-defined brand position comes from identifying how you can meet customer needs in a way your competitors can’t. When you know their strengths and weaknesses, you can discover gaps where your brand can stand apart.
Here’s how to do competitor analysis:
Review your competitors’ brand positioning strategies. Then, tailor your messaging to resonate with overlooked customer segments to make your brand more appealing in those areas. For example, if they only emphasize luxury but neglect sustainability, highlight your brand’s eco-friendly practices in your positioning activities to attract eco-customers.
Then check your competitors’ pricing strategy to see where you can stand out. Are they offering premium pricing while ignoring budget-conscious customers? Or are they cutting prices but sacrificing quality?
Find a balance that offers value without cutting corners to highlight your brand’s differentiating qualities. To do this, focus on delivering high-quality products or services at a fair price, and make this the core of your brand positioning. Show your customers that they don’t have to choose between quality and affordability—your brand offers both.
Step 4: Craft Your Unique Value Proposition (UVP) To Cut Through The Noise
Highlight what sets your brand apart. But understand that this is not just about saying you are “the best”; it is about clearly communicating your brand promise and showing your target audience why your brand matters.
With a strong UVP, you can help your target audience see your brand’s innovative qualities and understand the specific space your brand occupies in the market. Here are other benefits you can get:
Let’s get you a few ideas if you are in these popular niches: health and food.
If you’re a health brand like Green Supply, have a UVP that focuses on pharmaceutical-grade and premium formulas that are scientifically backed. Highlight the high bioavailability and purity of your supplements to let users know they are choosing an effective and clean product. With this, you set yourself apart from those generic, one-size-fits-all alternatives.
Meanwhile, if your brand is like Farm to People, emphasize that you offer seasonally curated, chef-crafted meals made from locally sourced ingredients to guarantee peak freshness and flavor. You can also showcase how you work with nearby farms to give them a farm-to-table experience to further prime your brand as a gourmet alternative to mass-produced food options.
To define your UVP, you can:
- Communicate your core values and mission to give customers a sense of your brand’s personality and purpose.
- Identify a key pain point your target audience faces and position your product or service as the ideal solution. The more specific the problem, the more powerful your UVP will be in showing customers why they need you.
- Showcase tangible benefits your customers will experience. Whether it is saving time, improving health, or reducing costs, clearly communicate how your product improves their life in measurable ways.
- Highlight specific features, like organic ingredients or eco-friendly packaging, that set you apart.
Step 5: Write A Brand Positioning Statement To Hook Your Audience
A compelling positioning statement should grab your audience’s attention right away. Go beyond a description of what your brand does. Instead, connect with your customers on an emotional level to show why they should choose you over the competition.
Here’s an example if you have a price-based positioning strategy:
- For budget-savvy shoppers, our store offers high-quality, affordable home essentials that help you save without compromising on style or durability.
If you have a value-based positioning, here’s an example:
- For eco-conscious homeowners, our solar panel installation service offers top-tier, sustainable energy solutions that reduce your carbon footprint while lowering your energy bills long-term.
To make crafting a positioning statement easier, here’s a template you can use:
But how do you perfect your statement? Follow these tactics:
- Identify your key value. To do this, focus on the most important benefit your product or service offers. What’s the one thing that matters most to your audience? Make that the heart of your statement.
- Use simple, clear language because it is not about sounding smart. Your audience should understand it within seconds. For example, instead of “Our cutting-edge software optimizes operational efficiencies through integrated data solutions,” say, “Our software helps you run your business smoother and faster.”
3 Best Practices To Make Your Brand Positioning Memorable
Identify key actions you can take while going through these best practices. Then, apply them directly to your brand to make your brand positioning a success.
Tell A Compelling Brand Story
What makes brand positioning important is that it lets you tell a story that humanizes your brand. It builds connections that are far deeper than any product feature.
How do you tell a tale that resonates and acquires customers?
First, share your journey, values, and mission that brought your brand to life. Besides going on about what you sell, you need to bring attention to why you do it.
Second, you can highlight a core business challenge. Share a challenge or problem your brand overcame that connects with your audience. People love rooting for brands that have overcome adversity.
Lastly, feature real customers and how your brand impacted them. These stories build trust and show your brand in action, making your positioning more authentic and relatable.
Shape Your Brand Using A Framework
Use a brand positioning framework to organize how you define and communicate your brand to your target audience. Here’s what the framework looks like:
Use this to get a clear blueprint for how your brand should communicate and resonate with your audience. Each component works together to form a clear, cohesive brand identity that helps differentiate you in the market.
For example, nailing down your tone of voice guarantees that your messaging is consistent across all channels, whether it is social media, emails, or ads. Without this clarity, your brand’s message can feel disjointed, causing confusion or disinterest from potential customers.
Additionally, use this framework to make your brand’s identity crystal clear to your team. It can act as the foundation for your marketing strategies to avoid scattered messaging and position your brand with clarity and impact instead.
So, what are the best ways to fill this out effectively?
Don’t fill out the framework alone. Involve your team, especially those in digital marketing, sales, and customer service. Their perspectives can provide valuable insights into what resonates with customers and what aligns with your overall business goals.
Also, avoid overinflating what your brand can do or pretending to be something you are not. Your brand positioning framework should be rooted in truth and authenticity.
Finally, take your time. Each section requires thoughtful consideration. Spend time thinking deeply about your brand’s core values, what makes you unique, and how you want to be perceived in the market.
Bring Your Brand’s Personality To Life
Infuse your business with a unique character that feels relatable and memorable. With this, you can make your brand more human.
For example, a playful tone like Mailchimp’s quirky humor makes email marketing fun, while Nike uses an empowering and bold personality to motivate athletes.
When done right, this can prompt greater customer loyalty and trust, which are essential for successful companies.
How do you do this?
Keep your brand personality authentic, but leave room for adaptation when the time is right for business expansion into new niches. Make sure your personality can flex while staying true to your core identity.
For example, suppose your fashion brand is known for its elegant, chic personality and you are expanding into activewear. You can maintain that sophistication while introducing a more dynamic, performance-focused edge. This way, your brand stays true to its roots while adapting to the demands of a new market.
You should also infuse your brand personality into your visuals. Your colors, fonts, and imagery should match your brand message’s tone.
For example, if your brand has a playful vibe, go for bright colors and quirky fonts that reflect your fun personality. But if you are aiming for a more serious tone, stick with minimalism and sleek, clean design to keep things professional-looking.
Conclusion
Ready to make your mark in the market? Evaluate where your brand stands and follow the steps we gave. But do not rush it. Schedule as many meetings as needed to get it right. A strong brand positioning strategy is worth the effort and will help your company stand out and rise above the competition.
But make sure you are constantly reviewing how customers see your brand. If you don’t, you can miss out on key opportunities, and before you know it, you are blending in as just another generic option.
To help you build a strong foundation for your brand, use Ultahost’s hosting services. Reliable web hosting can solidify your brand’s credibility and professional image. Contact us now and see how we can help you.