What Is Positioning in Marketing? Types, Benefits & More

Bharat Patel

Head of Digital Marketing

When we think of search engines, the first name that pops up— Google or the soft drink the name we associate most with- Coca-cola, isn’t it? 

The one common thing in these brands is an effective market positioning strategy. As a result, brands such as them have become synonyms of the products in their niche.

According to one of the studies, around 53% of people trust name-brand products compared to 57% for generic brand items.

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For businesses to succeed in making their brand name more prominent than generic products, they must have a strong brand positioning strategy— and the numbers don’t lie. 

As per one of the Forbes reports, Brands consistently presented have average revenue growth of up to 23%

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Moreover, thriving branding renders benefits like boosted customer loyalty and enhanced image, along with a relatable individuality that distinguishes you from your peers.

For a thorough perception of brand positioning, we need to dive deeper into its definition and effective strategies. So, let’s hop on and understand how to position your brand.

What Is Positioning In Marketing?

Positioning in marketing can be simply defined as a process to create an identity or image within the target customer’s mind. 

It demonstrates how you can differentiate by comparing or contrasting your product with the competition to determine the target markets.

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Market positioning involves defining and associating a company’s name with specific values. It is also possible to gain public recognition by presenting a strong brand identity. 

However, it is not just an attempt to build strong links to your brand. You must create specific associations.

When people see your company logo, they will notice your brand and how you differentiate yourself. Imagine the way people view the logos in Rolls-Royce. They are instantly drawn to luxury, quality, and prestige.

The Importance Of Brand Positioning In The Marketing

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Brand positioning consists of positioning a brand in the mind of its clients. The brand positioning approach enables businesses to differentiate themselves more from their competitors. Effective Brand positioning occurs when brands are considered attractive to consumers.

Market positioning strategies vary widely depending on customer needs, motivation, and competitors’ actions. 

These strategies become individualized to your company, and your product shapes your customers’ minds. It should also be considered a sign if a business competes with competitors.

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The typical example for marketing positioning is Band-Aid. When we have a small cut or scratch on our body, we ask for Band-Aid rather than a bandage. It means the product is more popular through a certain brand name. 

Positioning for marketing involves much more than adding a category to your webpage.

Different Types Of Positioning In Marketing

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Researchers found that positioning for commercial products is determined mainly by complex criteria like the quality of product or service and relationship-building factors.

Other considerations like company structures and geographic coverage also play essential roles. 

The study emphasized the high level of knowledge about brands as a contributor to influence the perception of the underlying positioning in advertising strategies.

Various marketing strategies use this method.

Pricing Positioning

A company’s pricing positioning plan is a strategy for selling products or services affordable. Promoting your product as the cheapest on the mar it generates enormous customers because people never spend as much money as they should.

Pricing is crucial for decision-making. Companies that have the best products at the lowest price win the game. Gillette and Dollar Shave clubs are examples.

Cheaper alternatives to high-end brands, including Gillette, changed the market in razor refilling products. However, the Washington Post reported the company had lost market share despite low prices at Dollars Shave Club.

Compared to Gillette’s cartridges that cost $2 or $5 for refills, it’s 20 cents. Offering the lowest price makes it easier to convert potential buyers.

Customer Service Positioning

If you are looking for a retailer or other service provider for a specific product, you will probably have chosen that provider based on service. Company verticals known for inattention support have the advantage of highlighting friendly customer support to distinguish themselves.

Other companies may emphasize their highly skilled support system if they have a particular product that is difficult for consumers. This strategy provides customers with excellent service and justifies higher prices. 

Apple products, for example, are costly, but their customer support team is friendly and quick with fast response times.

Convenience Positioning

Convenience makes the customers’ lives easier. The convenience of the location can also include free returns or e-commerce. Simple vs. Bank of America.

Most conventional banks are still working hard to build a mobile application, but online banks such as Simple invest heavily to attract younger and more tech-savvy consumers.

Besides charging no fee, this company also features a valuable budgeting and savings tool.

Companies can demonstrate how their products can make their customers’ lives easier using convenient positioning strategies. 

Those conveniences may vary by location, easy-to-use access, wide availability, or support for multiple platforms. Besides, this strategy can provide more incentives for more cost-cutting options.

Differentiation Positioning

Differentiating products and services are different. Therefore, competitors can pose no threat if your products or services have significant characteristics. 

Differential positioning is characterized mainly by its uniqueness compared to the conventional competition.

Tesla has entered the electric car marketplace as a luxurious sports vehicle and quickly outstrips economy automobiles such as Toyota Prius. Tesla marketed the higher-end market with their Model S.

Tesla doesn’t focus on price, brand, or quality. Instead, Tesla is a premium company that is more expensive to buy than the competitors. Tesla vehicles also offer extended range and energy-saving power.

Potential limitations include the potential disabling of public participation by the lack of historical use. On the other hand, considering a brand new product can help you provide research and analysis for its creation.

User Group Positioning

These types of positioning target a specific group of users, explaining what is available and what makes the product directly applicable to the particular audience.

It’s not all about strategy. For example, you can make your brand leader the original or the best-selling brand. 

Position your products as solutions to broader problems. Another way is to compare a company to the competition’s brand. 

You’ll also be calling out your competitors on their ads and highlighting the advantages your product has over theirs.

For example, Johnson and Axe. Although Johnson’s shampoo is gentle to children, Axe body spray targets men.

Make sure that your target buyer’s behavior is carefully considered when creating your strategy, for example, which is the best choice for them when purchasing the most advanced technology, and ensure that they have the highest level of customer service.

Quality Positioning

Quality can help overcome price wars. Quality can determine the competitive landscape in certain products like luxury cosmetics and automobiles. 

Chipotle is a good alternative. However, the company was rated 14th in “America’s Fast Food Magazine.”

This strategy can often come at a high cost to companies. The quality can be exhibited by exceptional craftsmanship, small batches production, high-quality materials, and even sustainable practices that increase consumer production costs.

The quality of the service is demonstrated through exemplary results, good returns, and glowing customers. Of course, those budget-wise might bypass your brand and opt for a more affordable option. But buyers’ personas are important.

Social Media Positioning 

These positions are unique because they are aimed at specific channels versus stand-alone techniques. And your channel is precisely how the message you are using translates into your product.

You can’t advertise a brand across platforms. When implementing such a strategy, the key is choosing which channels target markets use most. 

These areas could appear within an existing social media platform, but they may vary between several.

Building A Market Positioning Strategy

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Positioning your company is not a one-time effort; it requires constant attention. Every company should establish ongoing advertising efforts to reinforce customers’ impressions of the company. In fact, continuously promoting your company helps to maintain a positive image in the minds of your customers.

You need to improve target markets’ perception of advertising a brand constantly. Is this possible? Let’s talk about developing a successful market positioning program. Let’s start with this.

Positioning In Advertisements

Often, advertisement becomes the first place where business is located. How can you share a clear message about your product, service, and brand with your customers? For example, if you’re selling facial products, you need the customer to identify and target them.

In a market for teenage girls overcoming acne problems, the advertisement should highlight the importance of positioning. It may be difficult for a skincare company to market skin care products for women looking older.

Make A Positioning Statement

Your brand name is what your brand represents. It is essentially the heart of a business identity that defines your values and your ethos in general. Your position statement also provides your strategy to attract customers.

It determines what you want the audience to be. Then, it identifies their most painful areas and describes how you can solve these problems for yourself. 

You should include several important aspects of creating the best position statement.

Build A Brand Identity Chart

Once you understand what brand you are selling globally, it is time to understand its meaning for customers. An identity chart for branding helps organize these concepts easily understood and readable.

You may use these figures as inspiration for copywriting. Brand essences are categorized into attributes: Think of it as a functional characteristic. For example, some physical items are more easily thought of than SaaS and tech products.

Benefits: What do customers expect in return for their experience? This adjective describes the characteristics of the brand.

Create An Unique Position

As long as you understand your customers and audience well and understand their demands, you can be a better candidate for the ideal market for your company and your target audience for achieving measurable results.

Eventually, your company will have the ability to formulate a successful marketing plan to market your services effectively. Ensure that every marketing campaign you use is consistent with your objectives.

Simplify And Tagline (Slogan)

Once you have established an effective branding statement, you can develop a slogan, which can serve externally as a customer marketing message.

This is a shorter and snappier version if the positioning is used. Simplifying your positioning statement will make your business message sexier than the internal, more extended, detail.

Competitor Analysis

Investigating the competitors and analyzing their competitors helps assess their strengths and weaknesses. In addition, understanding business differences is crucial when looking into market gaps.

Market positioning strategies are not an easy, universal solution. However, there are several basic steps to take to run a business. 

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You should also look for the competitors. Why are there people more likely to do things differently than their competitors?

After analyzing yourself, you should analyze your competition using competitor analysis. What’s the reason behind it? First, you have to find out how to compete against other companies in competition.

It’ll be helpful to determine how best to improve your strategy. You can choose different methods to determine the size and type of the competitors.

Discover Current Positions

Is it true that a marketing campaign should only promote one thing in a category? Your current brand positioning can help determine where the future is headed.

Your situation will require analysis and understanding of how it compares to the competitors. Start by identifying the target audience the difference between you and others in the market. 

Next, assess your current brand persona.

Determine Your Unique Value Proposition

You must know what separates a company from others and why it makes sense. Chmielewska recommends defining effective branding as an objective for creating a solid and successful image.

When doing competitor research, you can start seeing patterns. There are business models with different strengths and disadvantages.

If you compare products and services with other products, you could discover a weaker part. What distinguish you from other brands is their brand personality. 

The Critical Elements Of Market Positioning

A good market positioning plan uses these four Ps: Product, Pricing, Promotion, and Place. 

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This is the way these PIs are implemented.


This covers everything your business provides. For example, a fast-food brand like McDonald’s or Burger King offers hamburgers, grilled fish, French fries, etc. Ford is the largest auto manufacturing manufacturer in the United States.

Every company usually features several unique items that customers associate closely with the brand. The product development team can continue this development with time.

McDonald’s is one of the most popular brands for burgers and fries. However, it has gained recognition also for salads and coffee. Your business’s products must be recognized, and you should not allow the product to become stale.


It’s about how much the product is worth. It’s best to have underlying price stability across multiple locations. There might be fluctuations, but it is essential to have your customers associated with your product or service within specific price ranges.

For customers who consider you a cheap brand, you need to keep it constant. Your prices are essential to your marketing efforts.

It’s not necessary to offer cheap goods; we have witnessed the case of Rolls-Royce where specific customers value high-end products. This means that your prices must remain uniform.


This includes the advertising campaigns a company utilizes to communicate with customers. Everything from Facebook advertising to billboards falls into these broad categories.

Promotion is not just aimed at educating people on what you offer. Your advertising styles, the visual styles, the language you choose, and how your advertisement is done help create the best brand voice.


The customers will find your product or service there. Most firms can offer different types of services to customers. 

The intended customer should do the buying process in stores and at trade shows or various Internet locations.

You may offer products to other businesses through apps and affiliate advertising. Make sure where you sell your product has positive effects on your brand. 

When comparing the services of other vendors, make sure the websites they use have the same value as your firm. Again, you want a cohesive branding image.

Top Benefits Of Positioning In Marketing

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It’s essential to consider positioning in your Marketing Strategy. Correct positioning strategy helps create more marketing messages, structure services more efficiently and structure pricing strategies to maintain a competitive edge.

List of some advantages to positioning for marketing.

Builds A Powerful Competitive Position

The positioning gives you insight into how your products influence people and what customers think of you versus your competitors.

When the customers think of your products and services, they can expect to see your products and services as reputable. This way, it can establish an edge in the competitive landscape.

Creates Precise Target Market

Positions allow a customer/seller or company to claim one feature or benefit and focus on a particular product/service accordingly. Your sales and marketing profile should therefore become higher.

Makes More Effective Decisions

Once your positioning strategy has its message, you will effectively make decisions. In addition, a clear marketing position helps promote efficient communications with the customer.

Connects To Consumer Needs

Through marketing positioning, a company can share the critical benefits of its products or services. It helps to energize & connect products with the customers they are seeking.

Improves Revenue

A business should always strive for improved sales or revenues. You could gain more customers and increase sales with an incredibly relevant offering.

Summing Up

The more you define your brand in detail. But, in reality, if we want to be unique, we have to create a clear image of our business.

The best method to promote and sell your business is to consider multiple options. The strategy must highlight the competitive advantages of each of your business units and highlight the weaknesses of your competitors.

These strategies can market different brands using several different positioning strategies.


What is positioning in marketing?

Positioning in marketing refers to the process of creating an image or perception of a product or brand in the minds of target customers. It involves identifying the unique value proposition and competitive advantage of the product or brand.

Why is positioning important in marketing?

Positioning is important in marketing because it helps differentiate a product or brand from competitors and create a clear and compelling message that resonates with customers. A strong positioning strategy can help increase brand awareness, customer loyalty, and sales.

How can I create a strong positioning strategy for my product or brand?

To create a strong positioning strategy, start by conducting market research to identify your target audience and understand their needs and preferences. Next, analyze the competition to identify gaps and opportunities for differentiation. Finally, develop a unique value proposition and messaging that resonates with your target audience.

Can positioning strategies be applied to both products and services?

Yes, positioning strategies can be applied to both products and services. In fact, many of the same principles apply, such as identifying target audience, differentiating from competitors, and creating a compelling message.

What are some common positioning strategies used in marketing?

Some common positioning strategies include focusing on a unique benefit, targeting a specific audience or niche, positioning as a premium or luxury brand, and emphasizing on convenience or accessibility.

How do I measure the effectiveness of my positioning strategy?

The effectiveness of a positioning strategy can be measured through metrics such as brand awareness, customer satisfaction, market share, and sales. Regular market research and customer feedback can also help identify areas for improvement.

Can positioning strategies change over time?

Yes, positioning strategies can change over time as market conditions, customer preferences, and competition evolve. It’s important to regularly evaluate and adjust your positioning strategy to stay relevant and competitive.

About Bharat Patel

Bharat is a digital marketing expert who can help you grow your business. He has helped hundreds of companies just like yours succeed in the digital world. So if you’re looking for an experienced, knowledgeable, and trustworthy person to help you reach more customers, You’re in luck. Bharat is here to help you with your digital marketing needs.

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