Question

Explain in 200 words product positioning

Answer 1

In simple words, positioning refers to placing a product in the mind space of a consumer in such a way that the consumer views the product in a differentiated way from other products. In order to position a product, a firm needs to first identify a target audience most suitable for the product. Next, the target segment is reached through various forms of marketing communication to make the target audience aware of the product. In this stage, the potential consumers are made aware of the most appealing aspects of the product, its functions and how it is different from that of the consumers. Product positioning is mostly a mental game in which a marketer focuses on successfully making a mental impression of a product in the mind of potential consumers and induce them to make a purchase. For example, the iPhone is positioned as a premium mobile phone with innovative features and excellent performance. iPhone has been positioned in that way because Apple wants potential consumers to think of the iPhone when they think of innovative mobile phones.

Positioning is a very important tool of marketing to build a loyal base of customers as well as create brand equity. The success of a product mostly depends on how successfully it is positioned.