3 importance of positioning in imc

8/12/2019 3 Importance of Positioning in IMC

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IMC as an Integral Part of Marketing


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Chapter takeaways

Understand marketing strategy, its impact oncommunication, and vice versa

Identify a firms area of competitive

advantage, and understand basic competitivestrategies

Learn about segmenting, targeting,

differentiating and positioning Comprehend decisions related to marketing

mix elements and their impact on promotions


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Marketing factors impacting

communication

PromotionCompetitive

strategies

Targeting &positioningstrategies

Productstrategies

Pricestrategies

Placestrategies


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Dealing with competition

Identify direct & indirect competitors

Identify objectives, strengths,weaknesses, etc.

Identify competitive advantagethe

ability to perform in ways that are betterthan competition & difficult to copy

Use strategies to tackle competition: a)maintain leadership, b) challenge the

leader, c) follow the leader, etc.


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The target marketing process

Identify marketswith unfulfilled

needs

Discoversegmentson the

basis of consumer

characteristics

Analyse segmentpotential &

finalise segments

to target

Differentiate

product offeringfrom competitors

Create adistinctivepositioning in the

minds ofconsumers


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To segment or not?

Massmarketing

Segmentmarketing


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Segmentation criteria

Measurable Substantial Accessible Differentiable Actionable


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Bases for segmenting

consumer markets

Lifestyle, personality, values(VALS)

Use occasions, benefits, userstatus, usage rate, productknowledge, loyalty status,attitude towards product,involvement

Age, gender, income,occupation, family size,religion, nationality, etc.

Region, population, density,climate

Geographic Demographic

PsychographicBehavioural


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Brands segment on various bases


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Segmenting with hybrid variables


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Target marketing

Mass marketing

Differentiatedmarketing

Concentratedmarketing


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Differentiation

Productcharacteristics

Servicecharacteristics

Personnelcharacteristics

Distributioncharacteristics

Imagecharacteristics


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Positioning

The act of designingand projecting adistinctive image of thecompanys offering in

the minds of the targetmarket

Positioning mapindicates the relativeplacement of brands inconsumers minds

based on 2-3 selectproduct characteristics.


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Positioning options

Benefit positioning

Attribute

positioning

Application

positioning

User positioning

Quality or price

positioning

Product class

positioning

Competitor

positioning

Image/ personality

positioning


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Attribute positioning/Benefit positioning


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User Positioning


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Brands position using different

strategies


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Positioning strategy-Taaza orange juice

Benefit Positioning- Healthy orange juice, vitamin C

enhancer, protects from cold

Attribute positioning- 100% pure orange, sugar free

juice

Application or use positioning- a breakfast juice

User positioning- a drink for diabetics

Quality or price positioning- Value-for-money juice

Image positioning- fun juice


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Choosing a positioning strategy

Positioning

Brand strategy

Attributesvalued by

consumers

Companys

strengths &resources

Competitorpositioning

Profitprobability


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Repositioning brand image

8-to-8 banking

Employee presentations for

culture change


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Nutri-Bar

Positioned as convenience snack

Good food to go Repositioned as breakfast substitute

Respect yourself in the morning


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Developing the marketing planning Program

Product

Anything that can beoffered to the market tosatisfy needs & wants

Services Intangible

Inseparable

Variable

Perishable

Product symbolism: Sumtotal of product/brand

experience

Product life cycle Introduction

Growth

Maturity

Decline

Product attributes: quality,features, design

Packaging: Conceptualize,design & produce productcontainer

Branding: Investing aproduct with desired brandattributes


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Product symbolism


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Rin meets challenges

at various stages of its life cycle


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Communicating

product-related aspects


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Communication can create a brand


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Quick Q!

A products package serves as:

a) A container to hold & protect a product

b) A means for clubbing product into assortments

c) A safety device

d) A communication tool

e) All of the above


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Distribution

Distribution channels:

Organisations,

individuals & processes

making productsavailable from

manufacturer to end

user

Resellers

Indirect

Wholesalers Retailers

Directmarketing


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Push vs. Pull Strategy

Trade/Promotionaladvertising

Manufacturer

Stocking product

Cooperative ads

Resellerpromotion

Reseller Product useConsumer

Consumeradvertising

Manufacturer

Asks forproduct

ConsumerStocks &supplies

Reseller

Push strategy

Pull strategy


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Push vs. Pull Strategy

PUSH

Appropriate when:

Low brand loyalty in category Brand choice made in store

Retailer recommendations

are valued

Product is an impulse

purchase item

Marketers have low budget

and/or good channel relations

PULL

Appropriate when:

High brand loyalty High product involvement

Product has unique benefits

or is superior to competition

Purchase decision is made

before going to the store


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Prestige pulls consumers

through advertising


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Price

What a consumer pays

or gives up for productacquisitionincludestime, energy & psychic

costs

Pricing considerations:

Product perception Consistency with other

marketing mix elements

Market & competition

Price serves as anindicator of productqualityhigh price isassociated with

superior quality

Advertising increases afirms ability to charge

a higher price withoutlowering demand


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Brand image allows Reebok to charge

a price premium

Rasna communicates


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Rasna communicates

its value-for-money pricing


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Quick Q!

A product that has high quality and low price

will usually:

a) Confuse the consumer

b) Excite the consumer

c) Communicate a high product quality

d) None of the above

3 importance of positioning in imc

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