7/28/2019 Sample of Repositioning

1/4

6.2 Approach to positioning the brand

The approach I recommend is not to position the product but to anchorthe positioning strategy around key consumer applications. From thesepositioning anchors Philips can grow its future product range.

(a) Arena

TODAY FUTURE

POSITION

Explanation :

Philips must reiterate its core value to current customers

Philips should seek to position itself as a total solution provider

Philips must reinforce its customers awareness of the breadth anddepth of its current products while maintaining a competitive pricingpolicy

We need to continue our image of a specialist in the global market.

We need to reinforce this position further.

High

Low

BrandEquity

Generalist

image

Not modern

Wide range

Not a market

leader

Fragmented global

image

Consistent global

imageSerious contender in

consumer electronics

Desired by youngtrend

Specialist image inselected product

cam s

7/28/2019 Sample of Repositioning

2/4

(b) Vehicle - General Strategy for re-positioning

If Philips wants to lead in the global market, it needs to beginnow by demonstrating to the market its innovativeness andexpertise in providing an integrated technology. Philips shouldtherefore anchor its brand recognition onto specific areas ofexpertise. This will make Philips a different brand as comparedto others.

Based on the above proposed strategy, the key step inrepositioning or reinforcing the current position of Philips is todevelop product clusters where customers associate Philips withspecific areas of expertise

Critical elements of success

Should strive to be here!

Explain how you would use the differentiated focus here. It would begood if you could show how the value chain activities will reconfiguredto achieve this position. (REMEMBER : You DO NOT need to addressall the activities in the value chain; just those that will help you inachieving the differentiated focus).

Cost Leadership Differentiation

Cost Focused Differentiated Focus

7/28/2019 Sample of Repositioning

3/4

.(c) Differentiator

The key messages in our efforts to reposition our brand must capitaliseon our brand values and intended (re)positioning strategy. Themessage context must be towards achieving a position of being aglobal company but carrying forward the heritage of our company inthe market.

We need to build core values into the Philips name and differentiate iteffectively.

Elements of brandpersonality

Promotions Tasks

Brand credibility Leverage from our companys

long history

Brand association Educate customers about ourtotal product range

Core competences developed forcurrent products must be carriedforward and associated with allfuture products

Brand recognition Increase marcom budget tocreate higher share of voice

Brand positioning Quality

Value for money

Solutions Provider

Global

7/28/2019 Sample of Repositioning

4/4

(d) Staging

I see 2 possible platforms of our planned marcom strategy :

Philips is committed toimproving standard ofliving by constantlyproducing quality productsthroughout all markets.This will reinforce theLets campaign

Platform 1(Short term : beginning1999 throu h to 2000

Philips provides completeand integrated solutionsconvergence of ourtechnology across allproducts

Platform 2(Longer term : 2000onwards