1.List various kinds of attributes which may be used to establish brand positioning.

Marketing decision makers seeking to win a particular position in customers minds will seek to endow
their product with various kinds of attributes, which may be categorized as under:

1.Physical:

These are directly related to a single physical dimension such as quantity, power, or size. While there
may be a direct correspondence between a physical dimension and perceptual attribute an analysis of
consumer’s perception of products on those attributes may unveil phenomena of interest to a
marketing strategy.

2. Complex physical Based Attributes:

Consumers may use composite attributes to evaluate competitive offerings, because of the presence
of a large number of physical characteristics. The development of such summary indicators is usually
subjective because of the relative importance attached to different cues. The examples of composite
attributes are the speed of a computer system roominess of a car, a products or services being user
friendly.

3. Abstract:

Though these perceptual attributes are influenced by physical characteristics, they are not related to
them in a direct way. All of these attributes are highly objective and difficult to relate to physical
characteristics other than by experience For examples, the sexiness of a perfume, quality of a wine
and prestige of a car.

4. Price:
A product’s price may infer other attributes, such as high or low quality. Generally, lower price
represents lower or inferior quality and vice-versa.

2.Describe the seven steps in the positioning process for goods and services.

1. Identify relevant set of competitive products serving a target market.

Identify a specific target. In which product, service, or market category (also called the “frame of
reference”) do you plan to use this positioning?Which target segment is your focus for the
positioning you are developing? What are the needs of the customers and how can you group
customers based on their needs?

2. Identify the set of determinant attributes that define the “product space” in which positions of
current offerings are located.
Identify Your Competitive Advantages. A competitive advantage is some trait, quality, or capability
that allows you to outperform the competition. It gives your product, service, or brand an
advantage over others in purchasing decisions. Competitive advantage may come from and or all
of the following: cost,price,features,benefits.

3. Collect information from a sample of customers and potential customers about perceptions of
each product on the determinant attributes.
Choose Competitive Advantages That Define Your Niche.Your list of competitive advantages
represents a set of possible positioning strategies you could pursue for your product, service, or
brand. The next step is to examine how these factors fit into customer perceptions of your
broader competitive set. Your goal is to pick a positioning approach that gives you a unique and
valued position in the market that competitors are not addressing. We often use a perceptual
map for this step.

4. Determine product’s current location (positioning) in the product space and intensity thereof.
With your competitive advantages identified and information about how key competitors are
positioned, you’re ready to evaluate and select your positioning strategy. This is the decision you
make about how, exactly, you plan to position your offering relative to the rest of the field. How
will you be different and better?

5. Determine customers’ most preferred combination of determinant attributes.

There are several ways analysts can measure customer preferences and include them in a
positioning analysis. For instance, survey respondents can be asked to think of the ideal brand
within a category – a hypothetical brand possessing the perfect combination of attributes.
Respondents could then rate their ideal brand and existing brands on a number of attributes. An
alternative approach is to ask respondents not only to judge the degree of similarity among pairs
of existing brands but also to indicate their degree of preference for each. In either case, the
analyst, using the appropriate statistical techniques, can locate the respondents’ ideal points
relative to the positions of the various existing brands on the product space map.

6. Examine the fit between preferences of market segments and current position of product
(market positioning).
An important criterion for defining market segments is the difference in the benefits sought by
different customers. Because differences between customers’ ideal points reflect variations in the
benefits they seek, a market positioning analysis can simultaneously identify distinct market
segments as well as the perceived positions of different brands. When customers’ ideal points
cluster in two or more locations on the product space map, the analyst can consider each cluster
a distinct market segment.

7. Write positioning statement or value proposition to guide development and implementation of

marketing strategy.

The final decision about where to position a new brand or reposition an existing one should be
based on both the market targeting analysis and the results of a market positioning analysis. The
position chosen should match the preferences of a particular market segment and should take
into account the current positions of competing brands. It should also reflect the current and
future attractiveness of the target market (its size, expected growth, and environmental
constraints) and the relative strengths and weaknesses of competitors. Such information, together
with an analysis of the costs required to acquire and maintain these positions, allows an
assessment of the economic implications of different market positioning strategies.